Key analysis: How the Internet of things will transform traditional manufacturing

This trend is also developing in China's manufacturing sector. Wind turbine manufacturers, for example, have upgraded themselves from traditional fan manufacturers to "intelligent blower manufacturers" a few years ago to enable intelligent control and operation by adding sensors to the fans and writing software code.

1 The development of the chip-Moore's law makes the calculation speed of the chip in the past few decades the rapid development;

2 The development of communication-all kinds of communication technology makes the connection become an indispensable part of people's life;

3 The development of intelligent products (that is, "things" in the "Internet of Things").

So what exactly does the internet of things have to do with traditional manufacturing? Hepman from three aspects of the analysis.

First, the value of the original hardware creation is being shared by the value of the software creation, and the software associated with the hardware will create more value than ever before. Hepman takes the smartphone as an example, it shows that the combination of software and hardware is becoming more and more important in product sales. "Many of our manufacturing clients have told me that their products have millions of or even tens of millions of of lines of code, and they can be counted as software companies." "Hepman said.

This trend is also developing in China's manufacturing sector. Wind turbine manufacturers, for example, have upgraded themselves from traditional fan manufacturers to "intelligent blower manufacturers" a few years ago to enable intelligent control and operation by adding sensors to the fans and writing software code.

Second, connectivity allows us to create "new intelligence" by providing new choices in software innovation for smart hardware. The disruptive nature of cloud computing is reflected. When making intelligent connection products, people can choose to integrate most of the software directly with the hardware, so that they can get faster response speed, lower network dependency and higher security, or put all applications in the cloud, so that the hardware becomes a terminal interface and the complexity of manufacturing is greatly reduced And all valuable applications can be flexibly configured through the network, the choice of a wider, faster updates, the value of hardware will be reduced; Of course, can also be combined, some of the core functions into embedded software, and put some applications in the cloud.

Third, smart-link products can lead to changes in the business model-from selling products to selling services. Philips Lighting Model Innovation is a typical case, they change the previous mode of sales lamps, and Washington Land District parking garage signed a 10-year lighting service contract, and the installation of these garages LED lights. "LED Light is a one-time investment in large expensive lighting equipment, but from energy saving and efficiency, the advantages are obvious." Hepman explained. There is no doubt that the challenge of allowing customers to put expensive LED lights in a single installment is great. But Philips is adopting a new service model that can make enough profit from the $2 million trillion of energy spending that it saves every year. During the service, Philips not only needs to provide high-quality products, but also to continue to do a good job-through sensors, chips to enable the intelligent lighting, through the system platform monitoring, operation and service. From a model standpoint, this is a win-gain-the user gets the "comfort" they need, and the manufacturing and service providers have a steady and steady stream of profits.

Further, what "new capabilities" should the manufacturing industry have in order to equip them with the characteristics of smart-connected products? Hepman is described from 4 aspects, namely: monitoring ability, control ability, optimization ability and automation ability. In this regard, Adaqin will go into detail in the following articles.