Cisco launches Internet of things division, eyes standardization

Cisco launches Internet of things division, eyes standardization

Summary: Cisco says it has a big role in the Internet of things to promote standards, networking interconnects and industry use cases.


Cisco on Tuesday launched an Internet of things division that will focus on linking data, machines and people and the standards that go with them.

The effort, launched at Cisco's Internet of Things World Forum in Barcelona, brings together multiple efforts inside the networking giant. Cisco said it will use its Internet of things unit to focus on industry implementations and networking various sensors. According to Gartner, the Internet of things will create economic value for all organizations and sectors and create an additional $1.9 trillion for the economy by 2020. By 2020, 30 billion things will be connected as every product more than $100 will be smart. 

internet of things forum

Cisco said that the Internet of things division will be led by Guido Jouret, vice president and general manager of Cisco's Internet of things unit. Jouret's charge will be to continue to develop Cisco networking gear to combine switching, routing, networking, security and embedded networks and tailor them for use in manufacturing, oil and gas, mining, energy and other industries.

Also: IT in 2020: Internet of things, digital business enthusiasm abounds

According to Cisco, the company has had some Internet of things initiatives running since 2006.  said the Internet of things is akin to where networking was in 1993 and 1994 when there were multiple standards and applications couldn't connect.

"The Internet of things is a complex landscape and we saw there wasn't a concerted effort to simplify it," said Jouret. "There is a need to bring together technology companies, integrators and industry to accelerate adoption."

internet of things gartner


The Internet of things forum in Barcelona brings 800 people to explore the technologies that can be standardized. "There are a lot of proprietary interconnects," said Jouret.

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Jouret argues that there are multiple bandwidth choices ranging from Ethernet to Wi-Fi to 3G to white space and even WiMax that can connect sensors. To garner Internet of things adoption, applications on these networks will have to connect with speed and low battery life. Today, utilities, railroads and oil and gas all have different standards and approaches.

Big data: An overview

Big data: An overview

Big data: An overview

If standards and Internet of things networks can standardize and connect, Cisco's Jouret said the real win is efficiency and new economic models. For instance, General Electric could sell connected MRI machines and wind turbines, see how they are used, minimize downtime and ultimately charge on a usage-based revenue model, said Jouret.

Cisco's role in the Internet of things is obvious---set networking standards and the gear that goes with the infrastructure. "A lot of industries are just getting connected," said Jouret. "Many are in the first inning. The second inning is focused on getting data and turning big data into big control. What can we automate."

Some skeptics will note that Cisco seems a bit late to the Internet of things game, but Jouret has a ready answer to that argument: Only 4 percent of devices on a factory floor are connected to a network. For Cisco, that other 96 percent of the factory floor means a lot of revenue upside ahead.

Topics: Networking, Big Data, Cisco

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  • Tamanna

    Great blog! The information you provide is quiet helpful, why I was not able to find it earlier. Anyways I’ve subscribed to your feeds, keep the good work up.
    mobile pundits
  • Internet of Things sounds like. . .

    The beginnings of a controlled order from the ONE WORLD GOVERNMENT.
    ''We see all, we know all and we control all.''
  • Cisco Is Having Anxiety

    The reason is that it is very, very true that, in the future, most networkable devices, big and small, will be on massive network. What Cisco is not saying at that conference is, "...and we have been so far unable to solid theoretical primitives that an engineer could use to make it possible without ripping his/her hair out."

    This is a cause of great anxiety for the greatest networking company of the world. Think about it: They have billions of extra dollars to spend every year. It only takes a handful of scientists to figure out how to create a network protocol stack to connect all of these things. But so far, their billions have not be able to help them find and recruit the scientists who have done it. Do they have people whose minds are capable of solving the "Future Internet" problem? Probably. But being able and actually doing it are two different things, and Cisco knows this.

    So they have anxiety. Their anxiety derives from knowing that, somewhere, out of the blue, someone might actually design a protocol stack that is able to connect all of these things, securely, whether they are mobile or not, world-wide. The uptake of such a technology would be absolutely astounding.

    What would that mean for Cisco? Cisco would turn around, look at their routers and switches, all running IPv4/IPv6...then look at the new protocol stack, running some other protocol and think..."Hmm....we own networking now, but there are so many more of these little IoT devices...we're going to get steam-rolled if we do not have at least *some* control of this new IoT protocol!!!"

    So they are hedging. They figure, rather than get blind-sided by something that they cannot even see yet, better corral all the standardization piglets into one pen, so they can at least keep tabs on what's coming down the pipe.

    Cisco: If you are reading this, reply to me with a Cisco-valid email address. Maybe we need to have a little chit-chat. :)
    Le Chaud Lapin