March 18, 2015 | Authored by: Vindicia Team Blogs
10 Internet of Things Stats You May Not Have Known
Nearly everyone these days has likely heard of the Web in some capacity. But the Internet of Things is a widely used buzzword that not many people know about. The IoT is how businesses connect with consumers and clients today. It's how consumers interact with streaming video, OTT content and other electronics, software or sensors embedded in various devices.
The connected network of physical objects enables real-time and instant accessibility between various systems and humans. Anything that has data transfer capabilities is connected to the IoT, which may explain why its market value has increased tremendously in the past five to 10 years.
Listed below are 10 more surprising statistics about the current state of IoT and what the future may hold:
- It's growing fast: Recent Gartner statistics found that the IoT will include 26 billion units installed by 2020, in which time product and service suppliers will generate revenue in excess of $300 billion. The IoT is changing smartphones and devices into commodities for a macro-level level upgrade to smart things or units. For instance, an entire factory or home will be ubiquitously connected, in which tablets, phones and other devices will be a part of a well-connected network.
- Devices are more connected now than ever: According to Cisco research, connected devices outnumber the world's population by 1.5 to 1 for a few reasons. For one, cloud computing and analytics are growing in importance from a business perspective. Personal smart devices and machines are also now more connected than ever before. Lastly, supply chains, partners and customers are now using connecting applications.
- IoT = IoE: The Internet of Things has been aptly dubbed the Internet of Everything because of its ability to transform nearly any man-made device into a data collection and transfer hub. Separate Cisco research found the IoE, or the connection of people, process, data and things, will dramatically impact the private and public sectors. More specifically, the IoE could generate $4.6 trillion for the public sector over the next 10 years. On the other hand, the IoE is poised to generate $14.4 trillion for the private sector over the same time period.
- Costs have declined in recent years: As public broadband continues to grow in availability, the cost of connecting different devices is going down - and fast. Goldman Sachs says the cost of bandwidth is 40 times lower than it was 10 years ago, while the cost of processing has declined 60 times as much in the same time period. Personal devices are the gateway to IoT and Wi-Fi is now free and nearly ubiquitous at local merchants and across various businesses.
- Unlimited capability: Goldman Sachs also found that the latest Internet Protocol addresses, known as IPv6, now allow for a nearly infinite amount of identification and and location systems on a personal computer or device. The latest version, IPv4, allowed for 4.3 billion addresses. Things are getting faster by as time goes on, which is good news for those who wish to remain connected and do so at high speeds.
- "The IoT is how businesses connect with consumers and clients today."
New devices driving growth: New upgrades or some type of technology is seemingly always on the cusp of release these days, which is a likely driver in the growth of IoT. Citing Cisco research, Business Insider reported one-third of respondents in a recent study said new types of connected devices were driving IoE expansion. Another 32 percent of respondents said increasing volumes of data and cloud computing was a primary driver, while 31 percent added cloud-computing was an important aspect of growth.
"The IoT is how businesses connect with consumers and clients today."
- IoT is going business mainstream: A recent infographic compiled by industry website Best Computer Science Degrees found 96 percent of senior business leader respondents said their companies would be using IoT technology within the next three years. More than three-quarters of respondents said their firms are currently exploring the option of implementing IoT technology, while another 68 percent said their organizations are already investing in it.
- Consumers will follow suit: The IoT is connecting how everyone interacts not only with their devices, but also with the world around them. Acquity group found 69 percent of consumers plan on buying an in-home device within the next five years. By the end of 2015, 13 percent of consumers will own an in-home IoT device. The consumerization of smartphones and portable technology has made life easier for owners of these gadgets. Consumers now want that same type of convenience and constant connectivity in their home life as well.
- IoT on wheels: Further Goldman Sachs data found connected car penetration is growing quickly. By 2019, there could be as many as 100 million units manufactured in the U.S., with safety, diagnostics, infotainment and navigation applications leading the way behind its growth. People want a safer, smarter vehicle, and it looks as if they are on their way. Connected vehicles can provide everything consumers want, including entertaining content, if they have the right connection.
- Data ownership an issue: A recent TRUSTe survey revealed 35 percent of domestic online users own at least one smart device other than their phone. People now are now more connected than ever before, but as a result, a majority of consumers - 79 percent, TRUSTe said - are concerned about the idea of their personal data being collected by smart devices. Another 69 percent feel they should own the data that's on these devices. Consumer privacy in the big data age has yet to be fully determined.
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