Internet of Things market to triple by 2020

Industry experts expect revenues from the rapidly evolving Internet of Things (IoT) to triple to US$1.7 trillion by 2020.  Comprising billions of endpoints, IoT is not limited to traditional mobile devices like smartphones and tablets, but includes wearables, medical devices, smart appliances, semi-autonomous vehicles and intelligent sensors.

Hand-in-hand with the expanding technology that is bringing previously stand-alone platforms like infusion pumps and implantable heart devices online comes increased security considerations. Avoiding potentially dangerous scenarios medical companies must pursue robust hardware-based security as a primary design goal.  They must also forego their dependence on patches after a device or system has entered the market.

Similarly, by 2018, one in five cars on the road will be categorized as self-aware requiring comprehensive security models which, to date, are not available.  Vehicle manufacturers remain reticent to replace traditional software updates and patch rollouts with hardware-based mechanisms that are more robust in protecting against myriad forms of attack.

As IoT infiltrates more and more aspects of daily life the necessity for initiatives to develop security requirements and solutions will increase significantly.  Currently, the most robust security approach bakes security into the initial design and manufacturing of SoC (system on a chip).

While major industry players are projecting huge revenue gains as a result of IoT, these same players are beginning to realize that administering and updating low-cost IoT devices cannot be done in the same way that current IT systems are managed.  Software-based security solutions for IoT devices and systems that directly or indirectly support life are not adequate protection for the expanding world of IoT.

So as the internet expands again coming now to the everyday devices found in our homes, businesses and cities as well as entering the medical world and the vehicles we drive, changing the way we interact with technology and one another.  The Internet of Things has become the phrase used to describe adding connectivity and intelligence to every device giving the device special functions and creating new revenue streams for vendors and chip manufactures.

Smart cars, smart phones, smart watches, smart coffee pots, smart medical devices, smart beds and on and on it goes.  Items become smart when they are tied to the internet and interconnect with ecosystems of devices, software and services, they also become vulnerable.

The next five years are expected to see huge growth in IoT along with the increased challenge of keeping IoT secure.

The Internet of Things (IoT) also known as the Internet of Everything is the network of physical objects embedded with electronics, software, and sensors with connectivity that enables these objects to exchange data.  The Internet of Everything allows objects to be sensed and controlled remotely across existing network infrastructures thus creating opportunities for direct integration between the physical world and computer-based systems.

Ideally this connectivity results in improved efficiency, accuracy and economic benefit while also opening up new possibilities for more intense and powerful attacks on these highly connected objects as well as new potential for abuse of consumer’s personal information.

IoE has the potential to be the biggest business opportunity in the history of mankind.  It is changing the world in extraordinary and wide-ranging ways that will affect everyone.

Like the significant change heralded by the Industrial Revolution of the 18th and 19th centuries  we are now at the beginning of a wave of innovation that is changing the way we do business and the way we interact with machines.

Some researchers are predicting that this massive shift will generate nearly US$9 trillion in annual sales by 2020.  To put this in perspective, the total annual sales of the San Francisco Bay area’s 150 largest technology companies in 2012 were 677 billion the consumer electronics industry in 2013 was about US$1.1 billion and in 2014 hit a high of US$211.3 billion.

One study conducted by General Electric concluded that the Internet of Things (IoT) over the next twenty years could add as much as $15 trillion to the global gross domestic product (GDP).  That is roughly the size of today’s US economy.

The Internet of Everything will change people’s daily lives in diverse ways from the way we drive our car, use and save energy, manage healthcare to the way we work and play.  This evolving technology will create new and different jobs and businesses requiring highly skilled workers.

Technology companies working in next-generation intelligent networking, inclusive technologies and Big Data predictive analytics have wide open market opportunities.  At the same time boundaries of device authority, security and privacy and universal cyber identity will create new challenges in the realm of security. The World Internet of Things Forum in Barcelona recently identified security and privacy as top concerns as devices and sensors become the eyes and ears of this next century.