INDUSTRIAL IOT SURVEY 2017CURRENT STATE OF IIOT AND IT'S FUTURE OUTLOOK

A RESEARCH STUDY BY MINDBOWSER IN ASSOCIATION WITH 'THE IOT MAGAZINE '

The study focuses on understanding the current state of 'Industrial IoT (IIoT)' and its future outlook. The

objective is to understand and forecast industry trends and business sentiments.

The survey was conducted over the period of April 2017 - June 2017. Questionnaires and interviews

were major data collection tools.

350+ individuals participated from wide array of industries including Manufacturing. Agriculture,

Industrial Machines and Equipments, Logistics, Aerospace, Chemical/Petrochemical, Oil & Gas,

Consumer Goods, Electric Power etc.     

In-depth data analysis is done with Graphs, Pie-Charts  and data tables. We tried our best to derive the

most accurate results and crystal clear trends. From our research, it is quite clear that Industrial IoT

market is anticipated to witness a substantial Growth in near future.  

This research study is conducted by Mindbowser in association with TheIoTMagazine.com.

Mindbowser is a major IoT solutions provider offering it's services across multiple industries.

'The IoT Magazine' is the most active online community of IoT experts and enthusiasts.   

INTRODUCTION TO THE SURVEY

SPECIAL MENTIONS

SHAMIK DASGUPTA

IOT LEADER HONEYWELL

CRAIG ATKINS

GLOBAL ENTERPRISE MOBILITY GENERAL MOTORS

MAARTEN ECTORS

CHIEF DIGITAL OFFICER - GI LEGAL & GENERAL

ASHITOSH GHODAKE

RESEARCH ASSOCIATE MINDBOWSER

TRAVIS YEOMANS

BDM - NATIONAL ACCOUNTS NATIONALEASE

STEFFEN VON BUENAU

PRODUCT-MARKET STRATEGIST KONTAKT.IO

PARTICIPANT PROFILE

PARTICIPATING ORGANISATIONS 

Industries :

Aerospace Chemical / Petrochemical - Electric Power / Electrical Consumer Electronics Consumer Durables Consumer Goods Food and Beverage Industrial Machines and Equipments Mining & Metals Medical Equipment / Pharma Manufacturing Oil & Gas Hardware Software Agriculture Trucking/Transportation Banking

UNDER $500 MILLION

$500 MILLION - $1 BILLION

$1 BILLION - $5 BILLION

OVER $5 BILLION

*Based on revenue (USD)

63%

17%

13%

7%

64%Respondents said they are either engaged in or planning an IIoT project in next 1 year

IS YOUR ORGANISATION CURRENTLY ENGAGED IN OR PLANNING AN IIOT PROJECT IN NEXT 1 YEAR?

36% Respondents do not have any plans to implement IIoT solutions in next 1 year. (Among these, 83% still feel that they need to increase the efficiency of their machines)

Yes

64%

YesNo

I EXPECT DECISIONS BY MANY COMPANIES TO BEGIN ROLLING

OUT IIOT SOLUTIONS. TO DATE THERE HAS BEEN TOO MUCH

DISCUSSION WITH LITTLE TO NO ACTION.

JIM HIRSCH - VP NA INDUSTRIAL IOT WIND RIVER, DIVISION OF INTEL IOTG

57 PERCENTR E S P O N D E N T S T H I N K T H A T I I O T I S V E R Y I M P O R T A N T T O T H E I R

C O M P A N Y ' S F U T U R E S U C C E S S

Not at all 3%

Somewhat 12%

Important 28%

Very Imp

57%

HOW IMPORTANT IS IIOT TO YOUR COMPANY'S FUTURE SUCCESS?

ARE YOU AMONG THE INDUSTRY LEADERS IN YOUR IIOT JOURNEY?

66% respondents admitted that they are yet to become industry leaders in their IIoT journey.

Yes 26%

Almost There 66%

No 8%

MAJOR HURDLES BEHIND IMPLEMENTING SUCCESSFUL IIOT PROJECTS

TIME MONEY SAFETY

0

14

28

42

56

70

No Bu

dget

Uncer

tain R

OI

Inco

mpatib

ility

No str

ategy

Priva

cy co

ncer

ns

No Mgm

t. Visi

on

Comple

xity

Time b

andw

idth

No Re

quire

ment

othe

r

Lack of budget seems to be the major hurdle for 62% respondents in implementing IIoT projects followed by uncertainty about ROI (57%) and Incompatibility of existing system (35%).  

