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Microsoft brings IoT to the Edge (MSFT)

Microsoft announced the launch of Azure IoT Edge, a new service that enables businesses deploying the IoT to use all of the capabilities of the Azure IoT cloud.

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Microsoft announced the launch of Azure IoT Edge, a new service that enables businesses deploying the IoT to use all of the capabilities of the Azure IoT cloud, which helps companies manage connected devices, in their edge computing solutions.

The announcement came at the tech giant's Build Developer Conference on Wednesday. Azure IoT Edge enables data processing, stream analytics, machine learning, and AI, to be done "at the edge." Businesses can manage these services through the Azure IoT Hub, a piece of hardware that allows companies to manage all their IoT devices. The news comes only a few weeks after the company announced a swath of new IoT services.

Microsoft is making a big bet on edge computing as it moves further into the IoT. Edge computing involves processing and computing data where it's generated, rather than at a remote data center or in the cloud. Microsoft's attempt to further push its IoT offerings into this realm indicates a recognition of the benefits edge computing can bring — it can be useful for IoT deployments in remote locations, where transmitting data to the cloud can be difficult because of the lack of connectivity, for example. And even in more central locations, it can cut down on the time it takes to transmit data to and from the cloud. That could be appealing to clients, like cruise ships operators, that might have otherwise shied away from IoT solutions for these reasons.

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Taking a bet on edge computing could magnify Microsoft's gains in the IoT at large. Edge computing is becoming a more widely used phenomenon with the IoT — BI Intelligence forecasts that 5.6 billion devices will be connected to an edge computing solution by 2020. Microsoft is already making moves to expand its IoT client base — its new IoT Central helps businesses that previously couldn't deploy the IoT to do so. But by moving further into a space that's set to grow in the coming years, it could attract even more clients that otherwise couldn't have deployed the IoT, ultimately solidifying its status as a market leader in the IoT.

The Internet of Things (IoT) is growing rapidly as companies around the world connect thousands of devices every day. But behind those devices, there’s a sector worth hundreds of billions of dollars supporting the IoT.

Platforms are the glue that holds the IoT together, allowing users to take full advantage of the disruptive potential of connected devices. These platforms allow the IoT to achieve its transformational potential, letting businesses manage devices, analyze data, and automate the workflow.

Peter Newman, research analyst for BI Intelligence, Business Insider's premium research service, has compiled a detailed report on the evolving IoT platform ecosystem. This report sizes the market and identifies the primary growth drivers that will power the IoT platform space in the next five years. It also profiles many of the top IoT platforms by discussing key trends in the platform industry such as platform consolidation.

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