IoT vs Smart Devices: what is the difference?

James Jarvis
4 min readNov 9, 2023

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IoT and smart devices are everywhere. In your workplace, in your house, in your car, in your body. These phrases are often used interchangeably — but should they be?

Short answer: No.

Alternative short answer: Both terms are bad.

Alternative short answer 2: No one knows.

Let’s explore what IoT and Smart Devices are. We will also explore why the difference is important to understand.

IoT — Internet of Things

First, the name itself is a misnomer. ‘Internet of things’ devices do not need to be connected to the internet. Instead, IoT refers to devices which are interconnected. This is a key point to understand, as it highlights the sheer size of IoT. IoT has reached 15 billion in 2023, and is projected to reach 29 billion (source). Personally, I think this may be an underestimate.

https://www.statista.com/statistics/1183457/iot-connected-devices-worldwide/

So, what counts as IoT? IBM defines IoT as:

“The Internet of Things (IoT) refers to a network of physical devices, vehicles, appliances and other physical objects that are embedded with sensors, software and network connectivity that allows them to collect and share data.”

Any device which can collect and share data is IoT. You could categorise devices into the following groups:

IoT for the home: Devices designed for the household, with the aim of ‘improving’ your home.

IoT for Healthcare: Devices such as pacemakers and Diabetes trackers are IoT. They monitor your health to provide real-time updates.

IoT for the workplace: Devices are designed to improve efficiency in the workplace.

IoT for infrastructure: Devices which are designed to improve transport, or contribute to ‘smart cities’.

IoT for the military: Devices designed especially for military operations. These could work as separate entities or within larger projects.

IoT devices connect in a variety of ways, such as:

  • Internet
  • Near-Field Communication
  • Bluetooth
  • Phone Networks (3G, 4G, 5G)
  • LoRaWAN (Long Range Wide Area Network)

This is not an exhaustive list, and will continue to expand as technology improves.

As a reminder, IoT does not require the internet. IoT devices just collect and share data. This is their function — which means they are prime targets for attack. The rush towards IoT is leaving many household and companies vulnerable. If you want a terrifying reality check, there are plenty of videos on YouTube showing IoT devices being hacked.

We will return to security implications shortly.

Smart Devices

It seems every new device is considered ‘smart’ these days, but what does it mean? Arm describes them as:

“Smart devices are all of the everyday objects made intelligent with advanced compute, including AI and machine learning…”

Whereas IoT devices focus on collecting and sharing data, Smart Devices are often designed to ‘improve’ (depending on your definition) your life. They are usually interactive, and may utilise AI.

Despite this, the use of ‘smart’ is often used as a marketing gimmick. ‘Smart’ is often used to denote a device that has been ‘upgraded’ from its traditional version — it’s why you ‘need’ it. There is no verification process no test, no regulation. Any device can be labelled as ‘smart’. Smart Devices may utilise IoT technology repackaged as a bigger object; the inverse can also be true.

What smart devices are we seeing in the wild?

…the list goes on. But the word ‘smart’ is empty. Smart phones and smart kettles are completely different levels of technology — the same descriptive word is not useful.

*Let’s consider smart phones further: What is the difference between your phone and a computer? Many use their ‘smart phones’ as a portable computer. “But you can make calls on a phone” — You can also make calls on Zoom, WhatsApp Desktop App, Skype, etc. In this case, ‘smart’ actually undersells the power of a phone; for the kettle, it oversells.

So, what’s the difference?

Well, both terms are bad, but:

Smart Devices are usually personal-consumer-led devices. They are expanding upon traditional technologies/devices, ‘improving’ them. They may utilise networks.

IoT devices are all devices which use networks to collect and share data.

Why is it important to try and understand the difference? Security. It’s always security. Poor understanding = poor security.

Both pose significant security issues: with the rapid rise of IoT/Smart Devices, it is easy to lose track. Most people change their smart phone passcodes — but have you considered the security to your smart watch? How about IoT such as cameras? A full evaluation of the security concerns is outside the scope of this article, but should always be considered.

A Blurred Understanding

Here’s the fundamental issue: There is not an answer.

The definition is blurred, and every website, person, and company will have a different definition. This is not ideal. We should work towards a unified definition. This will help with educating us all on the tech world. ‘Smart’ is a word that should be dropped. ‘Internet of Things’ is misleading. Is it too late for technology to address this issue?

Ideally, we should scrap both terms: A term such as ‘Inter-connected Devices’ or ‘Networked Devices’ would be more inclusive of what Smart Devices and IoT actually are.

Interconnected Devices (IDs) are here to stay. They are going to become more integrated into our society. We cannot walk blindly into the fire.

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