How Australia might miss the smartcities movement

A disempowered public service, fragmented government and an insular business culture threaten to stymie Australia’s adoption of smart city technologies

On Monday I attended the Australian Israel Chamber of Commerce KPMG Internet of Things (IoT) & Smart Cities Briefing in Sydney’s Darling Harbour. It was an event that left me worrying about how the nation’s governments are dealing with the connected society.

The event was held under the Chatham House Rule so I’m unable to attribute quotes or identify the views of individual speakers however the conversation was mainly around the difficulties of getting Australia’s three levels of governments working together and their reluctance to share data.

Probably the most worrying comment was how Australian public servants aren’t empowered to make decision that would take advantage of smart cities technologies.

When politics eats everything

If anything this view illustrates a deeper problem in Australia where public policy and decision making is subsumed by politics. Exacerbating this is the insistence of opportunistic ministers and their chronically unqualified party advisers to micromanage decisions that should be made by qualified professionals.

A fear of delegating decision making quickly morphs into tendency to avoid accountability with decisions being made behind closed doors and contracts hidden from public view by the ‘Commercial In Confidence’ fiction that put contractors’ privileges over the public good.

That reluctance to share information also feeds into implementing smartcity technologies. With data being jealously guarded by government agencies, city councils and often corrupt ministerial offices, the currency of the smartcity – data – is locked away rather than used for the public good.

Accidental releases of data

One of the participants pointed out how in Australia government data is often released by accident and the siloing of data between government agencies and private contractors makes access difficult.

The real concern though was at during the question and answer session, in a response to a question from the writer asking if Australia’s business and government leaders are oblivious to the global changes, one of the panellists stated “boards are now convinced digital has a seat at the table.” That is hardly assuring.

Probably the biggest concern though for this writer was after the lunch. One of the other attendees, the CEO of  a major supplier to Australian councils, mentioned how the equipment he supplies was ‘pretty dumb’ and he was closing down the overseas operations of his business as they were losing money.

Inward business cultures

That inward looking attitude of catering to a domestic market that’s oblivious to global shifts seems to be almost a parody of the management books that talk about Kodak’s demise earlier this century or the fate of buggy whip manufacturers a hundred years before. Yet that is the mindset of many Australian businesses.

Exacerbating industry’s insular mindset, Australia’s planners seem to have a fantasy that the nation’s cities are like Barcelona rather than Chicago. The truth is Australia’s car dependent cities have more in common with their North American counterparts than European centres, something planners are reluctant to admit.

Being car dependent doesn’t preclude effectively applying smartcity technologies, in fact there might be more benefits to sprawling communities as vehicles becomes connected and driverless automobiles start appearing. However applying what works in Amsterdam to Sydney, a city that is more like Los Angeles, is probably doomed to failure.

“A smart city needs smart people to succeed” is a mantra I’ve heard a number of times. The question right now is whether Australia has enough smart people in positions of power to execute on the opportunities in the 21st Century. The roll out of smartcities may prove to be an early test.

Tracking seals across the Southern Ocean

Tracking seals with the IoT is making it easier to collect data on our changing environment

Tracking environmental changes across the oceans a huge undertaking. To deal with the scale of the task Australian researchers have started equipping seals marine animals with a maritime equivalent of a fitbit to monitor the effects of our changing planet.

One of the interesting case studies that came across my desk in recent weeks was the IMOS animal tracking program. The Integrated Marine Observing System is a consortium of research institutions lead by the University of Tasmania that collects data for the Australian marine and climate science community and its international collaborators.

The data is collected from ten different technology platforms including floats, ships, autonomous vehicles such as gliders and deep ocean probes, and by fitting tracking devices onto animals.

Along with sharks and fish, seals are one of the animals IMOS use to track water conditions, one of the benefits of using seals is they can transmit data to a satellite when they return to the surface to breath and they never get stuck under ice.

The tags themselves are made by a Scottish company and are designed to gather information on the depth, temperature, salinity of the seas the animals travel in. They are also useful for tracking the behaviour of the animals.

Along with research into conditions across the vast Southern Ocean, IMOS is also being used to monitor the effects of port development in the mining regions of Western Australia and other areas where environments are undergoing dramatic change.

Once the data is collected it’s open to use by the research community in their understanding the effects of a warming planet, that open data and the cloud storage it is based upon are critical to the program’s success as there’s little point in collecting the data.

We have the devices to collect a tremendous amount of data on our environment, whether it’s our personal fitbits, financial records or information on agriculture or wild animals. The challenge though is to use that data effectively.

In the case of a changing environment, understanding what is happening and the effects could be a matter of our survival. While the idea of a fitbit for seals seems cute, the data they collect could prove critical.

