Operators' broadband infrastructures and long-time relationships could forge the foundation for long-term Industrial Internet of Things trusted advisor status -- and profitability.
The stakes are high: Global IIoT is expected to reach $91.4 billion by 2023, versus $64 billion this year, a new report by MarketsandMarkets finds. SMBs will drive much of that growth as they seek new automation solutions to reduce overhead and production costs, the researcher said.
SMBs already spend a lot with cable and telco operators, with some of that budget going to IIoT. Additional fiber deployments plus the arrival of 5G, fixed mobile's potential reduction of the digital divide in rural and low-income urban areas, increased use of Gfast to deliver high-speed broadband across multi-dwelling units in urban areas and continued development of alternate broadband technologies only further advance business and residential connectivity and complement IoT and IIoT standards and communications efforts.
At the end of last year, US wireline cable and telecom generated $325 billion in revenue, according to a May 2018 report by Independence Research. Of that, about $98 billion came from businesses of all sizes, the report said. Last year, combined US mobile business and consumer totaled $213 billion; $101 billion came from business, Independence Research said.
In particular, operators should benefit from midsized organizations' use of IoT and IIoT -- particularly given their extensive, often long-time, relationships with service providers. Small businesses (those spending less than $2,000 monthly on communications) spent about $26 billion on wireline in 2017, while so-called "national enterprises" (typically a midsized regional or national company with multiple locations in the US) spent $27.5 billion. For their part, wholesalers bought about $24 billion worth of services and US consumers spent $20.5 billion in 2017, reported Independence Research.
Shaking Up Healthcare
IIoT is expected to disrupt many aspects of medicine, from telehealth to on-site practices ranging from hospital surgeries to solo practitioners.
IIoT is of interest to organizations across many verticals but is doing particularly well in segments such as healthcare, manufacturing, automotive, construction and education -- verticals in which operators have experience and several are focusing even more resources.
Cox Business, for example, hired long-time telehealth evangelist Mike Braham as vice president and general manager of Trapollo, which it acquired in 2015. The company, which provides nationwide, remote patient monitoring and telehealth services, uses a combination of DOCSIS 3.0 and 3.1, Metro Ethernet, HFC, optical Internet and fiber to build resilience into local communities in order to support services -- including IIoT offerings such as telehealth, Braham told Broadband World News earlier this year. (See Cox Business Health GM: No More Evangelist.)
"We're trying to be sure we can provide improved clinical outcomes, to be sure hospitals can use resources more efficiently and effectively, and financially it makes sense both for the individual patient, the caregiver and/or the payers themselves to be sure the dollar spent is most effectively used," he said.
In the American Broadband Initiative Milestones Report out today, 20 federal agencies pledge to simplify and accelerate the process for service providers to deliver broadband into America's countryside.
A HIMSS Analytics survey, sponsored by Spectrum Enterprise, identifies five patient experience initiatives to where healthcare providers can boost the customer experience and bring in higher margins using advanced broadband networks.
Partner ecosystem is getting more diverse and Calix relies on broader base of service providers to sell, support and use its software- and cloud-based offerings, President and CEO Carl Russo tells analysts.
Tune in to Broadband World News Radio on February 14 at 11 a.m. ET / 8 a.m. PT / 4 p.m. UK when John Isch, Practice Director of the Network and Voice Center of Excellence at Orange Business Services, discusses use cases, ROI and misconceptions of software-defined wide-area networks, virtualization and cloud.
Consumers are buying millions of IoT devices, from smart thermostats and security systems to intelligent entertainment setups and furniture. Yet many of these devices remain isolated because home users are uncomfortable connecting them to each other – or even their WiFi. After all, their WiFi network was probably designed only to handle a few laptops, a gaming system and a couple of smartphones. Now, demand on the network is surging and even though you're delivering 100 Mbps to 1 Gbps, that doesn't necessarily mean the broadband power is in the right place or reaches every corner of a home.
Even if WiFi coverage is sufficient, typing is not on trend. Voice is far more natural, easier and faster. Using a TV keyboard is archaic when more and more households have access to cloud-based voice services, like Amazon Alexa. This webinar will explore how service providers can create a comfortable, truly smart home for consumers – simultaneously driving up margin and loyalty.