The latest disruptive technology to command attention, ignite imagination and serve as a harbinger of both hope and danger is wearable technology. It offers unique attributes and myriad applications in a wide range of industries, and offers a platform for continued innovation.
Frost & Sullivan's latest report on wearables titled "Wearable Technology – Has the next enterprise game changer arrived?" throws light on the state of this emerging technology and its potential impact on enterprises.
According to Arvind Arun, Industry Analyst in the ICT Practice at Frost & Sullivan, the market for wearables in APAC is currently worth USD 8.5 billion and is expected to grow to USD 37 billion over the next 5 years at a CAGR of around 34%. The report states that the uptake of wearables in enterprises will happen at a much faster rate with volume shipments poised to grow at a CAGR of around 75% in the period 2014-2018.
The three most important drivers propelling the market forward according to the report are, firstly, the explosion of the IoT ecosystem and the potential of wearables to act as the gateway to the IoT world. Secondly, the ability of wearables to provide contextual computing capabilities that opens up new avenues of growth and possibilities. Finally, several disruptive attributes of wearables that empower the wearer with enhanced capabilities.
But the growth drivers notwithstanding, Arun is quick to add that the industry must address some serious challenges to fully realize the potential and promise of wearable technology. These include technical challenges such as battery life, versatility and robustness of sensors, and interoperability between various devices and platforms. Additionally, providing impetus to the app developer community and wearable data management are important obstacles that need to be overcome.
Speaking about the disruptive potential of wearables, Arun remarked, "Wearables could seriously challenge the status quo in several industries and could substantially enhance process efficiency, customer experience and worker safety in hazardous work environments."
"Like all disruptive technologies," Arun added, "Wearables will immensely benefit certain industries such as Healthcare which is likely to see a sharp increase in prophylactic therapy and preventive medicine. On the other hand, wearables will increase the practice of 'showrooming,' which could put additional stress on traditional retailers. Also, wearables could serve as an alternative to credit and debit cards and hence may further disrupt the payment industry."
To cut a long story short, wearable technology has arrived and regardless of the size of your organization, the industry you operate in and the nature of your customer(s), wearables will change the way you work, compete and deliver value in the market place.
And, as with all disruptive innovations, the early movers will thrive while the laggards will struggle to survive.