 

Probing the weakest links of the banking system

The Bangladeshi bank hack was a lucky escape but it is an early warning about securing our networks.

The breach of the Bangladeshi banking network has been shocking on a number of levels, not least for the allegations the institutions were using second hand network equipment with no security precautions.

Fortunately for the Bangladesh financial system the hackers could spell and so only got away with a fraction of what they could have.

Now there are claims the SWIFT international funds transfer system may have been compromised by the breach, which shows the fragility of global networks and how they are only as strong as the weakest link.

As the growth of the internet shows, it’s almost impossible to build a totally secure global communications network. As connected devices, intelligent systems and algorithms become integral parts of our lives, trusting information is going to become even more critical.

The Bangladeshi bank hack was a lucky escape but it is an early warning about securing our networks.

Update: It appears the hackers were successful in getting malware onto the network according to Reuters but, like their main efforts, were somewhat crude and easily detected. One wonders how many sophisticated bad actors have quietly exploited these weaknesses.

The Internet of Things runs ahead of standards

As the Internet of thngs develops, industry standards struggle to keep up, leaving users at risk of being stranded with incompatible devices

A week or so ago we reported why LogMeIn’s CEO, Bill Wagner, wasn’t interested in participating in the Internet of Things industry groups as they are too bureaucratic and slow in a fast moving sector.

Last week I asked John Stewart, Cisco’s Chief Information Security Officer, about how the networking giant thinks about this attitude given Cisco is a key member of a number of IoT standards groups.

Stewart’s view is nuanced, “the notion of open operability versus standards is where the world needs to be. We’ve been pushing this notion of open interoperablity knowing that standards might take longer but yet you don’t want to create these islands of operational capabilities that need to be stitched together in weird ways. That would add friction to the world.”

“There’s not much room for non-interoperable systems as they would have to connect with something else,” Stewart added.

In this, Cisco’s Stewart agrees with Ericsson’s Esmeralda Swartz who believes device diversity will beat vendor’s attempts to lock customers into their IoT platforms.

While it may be true that industrial and smartcity technologies will be interoperable in order to work within complex systems, it’s highly likely many consumers devices will be locked into proprietary systems so vendors can monetize them.

For consumers, users and citizens the questions of interoperability and standards are going to be a pressing question as connected devices become common and in some cases unavoidable.

 

Google’s plans for the smartcity

Google Sidewalk may be considering building its own smart city, but will it’s lack of commitment and locked in technology be a turn off?

Last June Google launched its Sidewalk Labs project to explore smart city technologies. At a conference this week the scheme’s director, Dan Doctoroff, hinted they may be looking at building an entire digitially connected town from scratch.

Planned cities don’t have a good track record, as Disney discovered in Florida with their community named Celebration, so the odds are against Google from the start in this.

Google adds to the challenge with some distrust towards the company following the shutting down of the Revolv device — even the slightest risk of a service or device being shutdown or discontinued is enough to dissuade even the most eager smartcity enthusiasts.

Making Google’s task of successfully rolling out smartcity products, let alone build a smartcity from scratch, is the company’s notorious attention deficit disorder where management struggle to maintain focus on products or projects.

For anyone thinking of living in a smartcity, the commitment of developers, vendors and authorities towards the technologies is an essential consideration. It’s also why open source software and standards are essential when building a community around technology.

Japan looks to startups

Japan’s efforts to encourage startups is a pointer to the rest of the world’s economic future

Can Japan reinvigorate its startup community? A story in the Wall Street Journal describes some of the attempts to encourage entrepreneurs in an economy that has been stagnant for a quarter century.

In many ways Japan is a prototype for the modern global economy, just as the Japanese tried to stimulate their economy following their 1989 bust by pumping money into their deeply corrupt construction industry , so too has the rest of the world tried a similar strategy with the banking system after the 2008 crisis.

The results in both cases been the same stagnation as the money is wasted on non productive schemes and speculation rather than investment in job and wealth creating businesses and innovations.

Now the Japanese are looking to a bottom up stimulus to their economy which challenges the country’s social norms where getting a ‘safe job’ with a large corporation is seen as the best prospect for young people.

While this is a change from the accepted wisdom, the entrepreneurial model really isn’t that strange for the Japanese with a range of successful technology companies started by post World War II entrepreneurs ranging from Sony to Softbank.

The Japanese model though may not be suited to the Silicon Valley venture capital model and this is where it’s dangerous to make comparisons with what works in San Jose, Tel Aviv or Shoreditch.

Japan’s strengths in industrial engineering may well make its businesses well suited for the Internet of Things the Wall Street Journal article quotes serial entrepreneur Taizo Son as suggesting. Interestingly, the 43 year old serial entrepreneur is the youngest brother of SoftBank founder Masayoshi Son.

