News

IoT To Become Widespread By 2019

M2M & IoT
A new global study ‘The Internet of Things: Today and Tomorrow’ published by Aruba reveals that IoT will soon be widespread as 85% of businesses plan to implement IoT by 2019, driven by a need for innovation and business efficiency. While the analysis confirms the clear business benefits from investments in IoT, Aruba’s report cautions that connecting thousands of things to existing business networks has already resulted in security breaches for the majority of organizations.

The research questioned 3,100 IT and business decision makers across 20 countries to evaluate the current state of IoT and its impact across different industries. The study shows that while virtually all business leaders (98%) have an understanding of IoT, many are unclear of the exact definition of IoT and what it means for their business.

In his new eBook ‘Making Sense of IoT’, commissioned by Aruba, technology visionary Kevin Ashton—who coined the term 'Internet of Things’— presents the following definition:

“The ‘Internet of Things’ means sensors connected to the Internet and behaving in an Internet-like way by making open, ad hoc connections, sharing data freely and allowing unexpected applications, so computers can understand the world around them and become humanity’s nervous system.”

The Expectations Dividend

When examining the business benefits of IoT, Ashton discovered that the real-world benefits gained from IoT exceeded even the original expectations. This ‘expectations dividend’ is evident in two key performance areas: business efficiency and profitability.

As an example, only 16% of business leaders projected a large profit gain from their IoT investment, yet post-adoption, 32% of executives realized profit increases. Similarly, only 29% of executives expected their IoT strategies to result in business efficiency improvements, whereas actual results show that 46% experienced efficiency gains.

Chris Kozup, vice president of marketing at Aruba, comments: “With the business benefits of IoT surpassing expectations, it’s no surprise that the business world will move towards mass adoption by 2019. But with many executives unsure of how to apply IoT to their business, those who succeed in implementing IoT are well positioned to gain a competitive advantage.”