There are a lot of groups out there predicting the future and growth of the Internet of Things (“IoT”). One group, however, has a proven track record of reliability and expertise in this space, so when that group – Gartner, Inc., the world’s leading information technology research and advisory – talks, people tend to listen.
This week Gartner has come out with some additional information and projections shedding yet more light on where IoT is now, and where it’s most likely headed in terms of growth, number of “things”and dollar impact of what many have come to regard as the third and most significant wave of the Internet.
ZDNet’s article on the Gartner study highlighted the following takeaways:
- by the end of next year, some 6.4 billion ‘things’ will be connected to the Internet;
- that’s a 30 percent increase from this year;
- that number will likely reach 20.8 billion connected devices by 2020;
- By next year, as many as 5.5 million new “things” will become connected to the Internet or to each other, every day.
Regarding IoT hardware spending, according to the Gartner press release, “…consumer applications will amount to $546 billion in 2016, while the use of connected things in [business] will drive $868 billion in 2016.” This number is expected to exceed $3 trillion by 2020. (Source: Gartner, “Gartner Says 6.4 Billion Connected “Things” Will Be in Use in 2016, Up 30 Percent From 2015,” November 10, 2015).
Clearly, the Internet of Things is growing at an exponential rate, both in terms of physical objects and devices and economic impact. Smart businesses will therefore do well to invest their time, energy and resources in understanding IoT now, and devise a vision, strategy and plan to compete in the IoT-driven economy to come.