Soon the "IoT" devices will have a tremendous effect on our lives, too. Gartner says the number of connected appliances will increase by 30% in 2016. That is, roughly 6.4 billion connected appliances. That’ll be hard to ignore it even for late adopters. What makes people so confident about the future of IoT?
The number of appliances is already a sign of the scale IoT solutions are coming to. So many devices actually represent an economic value of $1,414 billion in 2016 and promise to grow to $3,010 billion by 2020, with 5.5 million new appliances joining the network of connected things daily in 2016 Gartner says. What it means is that we’re definitely talking about one of the sectors, if not the sector, that has the most potential for growth in the coming years.
Given the information they’ll provide us and the statistics they’ll enable, connected things will also be critical to increase productivity in various sectors. Let’s take oil and gas for example: the processes are very complex, you should make sure that the whole production line is optimized to maximize the ROI of your fixed assets. Now, what if you’ve got a truck down during work hours? You’ll lose a lot of productivity. With IoT enabled predictive maintenance these scenarios will become more and more infrequent as the machines will automatically detect when they need to be maintained before it’s too late. A greater part of the jobs along the chain will be automated, creating space for more qualified posts and reducing the final price of goods for the final consumer.
The economic value and effects of IoT on productivity are all the more interesting as they meet a wide range of applications. We’re talking not only about making things faster and generating a lot of money. IoT is also, and that’s actually the most exciting part about it, about solving the deepest problems in the society. As Elon Musk put it recently in an interview for Microgridknowledge, “I think you will be telling your grandchildren you won’t believe what we used to do. We used to take out liquidized remains of dinosaurs and old plants and put them in cars and burn them to move, and did the same things with the power plants and the like. That sounds crazy”. Predictive crime analytics is another example: what if you could predict crimes before they happen? And…what if you could solve world hunger by reducing food waste by 50%? That’s the kind of deep changes IoT possibilities are creating for us to accomplish in the coming years.