There’s this stand-up comic – Tig Notaro.
She has a YouТube talk show where she tries to guess who her guest is (she’s not well versed in pop culture). Her sidekick of sorts is an Alexa device.
But that got me thinking. Is this how the future looks like?
People and machines interlinked in every aspect of life? Even comedy?
Do you know that every second 127 new devices get connected to the internet?
This is crazy!
Do you know what other amazing things the internet of things statistics have in store for us?
Here are a few points to consider:
Interesting IoT statistics, wouldn’t you agree?
Let’s dally a bit more with Alexa.
Do you know that by the beginning of 2019 Amazon had sold over 100 million Alexa-enabled devices?
eMarketer predicts that smart speaker assistants like Alexa and Siri will grow their user base to 76.5 million in the US alone.
And here’s why:
As of April 2019, Amazon has added over 90,000 skills to their Alexa-enabled devices.
Compared to June 2016, when the skills were just 1,000, that’s an enormous leap forward.
Improved functionalities will no doubt increase its popularity and thus sales.
I mean, I want one now.
The truth is:
Amazon smart devices are only one example of what the internet of things market brings to the table.
2020 was certainly disruptive for many businesses in various ways. In the realm of IoT, the trend was no different.
If insights from a 2017 IoT forecast report from the International Data Corporation are to be believed, worldwide spending may have already exceeded $1 trillion. Next year, the spending on IoT projects is expected to grow by another $100 million, with more than 55% of it spent on software and services.
In 2020, just three industries – discrete manufacturing, logistics and transportation, and utilities may have accounted for 50% of all IoT spending.
Interestingly, when looking at the forecast of the end-point IoT market size (Gartner), we also see just three segments dominating half of the industry. Of the 5.81 billion units of IoT end-points, roughly 3.16 billion are in use in the sphere of utilities (1.37b), government (0.7b), and physical security (1.09b).
(Source: IoT Now)
Building automation is among the fastest-growing segments as far as IoT applications are concerned, and it is expected to grow by an astonishing 42% this year (rising from 0.31 billion to 0.44 billion units in IoT end-points). Connected lighting devices would be the single biggest drivers of this growth.
Let’s look closer:
By the end of this year, Statista forecasts that the global IoT market will more than double, compared to only 2 years ago when it was evaluated at “just” $100 billion.
They also suggest that by 2025 that number will grow to $1.6 trillion.
Business Insider, however, shows even greater optimism, saying the IoT marketplace will grow to over $3 trillion by 2026.
The IoT market size, according to Gartner, will amount to:
(Source: Gartner, Statista)
That’s a wide range there! Even still, projections agree on one thing – the number of connected devices will get to be ridiculously high in no time.
Most startups these days are technology-related, even though the competition is fierce. Obviously, almost none of their products will be running in a vacuum – they’ll need a way to get feedback from the outside world.
Technologies such as smart speakers, 5G, and machine learning will greatly influence how efficiently we manage our homes and businesses.
Statista forecasts that 5G technology alone will power 1.3 billion mobile IoT devices by 2023, contributing to the internet of things network.
You might be wondering:
Where are all these numbers coming from?
So, let’s look at where the smart devices are.
Despite Alexa’s great popularity, at the moment IoT devices are mostly used in our factories, the healthcare sector, and some businesses.
According to Statista:
The technology behind fully autonomous cars is undergoing rigorous trials and further developments. It’s early to expect fully driverless vehicles on the road… yet.
Gartner experts predict that by 2021 only 1% of the long-haul freight will be carried by autonomous trucks.
We’ll see a jump in the share of partially-automated cars by 2025 when, as Statista predicts, the global market will reach $36 billion.
Eventually, fully-autonomous cars will catch up, and by 2035 North America will hold 29% of the self-driving fleet. China – 24%, and Western Europe – 20%.
(Source: Machina Research)
An internet of things market analysis forecast conducted by Machina Research predicts that in just five years, the IoT market will represent a revenue opportunity worth $4 trillion. In arriving at its forecast, Gartner’s think tank went beyond the focus on the development and growth of machine-to-machine (M2M) applications and also included associated services that are on the rise because of it.
