The Impact of Data Analytics Based on Internet of Things, Edge Computing, and Artificial Intelligence on Energy Efficiency in Smart Environment

Abstract

This review examines the impact of data analytics powered by the Internet of Things (IoT), edge computing, and artificial intelligence (AI) on improving energy efficiency in smart environments, with a focus on smart factories, smart cities, and smart territories. Advanced AI, machine learning (ML), and deep learning (DL) techniques enable real-time energy optimization and intelligent decision-making in complex, data-intensive systems. Integrating edge computing reduces latency and improves responsiveness in IoT and Industrial Internet of Things (IIoT) networks, enabling local energy management and reducing grid load. Federated learning further enhances data privacy and efficiency by enabling decentralized model training across distributed smart nodes without exposing sensitive information or personal data. Emerging 5G and 6G technologies provide the necessary bandwidth and speed for seamless data exchange and control across energy-intensive, connected infrastructures. Blockchain increases transparency, security, and trust in energy transactions and decentralized energy trading in smart grids. Together, these technologies support dynamic demand response mechanisms, predictive maintenance, and self-regulating systems, leading to significant improvements in energy sustainability. Case studies of smart cities and industrial ecosystems within Industry 4.0/5.0/6.0 demonstrate measurable reductions in energy consumption and carbon emissions through these synergistic approaches. Despite significant progress, challenges remain in interoperability, scalability, and regulatory frameworks. This review demonstrates that AI-based edge computing, supported by robust connectivity and secure IoT and IIoT architectures, has a transformative potential for creating energy-efficient and sustainable smart environments.