The Internet of Things (IoT) has been proclaimed as the next generation technology. The capability of transferring data over a network without the need for human interaction will enable various devices such as appliances and automobiles to interact with each other on their own. When you look at the potential, it is one of the biggest revolutions waiting to happen in the realm of technology.
When devices get connected to the Internet and can interact on their own, they acquire the ability to perform some exceptional activities. For instance, the IoT can probably turn an ordinary refrigerator into a smart fridge, which could do much more than adjusting the cooling levels based on the stored articles. A real smart fridge would be able to track and provide a real-time update about the contents stored in it, and could even interact with your smartphone to order the groceries on its own.
It is this kind of power which can transform simple devices into smart equipment to give them a new purpose is what makes IoT irresistible. Hence, considering the impending changes this emerging technology could trigger, most businesses might be thinking about investing in it to stay on top of the futuristic demands. However, there are a few key things you need to consider before you invest in any IoT-based product or business to make it worthwhile.
Apart from letting the devices interact with each other IoT also creates a platform that is proliferated by sensors. It results in the generation of a massive amount of data in a short span of time. To put the data to the right use, it needs to be stored in right way, which in turn requires enterprises to install substantial infrastructure. Furthermore, extracting actionable information through data segmentation and integration is the core objective of collecting the data, which requires the on-boarding of core processes and expertise that can support efficient reporting and effective decision making.
As most of the current infrastructure across many industries need considerable improvements to support such colossal amount of data and its analysis, it would require massive upfront investment. While Amazon Web Services, Microsoft, and IBM are some of the companies that are doing enough to streamline the infrastructural needs and make it affordable to all, it will be a while till technical feasibility becomes accessible to all.
It should be noted that the real value of the IoT encompasses the benefits from technology. Creation of potential revenue streams that deliver new value propositions is the primary significance of IoT. The key is to utilize the technology to develop futuristic business models and services, which would in turn help in realizing the core value. Already the IoT install base is growing rapidly.
For instance, highly powerful tools are already being developed that would have advanced prerogatives such as genome sequencing, cybersecurity, and biometric fraud detection. These types of value propositions would propel the implication of the technology, which itself is poised to grow into a multi-trillion dollar market in a few years from now.
As IoT relies immensely on the technical proficiency of the devices such as sensors to capture the required data, it’s evident that the quality of the data is directionally proportional to the technical capability of the devices. In turn, the reliability of the insights that would get derived out of the data would also be dependent on the quality of the data. So, if a firm wants to answer critical business questions based on the analytics of from the data from IoT devices, it needs to ensure the devices are of high quality and can capture data with maximum accuracy.
However, as the technology keeps evolving, both the hardware and software of the devices that constitute the IoT is also said to improve rapidly. Regular maintenance and better risk mitigation solutions are some of the methods to eradicate the risk of inaccuracies from the system.
Safety and Preservation
As the technology evolves, considerable research on building the devices with maximum security features is essential. It must be remembered that our future environment will he thoroughly infiltrated with high-tech devices that would be used to extract and store sensitive data. Compromising or hacking such critical data could lead to colossal disruptions and depletion of valuable resources, and could even pose a threat to the existence of the society as a whole. Hence, protecting the devices against external sabotage by incorporating innovative security features would be mandatory, which would require constant maintenance and upgrades on a huge scale.
As Internet connectivity grows, the IoT is set to turn into a commonplace. Hence, investing in it is about a long-term strategy and for assured results investors need to have a complete picture of the initiatives, risks, and returns from the venture.
On the whole, when devices are programmed to connect to the Internet and interact on their own, they acquire the ability to perform some exceptional activities. The real value of the IoT encompasses the benefits from technology, and the creation of potential revenue streams that deliver new value propositions would express the significance of IoT in the next few years.