A year ago Cisco grabbed headlines by predicting that the Internet of Everything represented a $14.4 trillion opportunity for industry over the next decade. Well, in a little over 12 months, Cisco has identified another $4.6 trillion worth of IoE opportunity over the next 10 years, when 50 billion devices will be connected.
Cisco says that the additional trillions in benefits from a connected world mostly comes from opportunities in the public sector, and the Internet of Everything’s ability to help public-sector organizations to manage assets, optimize performance and create new business models.
Cisco has also announced that its new Smart City Global Strategic Alliance will deliver the promise of the Internet of Everything (IoE) through edge analytics and cloud technologies that dramatically change the way cities are managed and safeguarded.
“Today, 99 percent of the physical world is not connected to the Internet,” says Wim Elfrink, Cisco’s Executive Vice President, Industry Solutions and Chief Globalisation Officer. “However, cities are the epicenter of the Internet of Everything, where people, things, data and processes can be connected to deliver new and amazing value.”
Cisco’s research says that a world connected by sensors like RFID tags will help communities to bridge an increasing gap between citizen expectations and what governments can actually deliver as they operate in a world of level-funded or decreasing budgets.
The five primary drivers of IoE opportunity for the public sector include enhanced employee productivity, connected militarized defense, cost reductions, citizen experience, and increased revenues.
Smart parking, where real-time visibility into the availability of parking spaces is provided across an entire city, is identified as a $41 billion benefit of IoE. Water management comes in at $39 billion, while chronic disease management is identified as a $146 billion opportunity from the remote monitoring of patients with congestive heart failure, pulmonary disease and Type 2 diabetes.
Municipalities such as Barcelona, which is already deploying IoE technologies for parking, energy usage and more, will generate almost two-thirds of IoE’s overall civilian benefits.
According to Cisco, the $4.6 trillion in public center value is equivalent to about one-third of the expected civilian labor productivity growth over the next 10 years.
Cisco says that when applied to large populations, big data and the associated analytics will increasingly enable predictive modeling and, as a result, improvements to public infrastructure.
These capabilities will also allow better anticipation of emerging trends, short-term fluctuations in demand driven by external factors (such as weather conditions or public events), and better management of emergency responses.