Understanding IoT Architecture in IoT Systems

We all have been hearing about the Internet of Things.
When you hear the word 'IoT' what comes to your mind?
Autonomous cars, smart homes, automated industrial machinery, smart lightings. Yeah, the list goes on.

What is IoT? Internet of Things Explained

From Smart Homes to Autonomous Cars, IoT that Connects Billions of Devices Explained

The IoT is the collection of devices connected to the internet to enable communication between them. This reliable communication between the devices in a connected ecosystem helps humankind to attain authority, better visibility, management, and control in applications involving them. IoT promises a better user experience to its consumers, the best example being smart home automation.

Ever imagined coming home after a hectic day to find your space perfectly set instantly?

Picture this: your lights automatically adjust as you enter, the thermostat sets the perfect temperature before you arrive, and your favorite music starts playing in the background. It's all possible with advanced intelligent home automation.

With IoT, these smart home features seamlessly work together to create an environment that anticipates your needs and enhances your comfort. IoT is not just limited to home automation.

In earlier years, could you have imagined a car that self-diagnoses and schedules its own maintenance?

In the automotive industry, IoT applications such as on-board diagnostics, Smart ECUs, Battery Management Systems, Telematics Control Units and more are revolutionizing the modern driving experience.

We can quote similar examples like smart agriculture, robotic surgery and others from diverse industries that leverage IoT to make automation of devices possible. IoT is that magic potion, enabling intelligent data flow between devices, driving innovation and efficiency in today's connected world.

IoT Market Size

As per Fortune Business Insights, the global Internet of Things (IoT) market size was valued at USD 714.48 billion in 2024 is expected to grow to USD 4,062.34 billion by 2032, exhibiting a CAGR of 24.3% during the forecast period (2024-2032).

The Architecture of IoT: The Foundation of Intelligent Connectivity in IoT Architecture

IoT architecture refers to the structured framework that outlines how various elements within an IoT system interact and work together. It includes the physical devices, networks, data management processes, and user interfaces that enable these devices to connect and interact with each other.

IoT applications collect data from various devices and sensors. The most critical task in IoT is managing this vast amount of data effectively. IoT architecture involves both hardware and software, establishing a relationship between dataflow, protocols, and interfaces. To get it right, there needs to be a robust IoT architecture that oversees all the components of IoT in a systematic way.

To relate it better, Imagine IoT as the Wakanda empire, then IoT architecture is Wakanda's vibranium network —the technological marvel that provides the underlying structure that powers and links all IoT devices in the tech world.

IoT Architecture Layers: Slicing Through the 7-Layer IoT Architecture

The 7-layer IoT architectural view, also known as the Open System Interconnection (OSI) model, is a refined representation of the essential IoT architecture layers. This 7-layer architecture of IoT is designed to tackle the increasing challenges of IoT systems by providing a clear structure for data flow, security, and efficiency. Visualizing these layers in an IoT architecture diagram helps illustrate how each layer interacts to create a cohesive and secure IoT environment, optimizing communication, data management, and connectivity in modern technological ecosystems.

The 7 IoT layers in the architecture of IoT, often depicted in an IoT architecture diagram, are grouped into three main categories:

• Hardware Layers
• Transport Layer
• Software Layers

Hardware Layers

• Physical Layer

  The physical layer consists of the devices and transmits data in binary form (as 0s and 1s). It also includes wireless network connections and network components like repeaters, modems, cabling, etc. This layer is crucial in the IoT architecture because it forms the base of the 7-layer architecture of IoT.

• Data Link Layer

  The data link layer defines the structure in which the data moves in and out of the network entities and corrects errors that may have occurred at the physical layer. The two control protocols that the data link layer uses for security and error control are MACsec (Media Access Control security) and LLC (Logical Link Control). It plays a significant role in maintaining the integrity of the IoT architecture layers.

• Network Layer

  The network layer is responsible for deciding which path the data packets should take for sending them back and forth between different networks. This layer divides the transport layer into network packets and carries out data transmission with the help of IP addressing, which is essential in ensuring the IoT architecture diagram maintains its efficiency.

