Projections about how many connected devices we’ll see five or more years out are all over the map. But that’s ok, because the Internet of Things movement is not about the volume of devices involved, but rather the value organizations and society as a whole get from them and the related systems and strategies.
That was the key takeaway from today’s Analyze This session at IoT Evolution Expo in Las Vegas. The panel featured a collection of industry analysts, including James Brehm of James Brehm & Associates, Steve Brumer (News - Alert) of 151 Advisors, Andy Castonguay of Machina Research, Sam Lucero of IHS Technology, and Dan Shey of ABI Research.
“We’re talking about numbers,” said Brehm. “Who cares, we know it’s going to be huge.”
“There is an opportunity that is explosive and growing every day,” noted Brumer.
A gating factor to faster IoT growth sooner, however, is the fragmented ecosystem. There are a lot of players in the ecosystem, and the IoT industry has to move faster to consolidate them because creating solutions on this front requires too many partners and pieces at this point, Brehm and Brumer indicated. Brumer mentioned how at least four companies are involved in powering an application he uses in which a racecar on the track communicates with the pit stop.
Lucero said there’s already been consolidation in the module space by companies that are trying to create volume opportunities for themselves. He also noted that various network operators, like AT&T and Orange (News - Alert), are working to create end-to-end strategies for IoT.
The analysts offered medical, transportation, and wearables as three areas where the IoT action is.
Castonguay noted that the IoT could save transportation 10 to 15 percent in fuel costs, which he said is a hard number. He also mentioned the ability for IoT to power virtual care centers and be involved in refrigeration for vaccines.
While saving money has been a key focus of initial IoT applications, in the end it’s really about business transformation and improving quality of life, Brehm said. But it all starts with building the strategy behind these IoT initiatives, he added.