Click here to close now.

Welcome!

.NET Authors: Elizabeth White, Liz McMillan, Pat Romanski, Jaynesh Shah, Carmen Gonzalez

News Feed Item

Affymetrix Reports Fourth Quarter and Fiscal Year 2012 Results

Affymetrix, Inc., (NASDAQ: AFFX) today reported its operating results for the three and twelve months ended December 31, 2012.

Results for the three months ended December 31, 2012:

  • Total revenue was $84.4 million, which excluding eBioscience of $18.1 million, represented a 2% increase from the fourth quarter of 2011.
  • GAAP net loss was $12.3 million, or $0.17 per diluted share, as compared to a net loss of $14.7 million, or $0.21 per diluted share, in the fourth quarter of 2011.
  • Non-GAAP net loss was $1.3 million, or $0.02 per diluted share, as compared to a net loss of $8.3 million, or $0.12 per diluted share, for the fourth quarter of 2011. Please refer to the “Itemized Reconciliation Between GAAP and Non-GAAP Net Loss” for a reconciliation of these GAAP and non-GAAP financial measures.
  • Positive cash flow from operations of $2.0 million and a total balance in cash, cash equivalents and available-for-sale securities of $35.7 million at the end of December 31, 2012, after debt payments of $9.6 million during the quarter.

Product revenue for the fourth quarter of 2012 was $76.4 million and service and other revenue was $8.0 million. This compares to product revenue of $58.7 million and service and other revenue of $6.4 million in the fourth quarter of 2011. Product revenue for the fourth quarter of 2012 included Affymetrix core consumable revenue of $53.1 million, instrument revenue of $5.2 million and revenue from eBioscience of $18.1 million. Product revenue for the fourth quarter of 2011 included Affymetrix core consumable revenue of $54.9 million and instrument revenue of $3.8 million.

Total gross margin was 54%, as compared to 53% in the same period of 2011. Excluding non-GAAP adjustments such as the amortization of step-up in inventory fair value, total margin was 61% in 2012, as compared to 54% in 2011. Please refer to the “Itemized Reconciliation Between GAAP and Non-GAAP Gross Margin” for a reconciliation of these GAAP and non-GAAP financial measures.

For the fourth quarter of 2012, operating expenses were $54.4 million on a GAAP basis as compared to $45.5 million in 2011. Excluding non-GAAP adjustments such as the amortization of acquired intangible assets and non-recurring charges, operating expenses were $48.5 million, compared to an adjusted total of $41.5 million in 2011. The increase reflects the acquisition of eBioscience in June 2012. Please refer to the “Itemized Reconciliation Between GAAP and Non-GAAP Operating Expenses” for a reconciliation of these GAAP and non-GAAP financial measures.

Results for the year ended December 31, 2012:

  • Total revenue was $295.6 million, which excluding eBioscience of $37.0 million, represented a 3% decrease from 2011.
  • GAAP net loss was $10.7 million, or $0.15 per diluted share, as compared to a net loss of $28.2 million, or $0.40 per diluted share, in 2011.
  • Non-GAAP net loss was $6.8 million, or $0.10 per diluted share, as compared to a net loss of $13.0 million, or $0.18 per diluted share, for 2011. Please refer to the “Itemized Reconciliation Between GAAP and Non-GAAP Net Loss” for a reconciliation of these GAAP and non-GAAP financial measures.
  • Positive cash flow from operations of $4.0 million. $11.7 million of debt payments were made during the year.

Product revenue for the year ended December 31, 2012 was $266.1 million and service and other revenue was $29.5 million. This compares to product revenue of $241.3 million and service and other revenue of $26.2 million in 2011. Product revenue for 2012 included Affymetrix core consumable revenue of $210.7 million, instrument revenue of $18.4 million and revenue from eBioscience of $37.0 million. Product revenue for 2011 included Affymetrix core consumable revenue of $225.0 million and instrument revenue of $16.3 million.

Total gross margin was 55%, as compared to 58% in the same period of 2011. Excluding non-GAAP adjustments such as the amortization of step-up in inventory fair value and acquired intangible assets, total margin was 60% in 2012, as compared to 59% in 2011. Please refer to the “Itemized Reconciliation Between GAAP and Non-GAAP Gross Margin” for a reconciliation of these GAAP and non-GAAP financial measures.

