Concepts of smart city, smart home, and smart office have made it clear that AI and IoT will combine to touch all the technical aspects of our lives. On one hand, this combination will make our life more convenient, and on the other hand, it will pave the way for digital transformation in modern enterprises. Every sector including healthcare, automotive, and supply chain management will witness radical changes based on this combination.
As per the recent report by McKinsey, AI and automation will boost the global economy by increasing productivity. Before going through the significant impact of AI and IoT (AIoT) combination on enterprises, let us understand the importance of AI and IoT as futuristic technologies.
Artificial Intelligence (AI)- Making Machines Intelligent
The concept of AI is about embedding intelligence into machines for making them ready to impersonate human intelligence, behavior, and emotions. As a computer program, AI is built in a way that it can ‘think’ of its own and ‘learn’ from past experiences. Alexa, an AI software of Amazon, is designed to recognize human speech and understand instructions. It works well as a virtual assistant to humans.
An AI app development company can take the company to a new level by integrating AI-based advancements in customized app solutions. We can certainly assume that AI will play a crucial role in our future for the following reasons-
- It helps companies reduce human errors and enables employees to work with high accuracy. The healthcare sector can be a big beneficiary of this advantage.
- It makes our lives easier by handling most of the repetitive tasks effectively. Banking and retail sectors can leverage this benefit with the help of AI-powered chatbots.
- It reduces frequent traveling by bringing autonomous vehicles. Courier and logistics sectors can get the benefits of such vehicles for accurate delivery.
- It can provide a personalized experience to customers and in a way, it contributes to improving the customer satisfaction ratio.
When AI combines with IoT, it can make technological solutions more intelligent and advanced. Let’s have a glimpse of IoT and its impact on enterprises.
Read More : How Fintech is Automating the Insurance Industry
Internet of Things (IoT)- Power behind Data
The Internet of Things (IoT) is a collective term for a network that consists of physical, connected objects that communicate with each other through wireless data transmission. Here, there is no need for human intervention in sending and receiving data. These physical objects are embedded with software and sensors. As the popularity of this technology grows across various industry sectors globally, we get some interesting facts.
Interesting Stats for IoT
- 127 new devices get connected to the Internet every second
- IoT market in the automotive sector will be worth 541.7 billion by 2025
- 54% of executives claimed that their productivity has increased tremendously after implementing AI and IoT in their business
The rise of wearables is responsible for the increasing growth of IoT devices. For example, fitness bands, heart rate monitors, and other wearables contribute to advancing healthcare IoT (IoMT- Internet of Medical Things). It is expected that the revenues from IoT technology will reach 135 billion by 2025 in the healthcare domain.
AIoT or AI and IoT Combination- Major Benefits for Futuristic Companies
Both IoT and AI are highly complementary to each other. On one hand, IoT network collects huge amounts of data using sensors, and on the other hand, AI can analyze the data to improve the performance of devices. As per the recent research, IoT devices generate 2.5 quintillion bytes of data daily. When AI is optimized with the IoT system, it can learn the pattern of the environment, detect anomalies, and decrease unwanted downtime.
AIoT or AI and IoT combination benefits industries in many ways. The combination can optimize the data collected by IoT devices and keep it as feedback for future references. It is also useful to decrease the downtime and increases efficiency. What’s more, it promotes digital transformation in enterprises while providing more accurate insights.
Another impressive role of AI is it can enhance security of the IoT network. As the number of IoT devices keeps on increasing, it is necessary to keep cyber attackers away from these devices.
Usually, connected devices are highly vulnerable target and many cyber attackers are working on ways to get access to confidential corporate data. Here, AI can lend a helping hand for organizations.
AI enables companies to monitor the IoT network continuously. AI can ‘learn’ from the patterns of the previous attacks and can create solutions to resolve them.
Predictive analysis can help to combat different security threats. AI can easily enhance the security of connected devices while helping monitor them without human interference. In a way, it can automate the process.
AI and IoT (Or AIoT) combination can set the foundation for automation and bring digital transformation in modern enterprises. We can certainly expect that both these technologies will blend together to dominate the digital world.
A study has revealed that AI and IoT together can cross USD 16 billion with a CAGR of 26 percent in a short time. Businesses can get a competitive edge over peers with more detailed and accurate insights.
In a nutshell, both these technologies are combined to make industrial tasks safer and more accurate. Also, this blend is useful in understanding the consumer behavior patterns and address the targeted customers effectively. Smart home, driverless cars, and wearables are some of the examples of futuristic tools powered by the combination of AI and IoT technologies.