Many of the technology trends of 2016 are beginning to take greater shape in 2017. That includes the internet of things (IoT). While there seems to be more buzz around artificial intelligence and machine learning, many tech experts are still tinkering away with the various IoT applications, creating smart offices and homes that have networked climate controls, appliances and utilities to improve energy consumption and security. While I'm currently not representing any IoT products or startups, I have tried and tracked numerous solutions.
Certain types of IoT products have gained momentum in the market, including home thermostats, door locks controlled from smartphones and smart refrigerators. This is just the beginning from what I've seen as many of these companies develop. Whether you are thinking of creating your own IoT startup, contemplating adding IoT applications to your business or pondering the investment possibilities, it is important to pay attention to some of the key trends shaping this area over the coming year.
Increased Vertical Application
Thermostats and home appliances seem to be doing well as IoT applications, because the companies' target audiences understand the value these products add. They can see where they would fit in their lives. Therefore, the trend seems to be going toward additional niche industries such as smart cars, climate control and home security.
At some point in the future, all of these verticals will connect like dots. Until then, separate emerging IoT solutions for things like smart cities and connected cars will be popular this year. At the Consumer Electronics Show (CES) in Las Vegas this year, vendors illustrated some of these applications and their benefits for users, including thermostats and refrigerators that re-order products when you're low on inventory from sites like Amazon.
Research how your industry can get involved in IoT and whether there is a marketable quality to an IoT product or not. If you are interested in IoT or currently developing an IoT solution, focus on what industries may be undertaking a more rapid adoption.
The Emergence Of IoT Marketplaces
Alongside the vertical development of IoT solutions for various industries, marketplaces may also build momentum toward greater adoption this year. The IoT marketplaces are like gateways that offer companies the option to connect and interact with a wide range of vendors, without having to create or change existing platforms.
This could be revolutionary for industrial businesses seeking to modernize and automate their industrial tools and processes but are stuck with legacy devices. They can tap into industrial drivers, data hubs, security monitoring, data visualization and data mapping without making any significant investments. Those within the IoT marketplace can share data and tools for further cost and time savings. It’s an entirely different way of looking at IoT that could attract numerous types of businesses. Solution providers for other business operations like CRM, financial management and sales could also create similar marketplaces that work across other types of industries.
Big Data Goes The Way Of IoT
One of the biggest verticals that will get attention this year is IoT analytics. Big data is already on people’s minds: Combined with IoT cloud platforms, these IoT devices are storage facilities that actually house a significant amount of data. In turn, this data can be fed into IoT analytic algorithms to deliver insights into businesses' target audiences. In doing so, more detailed patterns may emerge. This trend could be another way that small businesses can benefit from analytics that have previously seemed to only serve large companies.
Machine Learning Integration
Machine learning advances on its own, but IoT can rapidly accelerate its ability to connect various devices together to share and digest large amounts of data at once. By connecting various devices, the cognitive IoT capability can delve deeper and come back with even more patterns and context for input than ever before. Tied to the above trend toward better analytics, the connection to artificial intelligence simply takes it to the next, more advanced level.
Greater Focus On Security Measures
Concerns over security have been one of the main barriers to further IoT adoption. This is looking like the year of security to help ensure that, as we connect more devices together, we don’t make ourselves more vulnerable. This is an ideal opportunity for security startups because of the demand to ensure that IoT ecosystems (and the data and devices that come with them) are protected.
Blockchain is one IoT solution: It can bolster security, creating increased trust and faster transactions. Many applications have emerged in terms of how blockchain can help businesses improve security, privacy and efficiency in all types of financial and non-financial transactions, such as connecting IoT devices and protecting the data transmitted between them.
With so many organizations and startups working on various applications for IoT, 2017 may be a turning point in the adoption of this technology as more consumers and businesses see the benefits of networking various tasks and aspects of their lives.
