Connected Things - 2017 Edition: Connected things set to double by 2021
Internet of Things (IoT) is growing rapidly in the Nordics. According to a new report by Telia Company and Arthur D. Little we now have close to three connected things per person, a number which is expected to double by 2021. This is four times as many as in the rest of the world. Connected vehicles, buildings and people are in growth pole position and IoT in the Baltics is booming and rapidly catching up.
The report shows that the value of the Nordic IoT market is set to more than double from today’s MEUR 7,000 to MEUR 17,000 in 2021 while it will triple in the Baltics, from MEUR 740 to MEUR 2,200.
“The Nordic and Baltics is one of the most connected and innovative regions in the world, growing closer by the day through business, trade, investments and not the least, digitalization. And the best part is that we’ve only just started, the possibilities are close to endless with IoT as the platform for change,” says Hans Dahlberg, Head of IoT, Telia Company Division X.
“Companies and investors are increasingly focusing to turn innovation into successful commercialization, driving the need to seek the right partners for technical enablement as well as go to market with commercial success,” says Martin Glaumann, Partner at Arthur D. Little.
IoT growth is driven by connected vehicles, buildings and people. Usage-based insurance, vehicle diagnostics and vehicle platforms are increasing in connected vehicles.
For connected buildings - automation and security of buildings - are dramatically increasing. But it’s connected people that grows the fastest. Solutions for remote monitoring and assisted living applications are expected to contribute with significant value during the coming years with the number of connected devices increasing by 500 percent.
The report also identifies a clear trend that IoT ecosystems are increasingly converging when connected things begin to interact. Connected cars become part of intelligent transportation systems (ITS), connected medical devices of digital health solutions, and connected homes of smart cities. As a consequence, industry borders are dissolved and new IoT ecosystems emerge.
“The interaction and interconnection between ecosystems is needed if we’re to unleash the full IoT potential; close to 40 percent of the total market value will be dependent on ecosystems working together,” says Hans Dahlberg.
“Local and regional ecosystems are now emerging as previously analogue services become digital - in smart health, transportation, and cities but also the multitude of traditional businesses that make up our everyday life,” says Martin Glaumann.