Posts Tagged ‘IOT’

The Dawn of the ‘Bank of Things’ – 4 Part Blog Series

May 11, 2016

The Dawn of the “Bank of Things”

Over the past ten years, I’ve seen analysts’ forecast of the number of devices connected to the internet grow from 2 billion to 50 billion. The reality is we simply don’t know and the ever-spiralling number is a sign of just how big the potential for this new technology is.  It seems it will soon be possible to connect anything and everything.

We already have a mattress cover that monitors your health; socks that tell you how many times they’ve been worn and washed; 3D printed clothes that adjust to temperature; and milk bottle tops that tell you if the milk has gone off. Meanwhile, toothbrushes, light bulbs, door handles and even pens, can all be connected and can all deliver new services as a result.

New types of information

A new era of connectivity has begun and with it comes a whole different level of “big data”, as these devices emit a constant flow of information.

Just as the number and variety of things connected to the internet continues to grow, so does the range of information coming from them. Sensors can provide data on location (GPS), movement (accelerometer), temperature, pressure and light, for example. And it quickly becomes apparent that the possibilities for this stream of information are limitless.

Interconnected “things”

What’s more, it doesn’t stop there as these connected “things” can also communicate with each other.  Imagine a washing machine that warns you that you’ve left your phone in the pocket of the jeans you just placed inside it to wash.   Or curtains that open when the alarm on your phone wakes you up in the morning (possibly a little later than usual because your phone has checked your diary for the day ahead and also detected you haven’t slept well during the night).

Again, the possibilities of what could result from devices that are able to talk to other devices are only limited by our imagination.

Children are already learning the basics of wiring up sensors and finding ways to use the information using kits such as Wunderbar, SAM and Kano to build their own gadgets. These are the skill sets of the future – electronics (circuits), APIs/scripting, and analytics (data).

The future of banking

The implications of this new connected world are only just starting to be felt. Every industry is in a state of transformation and none more so than banking.

Banks are thinking about how this new world of big data could potentially transform what they offer to customers and their relationship with them. This is what I call the “Bank of Things” and in this new world it is likely that banks will want to become the trusted:

  • Custodian of the customer’s data – helping them to manage privacy and control sharing
  • “Infomediary” – acting as an adviser between the customer and sellers
  • Payments manager for the customer’s “things”

A glimpse of what’s to come

We are on the cusp of a new technological dawn that will clearly bring huge changes for banks and banking. In this series of blogs I will be exploring this topic from a banking perspective and looking at what it means in terms of Connected Cities, Connected Cars, Connected Homes and Connected People.

Given the huge potential of the technology I recognise I’ll only be able to provide a glimpse of the possibilities, but I hope it gives you a taste of what’s to come and welcome any feedback you might have on other applications of the technology.

 

 

 

 

 

 

 

 

 

 

 

What’s a phone anyway – the end of mobile strategies?

November 29, 2013

Since the iPhone first launched in 2006, I’ve maintained that having a mobile strategy is pointless – an opinion usually deemed either naïve, or contradictory for the sake of it. There were two reasons behind my stance: First that mobile handset technology would evolve quickly, driving constant changes in user behaviour as the increasingly powerful handsets are exploited in new ways. The second was that planning for mobile would be as ludicrous as planning for desktop, tablet, TV and other devices separately.

A third point that has come up more recently is that, while many mobile strategies have focused on phones, if you can make calls from tablets, desktops or even TVs, what is a phone anyway? Clearly the lines between devices are blurring, with smartphones the size of small tablets, tablets the size of large phones, laptops that behave like tablets, and TVs that work like PCs.

mobile strategy redundant - internet of things

As Dom Joly’s comedy sketch foreshadowed, the lines between devices are blurring

The Internet of Things

This isn’t an ‘I told you so’ post, but rather an explanation of why I think mobile strategy is becoming redundant, or is only part of a larger picture – that picture being the ‘Internet of Things’ (IOT). By now you will likely have heard about IOT, after all, it is being championed by the father of the internet, Tim Berners Lee himself. If you haven’t, then quite simply it is the concept that anything and everything, from microwaves to mousetraps, can be connected to the internet.

Driving this trend is the ever decreasing cost of computing. About ten years ago, the industry worked hard at bringing the cost of a laptop down to less than $100. Today, an Android tablet can be bought for less than $50. In fact, the cost of a chip and board that will allow you to connect to the internet has dropped to below $30 for a single unit, and below $15 for mass purchase.

