Eseye’s latest State of IoT Adoption report has exposed that “sub-standard connectivity” is jeopardising project success for enterprises.
The study, conducted by independent research organisation Opinion Matters, involved 1,009 senior decision-makers in the UK and US across various sectors and explored challenges, opportunities, and budget forecasts for the next two years.
Eseys’s report disclosed that just one percent of respondents managed to achieve connectivity levels exceeding 98 percent across their device estates. Shockingly, only 16 percent reported achieving connectivity levels surpassing 95 percent.
This revelation raises significant concerns, especially in the context of mission-critical IoT devices. Such devices necessitate near-100 percent connectivity, yet the study indicates a disturbing acceptance of sub-par performance. Especially in the case of IoT health and medical devices, losing connectivity has the potential to have a serious human impact.
Nick Earle, CEO of Eseye, said: “Businesses need to understand where they are to get to where they want to be. They also need to demand more from IoT service providers, and a service model that emphasises quality at an affordable price point. They should be seeking end-to-end expertise incorporating device design, connectivity, and lasting value.
“At this crucial point in the sector’s development, second-best – in any aspect – is not good enough. Taking the time to assess a product’s maturity, and then investing in expertise to improve quality from first principles, is the necessary first step in today’s IoT projects.”
The report highlighted a concerning trend: despite experiencing connectivity levels significantly below best practice, respondents expressed satisfaction with their services. This suggests a lack of awareness regarding the potential of their IoT investments.
Paul Marshall, Co-Founder and CCO of Eseye, commented: “It is shocking that businesses are prepared to compromise their goals and risk customer dissatisfaction or product failure because of sub-standard connectivity.
“As the survey suggests, IoT connectivity success is about more than just buying SIMs and data. Breadth and depth of global coverage matters—how many cellular networks do you truly have access to? Is that coverage resilient and reliable enough for your business case?”
While 95 percent of respondents considered cost when choosing their connectivity provider, 71 percent admitted that cheap commodity SIM and data connectivity providers did not offer long-term value. This highlights the critical role that value should play in IoT connectivity decisions.
“Buyers may be unaware that their connectivity is subpar as they may not have a suitable benchmark and are engaging in a false economy when cost is their top concern, not value,” added Marshall.
“The fact that buyers seem unaware that connectivity performance is even an issue clearly points to a need to better educate the market around what should be acceptable to deliver IoT success.”
Furthermore, 89 percent of respondents agreed that having access to IoT services under one roof through an end-to-end services programme would be beneficial to their business. However, the study pointed out that operational failures often stem from device issues.
81 percent of respondents emphasised the importance of correct IoT device design, yet 67 percent cited device-level problems as the cause of most IoT project failures.
While the report paints a concerning picture, it also indicates optimism within the industry.
81 percent of respondents expected the number of IoT devices in the field to increase over the next 18 months. However, it is crucial to recognise that getting connectivity and device design right from the start is paramount for success.
“A change of mindset is needed, where buyers understand the capabilities they are working with and invest in the right connectivity technology that will drive change for their unique business case,” said Earle.
“This survey demonstrates that there is a lot of demand and support for IoT, but we need to capitalise on this by educating buyers and solving business problems rather than just throwing money at an inefficient model.”
You can access the full 2023 State of IoT Adoption report here (registration required)
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