Biz of Things

Businesses are Realizing They Need IoT to Grow Value…..and Here is the Proof

A year ago, I started myself on a path far removed from anything I have done before. I decided to dedicate myself to the Internet of Things, not because of the shiny new toys it provides like smart watches or autonomous cars, but because I believed that IoT will change business as we know it, no matter what company you are or what industry segment your company is in. In 2016, we are finally seeing the arrival of IoT. Businesses in all segments are allocating budgets toward IoT technology and are finding ways to utilize this technology to increase their bottom line. Those of you who have followed my blog from the beginning know that I believe partnerships between tech and non-tech companies will be vital to the impact this technology will have on our world. This notion is coming to fruition, both in terms of pure partnerships with startups, and with acquisitions by bigger corporations.

According to a report released by Ernst and Young last week, the second quarter of 2016 saw the third highest global technology mergers and acquisition value ever. A large majority of acquired companies were in the Internet of Things and Data Analytics space. Additionally, IoT M&A volume rose 28% for Q2 2016. Large companies are seeing the importance of digitizing their operations and their product, and IoT adoption is becoming the primary avenue to do so.

Even the technology companies themselves, who have always succeeded on serving their non-technology counterparts, are reacting to this shift. In April, Intel announced it will restructure its business to move away from the declining PC market and focus on the Internet of Things space. This month, Cisco announced it will cut 5,500 jobs worldwide to re-focus its efforts on the Internet of Everything. Many other companies are following suit. Intel and Cisco are two timeless technology brand names who serve all enterprises, high tech or low tech, with their basic technology needs. The fact that these companies are shifting from enterprise PCs and servers to connected devices certainly points to the reality that they expect IoT to be the new basic technology that businesses in all segments require.

From the moment I stepped into the IoT world, I knew that Internet of Things technology would be adopted by all businesses in all industries, simply because of the value it provides. More data means more insight, which leads to better decisions and results in higher business value. Companies across all areas of business, whether it be industrial, cities, restaurants, law enforcement, offices, finance, and pretty much everything else, are starting to realize that IoT technology will allow businesses to achieve their goals by providing insights they never had before. As a result, these companies are aggressively adding technology partners to stay ahead of the game, and their respective allies in the technology sector are scrambling to pivot their strategy to accommodate the needs of their clients. 2016 is the year where IoT is finally exerting itself as a necessary technology, not a just a shiny toy, for business to maximize their bottom line. For most offices, IoT will be the next desktop computer; for jobs outside of a desk, IoT will be a completely new way to make the job easier and the company more profitable. How will you implement IoT to stay ahead of your competition?

 

 

 

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