Analyst firm hits out at the hype surrounding IoT and potential revenues some predict it will create

The CEO of analyst firm Beecham Research has hit out at the hype surrounding the IoT and the potential revenues some are predicting it will create.

Amid some forecasts of IoT revenues in the trillions of dollars, Robin Duke-Woolley said everyone needed to “get real” about the potential size of the market.

Taking the total GDP of the United States – currently $18 trillion dollars annually, according to the IMF – as an example, the CEO said that to suggest revenues from the IoT would approach even 10 percent of this over a 5-10 year period was “unrealistic and unhelpful”.

Last month, Orange’s VP of Digital Innovation outlined how the France-based operator aims to generate €600 million in revenues from connected objects by 2018.

In August, Gartner placed the IoT near the top of its annual hype cycle.

Duke-Woolley said: “There is no doubt that the M2M and IoT markets are moving quickly and there are great new business opportunities, but with unrealistic predictions around the growth of connected devices, there is also the risk that companies will run out of time and money before they see a return on their investment.

“We know that today, excluding mobile phones and general purpose devices like tablets, there are significantly less than one billion connected devices worldwide.Read more

Source: European Communications, eurocomms.com