IT Strategy

Chip-to-Cloud: The Next Billion-Dollar Technology

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Hitachi has recently acquired GlobalLogic in a $9.6 billion megadeal. With GlobalLogic’s projected revenue for 2021 exceeding $1 billion, 20,000 employees worldwide, and an impressive client base, this acquisition seems to be a no-brainer, but is there more than meets the eye? The answer to that question is hinted at in the news article posted by GlobalLogic: the company has an advanced chip-to-cloud software product engineering technology, which might’ve been strong leverage in the acquisition negotiations. So, what is chip-to-cloud, and why did Hitachi decide this technology is worth $9.6 billion? Well, here at Intersog, we have all the answers for you. 

Our Security is at the Stake

IoT devices are everywhere right now transforming our homes, offices, and entire cities into smart environments. We’ve been seeing an increasing demand for IoT devices for years now, and there’s no slowing down to it. Soon, every device will be connected, and it is going to be quite a spectacular time for all of us. To achieve this, the devices need to be truly smart, and most importantly, secure. Any company producing or using smart devices has to make security its top priority because IoT devices have become a favorite target for hackers. You’ve probably heard of their numerous exploits on the news.

Surely, no company wants to be a subject of such a news article as it would be a devastating blow to customer confidence, brand reputation, and revenues. The hackers have already proven their ability to breach the security systems of IoT devices creating concerning and even life-threatening situations. For instance, we’ve already seen hackers spying on people in their homes using smart devices, which made heads turn towards the problem of IoT security. 

The other problem here is the increasing number of IoT edge nodes or end-user devices generating and collecting immense amounts of data. IoT edge nodes like laptops, smartphones, or industrial robots used by the employees allow for a safer and more controlled working environment, but these devices might be vulnerable to cyber-attacks. Considering how the IoT edge nodes are connected to the data centers, skilled hackers can access your data centers by laying their hands on any of your edge devices. That is exactly why chip-to-cloud security is the next big thing in the IoT domain and why smart device manufacturers are willing to invest billions in this technology.

What is Chip-to-Cloud?

A year ago Alibaba announced its plans to invest over $28 billion in cloud infrastructure to address the growing demand for business software during the pandemic. Connected devices have become vital to rapidly transforming enterprises, whether on-site or off-site, and the deployment of cloud-based enterprise computing plays a significant part in the development of connectivity technologies. Of course, the benefits of the well-designed connectivity between the devices can be nullified by the cyber-threats. You cannot have profit before you have security.

So, what is Chip-to-cloud security, and how will it change the IoT in the nearest future? Well, if you are trying to manufacture a secure and reliable smart device, the first thing you need to take care of is a trusty hardware – the chipset. A goal here is to select hardware that does not only comply with its intended use specifications but also offers solid security characteristics. The chip must provide a set of advanced security features like a cryptography accelerator, a hardware random number generator, and reliable RAM, just to name a few. Naturally, when it comes to IoT devices or any devices connected to the Internet for that matter, trusted software architecture is a must-have. It prevents hackers from spoofing your identity or cloning your device for any malicious purpose. 

At this point, a secure connection to the Cloud becomes paramount, and you need to provision your devices with the right credentials, adhere to the cloud service enrollment guidelines, and make sure the security processes are not being compromised. With that out of the way, the next step is proper device monitoring and management. You must be able to monitor the health and behavior of your devices as well as detect any attempts at tampering with their integrity. 

Basically, chip-to-cloud is a technology that enables creating secure-by-design devices using energy efficient microchips that stay connected to the cloud at all times. With the rapid growth in the number of connected devices, engineers must be sure they are completely secure. Industries and even entire economies rely on the security of IoT devices, which is exactly why chip-to-cloud technology is the next big thing in that domain. 

What’s Next?

What we all need to understand is that the profit-before-security approach will not work here. Leaving our smart devices exposed to attacks is not an option, and that is exactly why so many tech giants worldwide invest billions into secure-by-design devices. The early adopters will gain a huge edge over the competitors. Providing the users with full ownership of device security is the main goal here, and the companies with the deepest pockets have already made their steps in that direction.

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Tech giants like Microsoft and Amazon have been working on chip-to-cloud solutions for quite some time, making the security of the hardware and safeguarding the users from the most meticulous attacks a top priority. Developing processor-based security solutions is crucial for staying vigilant against the cyber-threats, and here at Intersog, we too explore the potential of bringing the security to the chip level and enhancing the security capabilities of the hardware via the means of chip-to-cloud technology. With billions of smart devices connected to each other, the vulnerability of the entire ecosystem might produce disastrous consequences, and simply acknowledging this fact is not enough. The chip-to-cloud technology might just prove to be the right solution that can provide smart device producers with a chance to guarantee safety to their users. 

Back to the Hitachi/GlobalLogic mega-deal, we can make an educated guess on where it’s going from this point on – tech giants are going to invest heavily in the chip-to-cloud technology. We are likely to see more of such deals in the future as Microsoft has recently introduced its Pluton processor that is considered to be the future of secure Windows PCs. This chip-to-cloud security technology is already being used in Microsoft Xbox and Azure Sphere to remarkable success. That being said, the importance of chip-to-cloud technology is not even a discussion; it is a solid fact, and we are sure to see stunning advancements in this domain soon.

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Intersog has been recognized as a leading IT solutions provider in the United States and beyond. The company has been providing tech consulting, staffing and software development services for Fortune-500 companies, tech startups, and SaaS enterprises for more than fourteen years.