Welcome!

@BigDataExpo Authors: Pat Romanski, Elizabeth White, Liz McMillan, Rene Buest, Kevin Benedict

Related Topics: @ThingsExpo, Java IoT, Mobile IoT, Linux Containers, @CloudExpo, @BigDataExpo

@ThingsExpo: Blog Post

The 'Internet of Things' Becomes Mainstream | @ThingsExpo [#IoT]

No mention of IoT targeted at the masses would be complete without the clichéd example of the communicating fridge

Internet of Things Becomes Mainstream, What Happens Now? | Part 2

How do you know when a technology has become mainstream? A good clue may be when politicians start talking about it on the campaign trail and with mainstream media. David Cameron, the UK prime minister, was the latest, indicating that the world was now on "fast-forward" with the Internet of Things (IoT) ushering in the new industrial revolution. No mention of IoT targeted at the masses would be complete without the clichéd example of the communicating fridge. While it is easy to get caught up in the hype and over-simplify, the complexity associated with making IoT mainstream will be unlike anything we have seen before it.

In the last Internet of things (IoT) blog, I suggested that in the emerging IoT world, humans will set policies and rules that define desired outcomes, while the execution of minute-by-minute decisions driven by those policies will increasingly be handled by automated agents. In turn those agents, as they evolve in sophistication and functionality, will drive new business models, new ways of generating revenue, and new strategies for pricing and charging.

Today, enterprises are discovering that one-trick billing is not suitable for a complex services world. We all know that a billing system needs to flexibly support, for example, recurring and non-recurring charges, volume discounts, short and long-term commitments, settlements, and (for enterprise billing) bill tracking and assignment across multiple departments and product lines.

Yet here we are today in a world increasingly being made more complicated by a proliferation of online services, by IoT and by a maze of evolving business relationships, and what do we find? Service providers are still being sold one-trick billing systems.

Perhaps there is some deep-rooted psychological need for some people to deny complexity. Over-simplifying, like politicians with their fridges, may be part of the popular culture, but in business, as in engineering, science and medicine, it is important to face up to complexity, understand what is really going on, and build our plans accordingly.

When Internet services emerged, some people predicted that everything was going to be paid for by advertising: a really simple business model. Then the online shopping cart came along and, without diminishing the importance of advertising much, vendors were able to trade online and offer services and products for money in a subscription form: another simple business model supported by one-trick billing systems. While subscription services have always been with us, the Internet enabled providers to offer many new services using the subscription model: software, music, movies, news.

And now we have IoT, and - even better - IoT with smart agents. We will see, naturally enough, that Internet merchant platform players insist that IoT devices and systems can be sold in shopping carts. Subscription billing system vendors will tell us IoT services are perfect for vanilla subscription billing. While others will come along with billing systems that are IoT-specific and assume some kind of a business model that is absolutely the best for IoT.

Yet in this increasingly complex environment, one-trick billing starts to look like a shaky idea. If you only have a merchant platform you can't handle subscriptions. If your billing system only supports subscriptions, forget selling service-related products through your own portal. If your billing system is designed just for IoT-style services, you could find yourself shut out from expanding into other lines of business. You will either have to constrain your business model, buy or license additional systems, or go to third parties for help.

For a new-start company, a one-trick billing system could appear to be a great way of getting into business, especially if it's available as a service with no long-term commitments. But as a company matures and expands its portfolio of services and products, it also expands its perspective on the marketplace. They experiment with more varied and more nuanced business models. They want to try interesting new approaches to pricing and billing to attract and retain customers. At this point, businesses find that they've outgrown their start-up one-trick billing systems. They find, as so many companies have discovered before them, that they cannot form their pricing and billing strategies around the needs and preferences of the market. Instead they must constrain their strategies to conform to the limitations and ways of working defined in their billing system. If you want to evolve your pricing and billing approach, you will have to buy a new system, either to replace or supplement the old system.

An earlier generation has seen this before; it's not a distinctive feature of the Internet. One traditional phone company, a giant, started with one billing system, as everyone does. They grew and refined their approach to the market and added new services. Their original billing system was a one-trick system, so they bought or built some new systems: systems specific to a particular product set; systems specific to a particular pricing strategy; systems to link all the other systems together... After a surprisingly short time, they found they had over a hundred distinct systems in their billing environment, strung together after a fashion, but with fragmented and highly duplicated data. Expensive and dysfunctional. Getting out of that kind of trap is not easy. The company sought help from another corporate giant and bought one more billing system, the system to end all other systems. Five years later they still had over one hundred plus one systems.

