In the 4th annual Internet of Things (IoT) Barometer Report released by Vodafone, the operator has analyzed the ways IoT has transformed the business of American companies. 28% of the businesses already have IoT projects. A further 35% are less than a year away from launching their own projects, and more than three-quarters of businesses say that IoT will be “critical” for the future success of any organization in their sector, says the report.
The report has identified significant five key areas that would shape up the IoT. Adopters assign 24% of the entire IT budget to IoT — on a par with mobile, cloud and analytics. 76% of businesses said that IoT will be “critical” to future success, and 63% expect to have live projects within the next year. 63% are seeing “significant” return on investment, up from 59% in 2015. Overall, it shows a bigger commitment from the companies to roll out IoT projects on a massive scale.
Interesting, IoT expands the businesses’ scope. To say, 29% are using IoT to connect multiple organizations into their ecosystem. 46% of the adopters plan to launch such connected projects in the next two years. Also, 44% of the adopters have certified IoT as an enhancement tool to improve customer experience. A 20% see an improvement in the business after integrating IoT into their businesses, especially, in revenue, system uptime, cost and asset utilization, etc.
By integrating IoT in business, 90% of adopters mean that they store IoT data in the cloud, use analytics to support decision-making, integrate IoT data with core systems like enterprise resource planning (ERP), and use mobile devices to give employees access to IoT data. 81% of them said that the real value from IoT can be obtained only if the companies effectively use the data.
Whatsoever the stated benefits are, the businesses are aware of the security hassles coming up with IoT and are optimistic in dealing the threats. 30% said they have changed or restricted the scope of IoT projects to limit security risks, 75% say that security risks are a fact of life, and more than 60% said that they already have the necessary skills, processes, and technology to manage IoT security. They are also providing training to the staff, improving processes, as well as establishing the right relationship with the providers.
Vodafone has surveyed 17 countries across all major regions to gather the data for this report. Also, the respondents are from varied sectors of the industry, including SMEs, multinationals, etc. The respondents comprised of decision-makers at the senior manager level or above, and they represented a mix of departments. The report has conducted nearly 1100 interviews to generate the analysis.