McKinsey’s Global Institute arrived at even more astonishing figures, providing an upper estimate of around $11 trillion for its total economic impact. That’s much higher than the GDP of Japan and Germany combined.
(Source: IoT Analytics)
Data gathered from the IoT statistics of 1,600 enterprise IoT projects worldwide reveal that for the clear majority (54%) of them, cost-reduction was the primary driver. Only 35% of IoT projects related to an increase in revenue, and an even smaller number (24%) focused on improving security.
Alexa, Lock the Door, Please!
Amazon’s Echo device currently dominates the home IoT market. That might be about to change, as experts forecast that soon other smart home devices will catch on.
IoT statistics predict that the result will be:
We should expect home security systems, automated lighting, climate appliances, and entertainment to become an integral part of the IoT and our lives.
Healthcare is another area where the IoT revolution is inevitable. Let’s see how that’s playing out.
(Source: Allied Market Research)
The healthcare market is greatly influenced by the internet of things. A fact confirmed by the statistics.
In 2014, its market size was evaluated at $60 billion.
In 2021, it’s forecast to reach $136 billion.
That’s a 12.5% compound annual growth rate (CAGR) for that period.
We’ll see the internet of things greatly influencing all aspects of medical care – from diagnosis, measurement, and monitoring to surgery and patient care.
This means devices such as Bluetooth-enabled blood pressure cuffs and symptom-tracking apps will be commonplace.
It’s no doubt fascinating that we’ll soon be aided by a network of connected devices in our homes and hospitals.
However, the internet of things will have an even greater influence on our businesses and city life, stats say.
Smart Machines – Smart Cities
We’ll see interconnected devices playing a more and more significant role in future projects for smart cities.
IoT Analytics sheds light on the raw statistics, but we should tackle that vague term first.
A smart city is a metropolitan area that uses technology, and more specifically, IoT and extensive internet connectivity, to enhance its services and overall efficiency.
The concept can be applied to advance transportation for example. Or to improve access to information. It aims for sustainability and better livability.
And now the numbers:
(Source: IoT Analytics)
The majority of those projects were located in Europe (45%).
According to IoT Analytics findings, at the end of 2018, smart city initiatives have surpassed connected industry as the number one IoT segment.
In the US, 66% of the cities were investing in smart technology back in 2017 and another 25% were considering their options.
(Source: Frost & Sullivan)
Plus, experts estimate that smart cities will surpass $2 trillion market value by 2025 – with artificial intelligence (AI) and IoT being the main driving forces.
Now, smart cities are a hot topic for statistics, but we should get a wider perspective.
According to IoT Analytics, 17% of the total internet of things projects are in connected industries.
This division of the IoT market covers applications both in and out of the factory.
Some of its most popular “things” are remote controls for connected machineries, such as forklifts and cranes.
More holistic solutions, such as automated quality control systems and production floor monitoring, are another example. They show how widely and thoroughly the internet of things network is able to spread.
From the tiniest to the biggest device – we can, potentially, automate and interlink them all. As a result, we can expect IoT to lead to optimized costs and a safer workplace.
Companies in the States have realized the potential. Currently, the US holds the biggest industrial IoT market size – 45%.
Experts researching the internet of things statistics say that:
(Source: Tech Pro)
So far- so good.
But how about we get into some practical applications?
The internet of things is part of the picture, so what now?
How do we apply it to our benefit?
Over the last years, as both demand and investment in IoT have grown, the technology has been on the path of rapid advancement.
In their 2018 report, IDC projected the worldwide shipment of internet-connected vehicles to reach nearly 76 million units by the year 2023, amounting to 70% of the total figure. Meanwhile, within the U.S., the portion will be 90% of all new vehicles. This is based on a forecasted CAGR of 16.8%, as backed up by the internet of things statistics.
Just how big is a zettabyte? One zettabyte is equal to one sextillion bytes, or, to write it down as a number, 1,000,000,000,000,000,000,000 bytes. If you were to count nonstop at one number per second, it would take you a good 31,705,770,450,221.94 years or nearly 3,000 times the age of our entire universe.
The total internet combined today represented 4.4 ZB last year. However, by 2025, it is expected to grow to a staggering size of 175 ZB, of which 79.4 ZB would be attributable to IoT devices.