For the year ended December 31, 2012, operating expenses were $202.6 million on a GAAP basis as compared to $173.2 million in 2011. Excluding non-GAAP adjustments such as the amortization of acquired intangible assets and non-recurring charges, operating expenses were $175.4 million, compared to an adjusted total of $166.2 million in 2011, with the increase reflecting the eBioscience acquisition in 2012. Please refer to the “Itemized Reconciliation Between GAAP and Non-GAAP Operating Expenses” for a reconciliation of these GAAP and non-GAAP financial measures.

“We had a good finish to 2012, achieving modest growth in our core business during the fourth quarter, which was a very challenging environment for academic spending. Revenue for eBioscience increased by 5% as compared to the fourth quarter of 2011,” said Dr. Frank Witney, president & CEO. “Over the last year we have diversified our portfolio, achieved our strategic and revenue goals for our CytoScan product line and demonstrated renewed strength in genotyping with our Axiom platform. We plan to return to growth and profitability in fiscal 2013.”

Recent announcements:

  • In December of 2012, the Company prepaid $9.6 million of its senior-secured debt representing the entire principal due in 2013.
  • Additionally, the Company implemented a corporate restructuring to accelerate its path to profitability. The restructuring is expected to result in annualized savings of approximately $25 million based on 2013 run rates, of which $5 million is in cost-of-goods sold. The Company expects to record a total charge of approximately $7 million, the majority of which will be incurred during the first quarter of 2013 except for $1.8 million which was recognized in 2012.

Affymetrix will host a conference call on January 31, 2013 at 2:00 p.m. PT to review its operating results for the fourth quarter of and the year ended 2012. A live webcast can be accessed by visiting the Investor Relations section of the Company’s website at www.affymetrix.com. In addition, investors and other interested parties can listen by dialing domestic: (877) 407-8291, international: (201) 689-8345.

A replay of this call will be available from 5:00 p.m. PT on January 31, 2013 until 8:00 p.m. PT on February 8, 2013 at the following numbers: domestic: (877) 660-6853, international: (201) 612-7415. The conference call passcode to access the replay is 406352. An archived webcast of the conference call will be available under the Investor Relations section of the Company's website.

About Affymetrix

Affymetrix technology is used by the world's top pharmaceutical, diagnostic, and biotechnology companies, as well as leading academic, government, and nonprofit research institutes. More than 2,300 systems have been shipped around the world and more than 48,000 peer-reviewed papers have been published using the technology. Affymetrix is headquartered in Santa Clara, California, and has manufacturing facilities in Cleveland, Ohio, and Singapore. eBioscience is headquartered in San Diego, California and has manufacturing facilities in San Diego and Vienna, Austria. Including eBioscience, the Company has about 1,100 employees worldwide and maintains sales and distribution operations across Europe, Asia and Latin America.

All statements in this press release that are not historical are "forward-looking statements" within the meaning of Section 21E of the Securities Exchange Act as amended, including statements related to our plans to return to growth and profitability in 2013 and our estimated annualized cost savings as well as other statements regarding Affymetrix's "expectations," "beliefs," "hopes," "intentions," "strategies" or the like. Such statements are subject to risks and uncertainties that could cause actual results to differ materially for Affymetrix from those projected, including, but not limited to: Affymetrix's ability to timely and successfully integrate and realize the anticipated strategic benefits and costs savings or other synergies of the acquisition of eBioscience in a cost-effective manner while minimizing the disruption to its business; risks that eBioscience’s future performance may not be consistent with its historical performance; risks relating to Affymetrix's ability to make scheduled payments of the principal of, to pay interest on or to refinance its indebtedness; risks relating to Affymetrix's ability to successfully develop and commercialize new products, including its ability to successfully develop and commercialize novel molecular solutions based on eBioscience’s portfolio of reagents; risks relating to past and future acquisitions, including the ability of Affymetrix to successfully integrate such acquisitions into its existing business; risks of Affymetrix's ability to achieve and sustain higher levels of revenue, higher gross margins and reduced operating expenses; risks relating to Affymetrix’s ability to generate cash after interest and principal payments; uncertainties relating to technological approaches; risks associated with manufacturing and product development; personnel retention; uncertainties relating to cost and pricing of Affymetrix products; dependence on collaborative partners; uncertainties relating to sole-source suppliers; uncertainties relating to FDA and other regulatory approvals; competition; risks relating to intellectual property of others and the uncertainties of patent protection and litigation. These and other risk factors are discussed in Affymetrix's Annual Report on Form 10-K for the year ended December 31, 2011, and other SEC reports. Affymetrix expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in Affymetrix's expectations with regard thereto or any change in events, conditions or circumstances on which any such statements are based.

