How Does IoT Work

A Simple But (Comprehensive) Guide on How Does an IoT System Works

While you must be thinking about how an IoT system works? We would like to start with what actually is IoT? The IoT or Internet of Things is a whole system with interlinked mechanical, computing devices, and digital machines, objects; people or animals which are given specific identifications and the permission of data transferring across the network without any human-to-human or human-to-computer interaction. 

In summary, the Internet of Things is an idea of connecting devices to the Internet and to other devices. The Internet of Things is a huge network of linked devices and people where everyone gathers and shares the data around the Internet.

To ensure the transfer of information properly, components of IoT are installed and attached. These components of IoT make sure that the information is gathered and transferred without any hassle and people are able to receive the best quality data.

Here are the components of IoT and how those components are attached together to make an IoT system work:

Table of Contents


The first component in the IoT system is sensors or devices which collect the data from the environment where these are installed. These sensors could gather data from as simple as reading the temperature to as complex as gathering the data of a whole video. 

Usually, more than one device or sensor is attached or installed in an IoT system, and it does more than just the task of sensing information. For instance: the common device with a lot of sensors is a phone which has a camera, voice recognition, GPS, etc. However, the phone is not just a sensor. But despite the fact that it is an individual sensor or bundled up sensors in the form of a device, in the first step, only data is gathered from the environment.


In the next step, the data is supposed to be sent to the Cloud, but that step requires a way to deliver data there. The Cloud can be linked to the sensors or devices using different methods like cellular, WiFi, Bluetooth, satellite, LPWAN, or by connecting the device directly to the Internet with the help of an Ethernet cable.

Each of the above mentioned options has various power consumption, bandwidth, and range. All the devices perform the same task of uploading the data on the Cloud, but it depends on you which option suits you the best. 

Data Processing

The software will perform some processing on the data once it is uploaded to the Cloud. This task could be very simple or complex such as ensuring that the reading of temperature is in the acceptable range or taking the help of computer vision to identify objects in the video. Data processing makes sure that each bit of the raw data is processed and converted into meaningful data. This information is processed and converted while keeping the end-user in view to understand and take better actions. 

Have you ever thought about what will happen afterwards if the computer vision identifies something unusual or the temperature is above the normal range? Well, that is when the user steps in. 

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This is the last part in the components of IoT, and in this part, the information is turned into useful data for the users. This could be done by alerting the user via an email, text or call, etc. For instance: when the temperature in the house is too high. 

Or the user may have an interface that can give them the authority to actively check inside the system. For instance: the user might want to see the video footage of their house by using a web browser or app.

But this is not the only benefit of the IoT system. The user can perform multiple actions in the system, but it depends on the IoT application that is being used. I.e. the user might be able to adjust the temperature remotely by using the app.

While some actions are performed automatically by the IoT system rather than waiting for your response. The could do the actions via a predefined set of rules. The IoT informs the authorities, too, if there is an unusual activity rather than just informing or alerting you.

How Can You Benefit from an IoT System?

The Internet of Things, along with the components of IoT, is changing the world and transforming it into a smarter and digital universe. Many places are installed with an IoT or Internet of Things system, which is helping them to monitor everything that is going around them or in any specific environment. 

Installing an IoT system in your business will allow you to monitor every task and moment of everyone at your workplace while helping you to know about the progress of your business at any given moment. While the blog does explain a lot about an IoT system yet, there is still a lot about an IoT system that you need to learn before getting one. If you are thinking of getting IoT in your business, then you should get IoT consultancy before making any decision. 3STechLabs have expert IoT consultants that can give you all the information about the IoT components and how to install those in your business. The guidance from 3STechLabs experts will also help you to install the IoT systems that are best for your business and can make your business more successful. You can take the first step today and contact 3STechLabs today to get IoT consultancy services as well as the IoT system options according to your business and users. Because every business is different and different businesses need different platforms and IoT systems to grow. Take IoT consultancy and select the best platform for the success of your business.