IoT Analytics predicts that the number of IoT devices in use globally reached 21.7 billion by the end of 2020. The analytics firm estimates that this number will reach 30 billion by 2025.
Unlocking the potential of the Internet of Things (IoT) remains a major challenge for organizations. In fact, according to a senior analyst at Gartner, 80% of IoT projects fail before they even begin. It's truly regrettable to see innovative IoT projects struggle to get off the ground and potentially disruptive use cases go to waste.
So, what exactly is hindering the success of IoT projects, and why?
Recently, we spoke with senior IoT industry experts from Microsoft Azure, EY, Thales, Relayr, Chasm Group, and Eseye. They shared their insights and identified four key obstacles to IoT success.
Corporate Culture
Traditional companies often lack a culture of innovation, resulting in stagnant or slow-moving IoT projects. A culture of innovation enables them to quickly deploy connectivity into their products and redesign them to maximize this opportunity.
Fragmentation
Companies built around physical products often operate in ways that are ill-suited to the connected world. The Internet of Things (IoT) brings together R&D, device manufacturing, IT, and data teams. It blurs the lines between capital expenditures and operating expenses and often transforms sales roles into ongoing customer service support. Breaking these boundaries is often necessary before true disruption is achieved.
New technologies
The Internet of Things (IoT) requires new cloud and network connectivity technologies that may not have been core elements of the product before. It is necessary to explore and embrace new technologies and combine many new advancements.
Connectivity
Connectivity has proven to be a challenge for customers who rely on their devices to transmit and receive data anywhere in the world. There are approximately 800 mobile network operators globally, each with different coverage areas, roaming arrangements, and using different telecommunications technologies. Due to the lack of interoperability between network operators, no single network can achieve global coverage exceeding 90%.
The past two years have proven to be a highly disruptive period globally. But where there are obstacles, there are opportunities. As one business leader put it, "Disruption doesn't happen on straight roads, it happens on curves."
A recent survey by Gartner shows that despite the impact of the COVID-19 pandemic, 47% of organizations will increase their investment in the Internet of Things (IoT).
In fact, the pandemic has stimulated the company's development.
Gartner states, "Most companies have many readily available cost-saving opportunities, such as predictive maintenance of commercial and industrial assets like elevators or turbines, and process optimization to increase manufacturing output."
