Enterprises are not only increasing their IoT spending and their deployment of devices but are doing so because IoT projects are meeting or exceeding Return on Investment (ROI) expectations according to the latest Omdia Internet of Things (IoT) Enterprise Survey. Over 90 percent of businesses being questioned claimed their IoT initiatives met or exceeded expectations, according to a poll by Omdia of 500 businesses in various countries that have deployed IoT infrastructure or are in the process of doing so.
“Both IoT and 5G have been derided as overpromising and underdelivering,” said John Canali, IoT Principal Analyst at Omdia. “Yet, the IoT market is still developing and 5G technology is still evolving. While sometimes outrageous proofs of concept are touted for headlines, our survey results are clear: enterprises are embracing IoT and 5G is emerging as the preferred type of connectivity.”
The results of Omdia’s survey are favorable for participants along the IoT value chain. Since 66 percent of businesses are using or plan to use 5G connections and 53 percent are using or planning to deploy new connections using LTE, communications service providers will probably witness an increase in high-bandwidth, high-value connections.
Similar positive reactions were received regarding the expansion of low-bandwidth connectivity technologies like NB-IoT and LoRaWAN.
IoT Infrastructure Suppliers
“For enterprises, IoT solutions do not come without hurdles. Security, privacy, and complexity continue to be the three greatest pain points for enterprises,” added Mr. Canali. “These issues all present opportunities for systems integrators (SIs), cloud providers, hardware vendors, component suppliers, and various other IoT vendors.”
Despite the current state of the economy and uncertainties surrounding inflation, Omdia believes that businesses will increasingly turn to Internet of Things solutions to meet new business needs, such as managing their supply chain or achieving environmental, social, and corporate governance objectives (ESGs).