In addition to providing financial measures based on generally accepted accounting principles in the United States (GAAP), Affymetrix has disclosed in this press release its net loss and net loss per share as well as its total gross margin and operating expenses for the fourth quarter of and fiscal year ended 2012 excluding specified certain items. Reconciliation of GAAP to non-GAAP measures can be found in the tables included in this press release. Affymetrix has determined to disclose this financial information to investors because it believes it will be useful, as a supplement to GAAP measures, in comparing Affymetrix’s operating performance in the fourth quarter of and year ended 2012 to the prior-year period. These non-GAAP financial measures should not be considered in isolation from, or as a substitute for, financial information prepared in accordance with GAAP.

PLEASE NOTE:
Affymetrix, the Affymetrix logo, GeneChip, and all other trademarks are the property of Affymetrix, Inc.

   

AFFYMETRIX, INC.

CONDENSED CONSOLIDATED BALANCE SHEETS

(IN THOUSANDS)

 
December 31, December 31,
  2012     2011  
(Unaudited) (See Note 1)
ASSETS:
Current assets:
Cash and cash equivalents $ 25,671 $ 201,937
Restricted cash 699 692
Available-for-sale securities—short-term portion 9,366 7,937
Accounts receivable, net 53,893 44,021
Inventories—short-term portion 72,691 42,851
Deferred tax assets—short-term portion 359 364
Property and equipment, net—held for sale - 9,000
Prepaid expenses and other current assets   10,126     7,785  
Total current assets 172,805 314,587
Available-for-sale securities—long-term portion - 54,501
Property and equipment, net 28,663 30,583
Inventories—long-term portion 11,772 -
Goodwill 159,736 -
Intangible assets, net 152,718 29,525
Deferred tax assets—long-term portion 3,394 450
Other long-term assets   15,206     8,369  
Total assets $ 544,294   $ 438,015  
 
LIABILITIES AND STOCKHOLDERS’ EQUITY:
Current liabilities:
Accounts payable and accrued liabilities $ 50,355 $ 44,774
Convertible notes—short-term portion 3,855 -
Term loan—short-term portion 12,713 -
Deferred revenue—short-term portion   8,498     9,852  
Total current liabilities 75,421 54,626
Deferred revenue—long-term portion 3,450 3,959
Convertible notes 105,000 95,469
Term loan—long-term portion 60,563 -
Other long-term liabilities 22,689 9,127
Stockholders’ equity:
Common stock 710 704
Additional paid-in capital 759,549 750,332
Accumulated other comprehensive income 6,302 2,492
Accumulated deficit   (489,390 )   (478,694 )
Total stockholders’ equity   277,171     274,834  
Total liabilities and stockholders’ equity $ 544,294   $ 438,015  
Note 1: The condensed consolidated balance sheet at December 31, 2011 has been derived from the audited consolidated financial statements at that date included in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2011.
   

AFFYMETRIX, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(IN THOUSANDS, EXCEPT PER SHARE AMOUNTS)

(UNAUDITED)

 
Three Months Ended Twelve Months Ended
December 31, December 31,
  2012       2011     2012       2011  
REVENUE:
Product sales $ 76,382 $ 58,665 $ 266,063 $ 241,273
Services and other   7,967     6,439     29,560     26,201  
Total revenue   84,349     65,104     295,623     267,474  
COSTS AND EXPENSES:
Cost of product sales 34,354 26,902 116,261 97,815
Cost of services and other 4,817 3,510 15,874 13,137
Research and development 14,464 16,697 57,881 63,591
Selling, general and administrative 38,102 28,770 142,853 109,572
Restructuring charges   1,845     -     1,845     -  
Total costs and expenses   93,582     75,879     334,714     284,115  
Loss from operations (9,233 ) (10,775 ) (39,091 ) (16,641 )
Interest income and other, net 1,367 (2,753 ) (265 ) (6,302 )
Interest expense   3,002     947     7,193     3,813  
Loss before income taxes (10,868 ) (14,475 ) (46,549 ) (26,756 )
Income tax provision (benefit)   1,401     264     (35,853 )   1,405  
Net loss $ (12,269 ) $ (14,739 ) $ (10,696 ) $ (28,161 )
 