Another area where Japan is a glimpse of the future is in the aging population and it may well be that harnessing the abilities of older entrepreneurs is another area where the country can either show the way to success or what not to do with an older, stagnant economy.

In many ways Japan is a pointer to where the world is heading. How they manage the early twenty-first century will be a lesson for the rest of us.

ABC Nightlife – is the smarthome worth the trouble?

This month’s ABC Nightlife show will look at whether the smarthome is really worth the trouble

Is the smart home worth the trouble? We live in an age of connected smoke alarms, kettles and even egg trays. For this month’s ABC Nightlife we’ll ask if these devices add to our lives or just make things more complex.

Earlier this month Google announced it would down their Evolv home automation platform leaving hundreds of users stuck with useless devices. So what happens to smart gadgets when they are disconnected from the Internet? We’ll also look at the new folding phone and just what a dire state the Australian telecoms industry is in.

Some of the questions we’ll cover include;

  • What was Google’s Evolv system?
  • Disabling the devices is a bit dramatic, why have they done that?
  • Do customers have any recourse?
  • Is this a risk with all connected devices?
  • What about connected cars, could they be turned off?
  • My computer needs updating, what about these devices?
  • What happens when the internet is disconnected, will my internet fridge work?
  • Samsung showed off a new folding phone last week. What exactly is it?
  • When will we see it on the market?
  • The Annual CommsDay conference was held last week in Sydney. Is there any good news for Aussie consumers?
  • Is the National Broadband Network looking any better?
  • How is the global telecommunications industry looking, can we expect anything exciting?

Join us

Tune in on your local ABC radio station from 10pm Australian Eastern Summer time or listen online at www.abc.net.au/nightlife.

We’d love to hear your views so join the conversation with your on-air questions, ideas or comments; phone in on 1300 800 222 within Australia or +61 2 8333 1000 from outside Australia.

You can SMS Nightlife’s talkback on 19922702, or through twitter to @paulwallbank using the #abcnightlife hashtag or visit the Nightlife Facebook page.

When a CEO meets the Internet of Things

Life changes when you become the CEO says Bill Wagner of LogMeIn

Life changes when you become the chief executive says Bill Wagner, the CEO and President at remote access company LogMeIn. “I now spend thirty percent of my time with investors,” he says

Wagner, previously the company’s Chief Operating Officer, took over the leadership at LogMeIn last September after founder Michael Simon  stepped down.

The company is in the midst of a major change as Simon steered the company toward the Internet of Things in response to the shift away from desktop personal computing that had been the business’ core market.

LogMeIn’s IoT strategy is around being a trusted platform for controlling the myriad household, CEcommercial and industrial devices that want to connect to the internet, with Wagner only seeing AWS as being their main competitors that has seen a range of companies entering in the last few years.

“I don’t think IoT will be a wave, it’s more like a rising tide,” Wagner says.

Wagner is one of the IoT’s enthusiasts citing applications ranging from the insurance sector through to connected clothing as being potential markets, although industrial application may be the earliest adopters of LogMeIn’s services. “The more industrial the industry, the more mature is M2M to IoT adoption,” he observes.

That adoption though is tempered by the presence of industry groups where Wagner maintains LogMeIn’s hostility towards slower moving associations such as the Industrial Internet Alliance and proprietary platforms like Google Nest.

An advantage Wagner sees in his taking over as LogMeIn’s Chief Executive Officer is his experience with the company, “I don’t know how externally recruited CEOs manage it,” he observes.

With LogMeIn facing a continued transition into uncertain markets, the company needs a steady vision. It may be that internal recruitment is an important strategic move.

Open sourcing the IoT

Increasingly it appears open source software is the way to avoid IoT vendor lock in

With vendors shutting down connected devices and restricting data feeds, customers demanding open source software and open standards may be essential to safeguard against companies misusing their power over the IoT.

Last night I had dinner with a group of executives from US telco CenturyLink. During the the evening, conversation turned to the use of US and Chinese routers and the risks of government mandated backdoors in both countries’ equipment.

My thought during that conversation is concerns about software backdoors are a compelling argument for these devices to run open source software, making it harder – although not impossible – for hidden nasties harder to be built into systems.

Google Nest becomes evil

Overnight that argument for open source became stronger in my mind with the news Google Nest were to shut down the Revolv home automation hubs the company bought two years ago.

Google aren’t just stopping support for these devices, they are going to render them useless to their owners. It’s a remarkable move that undermines any confidence customers can have in Google’s hardware offerings.

While Revolv isn’t the first and will be far from the last Internet of Things device to be abandoned by its vendor, its fate indicates the importance of keeping as much of the ecosystem as open as possible – the less vendor lock there is, the less hostage you are to rapacious manufactures.

