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Industrial Revolution 4.0: IoT vs IIoT

Industrial Revolution 4.0: IoT vs IIoT
By Joydeep Misra June 30, 2025

A Strategic Overview for Original Equipment Manufacturers on Connected Technology 

For Original Equipment Manufacturers (OEMs), the world of connected technology brings enormous potential, but it can also be confusing. Terms like IoT (Internet of Things) and IIoT (Industrial Internet of Things) are often used interchangeably, yet they serve very different purposes. Both involve connected devices and data, but their goals, use cases, and business impacts are not the same. 

At Bridgera, we often hear: 

“Aren’t IoT and IIoT the same?” 

They’re not, and understanding the difference can have a big impact on your digital transformation strategy. 

We work with many OEMs who’ve made strong investments in IIoT systems to improve internal operations by monitoring equipment, reducing downtime, and optimizing factory performance. But those same companies often haven’t yet explored how IoT can enhance the equipment they sell once it’s out in the field. 

That’s a critical distinction. 

Your factory’s IIoT system helps you build equipment better.
A customer-facing IoT platform helps your customers use that equipment smarter, and it gives you valuable insights to improve product performance, support, and service offerings. 

What Is IIoT? 

The Industrial Internet of Things (IIoT) refers to the connected devices and systems inside industrial settings, such as factories, power plants, or supply chains. These systems use sensors, software, and networks to collect and analyze data from machines, allowing businesses to improve operations, reduce downtime, and make smarter decisions. 

IIoT is a core part of Industry 4.0, the latest phase of industrial advancement focused on automation, real-time data, and smarter manufacturing. 

Core components of an IIoT system typically include:   

  • Intelligent Assets: Machines, robots, and equipment with sensors and actuators.  
  • Data Communications Infrastructure: Both wired and wireless networks.  
  • Analytics and Applications: Software that processes raw data into actionable insights.  
  • People: The skilled workforce that manages and acts on these insights. 

What Is IoT? 

The Internet of Things (IoT) refers more broadly to everyday devices connected to the internet. These devices collect and share data to improve convenience, personalize services, or automate basic tasks. 

While IIoT is used in factories or energy grids, IoT is found in homes, offices, and vehicles. 

Common IoT Applications: 

  • Smart Homes – Connected thermostats, lighting, security systems 
  • Wearables – Fitness trackers, smartwatches 
  • Connected Vehicles – Diagnostics, navigation, and driver assistance features 

The main focus in IoT is on user experience, personalization, and remote access—helping individuals manage their environment more easily. 

IoT vs IIoT: A Quick Comparison 

Understanding the difference between IoT and IIoT is essential for OEMs looking to connect both their factory operations and the equipment they deliver to customers. While both involve connected devices and data, they serve different purposes and users. 

Category   Internet of Things (IoT)   Industrial Internet of Things (IIoT)  
Primary Users  Consumers, end users  Industrial teams, engineers, operations leaders 
Use Cases  Smart homes, wearables, connected vehicles  Manufacturing automation, predictive maintenance, logistics 
Data Sensitivity  Moderate (usage trends, preferences)  High to critical (equipment performance, safety systems) 
Downtime Tolerance  Generally acceptable (minor inconvenience)  Very low (can lead to costly delays or safety issues) 
Scalability  Limited to consumer environments  Designed for large-scale, multi-site industrial operations 
Architecture  Primarily cloud-based  Often includes edge computing for real-time processing 
Security Needs  Important, but typically lower stakes  Critical – must meet strict industry compliance and safety 
System Integration  Standalone or app-based, easy to install  Must integrate with legacy systems, PLCs, and enterprise software 
Goal  Improve user experience and convenience  Increase operational efficiency, safety, and reliability 

Why This Matters to OEMs 

While both IoT and IIoT are built on the same core technologies such as connected devices, data, and cloud platforms, their applications differ significantly. 

  • Data Volume and Timing 

IIoT environments generate large volumes of data very quickly. In manufacturing, even a one-second delay could stop a line. These systems rely on real-time data, low latency, and often incorporate machine learning models at the edge to detect anomalies instantly.

IoT systems generate less data, and short delays are generally acceptable. For example, your smart light taking a second longer to turn on isn’t a big deal. 

  • Local vs Cloud Processing 

IIoT systems often use edge computing to process data close to where it’s collected. This helps prevent delays and reduce bandwidth costs. 

IoT systems rely more on cloud processing and can handle slight lags without causing disruption. 

  • Security Requirements 

IIoT environments often involve mission-critical equipment, where failure can lead to financial loss, production downtime, or even safety risks. Security and compliance are strict and non-negotiable. 

IoT systems still require good security, but the stakes are typically lower. 

  • Integration Challenges 

Industrial environments often include legacy systems that weren’t built for connectivity. IIoT solutions need to work with older machines and varied vendor systems. 

