Spending on technology and services involved in the Internet of Things (IoT) is forecast to reach $1.2 trillion by 2022. This will involve IoT spending growing at a compound annual growth rate (CAGR) of 13.6% from 2017 to 2022. That growth is being driven by the increasing adoption of IoT and a critical mass of IoT projects graduating from the proof of concept stage to commercial deployment. Though the rate of growth in IoT is highest in the consumer sector, outright spending is led by manufacturing and transportation. Clearly, the businesses of tomorrow will be leveraging IoT. This makes effective IT support on Long Island even more important to organizations.
In the latest release of its Worldwide Semiannual Internet of Things Spending Guide, IDC has captured the continued dominance of the manufacturing sector in IoT spend. Be it the discrete platforms implemented in different areas of manufacturing or the ecosystem that provides, implements, and supports those IoT technologies, the manufacturing sector is expected to spend more than $150 billion on IoT in 2022.
Where is Manufacturing IoT Spend Focused?
The manufacturing sector’s spending on IoT is focused on three areas:
- Manufacturing Operations – The biggest component of IoT spending in manufacturing, manufacturing operations IoT drives improvements in efficiency, speed, flexibility, stability, and security. The data captured via IoT drives refinement and improvements in the processes and systems. Industry 4.0, as manufacturing IoT is often termed, allows the benefits of IT support on Long Island to expand throughout the manufacturing chain.
- Management and Maintenance of Production Assets – Keeping tabs on production assets has traditionally been a time and labor-intensive process. IoT, including wireless networking, sensors, and autonomous technologies allows full-time and remote monitoring and tracking of production assets, including reporting, alerting, and automated management. Production bottlenecks and breakdowns can be remedied much faster, or even avoided, with the consequent benefits to cost savings and industry reputation potentially huge. Many of these technologies are available as managed IT on Long Island, making them even more attractive.
- Field Service – Where manufacturers’ resources are deployed off-site, the remote monitoring, management, and automation potential of IoT really come into their own. Backed by an MSP, IoT field service management tools allow manufacturers and their service providers to leverage enormous growth in this area. Despite the enormous growth already seen in IoT, much of the potential still lies in front of us and the possibilities are truly exciting.
Much More to Come
We have only touched on the three main use cases for IoT in manufacturing. At Total Technology Solutions, we can provide a much deeper discussion. Get in touch with us to learn more about IT support on Long Island and other services.