Basic and diluted net loss per common share $ (0.17 ) $ (0.21 ) $ (0.15 ) $ (0.40 )
 
Shares used in computing basic and diluted net loss per common share   70,657     69,889     70,300     70,877  
   

AFFYMETRIX, INC.

RESULTS OF OPERATIONS – NON-GAAP

(IN THOUSANDS, EXCEPT PER SHARE AMOUNTS)

(UNAUDITED)

ITEMIZED RECONCILIATION BETWEEN GAAP AND NON-GAAP NET LOSS

 
Three Months Ended Twelve Months Ended
December 31,   December 31,
  2012       2011       2012       2011  
GAAP net loss - basic and diluted $ (12,269 )   $ (14,739 ) $ (10,696 )   $ (28,161 )
Amortization of inventory fair value adjustment 4,589 - 9,444 -
Amortization of acquired intangible assets 4,929 1,544 12,848 6,176
Acquisition-related transaction costs 53 2,936 6,146 2,936
Acquisition-related integration costs 543 - 2,084 -
Share-based compensation charge related to acquisition - - 8,265 -
Income tax benefit related to acquisition - - (37,462 ) -
Gain on sale of product line (514 ) - (514 ) -
(Recovery) impairment of held-for-sale property, net (508 ) 1,710 3,492 1,710
Restructuring charges 1,845 - 1,845 -
(Recovery) provision of note receivable - - (2,215 ) 2,215
Impairment of financial instruments   -       223       -       2,123  
Non-GAAP net loss - basic and diluted $ (1,332 )   $ (8,326 )   $ (6,763 )   $ (13,001 )
 
Basic and diluted net loss per common share $ (0.02 )   $ (0.12 )   $ (0.10 )   $ (0.18 )
 
Shares used in computing basic and diluted net loss per common share   70,657       69,889       70,300       70,877  
   

ITEMIZED RECONCILIATION BETWEEN GAAP AND NON-GAAP GROSS MARGIN

 
Three Months Ended Twelve Months Ended
December 31, December 31,
2012     2011   2012     2011  
GAAP total gross margin $ 45,178   54 % $ 34,692   53 % $ 163,488   55 % $ 156,522   58 %
Amortization of inventory fair value adjustment 4,589 5 % - 0 % 9,444 3 % - 0 %
Amortization of acquired intangible assets   1,500   2 %   533   1 %   4,031   2 %   2,132   1 %
Non-GAAP total gross margin $ 51,267   61 % $ 35,225   54 % $ 176,963   60 % $ 158,654   59 %
   

ITEMIZED RECONCILIATION BETWEEN GAAP AND NON-GAAP OPERATING EXPENSES

 
Three Months Ended Twelve Months Ended
December 31,   December 31,
  2012       2011       2012       2011  
Total GAAP operating expenses $ 54,411   $ 45,467 $ 202,579   $ 173,163
Amortization of acquired intangible assets (3,429 ) (1,011 ) (8,817 ) (4,044 )
Acquisition-related transaction costs (53 ) (2,936 ) (6,146 ) (2,936 )
Acquisition-related integration costs (543 ) - (2,084 ) -
Share-based compensation charge related to acquisition - - (8,265 ) -
Restructuring charges   (1,845 )     -       (1,845 )     -  
Total non-GAAP operating expenses $ 48,541     $ 41,520     $ 175,422     $ 166,183  

More Stories By Business Wire

Copyright © 2009 Business Wire. All rights reserved. Republication or redistribution of Business Wire content is expressly prohibited without the prior written consent of Business Wire. Business Wire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

