4 Examples of AI × IoT Applications. What Will the IoT Market Look Like in 2023?

1. What is IoT?

1-1. What is IoT?

IoT (Internet of Things) is an abbreviation for "Internet of Things." In Japanese, it is translated as "the Internet of Things." Until around the year 2000, the internet was primarily accessed through personal computers. With the evolution of communication technology, it has become common to connect to the internet using mobile devices such as mobile phones, smartphones, and tablets. Furthermore, in today's increasingly digital world, technologies that connect "things" like smart speakers, home appliances, and fitness equipment to the internet are gaining attention. This technology that connects such "things" to the internet is what is referred to as IoT.

1-2. Mechanism of IoT

Objects equipped with IoT are called IoT devices. IoT devices are equipped with sensors, cameras, microphones, and wireless communication, allowing them to detect the state and movement of objects and collect data. The basic mechanism of IoT is to transmit the collected information to people or other objects via the internet. It can also be said that IoT is a method of enabling the collection of vast amounts of information by connecting objects to the internet.

2. Synergy of IoT and AI

2-1. What is AI?

We will clarify the role of AI, which is sometimes confused with IoT. AI stands for "Artificial Intelligence." It functions as a brain that analyzes data, and its characteristic is that it makes judgments on the tasks assigned to it.

2-2. The Surprisingly Long History of AI

In fact, there is no clear definition of what is called AI. AI assistants like Siri and Alexa, which are built into current smartphones and smart speakers, are representative examples of AI. However, games that can compete against computers, which have existed since the 1970s, can also be referred to as AI. Unlike IoT, AI is not necessarily related to the internet in its meaning. It can be said that AI refers to something that plays the role of analyzing data and making judgments.

2-3. The Role of IoT in AI Development

The compatibility between IoT and AI is excellent. While IoT collects information, AI can analyze that information. By combining the two, AI can analyze the data collected by IoT and make effective use of it.

 

Let's take a look at the role of IoT in the process of AI development.

Before AI is developed, there is a process called machine learning. AI improves its accuracy by repeatedly reading training data, known as teacher data, during the machine learning process, and by remembering features and patterns from it. The source of this teacher data is the big data collected through IoT. The principle for achieving effectiveness in machine learning is to prepare as much teacher data as possible. The role of data collection through IoT in AI development is extremely significant.

 

For articles on machine learning and training data, click here
>> What is training data? An explanation from its relationship with AI, machine learning, and annotation to how to create it.

2-4. The Synergistic Effects of Combining IoT and AI

The benefits of improved AI accuracy are directly returned to the IoT devices that consumers possess. By combining IoT and AI, consumers can utilize more accurate AI, while developers can smoothly collect large amounts of data, creating a positive cycle for both parties.

3. Use Cases Combining IoT and AI

We will introduce actual use cases of IoT/AI.

3-1. Home Healthcare Support with IoT Cameras

IoT is being utilized for monitoring home care patients. An IoT camera, which can only be viewed by AI, is installed in the patient's home to monitor whether they have fallen or if they have been inactive for an extended period. To consider the patient's privacy, image analysis is conducted only after the AI detects an anomaly and obtains consent from the family. It is also possible for the patient to wear a smartwatch and press the nurse call button or perform vital checks from home.

>>Smart Home Medical Care | Home Healthcare Support Services

3-2. Loss Prevention with IoT Tags

To prevent the loss of items such as keys and wallets, a small IoT tag is attached and linked to the user's smartphone. This IoT tag is equipped with a technology called a beacon that uses Bluetooth, which has the capability to identify location information. When a user with a smartphone moves away from the item, the beacon's signal becomes unreachable, and a notification is sent to the smartphone. This allows the user to quickly return to the location where they dropped the item, for instance, if they accidentally leave it behind. Apple's AirTag is one of the IoT devices that utilizes this beacon technology.

This is what happened when I mailed and tracked Apple's lost item tracker 'AirTag'.

