Proving the Business Case for the Internet of Things

Tieto becomes Cisco's first Nordic fog computing partner

Iain Morris
October 16, 2014
Internet equipment giant Cisco says that Nordic IT services company Tieto has joined its app developer community with the aim of developing new Internet of Things services for a range of key industries.

The new partners say they plan to address specific industry issues and will begin by targeting the manufacturing and transportation sectors, making their first offerings available this autumn.

Tieto (Helsinki, Finland) will be able to use Cisco’s IOx platform to run Linux-based software, allowing it to add intelligence to industrial routers deployed at the network edge.

The benefits of that approach will include more informed decision-making closer to the actual source.

Cisco (San Jose, CA, USA) said the collaboration would combine Tieto’s long-term system integration experience, industry knowledge and M2M solutions with its own networking solutions and “fog computing” vision – whereby the network edge becomes a distributed computing infrastructure for applications and other ground-breaking technology.

Estimating there will be 50 billion connected devices by 2020, Cisco says the data generated by connected objects will given businesses more insight into the health and performance of their operations.

Companies will be able to use that intelligence to improve their productivity.

The IOx platform is embedded in Cisco’s industrial routers and combines the communication and computing resources required for IoT.

Because software applications are added closer to the data sources with this approach, companies can analyze and act on data right at the network edge.

Cisco claims that IOx gives developers the opportunity to create applications and extend IP connectivity to factories, remote sites and transportation systems.

“The Internet of Everything is transforming businesses profoundly,” said Taneli Tikka, the head of industrial internet at Tieto. “It is an industry revolution taking place right now and it will revolutionize the old frameworks of all business thinking.”

“As a long-time partner of customers operating in several industries, Tieto has an excellent opportunity to be the pioneer of this change,” added Tikka. “Furthermore, by taking advantage of Cisco's IOx platform, Tieto Industrial Internet start-up will actively team with other market-leading solution providers to create an agile worldwide Internet of Everything ecosystem in order to provide the best quality, reliability and functionality for the benefit of our customers.”

According to Kip Compton, the vice president and general manager of the IoT systems and software group at Cisco, fog computing will reduce latency and improve quality of service by allowing data to be processed closer to its source – be that a factory supply chain, traffic system, power distribution system or something else.

“With Tieto, we now have the first relationship in place in the Nordics to develop fog computing solutions that will alleviate the data tsunami and bring broader Internet of Everything benefits to key industries,” added Compton.
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