Masstlc Iot Report 3-Final-Web

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Masstlc Iot Report 3-Final-Web Acknowledgements: Special thanks to Steve O’Leary of Aeris Partners and Leo Hermacinski of Luneside Advisors. Also thank you to the following for their contributions and support of this report: Elizabeth Campbell, CyberArk; Michael Campbell, PTC; Chris Conway, Digital Lumens; Sara Fraim, MassTLC; Jeff Healy, HPE/Vertica; Kaynam Hedeyat, Schneider Electric; Jim Heppelmann, PTC; Chris Jones, iRobot; Paul Kennedy, Philips Lighting; Ryan Lester, LogMeIn; Ruth Morris, MassTLC; Tom Pincince, Digital Lumens; Colm Prendergast, Analog Devices; Subu Ramasamy, Philips Lighting; Sokwoo Rhee, NIST; Ben Smith, HPE/Vertica; Paddy Srinivasan, LogMeIn; Eric Snow, PTC. About the Mass Technology Leadership Council, Inc. The Mass Technology Leadership Council (MassTLC) is the region’s leading technology association and the premier network for tech executives, entrepreneurs, investors, and policy leaders. As the voice of the Massachusetts tech sector, representing nearly 300,000 employees and more than $37B in total payroll, MassTLC drives progress by connecting people from across the innovation ecosystem, providing access to industry-leading content and ideas, and offering a platform for visibility for member companies and their interests. More at www.masstlc.org. MASS TECHNOLOGY LEADERSHIP COUNCIL 20 MALL ROAD, SUITE 151, BURLINGTON, MA 01803 | 781 993 9000 | MASSTLC.ORG CONTENTS 1 IoT in Massachusetts 2 Creating Value Beyond the Hype 6 Massachusetts IoT: A Historical Perspective 10 IoT Sector Definition and Taxonomy 12 Massachusetts Companies Building IoT Applications 15 Massachusetts Companies Creating the Platforms 17 Massachusetts Companies Providing the Building Blocks 19 What’s Next? 20 Appendix: IoT Company Directory IoT In MASSACHUSETTS The Internet of Things (IoT) represents one of the top By our estimates, Massachusetts is home to approxi- technology trends in the world today. A simple Google mately 100 IoT-specific companies with more being cre- search for IoT returns more links than similar searches ated every day. IoT brings the potential to transform the for cloud computing, big data, or machine learning, all global economy and, as we will highlight in this report, major trends in computing. Nearly every major technol- Massachusetts is at the forefront of IoT innovation. ogy company today espouses a strategy that addresses IoT. In many respects, the emergence of IoT today recalls the explosion of the Internet a quarter century ago with What exactly is the Internet of the arrival of the World Wide Web and the introduction Things? One oft-quoted defini- of the Mosaic graphical web browser. tion is credited to a 2008 paper IoT should not be considered a market in the same titled “The Internet of Things in context as, for example, application software. Instead, an Enterprise Context.”1 like the World Wide Web, IoT represents an enabling technology that will catalyze new and valuable applica- tions that build upon its infrastructure. In this report, we A world where physical objects assume an inclusive approach to defining an IoT com- are seamlessly integrated into pany. As former researcher from SAP, Stephen Haller the information network, and suggests, IoT can include physical objects, sensors, con- where the physical objects can nectivity, data conversion, and security. It also includes become active participants in the systems that transform IoT data into actionable business processes. Services are insights—these include advanced analytics from tradi- available to interact with these tional predictive analytics to machine learning and deep learning technologies. IoT also includes the applications, “smart objects” over the Inter- interfaces, and solutions built upon these technologies. net, query their state and any in- formation associated with them, As we will demonstrate further in this report, IoT rep- taking into account security and resents a transformative opportunity for the Massa- privacy issues. chusetts technology ecosystem. The Commonwealth features a long history of technology innovation and 1. Haller S., Karnouskos S., Schroth C. (2009) “The Inter- successful enterprises that have focused upon sensors, net of Things in an Enterprise Context.” In Domingue networking and communications, data conversion, secu- J., Fensel D., Traverso P. (eds) Future Internet—FIS 2008. FIS 2008. Lecture Notes in Computer Science, rity, big data, and advanced analytics as well as vertical vol. 5468. Springer, Berlin, Heidelberg. market expertise in the many areas addressed by IoT. 1 CREATInG VALUE BEYOnD THE HYPE IoT Defined Why Massachusetts? The Internet of Things ranked at the top of Gartner’s As MassTLC reported in its 2012 report, “Big Data & Ana- Hype Cycle for 2015—essentially recognizing