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[Planned IIoT Interview] Advantech: "Providing a One-Stop Solution for Industrial IoT, From Hardware to Software Platforms"
Consideration of incorporating IIoT into new product planning increases significantly, leading to a significant increase in software investment.
We focus on developing win-win software packaging partnerships with our customers.
Advantech (www.advantech.com), the world's leading industrial computer manufacturer, leverages its hardware development capabilities to provide a more reliable and practical Industry 4.0 architecture.
Advantech's Industry 4.0 architecture is based on the broader trend of "Industrial IoT." It develops and manufactures products centered on embedded platforms or Edge Intelligent Servers (EIS), which convert data collected from devices capable of accommodating not only traditional sensors but also new types of connected sensors into application-specific protocols or perform computational processing before transmitting them.
We met with Choi Soo-hyuk, director of Advantech Korea, who revealed his vision to significantly increase investment in the software sector to address the company's identity and changing industry landscape.

▲Advantech Korea's Director Choi Soo-hyuk
Q. What requirements does Advantech's solution meet in implementing Industry 4.0?
Advantech offers a Service Ready Platform (SRP), which combines its strengths in hardware platforms with software development tools and packages to enable the rapid and convenient development of solutions tailored to the Fourth Industrial Revolution for each market. While software companies and hardware manufacturers have traditionally struggled to implement smart factories due to their own limitations, Advantech has lowered this barrier to entry through SRP.
Q. In particular, I'm curious about what distinguishes Advantech's industrial PCs in the Industry 4.0 era.
The biggest difference between Advantech's industrial computers and those of its competitors lies in its market understanding and application-specific features. Advantech is adding the Intelligent System Module (ISM) to its entire industrial PC lineup, enabling remote monitoring and control. It is possible to implement connected devices pursued by Industry 4.0 without separate additional costs or SW license fees.
Q. Could you give me a specific example?
Furthermore, Advantech's strong partnership with Intel allows it to meet computing power demands by timely launch and delivery of products based on the latest Intel platforms. For example, while standard industrial computers focus on control and monitoring using Intel i-Core CPUs, Advantech also separately develops and offers graphic servers equipped with Intel Xeon CPUs, which are suitable for big data analysis and image analysis. This allows Advantech to build and select reliable products in one place, which is a major strength of Advantech.

▲Advantech IoT Solution Architecture
Q. As mentioned earlier, Advantech provides a one-stop total solution that maximizes efficiency required in various markets. What is the background and reason for doing this?
Advantech's decision to develop a one-stop total solution is based on market needs and trends. Four years ago, the company reorganized around the overarching theme of the Industrial IoT (IIoT) and began considering whether IIoT could be incorporated and applied to newly planned products. This led to a recognition of the importance of software and the ability to maximize investment, providing both current software packages and hardware platforms.
Q. Advantech is focusing on developing software packaging partnerships that can easily implement smart factories by integrating existing hardware platforms. Could you please provide an example?
A key characteristic of Advantech's software packages is that they are provided as SDKs (Software Development Kits) or development tools, rather than standalone, for integration with customer solutions. As illustrated in the diagram, IIoT requires hardware integration, including with multiple cloud service providers. This necessitates adapting and integrating the software to meet market demands, a task that can only be implemented and maintained by a team of experts in each market. Simply providing software does not guarantee that Advantech can understand and offer solutions for all application needs. This is because Advantech aims to provide 'Solution Ready Platform', that is, products and software that enable customers to complete solutions more quickly and easily.

