Internet Of Things Poised To Drive New Business Opportunities, New CompTIA Research Brief Asserts

The Internet of Things (IoT) is poised to generate new business opportunities for current information technology (IT) companies and new start-ups alike, according to a new research brief published today by CompTIA, the IT industry association.

While IT executives are evenly split on the question of whether IoT is reality or hype, CompTIA’sSizing up the Internet of Things research brief asserts that the complex mix of hardware, software, rules and services in the IoT ecosystem will create new business opportunities.

“Many IoT elements are rooted in traditional IT components, which is good news for IT companies experienced in building and linking complex systems,” said Seth Robinson, senior director, technology analysis, CompTIA.

“At the same time, we’re likely to see the emergence of many new firms focused on specific aspects of these systems, such as devices and data analysis. The true value of IoT will come from the combination and connectivity of all pieces.”

Projections estimate that the number of connected devices worldwide will grow from 14.4 billion in 2014 to more than 50 billion by 2020.

As with any new technology, one question that’s always front-and-center is: How do you make money? IT executives surveyed by CompTIA identified the following companies as most likely to profit from IoT:

• Device companies – 45 percent
• Data analytics/big data companies – 43 percent
• Companies skilled at tying services together using APIs – 35 percent
• IT solution providers – 30 percent
• Telecom carriers and cable companies – 26 percent
• Networking equipment/software companies – 25 percent
• Sensor/chip companies – 23 percent
• Platform and ecosystem providers – 15 percent

The survey data reveals an element of uncertainty around IoT, likely causing some to withhold judgment until the IoT ecosystem further matures.

While the IT industry undoubtedly sits at the center of developing, supporting and maintaining IoT, revenue and value is expected to flow across every sector of the economy. IoT presents companies with the prospect of launching entirely new activities and exploring innovative areas.

IT executives identified several areas where they expect IoT to have the greatest impact and deliver value in the long term. They include:

• Creating new revenue and business opportunities from connected systems (e.g., smart cities, connected vehicles).
• Controlling and monitoring newly connected pieces of equipment.
• Collecting new streams of data.
• Adding intelligence to previously “dumb” objects and systems.
• Gathering contextual information about customers.

“The true value of IoT lies not just in the data being generated and captured, but through the services that protect the data, perform the analysis and present findings in a usable way,” Robinson said.

More data is available on SlideShare at http://www.slideshare.net/comptia/sizing-up-the-internet-of-things.

CompTIA’s Sizing up the Internet of Things research brief is based in part on a July 2014 online survey of 297 IT companies in the United States, ranging from small IT firms to Fortune 500 companies. The complete document is available at http://www.comptia.org/insight-tools.

About CompTIA
CompTIA is the voice of the world’s information technology (IT) industry. Its members are the companies at the forefront of innovation; and the professionals responsible for maximizing the benefits organizations receive from their investments in technology. CompTIA is dedicated to advancing industry growth through educational programmes, market research, networking events, professional certifications, and public policy advocacy. For more information, visit http://www.comptia.org/.