Locked out of the subscription economy

As we’ve seen with Amazon in the past, the ‘subscription economy opens users to the risk they can be locked out of their data or purchased apps. Now we’re seeing how vendors can lock users out of the products entirely.

With connected cars and homes now becoming common, this is something that should concern buyers. As we see everything from door locks to smoke detectors and kettles being connected to the Internet of Things, the risk of being at the mercy of an unreasonable vendor or malfunctioning software becomes greater.

At least with an open source model, it’s easier to build workarounds when faced with an uncooperative supplier and, in a world full of poorly designed IoT products, it’s possible for the community to review the software and understand its bugs.

The security aspect of open platforms is also critical for the IoT as we’re already seeing a plethora of unpatched devices where vendors have long lost interest in supporting the older products.

Open interoperation

More importantly, open platforms make it easier for devices to work together, something that is critical in connected buildings or industries. At the moment the IoT is a mish mash of competing standards and formats.

Over time it won’t be surprising to see the market demanding more open source applications and data feeds – indeed we’re seeing this happen with artificial intelligence platforms – the proprietary model brings in too many risks and makes the IoT far more complex.

While open source software won’t solve problems such as APIs and data feeds being closed or changed, it does give more power back to users and communities. It’s not hard to understand why vendors though would resist these moves.

Can diversity defeat vendor lock in?

Ericsson’s Esmeralda Swartz believes device diversity will beat vendor’s attempts to lock customers onto their IoT plaforms

Does the sheer range of vendors selling connected products mean the Internet of Things cannot be siloed? Esmeralda Swartz, VP of Marketing Enterprise and Cloud at Ericsson, believes the flood of devices entering the market place will keep IoT standards open.

Swartz spoke to Decoding the New Economy during her Sydney visit last month where she laid out Ericsson’s vision of the connected city.

One of the aspects marking Swartz’s and Ericsson’s view of the smartcity evolution is that for a connected community to succeed is that there needs to be a mix of large corporations, startups, community groups and government agencies working together.

That view is different from most smartcity advocates’ views which are either top down with the technologies being implemented by governments or bottom up with adoption being driven by startups.

Community groups are usually overlooked in the smartcity discussion so it’s refreshing, and possibly more democratic, to hear them being included in the conversation.

One area that isn’t missed in the smartcity discussion is security, something Swartz agrees with.

“With the IoT the attack surface expands exponentially,” Swartz says. “Security needs to be built into every layer at both the application and device levels.”

Along with privacy, standards are the other issue challenging the smartcities movement and Swartz is more relaxed saying, “the diversity of devices means it is hard to achieve vendor lock-in.”

“The nature of all these things that can be connected means you can’t connect all the layers without the connections being open.”

As we’re seeing in everything from cars to smart rice cookers, the race is on to lock consumers, businesses and communities into platforms. Many of the vendors are creating their own platforms to lock customers into their walled gardens.

If Swartz is right, then the market will defeat the vendors’ attempts to lock users onto their platform. That does seem though to be high risk for customers who may find themselves stuck in the grip of one standard or company.

Building the internet of rice cookers

Chinese smartphone manufacturer Xiaomi hopes an Internet of Things ecosystem can drive the company’s growth

Are domestic appliances the next wave of connected devices? Chinese smartphone manufacturer Xiaomi hopes so.

Xiaomi is best known for its cheap smartphones aimed at third world markets and the company’s move into connected kitchen devices marks an expansion into broader areas.

Smartphones being the centre of Xiaomi’s product offerings seems to be the common factor in the expanded range of devices, with the company hoping their ecosystem will be a compelling point of difference in a crowded market.

The idea the smartphone will be the centre of people’s connected lifestyles isn’t new but Xiaomi’s bet on low margin home appliances to drive smartphone sales and subscriptions to cloud services seems a brave move.

It may work however, the business models of tomorrow look improbable today.

 

The sensor in your pocket

Wayze brings together crowdsourcing, cloud and smartphone GPS services to create a useful product.

Very soon your smartphone will be able to warn you if you’re driving too fast reports VentureBeat.

Israeli founded and Google owned traffic application Wayze will soon give alerts to users in certain countries if they’re over the speed limit, the service announced yesterday.

Wayze is unique in that it’s one of the first genuine crowdsourcing programs where users contributed information on traffic conditions and it’s doing the same thing in gathering speed limit information.

The fascinating thing about Wayze is how it brings together crowdsourcing, cloud and smartphone GPS services to create a useful product.

Wayze also shows how the smartphone is the ultimate personal Internet of Things sensor, that’s something which shouldn’t be overlooked.