2
62% $46.2 BILLION $255 BILLION Number of IoT Connections IoT Devices by Category The Promise Of Enterprise IoT IoT Market Value 2006 2014 2020 2013 2014 2020 Enterprise 2015 2019 Home Government 39% 31% 30% 10.7B 13.7B 50B 6B The Internet of Things and the Ecosystem Advantage The term “Internet of Things” was first coined in 1999. Today, the Internet of Things (IoT)—a network of physical objects embedded with sensors that can connect and share data—is growing with amazing speed. $0T = $25 Billion $5T $10T $15T $20T $25T $2.3T $19T Fitness trackers and other consumer devices may be the most recognizable IoT devices on the market today, but the true potential of IoT is in enterprise applications. In fact, by 2020, the enterprise sector will account for almost 40 percent of IoT devices. of executives say they have adopted or plan to adopt IoT. Accelerating adoption will lead to a spike in spending on IoT products and services. Already, Enterprise Spending on IoT = $25 Billion 19% The market value of IoT is already measured in the trillions of dollars and has enjoyed a blistering a number that is poised to accelerate even faster in the future. CAGR 40% CAGR This represents a

Infographic: The Internet of Things and the Ecosystem Advantage

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62%

$46.2 BILLION $255 BILLION

Number of IoT Connections

IoT Devices by Category

The Promise Of Enterprise IoT

IoT Market Value

2006

2014

2020

2013 2014 2020

Enterprise

2 0 1 5 2 0 1 9

Home Government39% 31% 30%

10.7B 13.7B 50B6B

The Internet of Things and the Ecosystem AdvantageThe term “Internet of Things” was �rst coined in 1999. Today, the Internet of Things (IoT)—a network of physical objects embedded with

sensors that can connect and share data—is growing with amazing speed.

$0T

= $25 Billion

$5T $10T $15T $20T $25T

$2.3T

$19T

Fitness trackers and other consumer devices may be the most recognizable IoT devices on the market today, but the true potential of IoT is

in enterprise applications. In fact, by 2020, the enterprise sector will account for almost 40 percent of IoT devices.

of executives say they have adopted or plan to adopt IoT. Accelerating

adoption will lead to a spike in spending on IoT products and services.Already,

Enterprise Spending on IoT

= $25 Billion

19%

The market value of IoT is already

measured in the trillions of dollars

and has enjoyed a blistering

a number that is poised to accelerate

even faster in the future.

C A G R

40% C A G RT h i s r e p r e s e n t s a

17%

IoT Industry Pioneers IoT-Enabled Objects

Greatest Barriers to Enterprise IoT Adoption

ECOSYSTEMS DELIVER THE IoT EDGE

ManufacturingTransportationHealthcare

UtilitiesAgriculture

The enterprise IoT boom also represents an unprecedented opportunity for software developers.

Enterprise-IoT focused software is already out-earning IoT hardware by a wide margin.

It will be increasingly di�cult, if not impossible, for companies to master the entire IoT digital value chain. That’s

why ecosystems of device, software, and platform providers are becoming critical to the IoT space.

$43.9B $2.3BIoT Software IoT Hardware

$0 $100B $0 $100B

V S .

“[C]ollaboration will be an imperative if companies want to meet growing customer expectations.” —World Economic Forum

GogglesCowsDog collars

Street lampsDiapers

But, these ecosystems have to work together. In fact, the greatest barrier to IoT adoption is interoperability between devices and software.

SOURCESIndustrial Internet of Things: Unleashing the Potential of Connected Products and Services, World Economic Forum, 2014The Internet of Things, Infographic, Goldman Sachs Global Investment Research, 2014Internet Of Things Survey and Statistics, BI Intelligence, 2014IoT Adoption Driven By Companies, BI Intelligence, 2014Fortune 500 App Report, Infographic, AppDirect, 2014

Already, nearly one-�fth of Fortune 100 companies o�er public APIs or a formal

developer program to help build and support ecosystems, often for IoT applications.

of the Fortune 100 support ecosystems

Lack of interoperability

Security concerns

Uncertain ROI

Legacy equipment

65%

64%

53%

38%

Contact us for more information about how AppDirect can work with you to power monetization and distribution for the Internet of Things.

w w w . a p p d i r e c t . c o m | s a l e s @ a p p d i r e c t . c o m | 8 7 7 - 4 0 4 - 2 7 7 7

“[S]oftware developers, start-ups,

customers partners, suppliers, and

competitors turn ‘co-opetitors’

…collectively amplify the value creation

opportunities for all participants.”

—World Economic Forum