As our world moves toward greater connectivity and automation, we see the need to focus efforts in Utah on an emerging technology area. As new developments are made in AI, automation, droids and self-driving cars, USTAR Central is embracing the robot revolution and looking to the future. We promote, support and accelerate technology development in robotics and Internet of Things.
In our office we have begun identifying Utah companies, engineers, investors, and innovators in the robotics and Internet of Things space. By meeting with and discussing how USTAR can assist with the development of IoT products in the state, we are also discovering the challenges of funding product development, creating solutions to infrastructure issues and raising awareness about robotics and IoT. Through a series of RIoT (Robotics and IoT) Roundups we are creating a gathering point for industry leaders, engineers and investors to meet and work together on IoT innovation. When professionals get together to discuss the challenges of their industry, solutions are more rapidly discovered and implemented. While the RIoT Roundups are very new, the community is growing and ways to get products to market faster, to find investment for new ventures and even a few product ideas have already begun to spring up from the gatherings.
As the RIoT program develops we plan to form a demand driven business accelerator centered around these emerging technologies. With the right partners, we may also assist with prototyping and rapid iteration of products through a lab facility to allow companies to get products to market faster and hire more Utahans.
The IoT is the connecting of physical objects to data collection and sensor control. The Apple Watch is a popular example on such SMART technologies. The watch is no longer merely a way to tell time; it connects to your phone and reminds you periodically throughout the day to get out of your chair and walk around. It also tracks steps, heart rate, text messages, incoming phone calls, and other activities.
According to McKinsey & Co. in a June, 2015 report, “The Internet of Things: Mapping the Value Beyond the Hype,” McKinsey estimates that the total economic impact of the applications it sized in these nine IoT settings is $4 trillion to $11 trillion per year by 2025. They draw these conclusions based on the evolution and cost of technology, the rate of adoption, economic demand and government policy and oversight.
The potential for consumer SMART products is an emerging market as more and more people around the globe adopt new technologies to make their lives easier and better. Consumer products are the smallest market for IoT, and are made up primarily of three categories including Human, Home and Vehicle. Products in these areas include everything from wearables that monitor health and disease, home automation and vehicle maintenance and safety tracking. According to McKinsey, the human market represents a potential of $170 billion to $1.6 trillion, the home market $ $200 – $350 billion and the vehicle market is projected to come in between $210 – $740 billion by 2025. The largest growth will come in commercial and factory applications. “Our bottom-up analysis for the applications we size estimates that the IoT has a total potential economic impact of $3.9 trillion to $11.1 trillion a year by 2025,” said McKinsey. “At the top end, that level of value – including the consumer surplus – would be equivalent to about 11 percent of the world economy.”
In 2012 the Internet of Things Consortium (IoTC) was founded and is comprised of more than 60 leading hardware, software and analytics companies which focus on areas of home automation, wearables, connected cars and smart cities. They are dedicated to the education and growth potential of the IoT market. The consortium is led by Mark Spates who currently works in product development for Google with a focus on intelligent devices and connected homes. “Consumers are infatuated with technology that helps with everyday tasks by using connectivity and machine learning to track and analyze behavior,” said Spates. “They are willing to have products track their location, conversations, steps, eating, spending, and other habits because the product creates a seamless experience that couldn’t otherwise be achieved.” His prediction is simple: the companies that capitalize on the emerging opportunities will be the first publicly traded companies to be valued at a trillion dollars by the market.
Utah has the opportunity to create companies that are connecting the IoT, whether it is retrofitting existing machines or creating new technologies. Through business and product acceleration, funding and industry awareness and connection, we plan to assist and propel Utah’s robotics and IoT technologies while aiding in the creation of a robust community.
Join our USTAR RIoT project by attending a Roundup, participating in our robotics challenges and raising awareness of the technologies emerging in this market.
For more information on how USTAR Central can assist with your technology, contact Donna Milakovic, firstname.lastname@example.org.