If they'd had a billing system able to support the agile needs of the business, they could have spent more time developing and selling services and less time band-aiding their systems environment. I have pointed out in several previous blogs that MetraNet users have a distinct advantage: the system can handle any business model, or any combination of business models, including business models that haven't been invented yet. By contrast, when you buy a one-trick billing system, you are also buying into the one-trick business model supported by that system.

More Stories By Esmeralda Swartz

Esmeralda Swartz is VP, Marketing Enterprise and Cloud, BUSS. She has spent 15 years as a marketing, product management, and business development technology executive bringing disruptive technologies and companies to market. Esmeralda was CMO of MetraTech, now part of Ericsson. At MetraTech, Esmeralda was responsible for go-to-market strategy and execution for enterprise and SaaS products, product management, business development and partner programs. Prior to MetraTech, Esmeralda was co-founder, Vice President of Marketing and Business Development at Lightwolf Technologies, a big data management startup. She was previously co-founder and Senior Vice President of Marketing and Business Development of Soapstone Networks, a developer of resource and service control software, now part of Extreme Networks.

Comments (0)

Share your thoughts on this story.

Add your comment
You must be signed in to add a comment. Sign-in | Register

In accordance with our Comment Policy, we encourage comments that are on topic, relevant and to-the-point. We will remove comments that include profanity, personal attacks, racial slurs, threats of violence, or other inappropriate material that violates our Terms and Conditions, and will block users who make repeated violations. We ask all readers to expect diversity of opinion and to treat one another with dignity and respect.


