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Cogent and BellChild to Launch Next Generation iBRESS Service

Skkynet subsidiary Cogent Real-Time Systems signs memo of understanding with BellChild to offer next generation cloud service for Industrie 4.0 and Industrial IoT.

Mississauga, Ontario, December 7, 2016 – Skkynet Cloud Systems, Inc. (“Skkynet”) (OTCQB: SKKY), a global leader in real-time cloud information systems, announces that Cogent Real-Time Systems, a Skkynet subsidiary, signed a memo of understanding with BellChild Ltd. of Osaka, Japan, to launch the next generation iBRESS™ cloud service. This MOU supports the rollout of an Asian-market specific SaaS (Software as a Service) for secure, real-time data communication suitable for Industrie 4.0 and Industrial IoT (IIoT) applications.

“We are pleased to strengthen our relationship with BellChild in this way,” said Paul Thomas, President of Skkynet, “and build on the success of the current iBRESS Secure Cloud Micro Service, which we have been offering jointly for the past 18 months.  Adding the capabilities of the SkkyHub™ service to BellChild’s portfolio will significantly enhance their ability to serve their customers.”

Users of the improved iBRESS service will be able to securely connect industrial plants, machines, or individual sensors and actuators to a complete Industrie 4.0 or IIoT system.  This will allow BellChild customers to monitor and control their industrial processes in real time, from a web page or mobile phone, as well as log data directly to any database or Big Data repository.  The improved service requires no programming, and allows users to seamlessly integrate existing systems using standard protocols, while incrementally adding Industrie 4.0 or IIoT capability as needed.

Underpinning the iBRESS and SkkHub services, Skkynet’s patented technology for secure, outbound-only connections is fully compatible with corporate IT policies, and ensures no exposed attack surface – no open firewall ports, no VPN, and no extra hardware.  It provides Industrie 4.0 and IIoT connectivity at in-plant networking speeds of microseconds over network latency, and processes up to 50,000+ data changes per second.

About BellChild

BellChild is a system integration company focusing on secure system development, robust infrastructure development, and advanced operations capabilities. BellChild’s BEAM platform provides highly secure cloud services for the financial sector. The company develops and maintains secure servers used to support high-speed financial transactions, which is also used to provide a robust and secure platform to support industrial cloud-based systems in the form of iBRESS™ service.  For more information, see http://www.bell-c.co.jp/.

About Skkynet

Skkynet Cloud Systems, Inc. (OTCQB: SKKY) is a global leader in real-time cloud information systems. The Skkynet Connected Systems platform includes the award-winning SkkyHub™ service, DataHub®, WebView™, and Embedded Toolkit (ETK) software. The platform enables real-time data connectivity for industrial, embedded, and financial systems, with no programming required. Skkynet’s platform is uniquely positioned for the “Internet of Things” and “Industry 4.0” because unlike the traditional approach for networked systems, SkkyHub is secure-by-design.  For more information, see http://skkynet.com.

Safe Harbor

This news release contains “forward-looking statements” as that term is defined in the United States Securities Act of 1933, as amended and the Securities Exchange Act of 1934, as amended. Statements in this press release that are not purely historical are forward-looking statements, including beliefs, plans, expectations or intentions regarding the future, and results of new business opportunities. Actual results could differ from those projected in any forward-looking statements due to numerous factors, such as the inherent uncertainties associated with new business opportunities and development stage companies. Skkynet assumes no obligation to update the forward-looking statements. Although Skkynet believes that any beliefs, plans, expectations and intentions contained in this press release are reasonable, there can be no assurance that they will prove to be accurate. Investors should refer to the risk factors disclosure outlined in Skkynet’s annual report on Form 10-K for the most recent fiscal year, quarterly reports on Form 10-Q and other periodic reports filed from time-to-time with the U.S. Securities and Exchange Commission.

The View from SPS IPC Drives 2016

The leading show in Europe for industrial automation, the must-go event on everyone’s list, SPS IPC Drives in Nurenberg, was another roaring success this year.  The 1,600 exhibits in 14 separate pavilion halls attracted over 60,000 industrial engineers, managers, and executives from Germany, the rest of Europe, and the world.  This year Skkynet participated jointly with the OPC Foundation, introducing the latest Beta version of the Cogent DataHub that supports the OPC UA protocol, along with a new Camera feature and a next-generation Excel product.

“Everyone we met was talking about OPC UA,” said Xavier Mesrobian, VP of Sales and Marketing for Skkynet, who was responsible for the Skkynet display and demo.  “They were intrigued to see how we have incorporated OPC UA into the DataHub.  With its existing ability for integrating data protocols, the DataHub becomes a highly versatile OPC UA client, able to serve as an OPC UA/Classic gateway, connect to databases and Excel, put data on the web, send emails, and much more.

“OPC UA is seen as the leading protocol for secure data communications within the plant and on a protected network.  Outside the plant, connecting to corporate offices or between facilities, and for other IoT and Industrie 4.0 scenarios, the common wisdom here at SPS IPC Drives is that using a VPN is sufficient for providing security.  We had a number of opportunities to explain why this is not so.  Most of the people I talked to were not aware that a VPN doesn’t really provide the level of security needed for an industrial system.  They were surprised and pleased to find out about our secure-by-design approach.”

“This was my impression as well,” said Paul Thomas, President of Skkynet.  “My sense is that security (by design) is still largely ignored.  Most of the people I spoke to at this year’s SPS IPC Drives show rarely mentioned security.  And when they did, they would say, essentially, ‘Oh, we use a VPN, so we are secure’.

“But some people understand the deeper questions.  I had a good conversation over a beer one evening with Professor Stephan Simons from the Automation and Control Technology department of the Hochschule Darmstadt University of Applied Sciences in Darmstadt, Germany.  He said that within the next year or two the great majority of control vendors will come to the realization that security has been massively overlooked. He was excited to find out that we have a tested and working solution available now, and wanted to know more about it.”

This experience at the SPS IPC Drives show confirms what we at Skkynet have been hearing from a number of different sources.  Security requirements for Industrial IoT and Industrie 4.0 have been largely downplayed or overlooked in the excitement of connecting up remote locations and gaining access to live production data from the shop floor.  As the need for IoT security is better understood—whether through education, experience, or mishap—the value of a secure-by-design system will become more obvious.