Transport IoT Layer

The fourth layer in the IoT architecture, known as the Transport Layer, is often considered the heart of OSI. It uses transmission protocols like TCP (Transmission Control Protocol) and UDP (User Datagram Protocol) to ensure reliable data transfer services to the software layers. It is the most crucial layer in the 7-layer architecture of IoT as it facilitates transmission. This IoT architecture layer collects data from the network layer and provides services to the Application Layer while also debugging errors in data transmission and providing an acknowledgment of successful transfer.

Software Layers

• Session Layer

  As the name suggests, the Session Layer opens a session between two systems to communicate with each other. It also determines how long the session will continue and when the session will end. This is vital in establishing robust IoT architecture layers.

• Presentation Layer

  The Presentation Layer acts as a data translator for the network. It retrieves data from different points and delivers it to the Application Layer. This IoT architecture ensures that data is structured and presented in a usable format for both the Application and Network Layers. The 7-layer architecture of IoT relies on this layer for efficient communication between the lower and upper layers.

• Application Layer

  The Application Layer is the closest to the end user in an IoT architecture diagram. It collects information from the end user and sends back the desired action. This IoT architecture layer consists of protocols that allow data transmission like HTTP and HTTPS, FTP, DNS, etc., making it essential in the complete IoT architecture.

From Data to Business Decisions: Key Components of IoT Architecture

In today’s connected world, understanding the journey from data collection to decision-making is key. Each stage in this process represents a milestone in transforming raw data into actionable insights. Below, we explore the components of IoT architecture that make this possible, demonstrating how each element contributes to the evolution from data to decisions.

Components of IoT Architecture

1. Devices on the Field

At the foundation of any IoT architecture are devices equipped with sensors that collect and transmit data. These components of IoT enable bidirectional communication, allowing devices to send data to the cloud and receive instructions from the IoT system. Depending on specific applications, sensors gather a range of environmental metrics such as temperature, movement, and other key parameters.

1.1. Sensors

Sensors are among the fundamental components of IoT that detect and measure physical properties in the environment. They collect data on temperature, humidity, pressure, and motion, providing the essential raw data for IoT analytics. Examples of sensors include:

• Temperature sensors
• Humidity sensors
• Pressure sensors
• Motion sensors

1.2. Actuators

Actuators are critical IoT components that perform physical tasks in response to commands from the system. From opening valves to controlling lighting, actuators convert data-driven decisions into real-world actions. Examples include:

• Valves
• Motors
• Lights
• Pumps

2. Physical Gateways

Gateways are key components of IoT that serve as the entry and exit points within IoT layers. They authenticate devices, filter raw data, and secure data transmission. Physical gateways, like LAN or WAN devices, aggregate data from multiple sensors and send it to the cloud while performing preliminary processing to reduce cloud data load.

2.1. Cloud Gateways

Cloud gateways function as centralized hubs connecting IoT devices and sensors to the cloud. By transforming and routing data to various destinations such as data lakes, warehouses, or analytics platforms, cloud gateways add a layer of security and data integrity, which are crucial components of IoT architecture.

• Transforming data into different formats suitable for further processing.
• Routing data to appropriate destinations such as data lakes, data warehouses, or analytics platforms.
• Implementing security measures to protect data during transmission to the cloud.

3. Data Lake

The data lake acts as a repository for vast amounts of raw and unstructured data from IoT devices. This essential IoT component allows for flexibility by storing structured, semi-structured, and unstructured data, which is invaluable for data scientists and analysts looking to extract insights.

3.1. Data Warehouse

The data warehouse is where structured and cleaned data is stored for business intelligence. This IoT component optimizes data for reporting and high-speed querying, facilitating effective data analysis. Data warehouses integrate data from multiple sources, enabling comprehensive insights and decision-making.

• Data is organized in a structured schema that supports efficient querying.
• Optimized for high-speed performance in data retrieval and analysis.
• Integrating data from multiple sources for comprehensive analysis.

