Exploring Internet of Things (IoT) cloud trends provides valuable insight into the extent to which organizations and consumers have adopted these two technologies.
As Intelligence from Mordor reports, the IoT market was valued at $ 1.1 trillion in 2020 and is expected to reach $ 6 trillion by 2026, a compound annual growth rate (CAGR) of over 32% between 2021 and 2026. These figures are not surprising when you consider this recent Microsoft research has found that around 94% of companies will be using a variety of IoTs by the end of 2021.
Cloud adoption, in general, has also increased. Gartner predicts that end-user spending on cloud services will reach nearly $ 400 billion by the end of 2021 and $ 482 billion by the end of 2022. In addition, the research firm predicts that spending cloud computing will account for over 45% of all business IT spending – up from less than 17% in 2021.
While there are many factors at play affecting the adoption of cloud and IoT technology, the connection between the two is obvious. In order to derive value from the data collected from IoT devices, increased access to fast and reliable connection speeds is essential. The cloud offers extended reach, reduced latency over direct remote network connections and, increasingly, IoT-based services provided by third parties.
This article will look at some of the key trends shaping the IoT cloud landscape:
5 IoT Cloud Trends
1. IoT information delivered by the cloud “as a service”
According to a Markets & Markets to study, the global ‘as a service’ (XaaS) market is expected to grow by almost 40% each year between 2016 and 2020. IoT as a service is a relatively new idea that builds on the framework of other services. as a service. models.
The IoT uses wireless microcontroller (MCU) devices to extract operational data, which is transported to the cloud, where a number of services can be managed. In other words, the rise of cloud computing makes it possible to obtain real-time IoT information, from anywhere.
Companies like Samsara rely on the cloud to provide their customers with real-time visibility into production facility operations, GPS fleet tracking, equipment monitoring, and more. by monitoring and reporting on data derived from IoT.
2. Focus on IoT Cloud Security
As organizations add IoT devices to their networks, bad actors wait to pounce on the vulnerabilities these new endpoints can expose. An emerging trend is for security teams to focus on encrypting data in the cloud – ensuring that data is encrypted while it is at rest and in transit is vital.
Several providers offer features in this space:
- Azure Security Center (Microsoft) offers an IoT-specific product, Azure IoT, which can encrypt data in hybrid cloud work environments
- AWS Security Hub (Amazon) includes IoT security services aimed at providing a comprehensive view of organizations’ security positions, including encrypted data from IoT devices accessed through the cloud
- Cloud Security Command Center (Google) can identify security configuration errors and centralize encryption efforts
3. Use of the IoT cloud and adoption of 5G
Technological research firm Omdia reports that 124 million 5G connections were added globally between Q1 and Q2 2021, an increase of 41%. By the end of 2021, the firm predicts, there will be 692 million 5G connections worldwide. One of the factors behind this growth is the increased use of IoT. As organizations embrace cloud-accessible IoT services, fast connection speeds are a must. 5G is also helping to bridge the connectivity gap in remote locations, allowing new industries to improve their operations with IoT.
4. IoT and Edge computing
Similar to the trend seen with the adoption of 5G, organizations are increasingly turning to advanced computing to manage IoT data due to the promise of increased connection speed and reliability, in particular those related to the analysis of big data. IoT devices retrieve huge volumes of data, but without big data processing capabilities organizations are missing out on the many benefits of data analytics.
Edge computing provides a distributed network model that can work with cloud data stores to reduce latency in data processing speeds. Industry watchers expect advanced computing to continue to grow as organizations and consumers increasingly embrace IoT technologies.
5. IoT and AI in cloud computing
Cloud computing has been a boon to the artificial intelligence (AI) field, providing public access to powerful machine learning (ML) platforms that require massive processing power and data bandwidth. For example, machine learning is used to “learn” from data collected by the IoT to automate business processes and streamline supply chains. These use cases are just the tip of the iceberg of the IoT cloud: As cloud resources have evolved, virtually any AI application can be accessed and used through the cloud, dramatically improving the usability of users. data generated by the IoT, often in real time.