A new report from US market research and consulting firm, Navigant Research estimates that global revenue from shipments of residential Internet of Things is expected to reach almost US$70bn in 2025.
Navigant states that apart from the large revenue numbers, interoperability of Internet of Things devices poses a challenge due to a variety of standards and protocols.
The Colorado-based firm explains that the growth in the residential Internet of Things market is driven by embedded communications technologies, sensors, and integration of intelligence into an array of products.
It adds that there is a strong desire to enable devices in the home to share information for the purposes of greater efficiency, automation, security, and comfort.
More companies are providing products for this trend - service providers in the smart grid industry are also shifting their focus and creating portfolios leveraging the potential that the Internet of Things has to offer.
Neil Strother, principal research analyst with Navigant Research says: “The residential IoT space is attracting plenty of attention from device manufacturers and other stakeholders who want to leverage the capabilities of connected devices.
“Already smart thermostats and smart meters can provide insights for greater energy efficiency, enhanced home systems can link security, lighting, and HVAC controls—and as device manufacturers add connectivity to more devices, the trend keeps accelerating.”
Google’s IoT venture
Internet search giant, Google, has recently announced their entry into the smart cities market using the Internet of Things to create its Sidewalk Labs initiative aimed at “build[ing] products, platforms and partnerships to tackle issues such as making transportation more efficient, lowering the cost of living and reducing energy usage,” reports Bloomberg.
Dan Doctoroff, a former deputy mayor of New York City, heading up the project said: “We are at the beginning of a historic transformation in cities.
He added: “At a time when the concerns about urban equity, costs, health and the environment are intensifying, unprecedented technological change is going to enable cities to be more efficient, responsive, flexible and resilient.”