IoT infrastructure: Everything you need to know

What is IoT infrastructure? 

IoT infrastructure is a broad term that encompasses all the physical and digital components that support an internet of things (IoT) system and enable machine-to-machine communication. This infrastructure includes features like cables, sensors, software, and data centers that allow connected devices to work together, collect data, and take action with minimal human intervention. 

IoT infrastructure has applications in at-home use, business operations, and industrial settings. If your office has a wireless printer or you use a Bluetooth speaker to play music at home, you are already using a basic form of IoT infrastructure. 

How does IoT infrastructure work? 

IoT infrastructure works by creating a digital ecosystem that connects IoT devices on a network, and it has four layers.

• The physical layer: Smart devices and the IoT sensors that collect and transmit data from them.
• The network layer: The communication channels IoT devices use, including wired networks, Wi-Fi, cellular (like 5G), and IoT-specific wireless protocols such as Zigbee, Z-Wave, Bluetooth, and Matter.
• The software layer: The software and applications that analyze and act autonomously on the data received from sensors.
• The interface layer: The devices and applications that humans use to monitor and interact with the IoT system (i.e., computers, tablets, smartphones, physical buttons, switches).

In practice, these four layers work together to connect machines and facilitate device-based decision-making. A sensor connected to an IoT device will transmit data over the network to the relevant software. Then, the software takes action based on the IoT sensors’ data, such as triggering an event on another machine in the system.

Let’s look at an everyday example: casting media from your phone to a smart TV. When you select a video on your smartphone, apps use your home Wi-Fi to tell the TV what to play. Instead of transmitting the media directly from your phone, the TV streams the content itself. Your smartphone acts as a remote control to pause, play, or select other videos. In this example, your television is the physical layer, your home Wi-Fi is the network layer, the apps on both devices form the software layer, and your smartphone serves as the interface layer.

What are the core components of IoT infrastructure? 

IoT infrastructure can be complex and include dozens or even hundreds of parts, but they can all be grouped into seven core components.

1. 1.Smart devices: The physical devices that are part of the network.
2. 2.Sensors: A data measurement tool attached to IoT devices.
3. 3.Gateways: The local control center for a smart device that performs computations and sends data.
4. 4.Networks: The connectivity that allows IoT devices to exchange data.
5. 5.Data processors and analytics: The software that analyzes and takes action based on the IoT data.
6. 6.Data storage: Physical or cloud-based locations where data from the IoT network can be stored.
7. 7.Interfaces: The devices and applications that humans use to interact with the IoT system.

The main types of IoT infrastructure

Multiple forms of IoT infrastructure are built around different types of technology and use cases. For example, personal and office IoT infrastructure will look very different from the industrial internet of things (IIoT), a subset of IoT that handles the complex processes necessary for industrial and manufacturing settings, as well as IoT in critical infrastructure.

The main types of IoT infrastructure include:

• On-premise IoT infrastructure. On-premise IoT infrastructure is the most basic IoT system. The IoT platform is run from an on-site computer, creating a private local network. On-premise IoT infrastructure can be ideal for small businesses, but it has limited scalability.
• IoT cloud infrastructure. IoT cloud infrastructure uses cloud technology to process and store data. In cloud computing, the data collected by the IoT system is processed by a large data center at a separate location, often using artificial intelligence and big data analytics. 
• Hybrid IoT infrastructure. Hybrid infrastructure is one of the most common forms of IoT infrastructure because it allows for greater flexibility. Hybrid infrastructure integrates both private mobile networks and public networks to allow IoT devices to continue communicating, both on-site and off. Hybrid infrastructure plays a key role in facilitating remote work.

The exact type of infrastructure in use will depend on the individual or organization’s needs and the application. If you’d like to learn more, you can take a look at our guide on IoT vs. IIoT.

Practical IoT infrastructure examples in action

IoT infrastructure has a broad range of applications that can touch every aspect of our lives, from home to work to the industries that support our lifestyles, and these functions will only expand as IoT technology keeps advancing.

Let’s take a look at some real-world, practical examples of IoT applications across various industries:

Advantages and disadvantages of IoT infrastructure 

Like any form of technology, IoT infrastructure has both advantages and disadvantages. Let’s take a look at the benefits of IoT infrastructure:

• Increased efficiency. By streamlining processes, automating repetitive tasks, and providing actionable insights, IoT infrastructure increases efficiency.
• Operation optimization. IoT infrastructure can be used to eliminate bottlenecks and redundancies, increase safety, and maintain quality control, optimizing operations and minimizing downtime.
• Improved resource management. With IoT infrastructure, you can effectively monitor resource usage to make sure that you always have the resources you need while also reducing waste.
• Predictive maintenance. IoT infrastructure provides predictive maintenance suggestions so that issues can be addressed before device failures occur.
• Cost-effectiveness. While installing IoT network infrastructure requires an upfront investment, its long-term savings make it a very cost-effective option for most companies.
• Flexibility. IoT infrastructure can be customized and adapted to your specific needs, allowing for increased flexibility, and the data you gain from your IoT infrastructure can lay groundwork for future growth and problem-solving.
• Sustainability. Because IoT monitors resources so effectively, it paves the way for greater sustainability, reduced emissions, and better environmental practices.

These advantages highlight the many benefits of IoT in modern systems. However, IoT infrastructure allow presents certain challenges:

• Security risks. IoT infrastructure connects an entire network, so if one element of the system is breached in an IoT attack, the entire IoT system could be at risk. Therefore, IoT infrastructure should incorporate advanced security protocols, like a VPN.
• High installation costs. Installing IoT infrastructure costs a lot up front. However, IoT infrastructure often saves money for companies in the long-term.
• Scalability issues. Companies that don’t design your IoT infrastructure with scalability in mind can run into issues as the organization grows and IoT technology advances. To avoid future issues, consider potential expansion and connectivity needs during the planning stage.
• Reliance on internet connectivity. IoT infrastructure needs the internet to run, so if you experience network disruptions, your IoT system will be interrupted as well. 

As IoT technology continues to develop, we can expect to see some of these challenges of IoT infrastructure addressed.  

Useful tips for a reliable IoT infrastructure 

Building a strong IoT system requires careful planning and attention to detail. Keep these tips in mind to help you design and build a reliable IoT infrastructure:

• Prioritize security. Build advanced security systems into your IoT infrastructure to protect it against cybercriminals. Also, take a look at our article for more information on how to encrypt your internet connection.
• Consider your network infrastructure requirements. Make sure your IoT infrastructure has enough bandwidth to handle every device on the network. 
• Think about scalability. Plan early so that your IoT infrastructure can grow alongside your organization.
• Leverage artificial intelligence (AI). Big data and AI can play a major role in IoT infrastructure to automate certain decision-making processes and effectively analyze data.
• Make it user friendly. While IoT infrastructure helps devices function independently, you still need an easy-to-use interface to effectively monitor your system, derive insights from data, and take action.

IoT infrastructure is an emerging technology, but it is already revolutionizing our day-to-day lives and multiple industries. Whether you are investigating IoT for personal use, your office, or industrial applications, smart IoT infrastructure design is crucial.