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IBM to Invest $3B on Internet of Things

IBM will invest $3 billion over four years to gain a larger foothold in the Internet of things market.

As part of the initiative, IBM is forming an Internet of Things (IoT) unit within the company and is building a cloud-based open platform designed to help clients and ecosystem partners integrate data from IoT and traditional sources.

“Our knowledge of the world grows with every connected sensor and device, but too often we are not acting on it, even when we know we can ensure a better result,” IBM Analytics senior vice-president Bob Picciano said. “IBM will enable clients and industry partners apply IoT data to build solutions based on an open platform. This is a major focus of investment for IBM because it’s a rich and broad-based opportunity where innovation matters.”

The resources will be available via an open platform to supply manufacturers with the information they need to design and produce “a new generation of connected devices that are better optimized for the IoT, and to help business leaders across industries create systems that better fuse enterprise and IoT data to inform decision-making,” the company said in a press release.

IBM is also teaming up with The Weather Company’s global B2B division to incorporate real-time weather insights for enterprise “to improve operational performance and decision-making.”

The Weather Company will move its weather data services platform to the IBM Cloud where it will be integrated with IBM analytics and cloud services.

The partnership will result in three new cloud services for businesses:

  • Watson Analytics for Weather:An integration of historical and real-time weather data to enable the development of industry solutions for insurance, energy and utilities, retail and logistics.
  • Cloud and Mobile App Developer Tools: Developers will be able to easily build mobile and web apps using WSI data combined with data from operational systems, connected devices and sensors using advanced analytics through Bluemix, IBM’s cloud application development platform.
  • Business and Operational Weather Expertise: IBM Global Business Services consultants will be trained to combine WSI data with other sources to provide clients with new insights that solve business problems.

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“By combining IBM’s cloud computing, industry consulting and analytics expertise with WSI’s precision weather data and forecasts, the two companies can now enable entire industries to utilize understanding of weather on business outcomes and take action at a local level,” the companies said.

“Insurers pay more than $1 billion in claims every year for vehicles damaged by hail. WSI’s Weather Alert service, together with IBM Analytics, enables insurance providers to send policyholders text messages that alert them to impending hailstorms – and safe locations – so vehicles can be moved before damage occurs. These insights have the potential to save insurers up to $25 per policyholder per year in hail-prone areas, or millions of dollars annually.”

More info on the partnership can be found here.

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Jennifer Cowan

Jennifer Cowan is the Managing Editor for SiteProNews.