The Internet of Things is one of the most talked about trends in the tech industry today. It’s massive size and scope is estimated by some to grow to over 50 billion connected devices by 2020, (although others have that number closer to around 30.7 billion devices), which in real-world economic terms is equivalent to $14.4 trillion in potential business opportunities. It’s so big that it seems almost too overwhelming to fully contemplate.
How do you even begin to capitalize on such a huge concept as the IoT? What value can it really offer your business?
Steve Taylor from The Technology Partnership (TTP) suggests “there’s simply no point in objects talking to each other just for the sake of it. The IoT only provides the communications backbone. An Internet of Sensors looks more like the roots of a tree, with sensors of all types at the extremities, capturing and feeding data upwards to the main trunk – the Internet.”
Ultimately, the value of the IoT comes in three main ways.
- Increasing productivity
- Decreasing operational costs
- Creating new market opportunities and new products
Almost all businesses rely on "big data" or analytics to create better products and services for their customers, but in addition to this, big data helps create competitive advantages by opening up new markets for businesses to move into.
In a mobile, always connected society, the internet of things is the key to creating a smarter more efficient and connected experience for both consumers and businesses.
But, we're just at the beginning. To help you understand just how big the IoT really is and where that $14.4 trillion projection will be coming from, check out the infographic below from Cognizant.