The “Internet of Things” (IoT) is one of the fastest growing technology segments in the global economy. Year-to-year spending on Internet of Things technology is expected rise 14.6 percent to $772 billion in 2018. The effects are being felt in a wide variety of industries such as manufacturing, transportation, software development and more. The market is moving so fast that it can be difficult to keep up with the avalanche of information. To make it easier, here is a list of the hottest trends in IoT for 2018.
Top Six IoT Trends
- Digital transformation. IoT has accelerated the state of digital transformation faster than any previous technology – more than the PC and more than the mobile device. There are 8.4 billion connected devices in use today, up over 30 percent from 2017. That number is set to balloon to over 20.4 billion by 2020. With smartphone sales flattening and PC sales shrinking, most of that growth will be spurred by the explosion of IoT. This will push companies to be more digitally focused than ever before.
- Next-generation manufacturing. IoT has become an integral part for what people are calling Industry 4.0, or the 4th industrial revolution. If it sounds like a big deal, that’s because it is. IoT helps manufacturers streamline, simplify and automate various manufacturing processes. IoT is transforming many aspects of operations including real-time production monitoring, improving the accuracy of critical metrics and product yield rate efficiencies. Manufacturers are rapidly investing in IoT to create new products and services while driving down production costs. These competitive advantages will soon have to be utilized by all departments if they hope to compete in the marketplace.
- Smart cities. Cities all over the world are enacting initiatives that utilize IoT technology to make them smarter and more efficient. According to IDC latest study, Worldwide spending will reach 135 billion by 2021. The United States is the largest market – forecast to reach approximately 21 billion with five-year annual growth rate (CAGR) of nearly 19% IoT has the power to help revolutionize waste management, water delivery, energy companies, law enforcement and more. Agencies can use data to become much more streamlined, improving both the performance of the government and the lives of its citizens.
- Analytics. Collecting data is no longer an issue. Interpreting it and converting it into actionable policies that improve efficiency should always be the true goal. To do that, companies will have to carve out more and more space in their budgets for their analytics’ practice. As these analytical methods become more refined and practical to use, IoT adoption will continue to rise. Management teams now can make better and more informed decisions by quantifying solutions to complex problems rather than relying on gut instincts.
- Security. With billions of new, connected devices collecting massive amount of data, the security risks posed are potentially severe. Cyber-security remains one of the most important issues in our times. Data must be collected in a responsible manner and not be allowed to fall into the wrong hands. You wouldn’t want your IoT-enabled car to be hacked, or your smart home security system to be compromised. This is a pressing issue that not only must be solved for the present, but it must continue to be iterated on indefinitely so that vulnerabilities are closed as soon as they are located.
- Machine learning. One of the biggest obstacles standing in the way of ubiquitous IoT adoption is the difficulty in analyzing the huge data pools gathered by the devices. This offers an amazing opportunity for machine learning to take the next step in its evolution. It seems like the perfect match, as vast amounts of data will make the algorithms smarter, allowing them to analyze new data more accurately. This positive feedback loop should improve the capacities of machine learning quickly.
As you can see, the growth of IoT-related industries is transforming the way industries do business. As some of its hurdles and issues are overcome, more devices will be connected, and more data will be collected. Once this data can be parsed and analyzed efficiently, it’s hard to think of an industry that won’t be fundamentally altered. You need to be prepared for what the future brings, and VantageOne Software can be your guide through this ever-changing technological landscape. Our team is experienced and knowledgeable and will have solutions tailored specifically to your industry and needs.
What trends are you seeing in the Internet of Things?
Let VantageOne Software transform your organization today.
VantageOne Software is a leading onshore software development provider offering web, mobile and enterprise-level custom software and application services. For more than 20 years, our teams have used their technical expertise and in-depth domain knowledge to streamline organization’s operations for optimal success — a real competitive advantage. Certified as a Women’s Business Enterprise (WBE) through NEORSD and WBENC.