3.1.1. Machine Learning and Models

Machine learning within IoT systems leverages data to predict, detect anomalies, and make autonomous decisions. Predictive models within IoT help forecast trends, identify patterns, and optimize processes, establishing ML as a transformative component of IoT.

• Anticipating equipment failures before they occur.
• Identifying anomaly patterns that may indicate security threats or system malfunctions.
• Enabling smart systems to make autonomous decisions based on data insights.

4. Control Applications

Control applications automate and manage device behavior based on sensor data, making them vital components of IoT architecture. They enable devices to respond autonomously to data insights, facilitating efficient and remote management.

• Automating processes based on predefined rules and real-time data.
• Allowing users to manage and control devices remotely.
• Making autonomous decisions to optimize operations and respond to changing conditions.

4.1 User Interfaces

Control applications feature user interfaces for easy interaction, often available on mobile and web platforms:

• 4.1.1. Mobile:

  Users can interact with IoT systems through smartphones and tablets.

• 4.1.2. Web:

  Users access IoT systems via web browsers.

4.2 Business Logic

Business logic defines rules and algorithms for governing IoT system behavior. As an essential component of IoT, business logic enables the design of workflows and algorithms that drive efficient decision-making.

• Defining automation rules and conditions under which certain actions should be taken.
• Implementing algorithms for intelligent decision-making.
• Designing process workflows to streamline operations and improve efficiency.

4.3 Business Analytics

Business analytics within control applications focuses on operational data to improve performance and inform strategic decisions. It includes functions like:

• Performance Monitoring: Tracking KPIs for operational efficiency.
• Trend Analysis: Identifying patterns to predict future trends.
• Optimization: Continuously enhancing processes based on data insights.

The Strategic Edge: Why a Robust IoT Architecture is Crucial for Your Business

A well-defined and simplified IoT architecture is important to help you with the following.

• Scalability

  The volume of connected devices and their data generation is on an exponential growth. A scalable architecture of IoT should handle this surge without any performance degradation or service quality.

  For instance, a smart city's traffic management system should possess a robust IoT architecture to handle the increasing number of connected sensors and cameras.

  Here the scalability of the IoT architecture is designed to allow the system to easily add more nodes and devices and handle the exponential growth of data in real-time as the city's vehicle count grows.

• Flexibility

  From sensors to complex systems, an IoT ecosystem requires a robust yet an adaptable structure to accommodate this variety of devices. This adaptability is crucial for integrating security patches and emerging technologies that future-proof the architecture of IoT.

  In a manufacturing company, there may be different machineries from different vendors working together to complete a specific IoT process.

  In this case, a flexible IoT architecture is crucial to integrate new sensors and devices through different communication protocols such as MQTT, CoAP, and HTTP, allowing the company to easily integrate new devices and systems.

• Reliability

  To keep IoT systems running around-the-clock is critical, especially in applications like healthcare, industrial automation, and smart cities. Downtime in IoT architecture can have significant consequences. Reliable architecture of IoT ensures effective system functioning without interruption, thereby minimizing downtime.

  For example, in the case of a hospital, the Internet of Medical Things (IoMT) requires reliable architecture of IoT for various tasks. It is essential for real time monitoring of patient vitals and other medical equipments.

  It is this strong architecture that ensures medical things remain operational 24/7, process real time data and reduces downtime. The IoT architecture provides enhanced security to the critical medical records, preventing unauthorized cyberattacks that can be accessed, and exploited by cyber attackers.

Closing Notes

The IoT architecture landscape is continuously evolving, driven by rapid technological and shifting industry needs. By embracing these innovations, we can unlock significant potential within IoT, propelling digital transformation across all sectors. For businesses and developers, staying updated with these trends and integrating new technologies into existing IoT strategies is crucial. This proactive approach will enhance system efficiency, security, and scalability, ensuring that IoT continues to be a cornerstone of technological progress in the digital age.

Ace your Connectivity Game with Cavli C-Series IoT Connectivity Modules