▲Advantech WISE-PaaS Solution Ecosystem
Q. So what are the benefits that customers get from this partnership?
As shown in the reference diagram, Advantech is building a complete ecosystem, including solutions from various partners, in the form of a marketplace called "Wise-Pass." This will allow customers to receive support encompassing not only Advantech's solutions but also those from its partners, laying the foundation for a win-win situation for Advantech, its partners, and its customers. Systems integration companies from various fields have already joined the partnership and are building and implementing solutions for each application area.
By 2020, 50% of the company's total sales will be from software-related sales.
Q. What efforts is Advantech making to develop new business models for Industry 4.0?
In the era of Industry 4.0 and the Fourth Industrial Revolution, if each member emphasizes only their own strengths and fails to consider the interconnectivity and integration of the entire system, they will be left behind. Accordingly, Advantech offers total solutions, combining its own and partner products to maximize customer service. We also address challenges in technical support and proposal stages. Even within Advantech, each product is equipped with a variety of solutions, requiring hardware and software compatibility and corresponding performance expectations. Advantech and its partners can collaborate beyond simply providing quality and technical expertise for their respective products, offering solutions and proposals through mutual collaboration.
Q. Could you please describe Advantech's vision for the Industry 4.0 era?
Advantech plans to continue increasing its investment in the software sector. Building on the expertise accumulated in hardware, Advantech aims to achieve 50% of its total revenue from software by 2020. This goal is not simply a matter of revenue share; it demonstrates the company's identity and its alignment with the evolving industry landscape, and it will be a significant turning point for the company's sustainability and development. Furthermore, Advantech aims to strengthen its ecosystem by connecting partners with relevant applications and customers, and to continuously research and develop business models that foster win-win outcomes for all in the Industry 4.0 landscape.
♦Meanwhile, Advantech's Director Soo-hyuk Choi will present a similar topic at the Industrial IoT Innovation Day seminar ( http://www.e4ds.com/seminar ). Go directly to seminar registration -> http://www.e4ds.com/seminar
We focus on developing win-win software packaging partnerships with our customers.
Advantech (www.advantech.com), the world's leading industrial computer manufacturer, leverages its hardware development capabilities to provide a more reliable and practical Industry 4.0 architecture.
Advantech's Industry 4.0 architecture is based on the broader trend of "Industrial IoT." It develops and manufactures products centered on embedded platforms or Edge Intelligent Servers (EIS), which convert data collected from devices capable of accommodating not only traditional sensors but also new types of connected sensors into application-specific protocols or perform computational processing before transmitting them.
We met with Choi Soo-hyuk, director of Advantech Korea, who revealed his vision to significantly increase investment in the software sector to address the company's identity and changing industry landscape.
▲Advantech Korea's Director Choi Soo-hyuk
Q. What requirements does Advantech's solution meet in implementing Industry 4.0?
Advantech offers a Service Ready Platform (SRP), which combines its strengths in hardware platforms with software development tools and packages to enable the rapid and convenient development of solutions tailored to the Fourth Industrial Revolution for each market. While software companies and hardware manufacturers have traditionally struggled to implement smart factories due to their own limitations, Advantech has lowered this barrier to entry through SRP.
Q. In particular, I'm curious about what distinguishes Advantech's industrial PCs in the Industry 4.0 era.
The biggest difference between Advantech's industrial computers and those of its competitors lies in its market understanding and application-specific features. Advantech is adding the Intelligent System Module (ISM) to its entire industrial PC lineup, enabling remote monitoring and control. It is possible to implement connected devices pursued by Industry 4.0 without separate additional costs or SW license fees.
Q. Could you give me a specific example?
Furthermore, Advantech's strong partnership with Intel allows it to meet computing power demands by timely launch and delivery of products based on the latest Intel platforms. For example, while standard industrial computers focus on control and monitoring using Intel i-Core CPUs, Advantech also separately develops and offers graphic servers equipped with Intel Xeon CPUs, which are suitable for big data analysis and image analysis. This allows Advantech to build and select reliable products in one place, which is a major strength of Advantech.
▲Advantech IoT Solution Architecture
Q. As mentioned earlier, Advantech provides a one-stop total solution that maximizes efficiency required in various markets. What is the background and reason for doing this?
Advantech's decision to develop a one-stop total solution is based on market needs and trends. Four years ago, the company reorganized around the overarching theme of the Industrial IoT (IIoT) and began considering whether IIoT could be incorporated and applied to newly planned products. This led to a recognition of the importance of software and the ability to maximize investment, providing both current software packages and hardware platforms.
Q. Advantech is focusing on developing software packaging partnerships that can easily implement smart factories by integrating existing hardware platforms. Could you please provide an example?
A key characteristic of Advantech's software packages is that they are provided as SDKs (Software Development Kits) or development tools, rather than standalone, for integration with customer solutions. As illustrated in the diagram, IIoT requires hardware integration, including with multiple cloud service providers. This necessitates adapting and integrating the software to meet market demands, a task that can only be implemented and maintained by a team of experts in each market. Simply providing software does not guarantee that Advantech can understand and offer solutions for all application needs. This is because Advantech aims to provide 'Solution Ready Platform', that is, products and software that enable customers to complete solutions more quickly and easily.
▲Advantech WISE-PaaS Solution Ecosystem
Q. So what are the benefits that customers get from this partnership?
As shown in the reference diagram, Advantech is building a complete ecosystem, including solutions from various partners, in the form of a marketplace called "Wise-Pass." This will allow customers to receive support encompassing not only Advantech's solutions but also those from its partners, laying the foundation for a win-win situation for Advantech, its partners, and its customers. Systems integration companies from various fields have already joined the partnership and are building and implementing solutions for each application area.
By 2020, 50% of the company's total sales will be from software-related sales.
Q. What efforts is Advantech making to develop new business models for Industry 4.0?
In the era of Industry 4.0 and the Fourth Industrial Revolution, if each member emphasizes only their own strengths and fails to consider the interconnectivity and integration of the entire system, they will be left behind. Accordingly, Advantech offers total solutions, combining its own and partner products to maximize customer service. We also address challenges in technical support and proposal stages. Even within Advantech, each product is equipped with a variety of solutions, requiring hardware and software compatibility and corresponding performance expectations. Advantech and its partners can collaborate beyond simply providing quality and technical expertise for their respective products, offering solutions and proposals through mutual collaboration.
Q. Could you please describe Advantech's vision for the Industry 4.0 era?
Advantech plans to continue increasing its investment in the software sector. Building on the expertise accumulated in hardware, Advantech aims to achieve 50% of its total revenue from software by 2020. This goal is not simply a matter of revenue share; it demonstrates the company's identity and its alignment with the evolving industry landscape, and it will be a significant turning point for the company's sustainability and development. Furthermore, Advantech aims to strengthen its ecosystem by connecting partners with relevant applications and customers, and to continuously research and develop business models that foster win-win outcomes for all in the Industry 4.0 landscape.
♦Meanwhile, Advantech's Director Soo-hyuk Choi will present a similar topic at the Industrial IoT Innovation Day seminar ( http://www.e4ds.com/seminar ). Go directly to seminar registration -> http://www.e4ds.com/seminar
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