Artificial intelligence (AI) is intelligence demonstrated by machines. Leading AI textbooks define the field as the study of “intelligent agents”: any system that perceives its environment and takes actions that maximize its chance of achieving its goals. Some popular accounts use the term “artificial intelligence” to describe machines that mimic cognitive functions that humans associate with the human mind, such as learning and problem solving.
AI applications include advanced web search engines, recommendation systems (used by YouTube, Amazon, and Netflix), understanding human speech (such as Siri or Alexa), self-driving cars (e.g., Tesla), and competing at the highest level in strategic game systems (such as chess and Go).
No matter if goods, people, or complete production facilities are in buildings or cities, the Internet of Things (IoT) enables the creation of a real-time, digital image of physical objects and environments as well as a connection to existing systems. From cost savings and optimized customer service to facilitating new business models, the IoT opens up a world of new possibilities, particularly in combination with artificial intelligence.
SMEs, corporations, municipalities, and public institutions leverage the IoT to access data and information on entire infrastructures and objects, both in real-time and in great detail, opening up a wealth of new opportunities, such as optimizing logistics processes, avoiding production downtime, analyzing shoppers’ behavior, tracking CO2 emissions and energy consumption, and even monitoring the occupancy rate of hospital beds. On top of reducing costs and optimizing processing, the IoT enables digital pioneers to create completely new and customer-oriented business models, such as pay per use and online booking systems.
