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IoT To Boom Africa’s Enterprise Business In 2-5 Years: Gartner


IoT To Boom Africa’s Enterprise Business In 2-5 Years: Gartner

The Internet of Things (IoT) will make a strong beneficial impact on the local businesses in Africa in a span of two to five years, according to a study by Gartner. The IT research and advisory company has created a Hype Cycle 2016 for ICT in Africa that derived this conclusion.

According to the derivation, the level of interest and the adoption level of Information and Communication Technology (ICT) is increasing in Africa.


Interestingly, the insurance sector is a primary corner for IoT usage in Africa. “Although Africa’s insurance sector is small, it’s a key indicator of where IoT opportunities exist and will prove long-lasting,” said William Hahn, principal analyst at Gartner. “A growing number of insurers are seriously evaluating how the IoT might best be used, especially in terms of improving the customer experience.”

“For example, drivers will be charged premiums based not only on how far they drive but also on how safely they drive and the degree of risk associated with when and where they drive,” said Mr. Hahn.

The IoT data coupled with advanced analytics will provide insurers a wider insight into the pertaining risks for their policyholders. “This will present insurers in Africa with opportunities to prevent losses before they occur, and prompt them to act to prevent risk, which could increase customer engagement and loyalty, and thereby reduce churn,” elucidated Mr. Hahn.

In the Hype Cycle created, Gartner has also listed 11 technologies that will recourse the businesses in Africa in next five years. Among the 11 is cloud office, including email, instant messaging, file sharing, document management, etc. The usage of cloud in enterprise management is increasing in Africa, primarily as a way to reduce the cost and improve the functionality.

According to Gartner’s estimate, the cloud usage in Africa will rise from 15% in 2016 to 30% in 2018.

“It’s important that organizations look beyond a ‘like for like’ deployment that focuses only on recreating previous on-premises functionality in the cloud, and investigate the unique capabilities of cloud products to improve efficiency and provide innovation,” said Jeff Mann, research vice president, Gartner and conference chairman at Cape Town Symposium/ITxpo 2016.


Ria Lakshman. V is a lead news writer at The Telecom Times. She studied Journalism at Manipal School of Communication and proceeded to work in newspapers and magazines, with technology as her focus area. Passionate about Telecommunications sector, her move to 'The Telecom Times' was a natural choice. Alongside, she also writes for Telecom Talk, where she covers news and tech commentaries in the sector of telecom. In the free time, Ria loves to go camping, read books, or sketch illustrations. She also runs a local design studio and promotes eco-friendly crafts. Ria can be found sharing her knowledge and insights on Twitter.



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