The Internet of Things (IOT) platform market is expected to hit $1.6 billion by 2020 globally, growing at a rate of 35 per cent year-on-year, according to a Verizon report.
The State of the Market: Internet of Things 2017 report stated that the biggest growth will come from B2B applications which can generate nearly 70 per cent of potential value enabled by IoT.
IoT is at the core of digital transformation in the enterprise. They are reaping IoT benefits such as saving money, finding new efficiencies, improving customer service and driving business growth.
Besides, it’s also changing the playing field for organizations in every sector — helping them increase operational efficiency and grow their businesses.
In healthcare, it’s helping pharmaceutical companies track and trace medicines from production to patient. In agriculture, sensors on the ground are providing near-real-time data about the health of crops. Drones are already being tested by Energy and Utilities companies to monitor remote infrastructure and check for leaks, and being used by insurance companies for claims work.
According to the report, there are 8.4 billion connected “things”, up 31 per cent from 2016.
There are factors like revenue growth and regulatory compliance which are driving enterprises for Internet of Things adoption.
However, there are other factors, which are still holding the full deployment of IoT across enterprises. Standards, security, interoperability, and cost make up over 50 per cent of executive concerns.
Early adopters seem largely focused on proving out simple use cases to track data and send status alerts, just starting to realize the full value IoT has to offer in driving growth and efficiencies across the business.
“Over the past year, industry innovators in energy, healthcare, construction, government, agtech and beyond have not only piloted, but in many cases, deployed IoT technology to improve business efficiencies, track and manage assets to drive value to the bottom line. In 2017, advancements in technology and standards, coupled with changing consumer behaviors and cost reductions, have made IoT enterprise-grade, and it’s just the tip of the iceberg in driving economic value across the board,” said Mark Bartolomeo, VP of IoT Connected Solutions at Verizon.