San Francisco–based networking leader Cisco has released its predictions for 2014. As journalists, we receive many forecasts, but it’s hard to ignore guidance from a company with Cisco’s scale and experience.
Throughout 2013 we frequently covered and discussed the trend known as the “Internet of Things” and how the industry often lacked a clear direction. Now that direction is beginning to arrive.
Collaborations such as the AllSeen Alliance, reported recently by TelecomsTech, are emerging and helping to unify the fragmented IoT landscape. Cisco’s 2014 forecast reflects this shift: the Internet of Things is at the forefront of the company’s outlook.
In 2014 we expect to see practical implementations and cohesive demonstrations of IoT systems working together in ways not previously possible. Real-time web communications and software-defined networking platforms, paired with compelling applications, will become more widespread.
It’s important for Cisco to be accurate in these predictions: IoT represents a major revenue opportunity and a primary focus for the company’s investments. Cisco has estimated that by 2020 there could be 50 billion connected devices with a combined value of $14.4 trillion.
Maciej Kranz, Vice President of Cisco’s Corporate Technology Group, highlights three key IoT developments likely to surface over the following 12 months: real-time information, scale, and analytics.
Real-time information refers to data gathered centrally from global production sites and made immediately available to product managers and developers for quick decision-making. Scale involves scenarios such as logistics firms using predictive maintenance and tracking to optimize package shipments. Analytics includes everyday examples like vending machines alerting suppliers when inventory runs low.
These examples are only the beginning. The potential for IoT to transform daily life and business operations is exponential now that the industry is finding direction. Both B2B leaders and consumers have reason to be excited. Established concepts like Microsoft’s “home of the future” may need to be reimagined as IoT advances faster than expected.
Do you agree with Cisco’s forecast for 2014 and the potential of the Internet of Things?
To learn more about developments in the Internet of Things, consider attending IoT Tech Expo Europe 2015, taking place at London’s Olympia, 2–3 December 2015.