The State of Internet of Things in Six Visuals

The State of Internet of Things in 6 Visuals

The Future of IoT in a Graphic

The IoT, or Internet of Things, is burgeoning. While the better known internet is made up of humans communicating with one another, the IoT all but eliminates the human element. Essentially, once it’s all set up, the machines communicate with one another. An IoT in your home, in your city, or at your workplace is actually extremely useful.

Relevant: 44 Internet Of Things (IoT) Gamechangers 2016

In practice, an IoT can automate a lot of tasks and processes. It can make life easier, safer, and much more convenient. There’s currently a whole lot of capital moving around the IoT tech sector, over 800 companies are working on IoT devices and platforms, and new IoT components come on the market on a regular basis.

The infographic included here gives you a good visual summary of what’s happening. We made it to show you what types of technology IoT companies are focusing on, how the money is flowing, where the innovation is taking place, and more.

The State of Internet of Things in Six Visuals

The State of Internet of Things in Six Visuals Infographic

…so what do you think about the State of Internet of Things? Let us know what you think in the comments below and feel free to embed the infographic in your own blog with the embed code below.

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The Internet of Things: Some Discussion on this Growing Network

In practice, having a personal IoT, either at home or at work, can automate a lot of tasks and processes. The thinking is that it makes life a little easier, a little safer, and a whole lot more convenient. There’s currently a whole lot of capital moving around the IoT tech sector, over 800 companies are working on IoT devices and platforms, and new IoT components come on the market on a regular basis.

Additional Reading: Nest Automation: Google’s Plan for Your Smart Home

The infographic included here gives you a good visual summary of what’s happening, but let’s break it down a little bit further.

Genera Technica

It’s perhaps unfair to lump all of these so-called smart devices into one giant IoT category. They serve many different purposes, and they work in a variety of different ways. In fact, we think it’s safe to say that there are 15 separate IoT categories — everything from fitness (trackers, bands, watches, etc.) to health care and entertainment to really cool toys. Of these 15 distinct groupings, the home category is the largest by a wide margin, with nearly 140 companies working on smart home products.

IoT platforms are an important part of all this; they’re the protocols through which different devices can communicate and sync. While this is category is in the middle of the pack as far as number of companies working on innovations are concerned (there are about 40), it’s really the backbone of the industry. Remove the platforms, and you can pretty much strike the word “smart” from this whole conversation.

The Money Trail

From a funding standpoint, the most money seems to be channelled toward developing good user interfaces. It almost seems counter intuitive — if these products are smart, there should be very little interaction with them.

However, the initial setup can’t be too complicated, and lots of these products need to be able to work with one another. This is especially the case in home IoT devices, the category in which venture investing is the highest. Without a good interface, the general public might not be interested in purchasing these things.

Speaking of funding, it’s important to remember the significance of crowdfunding IoT devices. SmartThings and LIFX both raised over $1 million USD on Kickstarter, and companies like PlantLink, LUMO, Ninja Sphere, Sesame smart lock and others have also brought in funding from the masses. This new source of capital has undoubtedly accelerated the rate at which IoT devices are being developed.

All Over the Map

There are over 100 companies producing IoT devices in San Francisco alone, making it the planet’s lone hotbed for this type of activity. However, that isn’t to say that IoT innovation isn’t happening elsewhere. There are 26 companies in New York, and another 37 in Canada.

Move away from Silicon Valley and the US, and you’ll still find loads of companies working to automate our homes through their handy little devices. There are 40 IoT companies in the UK, 22 of which are located in London. You’ll also find development in this field from companies in places like China, Australia, and many countries in Europe.

Infancy Now, Maturity…Soon

The IoT market is young; the companies in each category are, on average, less than a decade old. It’s growing, just like most aspects of tech, but with upstart startups entering the field on a regular basis, we probably won’t see the median age move much for a while.

Remember: this is the frontier of IoT, and nothing is truly settled yet. This graphic will look significantly different five years from now. It will look different two years from now. It will probably look different in six months. Pay attention — this is exciting.




There are 3 comments

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  1. Jeff Rutherford

    IoT growth is strong – evidenced by the charts and infographics you displayed. And, the IoT is going to grow even faster in the near term.

    However, the ongoing issue with the IoT will be security and privacy. A new HP study found that 100 percent of the studied devices used in home security contain significant vulnerabilities, including password security, encryption and authentication issues.

    Will those security issues stop the growth of the IoT? Maybe for consumers. Enterprises and businesses are charging full steam ahead to integrate the IoT.

    What will address the IoT security issues? Industry-wide standards related to security will be one step. Also, software and hardware companies will need to build security into their IoT offerings from the ground up. Something that’s not happing currently.

    Equinix recently wrote about the issues related to IoT cyber security: http://bit.ly/1n6wfxg

    Jeff Rutherford
    commenting on behalf of IDG and Equinix

  2. Eric Rogge

    I was working for Mike Markkula at ACM research in 1987 doing QA on home automation components. let’s see, that’s…..processing….28 years ago. How is it then that the age of Home IoT is 4 years old. How does one define the age of a category?


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