SAP's recent
IoT announcements, though substantial, may only be the tip of the iceberg. SAP acquired two companies, announced a major 5 year IoT investment plan and a plan to establish "IoT Labs" around the world, and announced the availability of jump start and accelerator packages for Industry 4.0 that feature IoT solutions. SAP IoT addresses urban and rural areas and targets agribusiness, infrastructure and energy, health, defense, manufacturing, consumer and transportation industries.
PLAT.ONE offers a distributed IIoT software platform with an edge agent that provides native monitoring and control of edge devices including remote configuration, software upgrades, error reporting, traffic shaping, and device lifecycle management. PLAT.ONE provides application enablement, data management, and device management in a cloud-ready environment. PLAT.ONE supports over 200 thousand devices,integrated development and deployment environments, native security, and is standards-based. With this acquisition by SAP, PLAT.ONE will have the possibility to move beyond healthcare, smart cities, smart grid, transportation, and vending and reach more customers, and SAP further extends its footprint beyond business systems.
Fedem Technology specializes in advanced engineering analysis software. They build software for "multibody dynamic simulation and lifetime calculation of structures and mechanical systems under the influence of complex loads." (whew!) SAP plans to leverage this technology to build an end-to-end IoT solution in which a digital avatar (digital twin?) continuously represents the state of operating assets through feeds from sensors. Perhaps ambitiously, the solution is also intended to consider complex forces in play and detect both instantaneous consequences of one-off events and long-term health effects of cyclic loads, making possible accurate monitoring of maintenance requirements and remaining-life prediction for assets.
In my opinion, SAP's plans to establish IoT Labs in locations around the world to collaborate on Industry 4.0 and the IoT with customers, partners and startups is an essential move, because at the current stage of maturity of IIoT and Industry 4.0, it is necessary to provide a hands-on immersive experience to potential customers. SAP IoT labs are intended as lighthouse locations and primary access points for IoT research, development, proof-of-concept modeling and incubation, with IoT showcases, thought leadership, expertise and infrastructure for strategy and product co-innovation.
SAP already had a substantial IoT portfolio prior to the announcements of a planned investment of 2 billion euros over 5 years, new solutions, new acquisitions, and a planned network of IoT innovation labs. In my view, these moves clearly signal SAP's intention to aggressively compete in this emerging space, and we should expect to hear a lot more from the company going forward.