its position lytics: A Major Market Opportunity for Massachusetts,” as the most overhyped current technology, a position our New England region, and the Greater Boston area in adjacent to autonomous vehicles, wearables, and other particular, bring remarkable skills and know-how in ana- familiar items. lytics and big data. This “Data DNA” enabled an explo- sion of innovation activity with more than 140 new and The common use case examples have become clichés: existing big data companies in the region, a concentra- fitness monitors, intelligent thermostats, smart refrig- tion second only to that of California. The clear majority erators, autonomous vehicles, and other all-too-familiar of these companies were founded as software busi- devices/machines. Although most industry experts nesses that occupied various tiers of the “stack,” from believe that IoT represents a very large market opportu- data stores to analytical tools to analytical applications. nity, to date many have struggled to articulate a breadth of tangible use cases. IoT includes these software layers but much more. It measures the physical world. IoT generally begins with The McKinsey Global Institute, in its report titled The sensors that collect signals and other information from Internet of Things: Mapping the Value Beyond the Hype, the physical world. These information elements move quantified a global economic impact of $4 trillion ot $11 tril- over networks to software that may transform them into lion by 2025 across nine “settings.”2 These included facto- more structured data elements, and then on to analytical ries, cities, human, retail, outside, work sites, vehicles, homes, software or artificial intelligence/machine learning sys- and offices. McKinsey’s analysis was thorough but limited in tems that analyze trends and patterns and then recom- its ability to offer clarity on future applications. mend actions that a system may undertake in response to the analysis. The recommendations often invoke some IoT combines sensors, communications (the Internet), physical activity on the part of the system, such as auto- data aggregation, and analytics. It measures, analyzes, mating the exact time and quantity of water required for recommends, and enables actions across an enormity of a crop, thus saving significant costs and resources while possible situations. It will be big. And we believe it will helping to ensure an optimized harvest. be big for Massachusetts. 2. James Manyika et al., The Internet of Things: Mapping the Value Beyond the Hype. McKinsey Global Institute, Executive Summary, June 2015. 2 FIGURE 1: GARTnER’S HYPE CYCLE FOR EMERGInG TECHnOLOGIES, 2015 Expectations Advanced Analytics With Self-Service Delivery Autonomous Vehicles Smart Advisors Internet of Things Speech-to-Speech Translation Micro Data Centers Digital Dexterity Machine Learning Wearables Software-Defined Security Cryptocurrencies Neurobusiness Consumer 3D Printing Natural-Language Question Answering Citizen Data Science Biochips IoT Platform Connected Home Affective Computing Smart Robots 3D Bioprinting Systems for Organ Transplant Hybrid Cloud Computing Volumetric Displays Human Augmentation Brain-Computer Interface Enterprise 3D Printing Quantum Computing Augmented Reality Gesture Control Bioaccoustic Sensing Virtual Reality Cryptocurrency Exchange Autonomous Field Vehicles People-Literate Technology Digital Security Virtual Personal Assistants Smart Dust As of July 2015 Peak of Innovation Trough of Plateau of Inflated Slope of Enlightenment Trigger Disillusionment Productivity Expectations Time Plateau will be reached in: less than 2 years 2 to 5 years 5 to 10 years more than 10 years obsolete before plateau Source: Gartner (August 2015) 3 Massachusetts brings deep roots in the networking and Massachusetts has long been a leader in research and communications technologies that underpin IoT con- deployment of machine learning and deep learning nectivity. Indeed, Cambridge-based BBN, now owned and their earlier incarnations, including artificial intelli- by Waltham-headquartered Raytheon Company, is well gence (AI). Among other leaders, the late Marvin Min- known as the creator of the Department of Defense sky pioneered AI research, founding the MIT Artificial ARPANET, the world’s first Transmission Control Proto- Intelligence Laboratory in 1959. Early companies like col/Internet Protocol (TCP/IP) packet switched network, Cambridge-based Symbolics and Lisp Machines were the forerunner of the Internet. Other leading communi- important AI pioneers in the 1980s. Today’s AI field cations and networking technology companies, includ- includes such companies as Neurala and DataRobot as ing Sycamore Networks, Cascade Communications, and well as operating entities like IBM Watson Health, head- today’s Acacia
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