62%COMPANIES SAID THAT

THEY DON'T HAVE ENOUGH BUDGET TO

IMPLEMENT IIOT SOLUTIONS

SECURITY WILL BE A LARGE COMPONENT OF IIOT. WE ARE

SEEING WHAT KIND OF HAVOC CAN BE UNLEASHED WITH

UNSECURED DEVICES, SO SECURING IIOT DEVICES WILL BE

CRUCIAL. 

WILLIAM AJA - VP CUSTOMER OPERATIONS PANACEA TECHNOLOGIES INC.

MOTIVATION FACTORSBEHIND BUILDING IIOT SOLUTIONS

57%

GAIN COMPETITIVE

ADVANTAGE

36% 13% 11% 6%

GROWTH AGILITY COMPLIANCE REDUCED

COSTS

SATISFACTION LEVEL WITH CURRENT IIOT SOLUTIONS

0

10

20

30

40

50

Satisfied Very Satisfied No clear results Neutral Dissatisfied VeryDissatisfied

19% respondents seem to be very satisfied with their current IIoT solutions while 9% are fairly dissatisfied. Almost 17% people said they don't see any clear results as of now. While 42% respondents are happy with existing IIoT solutions. 

C O N N E C T I V I T Y B E T W E E N P R O D U C T S / M A C H I N E S 4 2 %

S K I L L E D H U M A N R E S O U R C E2 7 %

I T ’ S T O O E A R L Y T OI D E N T I F Y G A P S 8 %

C O N T R I B U T I O N T O R E V E N U E G E N E R A T I O N 7 1 %

1 4 % M O R E A T T R A C T I V E A N D F U N T O U S E S O L U T I O N S 3 7 % T E C H N O L O G Y U P G R A D E

AREAS OF IMPROVEMENT IN CURRENT IIOT SOLUTIONS

Majority of respondents (71%) believe that IIoT solutions need better alignment with revenue generation. Also, 42% people said they need better internal connectivity between their machines. Almost 37% companies admitted that their system needs a technology upgrade. Human resource training is lacking in 27% of the cases.

WHICH BUSINESS AREA(S) ARE YOU BUILDING YOUR IIOT SOLUTION FOR?

TIME MONEY SAFETY

0

15

30

45

60

Ope

ratio

ns

Enginee

ring

Maint

enan

ce

Logistics

Facilit

y M

gmt. IT

PeopleM

onito

ring

Training

Operations(57%), Engineering(43%) and Maintenance(41%) came out to be the top areas to build IIoT solutions for, followed by Logistics(38%), Facility Management(29%) and other domains such as IT, People Monitoring and Training. 

TECHNOLOGIES USED TO BUILD IIOT SOLUTIONS

Wireless sensors seem to rule the Industrial IoT world with 64% respondents saying they have used smart sensors for their IIoT solutions followed by M2M technologies (57%), Machine Learning (44%), Cloud Computing (43%),  BLE (28%) and other technologies. 

0%

14%

28%

42%

56%

70%

Wire

less

Sen

sors

M2M

Mac

hine

Lea

rning

Cloud

Com

putin

gBLE

Robot

ics

Wea

rables

AR/VR

Smar

t Building

Wireless Sensors

M2M

Cloud Computing

Machine  Learning

Bluetooth Low Energy (BLE) 

MOST POPULAR IIOT TECHNOLOGIES

I SEE DATA AND ANALYTICS, EDGE COMPUTING, MACHINE

LEARNING, DEEP LEARNING AND OTHER IIOT PLATFORMS

AS EMERGING IIOT TRENDS FOR NEXT 5 YEARS

SHAMIK DASGUPTA - IIOT PLATFORMS LEADER HONEYWELL

INDUSTRIES THAT ARE BENEFITING THE MOST FROM IIOT SOLUTIONS..

Automotive

Oil & Gas

Petrochemical

Logistics 

Mining & Metals

Aerospace

Pharma

Manufacturing Sensors

67%

58%

57%

51%

48%

46%

43%

42%

34% Hardware

Consumer Electronics

Consumer Durables

Consumer Goods

Electric Power

Food and Beverage

Software

Field Service

Industrial Machines31%

29%

27%

22%

20%

18%

14%

7%

INDUSTRIES THAT ARE BENEFITING THE MOST FROM IIOT SOLUTIONS ?

