The Internet of Things (IoT) is poised to generate new business opportunities for current information technology (IT) companies and new start-ups alike, according to a new research brief published today by CompTIA, the IT industry association.
While IT executives are evenly split on the question of whether IoT is reality or hype, CompTIA's Sizing up the Internet of Things research brief asserts that the complex mix of hardware, software, rules and services in the IoT ecosystem will create new business opportunities.
"Many IoT elements are rooted in traditional IT components, which is good news for IT companies experienced in building and linking complex systems," said Seth Robinson, senior director, technology analysis, CompTIA.
"At the same time, we're likely to see the emergence of many new firms focused on specific aspects of these systems, such as devices and data analysis. The true value of IoT will come from the combination and connectivity of all pieces."
Projections estimate that the number of connected devices worldwide will grow from 14.4 billion in 2014 to more than 50 billion by 2020.
As with any new technology, one question that's always front-and-center is: How do you make money? IT executives surveyed by CompTIA identified the following companies as most likely to profit from IoT:
Device companies – 45 percent
Data analytics/big data companies – 43 percent
Companies skilled at tying services together using APIs – 35 percent
IT solution providers – 30 percent
Telecom carriers and cable companies – 26 percent
Networking equipment/software companies – 25 percent
Sensor/chip companies – 23 percent
Platform and ecosystem providers – 15 percent
The survey data reveals an element of uncertainty around IoT, likely causing some to withhold judgment until the IoT ecosystem further matures.
IT executives identified several areas where they expect IoT to have the greatest impact and deliver value in the long term. They include:
Creating new revenue and business opportunities from connected systems (e.g., smart cities, connected vehicles).
Controlling and monitoring newly connected pieces of equipment.
Collecting new streams of data.
Adding intelligence to previously "dumb" objects and systems.
Gathering contextual information about customers.
"The true value of IoT lies not just in the data being generated and captured, but through the services that protect the data, perform the analysis and present findings in a usable way," Robinson said.
