So a manufacturer connects a gadget to a wireless communications network and, suddenly, it’s an “internet of things” device. So what? The power of applied IoT is realized only when data from devices is gathered, juiced and nutrient-fortified for business insights.

“It wasn’t long ago where ‘big data’ just meant writing an algorithm and looking across large volumes of data,” said Bret Greenstein (pictured), global vice president of Watson IoT offerings at IBM Corp. “But now we literally have algorithms whose job it is to find patterns, whose job it is to understand data from training and deliver an outcome that you couldn’t have prescribed before.”

Machine learning and artificial intelligence algorithms can think through different data types that IoT devices suck in, he added. The insights could drastically change business processes and outcomes, and user engagement, for the better.

Greenstein spoke with Dave Vellante (@dvellante) and Lisa Martin (@LuccaZara), co-hosts of theCUBE, SiliconANGLE Media’s mobile livestreaming studio, at the IBM Think event in Las Vegas. They discussed applied IoT’s business potential and IBM’s investment in IoT technology.

IoT cultural revolution

The big step forward in IoT comes courtesy of ML and AI that can process a motley bunch of structured and unstructured data, according to Greenstein. “We’re able to take all of that data — structured data, numeric stuff coming off of devices and sensors, but [also] images, sound and vibration, even emotional content in people’s dialogue. All of that is relevant to the internet of things,” he said.

Manufacturers that enable their devices with IoT capabilities can maintain, long, rich relationships with buyers, Greenstein pointed out. “Suddenly, as a manufacturer of things, you have to respect the data coming off of those things, because they inform you on how to design better, how to deliver better service and value … .”

A lack of IoT infrastructure systems is not what’s holding companies back from realizing this vision, Greenstein added. “The real gate is the cultural difference in having people who are data driven, data thinkers having a leadership role in our clients,” he said.

Watch the complete video interview below, and be sure to check out more of SiliconANGLE’s and theCUBE’s coverage of the IBM Think event. (* Disclosure: TheCUBE is a paid media partner for IBM Think. Neither IBM, the event sponsor, nor other sponsors have editorial control over content on theCUBE or SiliconANGLE.)

Photo: SiliconANGLE