IoT devices tend to be newer and more standardized, making integration more straightforward. 

“Data is the new oil. But it’s worthless if you don’t have a refinery. For OEMs, customer-facing IoT is the refinery that turns raw equipment data into value, insight, and new revenue.” 

 — Joydeep Misra, Senior VP of Technology at Bridgera 

How IIoT Is Used in Industry Today 

Here are a few common IIoT applications: 

  • Predictive Maintenance: Sensors on manufacturing equipment detect subtle vibrations or temperature changes that signal an impending failure, allowing for maintenance before a costly breakdown occurs. 
  • Smart Logistics: GPS and RFID sensors provide real-time visibility into the supply chain, tracking assets from the warehouse to the destination to optimize routes and reduce delays. 
  • Energy Optimization: Utilities use smart meters and sensors to monitor the grid, predict demand, prevent outages, reduce waste, and improve reliability. 
  • Connected Healthcare: Medical devices can send performance data and alerts in real time, enabling remote diagnostics, proactive maintenance, and improved patient care. 

Bridgera in Action: Smarter Fuel Management Through IoT 

A leading fuel management solutions provider needed more than just traditional hardware to stay ahead in a competitive industry. Their legacy system lacked remote support, intelligent analytics, and integration with modern workflows. With Bridgera’s AIoT platform, they transformed their offering into a connected, customer-facing service. 

Bridgera helped them launch a solution that included real-time tank monitoring, automated compliance reports, predictive maintenance, and remote troubleshooting, all accessible from anywhere. Not only did this enhance their customer experience, but it also gave the company valuable usage data that helped refine their product roadmap, reduce support costs, and introduce new service-based revenue streams. 

Read the full case study – https://bridgera.com/case_studies/fuel-management-redefined-advanced-analytics-and-remote-support/ 

How Bridgera Connects Your IIoT and IoT Worlds 

“This is where confusion for many OEMs arises. You have an IIoT platform for your factory, but what about the products you ship to customers? This is where Bridgera comes in.” 

Bridgera is not a traditional IIoT provider that focuses on your internal factory floor. Instead, we provide a customer-facing IoT platform for the products you sell. Our platform, Interscope AI™ connects to your equipment in the field, whether it’s at a customer plant, in a hospital, or on a farm. 

Extending OEM Capabilities Beyond the Factory Floor 

Bridgera provides the customer-facing AIoT platform you need to support, monitor, and improve the equipment you’ve already shipped. 

With our platform Interscope AI™, you can: 

  • Achieve Faster Time to Market: Launch an MVP in as little as 8-12 weeks.  
  • Enable Predictive Maintenance: Use AI-driven analytics to detect anomalies and prevent failures for your customers.  
  • Generate Actionable Insights: Turn raw data into smarter business decisions with our AI agent, Jera.  
  • Create New Revenue Streams: Offer tiered services like remote monitoring and predictive analytics. 

Interscope AI™ is designed for OEMs who want to go beyond factory automation and extend value into the field, without having to start from scratch. 

What Makes Bridgera Different? 

  • We don’t replace your existing IIoT system; we complement it. 
  • We offer fully managed solutions, so your team doesn’t need to build or maintain custom software. 
  • We help you unlock new value from the products you’ve already sold. 

Frequently Asked Questions 

Q: What’s the difference between IoT and IIoT? 

 IoT is mostly used in homes and personal devices. IIoT is used in industrial settings like factories. The technology is similar, but the use cases and requirements are very different. 

Q: Is IIoT part of Industry 4.0? 

 Yes. IIoT plays a key role in enabling automation, real-time monitoring, and smart decision-making in modern factories. 

Q: Can I use my existing IIoT system for customer-facing services? 

 Usually not. IIoT systems are built for internal operations. To support remote monitoring and customer-facing services, you’ll need an IoT platform like Bridgera’s. 

Q: How secure is Bridgera’s platform? 

 We follow strict security practices, including encryption, access controls, and compliance protocols. Our platform is designed with industrial security needs in mind. 

Ready to Connect Your Assets? 

With Bridgera, you don’t have to overhaul your current systems or hire a new team. Our AI-powered IoT platform works with your existing equipment and gives you everything you need to deliver smarter, connected services to your customers. 

Explore Interscope AI™ | See how fast you can get started. 

Try Interscope AI for Free

About the Author
Joydeep Misra, SVP of Technology 

Joydeep Misra is a technologist and innovation strategist passionate about turning complex data into simple, actionable intelligence. At Bridgera, he leads initiatives that blend IoT, AI, and real-world operations to help businesses move from connected to truly autonomous systems. With over a decade of experience in building enterprise-grade platforms, Joydeep is a strong advocate for practical AI adoption and believes that the future belongs to those who can make machines think and act. 

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