Enterprises Boost IoT Spending, Seek Returns

Omdia’s survey shows a rise in enterprise IoT investments, with 70% eyeing 5G and 90% adopting eSIM/iSIM, despite deployment challenges and competition.

Omdia IoT enterprise survey indicates a robust uptick in enterprise spending on IoT (Internet of Things) solutions. Companies are now banking on witnessing tangible returns on these investments within two years post-deployment.

The IoT solutions are being heralded as the linchpin of many enterprise digital transformation agendas. From enhancing productivity and trimming down costs to furthering environmental sustainability objectives, IoT is proving its mettle. John Canali, IoT Principal Analyst at Omdia, observed, “Despite some tech behemoths dialling down on IoT, enterprises are doubling down and reaping impressive outcomes.” He highlighted the enterprises’ proactive stance in integrating emerging tech like 5G, eSIM/iSIM, and fixed wireless access (FWA).

 The survey unveils that while 4G (LTE) still holds significant traction, 70% of enterprises have 5G on their radar. Furthermore, the adoption curve for eSIM/iSIM technology looks promising, with about 90% of businesses anticipated to integrate it in the coming two years. This shift will grant enterprises better control over cost management and equip them with the leverage to renegotiate connectivity rates.

 However, the surge in IoT solutions does signal burgeoning competition. As the intricacies of IoT deployment demand an assortment of skills, enterprises find themselves leaning heavily on vendors and partners. A notable segment acknowledges the internal challenge of amassing the requisite resources and competencies.

Andrew Brown, IoT Practice Lead at Omdia, chimed in on the matter. He emphasised the myriad opportunities spanning hardware, software, and services but cautioned on the security front. “For vendors, it’s paramount not just to bring secure offerings to the table but to weave them into broader solutions seamlessly. Those lagging in this aspect risk being sidelined in this booming market,” Brown remarked.