The Internet of Things (IoT) is accelerating in growth, with multinational telecommunications and networking company Ericsson predicting that, as of 2018, the IoT will have more connected devices than the mobile market. By 2021, according to their June 2016 Mobility Report, connected devices will number approximately 28 billion, with the IoT as the largest share at almost 16 billion devices.
Internet of Things Adoption
Regulatory requirements will be one of the biggest factors in the increased adoption of the IoT. This can include:
- Agriculture
- Fleet management
- Smart buildings
- Smart meters
- Transport logistics
Many people and businesses are also looking into autonomous and Internet-connected vehicles, especially in Western Europe.
Cost Efficiency and Innovation
As the IoT continues to grow, costs will fall and innovation will improve. Ericsson predicts that commercial 5G networks will deploy in 2020, meaning that the IoT will be supported by critical functions such as network slicing and an expanded network of connected devices. Improved technology and more competition will lower the cost of many devices in both the commercial and consumer markets.
The Future of the Smartphone
Although the IoT is expected to surpass the smartphone market, smartphones are still expected to expand. Already there are almost more smartphones than basic phones, and smartphone subscriptions are expected to continue to increase over the next five years. This will put the expected number of devices at 6.3 billion, up from 3.4 billion.
Watching TV and Smartphones
Ericsson predicts that as of 2021, video will account for approximately 70% of mobile traffic. This is especially true amongst teens, who have completely changed their viewing habits: they now spend half as much time watching television. Instead, 85% now watch TV and video on their smartphones. Cellular data is increasingly being used for smartphone TV and video as well, a 127% increase from the last quarter of 2013.
Although the smartphone market will continue to increase and improve, the IoT is predicted to outgrow it by leaps and bounds in the next few years. However, the smartphone market is still going strong, with the increase in data being used for watching TV and video, especially among teenagers. As technology continues to innovate and expand, both smartphones and the IoT will have continued impact on both consumers and businesses.