Many ‘things’ can be connected

Right now, hobbyists, entrepreneurs and innovators are connecting ‘things’ to the internet. Good Night Lamp, a UK-based company, has designed a pair of lights that connect via the internet, to allow users to share their presence and availability – for example, a university student could switch on their light when home for the night, and their parent’s light would come on too to let them know their child was safe.

Mousetraps have been connected to the internet so that the owner of the trap receives an alert when the trap is set off. My personal favourite is the voice enabled / bar code scanning microwave, which scans your meal’s barcode, looks up cooking instructions on the internet, then automatically sets the cooking programme and provides voice instructions.

The next step will involve these devices talking to each other, for example, your alarm clock going off and putting on the TV, opening the curtains and turning on the lights.

mobile strategy redundant - internet of things
Good Night Lamp – one of several entrepreneurs discovering ‘things’ that can be connected to the internet

Low cost of hardware driving innovation

The low cost of the hardware is currently driving technology enthusiasts to experiment, and I believe we are in the calm before the storm. The real trigger for mass development will be non-technical people gaining the tools to build their own products and solutions, without electronics or programming knowledge.Of course, planning for a world where anything and everything is connected can incorporate a sub-strategy for mobile handsets, but planning for each device separately would evidently be counterproductive. And to prove that even the giants can get things wrong, Microsoft’s ‘three screen strategy’ (PC, phone and TV) has already been shown to be redundant.

The Digital Era is upon us

October 18, 2013

A lot has changed in technology since my last blog, and it’s only been a year! In Mobile, as expected, Android is outselling iOS, Android apps outnumber iOS apps, people are far less amazed at the size of phablets, and tablets have got both bigger and smaller. Cloud vendors continue to grow as using the cloud becomes more acceptable – as demonstrated by the Dutch authorities allowing financial services companies to use Amazon. Big Data has arrived, and companies are implementing technologies to manage, secure, and turn this data into knowledge. Social sites and technologies are now a way of life for both personal and business users. Individually, these are having a huge impact, and, combined, they will change the world around us profoundly. Technology research company Gartner calls this combination of Cloud, Mobile, Social and Big Data, ‘The Nexus of Forces’.

However, I believe there are yet more forces at hand that will combine to fundamentally transform our lives into the digital era. I’ll be covering them in more detail in future blogs, but will briefly introduce them now.

internet of things - wifi mousetrap
Finally – a digital solution to an age-old problem

The Internet of Things

One of these forces has been termed the ‘Internet of Things’, where everything from microwaves to mousetraps are being connected to the internet. We have hit price points where cost is no longer a barrier to technology, it’s only innovation and standards that are now holding us back. Within payments, innovation hasn’t been an issue, with the sector seeing lots of activity, not only in terms of technology, but also in terms of different types of payments, like Square and Pingit. However, the implementation of these solutions varies from country to country (for example, M-Pesa is huge in Africa), and there are different payment methods – such as person-to-person, or consumer-to-merchant. So, in this instance, standardisation has been the main stumbling block.End-user development (software modification by non-professional developers) is another market undercurrent, and already there are great examples where programming is being eradicated by tooling. An example of tooling is the IFTTT (if this then that) service, which allows users to visually program triggers and actions. For example, you can create a ‘recipe’, so that if you post something on Facebook it gets tweeted, or if you upload an image on Instagram it gets posted on your Facebook. This enables users to build elaborate systems, leading to easier consumption of content from a variety of sources.

Context-aware computing

A third force is context-aware computing, in which situational and environmental information is used to anticipate immediate needs, and proactively offer enriched content, functions and experiences. Gartner forecasts that by 2015, context-aware computing will affect $96 billion of annual consumer spending worldwide.

There are also many other technologies that will have an impact, such as wearable computing, gamification and augmented reality. As a technologist and gadget lover I’ve never been so overwhelmed by technology, yet we are really only at the beginning of the journey. As with the dot-com boom, innovation and new business models will change existing value chains and exploit new user behaviours – potentially, of course, leading to the emergence of a new technology bubble.

digital era christmas presents

Cost will be the only limitation to this year’s christmas present ideas

In all of this there is good and bad news, especially when it comes to Christmas. Bad news: presents are going to get much more expensive; good news: presents are going to get much more exciting!