In a high end application like a major electric utility substation, it may be necessary to send a constant stream of real time data describing the machine or process. But in many cases, this is not necessary or worth the cost. In these cases, the M2M device should minimize the amount of data to be sent by constantly reviewing the data, comparing it against programmable alarm limits or setpoints, and then only transmitting real time information when a reading is out-of-limits.

In addition the application will typically be programmed to send complete data updates on a time scheduled basis or anytime upon request from the web server.

There are several good options for transporting data from the remote equipment to the network operation center. The cellular network, telephone lines, and communication satellites are all common solutions.

The telephone may be the best choice if a line is already installed and the cost can be shared with other uses. Its disadvantage is usually the ongoing monthly cost and sometimes the cost and difficulty of installation.

Satellite may be the most expensive solution, but is often the best or only solution for monitoring equipment in very remote areas.

The wide spread coverage of the cellular network is the main reason M2M is getting so much attention these days, and it’s usually the method that fits best. There are several methods of sending data over the cellular network. CDMA and GPRS are both widespread in North America today and their coverage areas continue to grow. The advantage of these systems is the ability to send large amounts of data frequently. The costs continue to drop.

Connecting to the cellular or satellite network typically requires the use of a gateway. A gateway receives the data from the wireless communication network and converts it so that it can be sent to the network operation center, often over the Internet or by a frame relay (phone line) connection. Data security features such as authentication and access control can be managed by the gateway and the application software.

The gateway also has an important role when the flow of data is reversed, going from a network to the machine for data requests and remote control. The gateway still functions as a protocol converter, but this time it takes high-bandwidth Internet protocols and converts them to low-bandwidth wireless protocols so the data is optimized for transfer over a cellular network.

For companies deploying an M2M application, the gateway, the application software, and the data warehouse can be housed internally or can be hosted by a third party in a network operations center. In many cases, the hosted model may be more attractive because of the high cost involved in setting up the infrastructure and managing the network. Since the upfront cost is often lower with the hosted model, the payback can be faster and the solution can be deployed in less time.

3) Assessment of the data

Data from a company’s networked machines usually shows up in one of two places: in an enterprise software application the company already uses, or in a standalone system designed specifically for M2M.

Today’s deployments tend to favor standalone systems for applications such as remote monitoring because most M2M application providers specialize in providing these and there can be additional costs involved with integrating new data into existing systems.

Still, the vast majority of opportunities for M2M center around taking data out of machines and integrating it with operational data. For example, remote monitoring data can be incorporated into customer-relationship management systems for logging service and maintenance history.

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4) Response to the available information

Whether the application is standalone or part of a larger system, the common goal is to automate a business process by automating the flow of data to the people and systems that have a need to know. The technology should enable sending the right data to the right place in the right way depending on the circumstances. It should also present data to individual users based on their specific function in the business process. For example, an HVAC system monitor might e-mail a routine maintenance request for an adjustment or lubrication to Siegfred and an emergency voice call for a thrown belt or tripped breaker to Roy.

A modern farmer who has automated irrigation systems operating in different locations can now be constantly aware of their operation based on short messages that are relayed to his pager or cell phone.

Of course, none of this technology is specific to M2M; the whole purpose of business software is to keep people from having to do everything manually. The new element that M2M brings to the picture is that now companies have new data to work with, data that is central to the way they operate and the value they provide.