Title: Service Provider Opportunities & Strategies in the Internet of Things
Author: Machina Research - Sponsored by Cisco
Date Posted: 2015-12-21
Notes: The Internet of Things (IoT) represents one of the most transformative technological phenomena to emerge in the 21st century. Its impact will be far reaching, touching practically every aspect of day-to-day human life and profoundly disrupting business and commerce. Such a transformation also brings with it a market opportunity that will have unprecedented scale – one that we see amounting to USD4.3 trillion by 2024. There are many different players vying for a slice of that revenue, not least telecommunications service providers (SPs), many of whom have identified the IoT as a significant growth opportunity. Market leading SPs, such as Vodafone and AT&T, have already developed new technological capabilities and business competencies to address the IoT. Many have seen substantial growth in so-called machine-to-machine (M2M) connections over the last three years. With connections and revenue growth typically around 25%-30%, this line of business in connecting new devices is outshining more traditional telecoms activities. However, to truly thrive in the IoT-enabled world, SPs need to look beyond simply connecting devices, to developing a broader set of competencies associated with the wider requirements of the IoT.