@BigDataExpo Stories
SYS-CON Events announced today that App2Cloud will exhibit at SYS-CON's 21st International Cloud Expo®, which will take place on Oct. 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. App2Cloud is an online Platform, specializing in migrating legacy applications to any Cloud Providers (AWS, Azure, Google Cloud).
Cloud resources, although available in abundance, are inherently volatile. For transactional computing, like ERP and most enterprise software, this is a challenge as transactional integrity and data fidelity is paramount – making it a challenge to create cloud native applications while relying on RDBMS. In his session at 21st Cloud Expo, Claus Jepsen, Chief Architect and Head of Innovation Labs at Unit4, will explore that in order to create distributed and scalable solutions ensuring high availa...
Internet-of-Things discussions can end up either going down the consumer gadget rabbit hole or focused on the sort of data logging that industrial manufacturers have been doing forever. However, in fact, companies today are already using IoT data both to optimize their operational technology and to improve the experience of customer interactions in novel ways. In his session at @ThingsExpo, Gordon Haff, Red Hat Technology Evangelist, shared examples from a wide range of industries – including en...
Detecting internal user threats in the Big Data eco-system is challenging and cumbersome. Many organizations monitor internal usage of the Big Data eco-system using a set of alerts. This is not a scalable process given the increase in the number of alerts with the accelerating growth in data volume and user base. Organizations are increasingly leveraging machine learning to monitor only those data elements that are sensitive and critical, autonomously establish monitoring policies, and to detect...
To get the most out of their data, successful companies are not focusing on queries and data lakes, they are actively integrating analytics into their operations with a data-first application development approach. Real-time adjustments to improve revenues, reduce costs, or mitigate risk rely on applications that minimize latency on a variety of data sources. Jack Norris reviews best practices to show how companies develop, deploy, and dynamically update these applications and how this data-first...
Intelligent Automation is now one of the key business imperatives for CIOs and CISOs impacting all areas of business today. In his session at 21st Cloud Expo, Brian Boeggeman, VP Alliances & Partnerships at Ayehu, will talk about how business value is created and delivered through intelligent automation to today’s enterprises. The open ecosystem platform approach toward Intelligent Automation that Ayehu delivers to the market is core to enabling the creation of the self-driving enterprise.
SYS-CON Events announced today that Grape Up will exhibit at SYS-CON's 21st International Cloud Expo®, which will take place on Oct. 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Grape Up is a software company specializing in cloud native application development and professional services related to Cloud Foundry PaaS. With five expert teams that operate in various sectors of the market across the U.S. and Europe, Grape Up works with a variety of customers from emergi...
You know you need the cloud, but you’re hesitant to simply dump everything at Amazon since you know that not all workloads are suitable for cloud. You know that you want the kind of ease of use and scalability that you get with public cloud, but your applications are architected in a way that makes the public cloud a non-starter. You’re looking at private cloud solutions based on hyperconverged infrastructure, but you’re concerned with the limits inherent in those technologies.
SYS-CON Events announced today that Massive Networks will exhibit at SYS-CON's 21st International Cloud Expo®, which will take place on Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Massive Networks mission is simple. To help your business operate seamlessly with fast, reliable, and secure internet and network solutions. Improve your customer's experience with outstanding connections to your cloud.
Because IoT devices are deployed in mission-critical environments more than ever before, it’s increasingly imperative they be truly smart. IoT sensors simply stockpiling data isn’t useful. IoT must be artificially and naturally intelligent in order to provide more value In his session at @ThingsExpo, John Crupi, Vice President and Engineering System Architect at Greenwave Systems, will discuss how IoT artificial intelligence (AI) can be carried out via edge analytics and machine learning techn...
Everything run by electricity will eventually be connected to the Internet. Get ahead of the Internet of Things revolution and join Akvelon expert and IoT industry leader, Sergey Grebnov, in his session at @ThingsExpo, for an educational dive into the world of managing your home, workplace and all the devices they contain with the power of machine-based AI and intelligent Bot services for a completely streamlined experience.
Existing Big Data solutions are mainly focused on the discovery and analysis of data. The solutions are scalable and highly available but tedious when swapping in and swapping out occurs in disarray and thrashing takes place. The resolution for thrashing through machine learning algorithms and support nomenclature is through simple techniques. Organizations that have been collecting large customer data are increasingly seeing the need to use the data for swapping in and out and thrashing occurs ...
SYS-CON Events announced today that Datera, that offers a radically new data management architecture, has been named "Exhibitor" of SYS-CON's 21st International Cloud Expo ®, which will take place on Oct 31 - Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Datera is transforming the traditional datacenter model through modern cloud simplicity. The technology industry is at another major inflection point. The rise of mobile, the Internet of Things, data storage and Big...
SYS-CON Events announced today that GrapeUp, the leading provider of rapid product development at the speed of business, will exhibit at SYS-CON's 21st International Cloud Expo®, which will take place October 31-November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Grape Up is a software company, specialized in cloud native application development and professional services related to Cloud Foundry PaaS. With five expert teams that operate in various sectors of the market acr...
In the enterprise today, connected IoT devices are everywhere – both inside and outside corporate environments. The need to identify, manage, control and secure a quickly growing web of connections and outside devices is making the already challenging task of security even more important, and onerous. In his session at @ThingsExpo, Rich Boyer, CISO and Chief Architect for Security at NTT i3, discussed new ways of thinking and the approaches needed to address the emerging challenges of security i...
Blockchain is a shared, secure record of exchange that establishes trust, accountability and transparency across business networks. Supported by the Linux Foundation's open source, open-standards based Hyperledger Project, Blockchain has the potential to improve regulatory compliance, reduce cost as well as advance trade. Are you curious about how Blockchain is built for business? In her session at 21st Cloud Expo, René Bostic, Technical VP of the IBM Cloud Unit in North America, will discuss th...
SYS-CON Events announced today that CA Technologies has been named "Platinum Sponsor" of SYS-CON's 21st International Cloud Expo®, which will take place October 31-November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. CA Technologies helps customers succeed in a future where every business - from apparel to energy - is being rewritten by software. From planning to development to management to security, CA creates software that fuels transformation for companies in the applic...
In his opening keynote at 20th Cloud Expo, Michael Maximilien, Research Scientist, Architect, and Engineer at IBM, discussed the full potential of the cloud and social data requires artificial intelligence. By mixing Cloud Foundry and the rich set of Watson services, IBM's Bluemix is the best cloud operating system for enterprises today, providing rapid development and deployment of applications that can take advantage of the rich catalog of Watson services to help drive insights from the vast t...
Cloud adoption is often driven by a desire to increase efficiency, boost agility and save money. All too often, however, the reality involves unpredictable cost spikes and lack of oversight due to resource limitations. In his session at 20th Cloud Expo, Joe Kinsella, CTO and Founder of CloudHealth Technologies, tackled the question: “How do you build a fully optimized cloud?” He will examine: Why TCO is critical to achieving cloud success – and why attendees should be thinking holistically ab...
Internet of @ThingsExpo, taking place October 31 - November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA, is co-located with 21st Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world. The Internet of Things (IoT) is the most profound change in personal and enterprise IT since the creation of the Worldwide Web more than 20 years ago. All major researchers estimate there will be tens of billions devic...