3-3. Store-type Marketing with IoT Devices

This is another example of utilizing beacons. First, fixed beacon devices are installed in the store. Customers are asked to install a mobile app that connects with the beacon on their smartphones in advance. Customers who visit the store and are able to receive the beacon's signal can receive coupons and other novelties on the spot. By understanding customer behavior within the store, we can lead to more accurate marketing.

How is the retail industry utilizing the currently popular IoT technology 'beacons'?

3-4. Safe Driving Support with IoT Dash Cameras

In drive recorders equipped with IoT, the information contained in the recorded footage is transmitted to the system via the internet. This allows AI to detect dangers and immediately notify the driver. As IoT-enabled vehicles, like connected cars, become more widespread in the future, we can also expect the provision of more accurate traffic prediction services.

Reduce truck driving accidents with IoT! Hitachi to introduce 100,000 new systems.

4. What are the growth areas in the future IoT market?

 

We will examine the current state of IoT device adoption and future growth areas.

4-1. Status of IoT Device Adoption

This is data that aggregates the number of IoT devices in the world by field.

Source: Created by the author based on the 2021 Ministry of Internal Affairs and Communications White Paper

 

The most widespread area is the telecommunications sector, which includes mobile devices such as smartphones. It can be said that the IoT market in this sector is already mature. Following this, the adoption is progressing in industrial applications such as smart factories and smart cities, as well as in logistics, retail, consumer fields that include home appliances, fitness equipment, and smart speakers.

4-2. Future Growth Projections for the IoT Market

What areas are expected to grow in the future IoT market?
This is data predicting the annual average growth rate of the number of IoT devices up to 2023.

 

Source: Created by the author based on the 2021 Ministry of Internal Affairs and Communications White Paper

 

The highest growth rate is expected in the medical field. Demand related to the aging of the overall population is anticipated to increase. High growth rates are also expected to continue in the already advancing consumer sector and industrial applications. The automotive and aerospace sectors, which include autonomous driving and connected cars, will follow. In contrast, the telecommunications sector, which has already matured, is expected to see a decrease of 1.7%, and the computer sector is projected to decline by 1.1%, indicating low growth.

4-3. Further Expansion of IoT Expected with 5G

Commercial services for 5G, the fifth generation mobile communication system, began in Japan in 2020. Its maximum transmission speed is said to be 100 times faster (theoretical value) compared to the conventional 4G, allowing stable communication even when connecting various IoT devices to the internet simultaneously. With the evolution of communication environments, the expansion of the IoT market is expected to accelerate further.

5. For inquiries about AI×IoT, contact Human Science

5-1. Achieved 48 million teacher data creations

"I want to implement AI, but I don't know where to start."
"I don't know what to request even if I want to outsource."
In such cases, please consult Human Science. Human Science participates in AI development projects across various industries, including natural language processing, medical support, automotive, IT, manufacturing, and construction. We have provided over 48 million high-quality training data through direct transactions with many companies, including GAFAM. We can handle a variety of annotation projects, from small-scale projects to long-term large-scale projects with 150 annotators, regardless of the industry.
>> Human Science Annotation Services

5-2. Resource Management Without Using Crowdsourcing

At Human Science, we do not use crowdsourcing; instead, we advance projects with personnel directly contracted by our company. We form teams that can deliver maximum performance based on a solid understanding of each member's practical experience and their evaluations from previous projects.

5-3. Utilizing the latest data annotation tools

One of the annotation tools introduced by Human Science, AnnoFab, allows customers to receive progress checks and feedback from the cloud even during the project. By ensuring that work data cannot be saved on local machines, we also take security into consideration.

5-4. Complete Security Room in Our Company

Human Science has a security room that meets ISMS standards within our Shinjuku office. We can handle even highly confidential projects on-site. We consider the assurance of confidentiality to be extremely important for any project. Our staff undergoes continuous security training, and we exercise the utmost care in handling information and data, even for remote projects.