How big an opportunity is the Internet of Things?

It’s been talked about for over a decade, but recent research suggests that the Internet of Everything (also sometimes referred to as the Internet of Things) is set to create big business as the next evolution of the internet takes a huge leap forward in its ability to gather, analyze, and distribute data. Cisco defines the Internet of Everything (IoE) as “the networked connection of people, process, data, and things”. The company goes on to say that “the benefit of IoE is derived from the compound impact of connecting people, process, data, and things, and from the value this increased connectedness creates as ‘everything’ comes online”.

At Cisco Live in Milan, I took the chance to grab a quick conversation with Milo Schacher, Vice President of Alliances, Cisco EMEA. I asked him what he thought about the massive opportunity that the IoE presents. He was quick to put a number on the value which Cisco has identified: 14.4 trillion dollars globally over the next decade, driven by “connecting the unconnected” – people-to-people (P2P), machine-to-people (M2P), and machine-to-machine (M2M).

Cisco sees the value being created in five areas including Asset Utilisation by improving business process execution and capital efficiency; increasing Employee Productivity; reduced waste and improved process efficiency in Supply Chain and Logistics; reduced time to market for Innovations and increased customers and customer lifetime value as the Customer Experience is raised by the Internet of Everything.

I asked Milo how he felt the relationship with Schneider Electric could help Cisco make the most of the opportunity. Milo remarked that he was really pleased about the relationship between the two companies and that he could remember three years ago at Cisco Live when he first saw and was impressed by how Schneider Electric could manage the energy in a data center. He still sees that type of knowledge as a key value that Schneider Electric brings to the relationship.

Schneider Electric’s knowledge and experience extends from the data center into areas such as operational management, factory floor automation, utilities like power and water, as well as Smart buildings and Smart Cities. As Schneider Electric are helping to deliver, protect and accommodate IP and data traffic emanating from those industries, the company has an essential role in the seismic shift towards the Internet of Everything.

Schneider Electric’s partnership with Cisco will help take Cisco into new industries and opportunities and Cisco’s presence in markets new to Schneider Electric will do the same in return. Milo felt that Schneider Electric’s experience and knowledge of infrastructure and the management of it, was a powerful fit with Cisco’s networking and technology experience and product set. It certainly appears to be a compelling combination for delivering the Internet of Everything.

Tags: , , , , , , ,