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INDUSTRIAL IOT · CONNECTED OPERATIONS

What Is the Industrial Internet of Things (IIoT)?

The industrial internet of things (IIoT) is the use of connected sensors, machines and controllers in industry, linked through gateways and networks to software that stores and analyses their data. It lets factories, utilities, transport and energy sites monitor equipment remotely, predict failures, cut energy use and improve quality without someone reading each gauge.

01

What IIoT means

The industrial internet of things (IIoT) is the network of sensors, instruments, machines and controllers in industrial settings that share data with software, on site or in the cloud. The aim is practical: see what equipment is doing in real time, spot problems early and use the data to run processes better.

The idea grew from the wider internet of things, but the term “industrial internet” was popularised around 2012, and the Industrial Internet Consortium, now the Industry IoT Consortium, was founded in 2014 to set out reference architectures. IIoT overlaps with Industry 4.0, the German-led program for digital manufacturing. Industry 4.0 is the strategy; IIoT is much of the connected technology that delivers it.

Much of the data already existed inside PLCs, meters and drives. What IIoT adds is a reliable way to collect it from many sites, put it in context and make it available to the people and systems that need it.

02

How an IIoT system works

Most IIoT systems follow the same layered pattern, whether they monitor one compressor or a national water network.

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    Things. Sensors for vibration, temperature, pressure, flow, current and position, plus the PLCs, drives and meters that already hold process data.
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    Connectivity. Industrial Ethernet and fieldbus inside a plant; Wi-Fi, LoRaWAN, LTE-M, NB-IoT, 4G or 5G for remote and mobile assets.
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    Edge. Gateways and edge computers that read field protocols such as Modbus and PROFINET, filter and buffer the data, run local logic or AI, and publish it upstream over MQTT or OPC UA.
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    Platform. On-site or cloud software that stores time-series data, manages devices and raises alerts.
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    Applications. Dashboards, maintenance planning, energy reporting, quality analysis and links to ERP and SCADA.
FAQ · 01
What does an IIoT gateway do?
It connects industrial equipment such as PLCs, sensors and meters to a network or the cloud. It reads their protocols, converts and filters the data, buffers it if the link drops and sends it on securely, often over MQTT or OPC UA.
Read the full FAQ —
03

IoT vs IIoT

IIoT uses the same building blocks as consumer and commercial IoT, but the stakes and the environment are different. The table shows where they part ways.

Aspect IoT IIoT
Typical devices Smart speakers, thermostats, wearables, home cameras Sensors, PLCs, drives, meters, robots, vehicles
If it fails Inconvenience Lost production, safety or environmental risk
Environment Homes and offices Factories, substations, vehicles, outdoor sites
Expected life A few years Often 10 years or more
Protocols Wi-Fi, Bluetooth, Zigbee, Matter Modbus, PROFINET, EtherNet/IP, MQTT, OPC UA
Timing Best effort Often time-critical, with local control if the link drops
Security reference Consumer device rules and baselines IEC 62443 for industrial control systems

The rules differ on each side of the Atlantic too. The UK’s product security regime under the PSTI Act applies to consumer connectable products, not industrial equipment, and in the US NIST IR 8259 sets a voluntary baseline for IoT device makers. For industrial devices, buyers in both markets usually specify against IEC 62443-4-2, which sets security requirements for individual control system components.

04

IIoT examples

The most common projects start small, with one problem worth solving, and grow once the data proves useful.

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    Predictive maintenance. Vibration and temperature data from motors, pumps and gearboxes show wear early, so repairs are planned. Our FAQ on how predictive maintenance works covers the method.
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    Remote monitoring. Tank levels, pump stations, wellheads and pipelines report over cellular links, so crews only travel when something needs attention.
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    Energy management. Sub-meters on lines, compressors and HVAC show where power is used and where it is wasted.
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    Production and quality. Machine states and counts feed overall equipment effectiveness (OEE) dashboards, and inline measurements flag drift before parts go out of tolerance.
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    Asset and fleet tracking. GNSS and condition data from vehicles, containers and rolling stock, including cold chain temperatures.
05

Benefits and challenges

The benefits are less unplanned downtime, fewer site visits, lower energy bills, better traceability and decisions based on measured data rather than estimates. The challenges are as real. Older equipment often speaks only a serial or vendor protocol and needs a gateway or data acquisition modules to bring its signals in. Every connected device widens the attack surface, so OT security under IEC 62443 has to be designed in from the start. Large volumes of raw data cost money to send and store, which is why much of the filtering now happens at the edge. Remote sites need a dependable link: 3G networks have now closed in both the US and the USA, so new deployments use 4G, LTE-M, NB-IoT or 5G. Our guides to integrating 4G, LTE and 5G connectivity and adopting 5G at the edge in IIoT applications cover the options.

Edge hardware has to match the site. Industrial IoT gateways with serial ports, dual LAN and cellular options, and fanless DIN rail PCs for heavier local processing, are the usual choices in cabinets and kiosks.

FAQ · 02
How is AIoT different from IIoT?
AIoT adds AI models to connected devices, so the data is analyzed and acted on automatically, often on an edge computer beside the equipment. IIoT describes the connected industrial devices and data; AIoT describes adding AI to them.
Read the full FAQ —
06

Quick answers on IIoT

The industrial internet of things: common questions

What does IIoT stand for?

Industrial internet of things. It is also written as industrial IoT, and refers to connected devices and data in industry rather than in homes or offices.

What is the main difference between IoT and IIoT?

The consequences of failure. IIoT devices monitor or control industrial processes, so they must survive harsh conditions, run for years and fail safely, while consumer IoT mainly affects convenience.

Is IIoT the same as Industry 4.0?

No, but they overlap. Industry 4.0 is the broader program for digital manufacturing, including automation, simulation and new business models. IIoT is the connected sensing and data layer that much of it relies on.

Which protocols does IIoT use?

Field protocols at the bottom, IT protocols at the top. Modbus, PROFINET and EtherNet/IP connect the equipment; MQTT, often with the Sparkplug specification, and OPC UA carry the data to platforms and applications.

Does IIoT replace SCADA?

Usually not. SCADA keeps supervisory control of the process, while IIoT adds wider data collection, cloud analytics and new sensors. Many projects take data from SCADA and PLCs rather than replacing them.

We supply and integrate IIoT gateways and edge computers as standard, with the modems, SIMs, storage and software images each deployment needs fitted and set up before shipping.