There are "Computing Platforms" for IoT and "Business Model Platforms" That are Completely Different

Few concepts in communications are harder to define than “platform.” A computing platform is a group of technologies that are used as a base upon which other applications, processes, services, or technologies are developed. Platforms can be hardware (e.g., chips, devices) or software. Types of software platforms include operating systems, development environments (e.g., Java, .NET), and digital platforms. Digital platforms are highly configurable/extensible software tools that sit above traditional development platforms. 

An IoT platform is a type of digital platform that is used for building and managing IoT solutions.

source: IoT Business 

It is important to distinguish between a computing “platform” and a platform business model. 

A platform business model essentially involves becoming an exchange or marketplace. That can be contrasted with the “pipe” business model, which has a firm acting as a direct supplier of some essential input in the value chain. 

A platform functions as a matchmaker, bringing buyers and sellers together, but classically not owning the products sold on the exchange. A pipe business creates and then sells a product directly to customers. Amazon is a platform; telcos and infrastructure suppliers are pipes. 

As used by IoT Business, an IoT platform has four main layers:

• Application management / enablement – providing the ability to rapidly develop, test, and seamlessly manage IoT applications

• Data management / enablement – providing the ability to ingest, store, and analyze data from IoT devices

• Telco management – providing telecommunications companies the ability to manage the connectivity to IoT devices at scale

• Device management – providing the ability to remotely configure, monitor, and manage IoT devices, including over-the-air updates

The IoT platform ecosystem includes several key roles, according to IoT Business:

• Applications

• Computing infrastructure

• System integration

• Connectivity

• Integrated vertical solutions

5G and other connectivity service providers having one “natural” role (connectivity) and one related role (bundling connectivity with an owned or partner IoT platform. 

 

• Applications. Both platform vendors themselves and 3rd parties are monetizing the applications built on top of IoT platforms (e.g., Siemens’ Closed-Loop Foundation application for MindSphere, Edge2Web’s Director application for MindSphere)

• Compute infrastructure. Cloud hyperscalers are realizing IaaS revenue by hosting other companies’ IoT platforms on their infrastructure (e.g., MachineMetrics on AWS, Uptake on Azure, Oden Technologies on Google Cloud).

• Services. Platform vendors themselves as well as third party systems integrators offer services related to designing, integrating, and operating IoT platforms (see our blog post on IoT system integration services for more info).

• Connectivity. Telco companies are bundling their own IoT platforms with connectivity services (e.g., Verizon’s network and ThingSpace) or integrating with existing IoT platforms to provide seamless connectivity (Eseye + AWS).

• End-to-end solutions. As the platform layer becomes less differentiated, companies are increasingly offering more vertical or use case specific solutions that include hardware and software and leverage some underlying IoT platform technology (e.g., ABB Ability solutions, AWS Monitron).