FUTURE INDUSTRIES WILL BE ABLE TO LEVERAGE TOMORROW’S

TECHNOLOGIES FAR FASTER THAN ANYTHING TODAY. IT IS A

GREAT POSSIBILITY THAT ENTIRELY NEW INDUSTRIES WILL BE

LAUNCHED IN NEAR FUTURE. WHICH MIGHT INCLUDE ASTEROID

MINING,CRYPTOCURRENCY, INSTANT LEARNING, CURE FOR

HUMAN AGING, HUMAN CLONING OR 3D PRINTED BODIES,

ARTIFICIAL INTELLIGENCE ETC.

THOMAS FREY- FUTURIST SPEAKER, FOUNDER AND EXECUTIVE DIRECTOR DAVINCI INSTITUTE

80% IIoT Solution providers are focused on increasing their market share

74%respondents said they are working on creating New services based on smart connected products

67% IIoT solution providers are focused on building a quality industry network

CURRENT FOCUS OF IIOT SOLUTION PROVIDERS 

TYPICAL SIZE OF IIOT PROJECTS

upto $50K 17%

$50K-$100K 47%

$100K-$1M 30%

$1M+ 6%

IN COMING TIMES, BLUETOOTH LOW ENERGY WILL EXPAND INTO

SENSORS, LOCATION WILL BE USED AS A KEY DATA POINT AND

WE WILL WITNESS MORE EFFECTIVE PARTNERSHIPS BETWEEN

DIFFERENT PLAYERS (INTEGRATORS, TECHNOLOGY PROVIDERS,

SOLUTION PROVIDERS)

STEFFEN VON BUENAU - PRODUCT-MARKET STRATEGIST KONTAKT.IO

SUMMARYTHE NEED

WHAT DOES ALL THIS MEAN ? 

Companies that move fast to tackle the necessary transformation today will position themselves as future leaders in their markets. And IIoT is at the core of this transformation. 

THE CATALYST

Rise of Smart Sensors, Robotics & Automation, Augmented/Virtual reality, Big Data Analytics etc. along with favorable government policies are major drivers for IIoT.

THE RESTRAINT

Poor budget allocation, privacy concerns, incompatibility of existing systems along with technology illiteracy  are anticipated to restrain the growth of IIoT. 

BIGThanks

To..

BIGThanks

To..

Jim Hirsch - VP NA Industrial IoT, Wind River, Division of Intel IoTG

Shamik Dasgupta - IIoT Platforms Leader, Honeywell

Steffen von Buenau - Product-Market Strategist, Kontakt.io

Aaron Salow - CEO, XOEye Technologies

Andy Lowery - CEO, RealWear

William Aja - VP Customer Operations, Panacea Technologies Inc.

Michael W. Wellman - CEO, Virgil Security, Inc.

BIGThanks

To..

Morgan Abraham - CEO, UGo Smoothies

Jaime Athos - President & CEO, Tofurky

Gary Nija - CEO, Green and Grow

Pete Hinzy - VP, Prater Industries

Michael Pereira - Partner, Resogen

Robert Vogt - CTO, Voyomotive

Craig A. Atkins - Chief Architect, General Motors

Alfredo Cartagena - Sr. Manager Infrastructure, Karma Automotive Inc

Travis Yeomans - BDM, NationaLease

BIGThanks

To..

Jennifer Mackey - Sr Director Logsitics Services, Odyssey

Jeremy Cowperwaite  - Fluidic energy

Maarten Ectors - Chief Digital Officer - GI, Legal & General

Shane Saunderson - Vice President, IC/things, Idea Couture Inc.

Erik Walenza - CEO, IoT ONE

Merwan benhabib - VP Engg., Ondavia, Inc

DISCLAIMER

COPYRIGHT © 2017 MINDBOWER INFO SOLUTIONS & 'THE IOT MAGAZINE'

FEEL FREE TO USE THE DATA FROM THIS STUDY WHEREVER YOU FIND IT SUITABLE. JUST PROVIDE REFERENCE TO THE ORIGINAL REPORT WHERE

THE CREDIT IS DUE.