Preparing for the IoT Future
The growth of the internet of things will mean that at some point we’ll have to get ready to apply it in our business.
Here are a few things to consider when implementing smart devices.
IoT devices will ensure you have the information needed to improve your efficiency.
However, you need to be able to make sense of it all. Receiving the information from all the sensors and gadgets is the easy part.
That’s a lot of work -the data comes in massive amounts.
And here is where you need to consider adding an analyst or even a whole team of them to your assets.
The internet of things can give you a competitive edge, but it also demands that you hire more people. Interesting, huh?
Besides an analyst to interpret the data, you’ll need to think about providing:
Figuratively, of course!
You’ll have to store the information your IoT devices produce for you.
Cisco’s internet of things market analysis says that by 2021 the IoT network will generate 847 zettabytes of data.
One option, and usually a preferred one, is to find a cloud storage provider. The solution is relatively cost-effective and scalable.
Now, another important thing to consider is how to
Everything that connects to the internet can be hacked. Everything!
What’s the point of implementing efficiency-improving solutions if you can’t keep sensitive data safe?
In 2017, the Food and Drug Administration (FDA) reported on a vulnerability in an implantable cardiac device at St. Jude Medical and that’s quite alarming.
I think we can all imagine what could happen if someone has access to our hearts… literally.
It’s estimated that more than 7.3 billion devices will need to be made secure by their manufacturers before 2020.
So you’ll have to have and implement a plan. A secure plan.
By now you’re probably wondering:
“Ok, so if I install IoT devices and take measures to read, gather and protect my data, what should I expect to get?”
Having abundant quantities of relevant data at your disposal helps you make better decisions. You learn a lot about how your customers and business partners use your products and services. And, you can also track what’s happening inside the company more easily.
That, in many cases, means improved collaboration and productivity. A Harvard Bussiness Review confirms that in a survey 58% of the respondents confirmed increased collaboration thanks to IoT initiatives.
Now, it might be scary but…
Automating many of the tasks in your office can increase efficiency.
And, no, that doesn’t mean you can fire everyone and buy a bunch of robots.
It means you could let automation handle those repetitive tasks and let your employees deal with the more complex work.
Not to mention smart assistants, like Alexa and Siri, can help schedule tasks and provide a link with other devices in the IoT ecosystem. In return, you’ll improve productivity.
Another way the internet of things helps productivity is through:
Here’s an example
Sensors can track employees’ movements. They can monitor in which rooms staff members spend their time.
Knowing that you can schedule meetings more efficiently and avoid disruption of productivity.
As a bonus, IoT helps:
Smart heating and lighting systems devices like Nest Thermostat, for example, can minimize expenses and make more efficient use of resources.
Blessed words for those with big office spaces!
Furthermore, smart devices:
IoT can make sure your warehouse and deliveries stay on track. You’ll know when your next delivery arrives, with great precision. Or where you are with your stock, so you don’t over-order.
More precise inventory tracking means better cash flow.
And finally, smart sensors:
The IoT-enabled manufacturing process is able to detect issues in real-time.
For example, if a certain component breaks down, the system notifies you instantly, much faster than a human could. You’ll be able to easily fix the issue before it’s led to further damage and financial costs.
The bottom line is that.
The network of the internet of things expands with the idea of making everything much easier and safer for us – humans.
There’s no point to shy away.
The internet of things statistics forecast that we can only expect interconnected technology to get more influential as time passes.
What are we then to do?
Well, nothing more, but to embrace what’s coming.
Accept the challenge of change and adapt to it. And why not even make it a sidekick to our comedy show?
The internet of things is really a fancy term for a rather simple concept. In the simplest terms, it means giving various objects the means to communicate, share data, and work together to automate tasks and make your life easier.
Virtually every device that can work together with another device is an example of the internet of things. An example of this would be if your toaster and coffee maker linked with your alarm clock, so your breakfast would always be ready when you woke up each morning!
Another example would be if your home thermostat connected to your smartwatch or phone to allow you to change its settings remotely or adjust it automatically depending on whether you were at home or not.
Of course, in the future, its applications could be far more ambitious. Think of the entire transport system of a city constantly in communication with fully autonomous vehicles driving through it.