Skip to content

Demystifying the Protocols Powering Digital Transformation

Protocols are akin to the hidden operating system directing traffic flows that keep information society connected. Just as standards evolved enabling telephone networks to interconnect over a century ago, common languages bridging between computers, apps and networks continue advancing the reach of digital disruption.

This expert guide will decode need-to-know protocols powering the pillars of digital transformation – from artificial intelligence and big data analytics to encrypted networks and decentralized finance. Savvy technology leaders must not only optimize adoption of the latest protocols but also anticipate how new breeds will shape ecosystems ahead.

The Protocol Tech Stack Underpinning Digital Business

Modern digital infrastructure relies on layered protocols translating raw data into useful business insights and customer value. A typical enterprise protocol tech stack includes:

Application Protocols – Allow software communication (HTTP, REST, WebSockets, Protobuf)

Transport Protocols – Establish basic connectivity (TCP, UDP)

Internet Protocols – Handle addressing and routing datagrams (IP, ICMP, ARP)

Link Protocols – Govern node-to-node transfers over physical media (Ethernet, WiFi, PPP)

Higher level protocols build on lower level ones for end-to-end transmission. For example, when requesting a web page:

  1. HTTP rides on
  2. TCP which relies on
  3. IP and
  4. Ethernet protocols

Protocols also secure exchanges. SSL/TLS encrypt HTTP traffic while IPSec protects IP-based communication between hosts.

Understanding how core protocols map to business activities and technology initiatives allows more optimized adoption.

Popular Protocols By Primary Business Function

Business Function Core Protocols
Websites & Web Apps HTTP, HTTPS (HTTP + TLS)
File Sharing Services FTP, SFTP (FTP + SSH)
Email Communications SMTP, POP3, IMAP
Identity Services LDAP, OAuth 2.0, OpenID
Cloud Computing REST APIs
VoIP Services SIP, RTP
Mobile Payments NFC
Streaming Video RTSP, RTMP
Databases JDBC, ODBC

Now let‘s explore widely adopted protocols across key digital transformation pillars:

Cloud Computing Protocols

Cloud computing relies on application protocols conveying requests between distributed services:

REST (Representational State Transfer) – Dominant lightweight protocol interacting with cloud APIs and web services. REST leverages simpler HTTP methods like GET, POST and PUT to create, read, update or delete data by representing desired state changes.

gRPC (Google Remote Procedure Call) – Modern high-performance alternative to REST popular for internal microservices. gRPC optimizes speed and efficiency via HTTP/2, protobuf serialization and connection multiplexing.

As cloud-native architectures thriving on APIs and microservices continue maturing, protocols like REST and gRPC will enable composable systems at scale.

Global Cloud API Traffic

Year % Traffic
2015 53%
2020 91%
2022 94% (projected)

Source: Cisco Global Cloud Index

Cloud computing growth underscores the rising strategic import of specialized protocols gluing together dispersed services that must interact efficiently even when rewritten in new coding languages every few years.

Cryptocurrency Driving Decentralized Protocols

Cryptocurrencies like Bitcoin pioneered decentralized protocols enabling peer-to-peer trust and value transfer without centralized intermediaries. The basis? Public-key cryptography and distributed ledgers as opposed to protocols relying on middlemen.

BitTorrent – Leading P2P file transfer protocol where users (peers) directly interconnect to share large files via torrent trackers.

Blockchain – Underlying protocol managing immutable distributed ledgers that log transactions transparently across peer nodes without central authority. Public blockchains cryptocurrencies while private ones help track enterprise records.

ActivityPub – Enables decentralized social networking between servers so users on one (e.g. Mastodon) can follow those on another (e.g. PeerTube). Challenges centralized platforms like Twitter.

Such innovations highlight how disruptive decentralized protocols can displace established centralized players across industries by removing unnecessary middlemen.

Quantum Networks Demand New Protocols

While classical protocols suffice for existing networks, next-generation quantum computing and communication systems need customized quantum protocols resilient against threats from quantum computers. Leading options include:

BB84 – Pioneering quantum key distribution (QKD) protocol for creating shared random secret keys between two remote parties to encrypt communication via quantum channel.

Quantum Teleportation – Harnesses quantum entanglement allowing transfer and reconstruction of unknown quantum states between senders and receivers as breakthrough new communication paradigm.

Quantum Commitment – Enforces honesty between mistrusting parties without disclosing secret data prematurely, enabling innovative applications.

Research initiatives by governments and enterprises to build quantum-secured communications infrastructure are well underway as existing classical protocols face uncertainty in the coming quantum computing age.

AI and IoT Spawn Smart Protocols

Frontier protocols specifically tailored for artificial intelligence and Internet of Things ecosystems also continue advancing.

QUIC (Quick UDP Internet Connections) – Custom Google transport protocol atop UDP instead of TCP aimed at low-latency applications like video chat, AR/VR, games, IoT, AI etc.

XMPP (Extensible Messaging and Presence Protocol) – Open standard for real-time communication originally for chat evolved to support IoT messaging including automation tasks and sensor data.

AMQP (Advanced Message Queuing Protocol) – Optimizes asynchronous, reliable message queuing across organizations. Applicable for IoT, microservices, analytics.

Such protocols tune performance for modern intelligent workloads and distributed production environments involving myriads of connected devices and near real-time insights.

Innovations across quantum cryptography, decentralized apps and intelligent systems ensure protocols must continue evolving alongside maturing digital technologies. Let‘s recap key learnings.

4 Takeaways for Technology Leaders

  • Map protocols to business functions – Audit which protocols support various products, services and technical capabilities
  • Prioritize speed and security – Evaluate modern protocols like QUIC and BB84 offering optimizations
  • Plan for decentralized systems – Explore blockchain, BitTorrent and other disruptive peer-to-peer protocols
  • Expect protocol disruption – Monitor advances in spaces like quantum, AI and Web 3.0 that may necessitate entirely new breeds of protocols

While often considered plumbing behind the scenes, protocols encode the rules allowing digital technologies to interact, exchange value and consume data. As enterprises modernize systems and business models, optimizing adoption of cutting-edge protocols creates competitive advantage. Technology leaders must thus track protocol innovations closely across emerging disciplines promising new breakthroughs.

Stats source: Cisco Annual Internet Report