@ThingsExpo Stories
SYS-CON Events announced today that Liaison Technologies, a leading provider of data management and integration cloud services and solutions, has been named "Silver Sponsor" of SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York, NY. Liaison Technologies is a recognized market leader in providing cloud-enabled data integration and data management solutions to break down complex information barriers, enabling enterprises to make smarter decisions, faster.
The 17th International Cloud Expo has announced that its Call for Papers is open. 17th International Cloud Expo, to be held November 3-5, 2015, at the Santa Clara Convention Center in Santa Clara, CA, brings together Cloud Computing, APM, APIs, Microservices, Security, Big Data, Internet of Things, DevOps and WebRTC to one location. With cloud computing driving a higher percentage of enterprise IT budgets every year, it becomes increasingly important to plant your flag in this fast-expanding business opportunity. Submit your speaking proposal today!
Collecting data in the field and configuring multitudes of unique devices is a time-consuming, labor-intensive process that can stretch IT resources. Horan & Bird [H&B], Australia’s fifth-largest Solar Panel Installer, wanted to automate sensor data collection and monitoring from its solar panels and integrate the data with its business and marketing systems. After data was collected and structured, two major areas needed to be addressed: improving developer workflows and extending access to a business application to multiple users (multi-tenancy). Docker, a container technology, was used to ...
Hadoop as a Service (as offered by handful of niche vendors now) is a cloud computing solution that makes medium and large-scale data processing accessible, easy, fast and inexpensive. In his session at Big Data Expo, Kumar Ramamurthy, Vice President and Chief Technologist, EIM & Big Data, at Virtusa, will discuss how this is achieved by eliminating the operational challenges of running Hadoop, so one can focus on business growth. The fragmented Hadoop distribution world and various PaaS solutions that provide a Hadoop flavor either make choices for customers very flexible in the name of opti...
For years, we’ve relied too heavily on individual network functions or simplistic cloud controllers. However, they are no longer enough for today’s modern cloud data center. Businesses need a comprehensive platform architecture in order to deliver a complete networking suite for IoT environment based on OpenStack. In his session at @ThingsExpo, Dhiraj Sehgal from PLUMgrid will discuss what a holistic networking solution should really entail, and how to build a complete platform that is scalable, secure, agile and automated.
With major technology companies and startups seriously embracing IoT strategies, now is the perfect time to attend @ThingsExpo in Silicon Valley. Learn what is going on, contribute to the discussions, and ensure that your enterprise is as "IoT-Ready" as it can be! Internet of @ThingsExpo, taking place Nov 3-5, 2015, at the Santa Clara Convention Center in Santa Clara, CA, is co-located with 17th Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world. The Internet of Things (IoT) is the most profound change in personal an...
All major researchers estimate there will be tens of billions devices - computers, smartphones, tablets, and sensors - connected to the Internet by 2020. This number will continue to grow at a rapid pace for the next several decades. With major technology companies and startups seriously embracing IoT strategies, now is the perfect time to attend @ThingsExpo, June 9-11, 2015, at the Javits Center in New York City. Learn what is going on, contribute to the discussions, and ensure that your enterprise is as "IoT-Ready" as it can be
Wearable devices have come of age. The primary applications of wearables so far have been "the Quantified Self" or the tracking of one's fitness and health status. We propose the evolution of wearables into social and emotional communication devices. Our BE(tm) sensor uses light to visualize the skin conductance response. Our sensors are very inexpensive and can be massively distributed to audiences or groups of any size, in order to gauge reactions to performances, video, or any kind of presentation. In her session at @ThingsExpo, Jocelyn Scheirer, CEO & Founder of Bionolux, will discuss ho...
The true value of the Internet of Things (IoT) lies not just in the data, but through the services that protect the data, perform the analysis and present findings in a usable way. With many IoT elements rooted in traditional IT components, Big Data and IoT isn’t just a play for enterprise. In fact, the IoT presents SMBs with the prospect of launching entirely new activities and exploring innovative areas. CompTIA research identifies several areas where IoT is expected to have the greatest impact.
The 4th International Internet of @ThingsExpo, co-located with the 17th International Cloud Expo - to be held November 3-5, 2015, at the Santa Clara Convention Center in Santa Clara, CA - announces that its Call for Papers is open. The Internet of Things (IoT) is the biggest idea since the creation of the Worldwide Web more than 20 years ago.
