Your final year project is a hugely significant piece of work that you will do in your degree. As such, it is a very good idea to start preparing for it as early as possible, this includes in the Summer before. Here are some ways that you can prepare in the Summer:
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Do your background research - once you’ve chosen the overall direction and scope of the project, it is a very good idea to research and read as much as possible in the area of your project. You’d want to read about the domain that your project is solving a problem in, also current solutions and methods are important to look at.
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Look at as many research papers as possible - online libraries and sources such as IEEE, ACM, Science Direct, Google Scholar and others, are very good and reliable sources. It is also a good idea to read around adjacent areas to have a diverse and in-breadth, as well as in-depth understanding of the area.
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If you are planning to use new technologies, programming languages or libraries, it is a good idea to become acquainted to these as early as possible, so that you are not spending as much time on this during the 3rd year, so that you can concentrate your time in 3rd year on what matters the most.
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At the same time, even if you are planning mostly to stick to technologies and tools that you already know, it is still a good idea to practice with them just so that you are prepared as much as possible in 3rd year.
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If time permits, or if you feel that you are prepared enough, it may be a good idea to start working on a bit of code to start developing a system. This will help you and save time in 3rd year, or, if the prototype is a very basic version, you would still have a more clearer picture of the end product.