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The core of IoT is the data you can draw from things and transmit over the internet. To optimize the farming process, IoT devices installed on a farm should collect and process data in a repetitive cycle that enables farmers to react quickly to emerging issues and changes in ambient conditions. Smart farming follows a cycle similar to this one:
1. Observation . Sensors record observational data from the crops, livestock, soil, or atmosphere. 
2. Diagnostics. The sensor values are fed to a cloud-hosted IoT platform with predefined decision rules and models—also called "business logic"—that ascertain the condition of the examined object and identify any deficiencies or needs.
3. Decisions . The user and/or the machine learning-driven components of the IoT platform assess the revealed issues to decide if location-specific treatment is necessary.
4. Action . After end-user evaluation and action, the cycle repeats from the beginning.