Every day we read jaw-dropping stats on the explosion of data. We allocate significant resources to harness and better understand it. We build businesses around it. But we’ve only just begun. For big payoffs in Big Data, CIOs are turning to cognitive computing. Cognitive computing’s ability to securely extract insights, understand natural language, and get smarter each time it’s used is the next, logical step for Big Data.
There's no doubt that the Internet of Things is driving the next wave of innovation. Google has spent billions over the past few months vacuuming up companies that specialize in smart appliances and machine learning. Already, Philips light bulbs, Audi automobiles, and Samsung washers and dryers can communicate with and be controlled from mobile devices. To take advantage of the opportunities the Internet of Things brings to your business, you'll want to start preparing now.
17th Cloud Expo, taking place Nov 3-5, 2015, at the Santa Clara Convention Center in Santa Clara, CA, will feature technical sessions from a rock star conference faculty and the leading industry players in the world. Cloud computing is now being embraced by a majority of enterprises of all sizes. Yesterday's debate about public vs. private has transformed into the reality of hybrid cloud: a recent survey shows that 74% of enterprises have a hybrid cloud strategy. Meanwhile, 94% of enterprises are using some form of XaaS – software, platform, and infrastructure as a service.
P2P RTC will impact the landscape of communications, shifting from traditional telephony style communications models to OTT (Over-The-Top) cloud assisted & PaaS (Platform as a Service) communication services. The P2P shift will impact many areas of our lives, from mobile communication, human interactive web services, RTC and telephony infrastructure, user federation, security and privacy implications, business costs, and scalability. In his session at @ThingsExpo, Robin Raymond, Chief Architect at Hookflash, will walk through the shifting landscape of traditional telephone and voice services ...
Explosive growth in connected devices. Enormous amounts of data for collection and analysis. Critical use of data for split-second decision making and actionable information. All three are factors in making the Internet of Things a reality. Yet, any one factor would have an IT organization pondering its infrastructure strategy. How should your organization enhance its IT framework to enable an Internet of Things implementation? In his session at Internet of @ThingsExpo, James Kirkland, Chief Architect for the Internet of Things and Intelligent Systems at Red Hat, described how to revolutioniz...
For IoT to grow as quickly as analyst firms’ project, a lot is going to fall on developers to quickly bring applications to market. But the lack of a standard development platform threatens to slow growth and make application development more time consuming and costly, much like we’ve seen in the mobile space. In his session at @ThingsExpo, Mike Weiner is Product Manager of the Omega DevCloud with KORE Telematics Inc., will discuss the evolving requirements for developers as IoT matures and conduct a live demonstration of how quickly application development can happen when the need to comply...
Container frameworks, such as Docker, provide a variety of benefits, including density of deployment across infrastructure, convenience for application developers to push updates with low operational hand-holding, and a fairly well-defined deployment workflow that can be orchestrated. Container frameworks also enable a DevOps approach to application development by cleanly separating concerns between operations and development teams. But running multi-container, multi-server apps with containers is very hard. You have to learn five new and different technologies and best practices (libswarm, sy...
SYS-CON Events announced today that DragonGlass, an enterprise search platform, will exhibit at SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. After eleven years of designing and building custom applications, OpenCrowd has launched DragonGlass, a cloud-based platform that enables the development of search-based applications. These are a new breed of applications that utilize a search index as their backbone for data retrieval. They can easily adapt to new data sets and provide access to both structured and unstruc...
Converging digital disruptions is creating a major sea change - Cisco calls this the Internet of Everything (IoE). IoE is the network connection of People, Process, Data and Things, fueled by Cloud, Mobile, Social, Analytics and Security, and it represents a $19Trillion value-at-stake over the next 10 years. In her keynote at @ThingsExpo, Manjula Talreja, VP of Cisco Consulting Services, will discuss IoE and the enormous opportunities it provides to public and private firms alike. She will share what businesses must do to thrive in the IoE economy, citing examples from several industry sector...
The security devil is always in the details of the attack: the ones you've endured, the ones you prepare yourself to fend off, and the ones that, you fear, will catch you completely unaware and defenseless. The Internet of Things (IoT) is nothing if not an endless proliferation of details. It's the vision of a world in which continuous Internet connectivity and addressability is embedded into a growing range of human artifacts, into the natural world, and even into our smartphones, appliances, and physical persons. In the IoT vision, every new "thing" - sensor, actuator, data source, data con...