Internet of Things or popularly known as IoTs has emerged to be a part of daily life of human being. It is the connected network of physical devices that make human life easier and faster. Currently, there are several IoTs applications that have caught a good market grip due to its extended benefits and usage in common life (Lee, Guo & Yin, 2013). Hence, it is important to analyse the market opportunities of the IoT applications before planning to develop new applications for commercial purpose. The paper has been developed on behalf of Smartech to analyse the potential opportunities of IoTs applications in the Australian market as well as in the international market to grow its business.
Smartech is a small research and development company of Australia that is planning to expand its business by introducing two IoTs applications that will have good demand in the domestic as well as in the international market. Smartech has a good team of researchers capable of developing innovative ideas and products that will attract people from all across the globe. A span of five years has been approved by the CEO to develop two IoTs applications that can be beneficial for the company to grow its business commercially.
Objective and Methodology
The primary objective of the report is to conduct a market research and analyse the current scope for the IoTs applications in the global market. Furthermore, the research aims to analyse the commercial demand for IoTs that are currently available in the market. On basis of the market research, two potential IoTs applications will be chosen by the company to get them developed in a span of given deadline (Lee, Guo & Yin, 2013). The major limitation of the study is that the research is based on secondary data that are fetched from articles and journals presented by different IoTs developing companies (Sood, Yu & Xiang, 2016). Furthermore, it becomes difficult to judge the future opportunities of the IoTs applications because the research is based on secondary evidence and assumptions. Hence, there is need of primary research on the given field of study before investing on the development of IoTs applications by Smartech Research and Development Co.
The report starts with a basic introduction to the IoTs. A literature review has been presented on IoTs t observe the current market for the IoTs applications. According to the literature review, the two potential IoTs have been chosen that can be developed by Smartech for commercial growth. Furthermore, the study will present the advantages and issues related with the chosen IoTs to understand the potential opportunities for the applications. Along with that, the paper presents the security risks, ethical, social and legal obligations that must be considered by the Smartech Research And Development Company while developing the potential applications. The study also presents few recommendations that must be considered while planning the development project.
1.Definitions of the Internet of Things (IoTs)
In the contemporary technological scenario, leading business organisations have substantially utilised specific Internet of Things (IoTs) for improved productivity and manageability. Lately, IoTs have provided momentous opportunities for business corporate to use advanced technology as a part of improvisation (Juntao, Xiaolin & Gang, 2013). Convincingly, the term Internet of Things (IoTs) includes a featured system interconnected computerised mechanisms, digital resources and human participants. Moreover, the interconnected elements of IoTs have generated an exclusive automatically operated network. Evidently, the network of Internet of Things has been efficiently utilised for sharing and transferring data and information without any human–to-machine or human–to-human interface (Almeida, Doneda & Monteiro, 2015). In the existing scenario, research and development organisations all around the globe have identified the commercial benefits of developing latest IoTs for business perspective (McEwen & Cassimally, 2014). In modern business development, the sensor technology has been redefined to manufacture technologies such as Radio Frequency Identification (RFID), real-time localisation, wireless communication system for short-range, and sensor networks authorize computing systems. The application areas of the IoTs are growing at a robust speed (Elwenspoek, 2011). Primarily, the IoTs have been implemented in areas such as health and medical industry, production industry, the electronic appliances manufacturing sector, and IT industry.
The sensor and connectivity technology have been unanimously applied to develop IoTs effective to monitor health activities and medical assistance. IoTs can be utilised for automatic baby monitor facilities to check the real-time information about a baby’s body temperature, breathing status and regular activity level (Yao, Wang, Farrokh-Baroughi, Wang, & Qian, 2013). Through smart phones, such monitoring system can be controlled. On the other hand, sensors applications such as accelerometer, proximity, compass, GPS and connectivity such as Wi-Fi, Bluetooth and NFC can be utilised at the same time to monitor regular movements, sleeping patterns, activity level, workout status and location of a person throughout the entire day. Such IoTs have become massively popular as a form of wrist watches and gear technology (Elwenspoek, 2011). Also, IoTs have been utilised for Smart housing applications, driving applications, health measures, and Smart farming applications for further benefits. In electronic industry, IoTs have been functioned through sensor technology automatically to detect the position of the user, room temperature and other essential information about the surroundings. Thus, auto-functional refrigerators and air-conditioners have been manufactured (Wong & Ma, 2013). Moreover, some of the clinical applications can be helpful to read a patient’s biometrics information such as heart rate, ECG and respiratory rate and sent the details to the doctors in order to deal with the emergency situation. Thus, IoTs have made medical monitoring exceptionally easier than before. Meanwhile, unknowing or knowingly, IoTs have become a part of human life for better lifestyle and health provisions (Nitti, Atzori & Cvijikj, 2015).
Analysis of the Internet of Things (IoTs)
2.Two Potential IoTs applications that can be developed by the organisation
There are different IoTs applications in the market that can be developed by the company to seek growth in the long run (Lee et al., 2016). Out of the different IoTs applications, two potential IoTs applications that have the potential to grow its demand to a peak in the span of five years are Smart Home Applications and Smart Farming Applications (Sood, Yu & Xiang, 2016). Smart Home Applications are already in the top of the table because of its high level benefits and regular usage in the human life. On the other hand, Smart farming is at the bottom of the table because of its few applications available in the current market. The two potential IoTs applications that can be developed by Smartech are discussed in details herein below:
Smart Home Appliances
Smart Home Applications include automatic light, fans and temperature controller. Along with that, it includes the security systems such as home monitoring systems that can be developed by the company to start its venture in the IoTs industry (O?ba, 2012). All of these appliances are conducted through the cloud computing network that enables the user to monitor the smart devices. Hence, there is a need of internet connection that makes the user aware of the people visiting their homes and provides them with a new experience (Watts, 2015). The Smart Home application is at the top list of the current IoT application market. It keeps the house safe and properly controlled.
Smart Farming Applications
The smart farming applications include remote sensors that take care of the pasture land. Telemetry networks are installed in the fields that continuously provide the farmers all information about the farm land. Along with that, sensors can be developed for the livestock that will use GPS to keep track of the animals (Piyare & Lee, 2013). All these devices are connected to the users using the cloud computing platforms. Though these applications are not much famous in the current market scenario, they have the potential to grow in the upcoming years with new developments (Pavan, 2015). It makes the Smart farming applications lie at the bottom of the list, but it has the potential to grow in the upcoming future.
3.Advantages and Issues with the IoTs
There are several advantages and issues related to development of IoTs in the organisation. The advantages and issues with the IoTs are presented herein below:
Advantages of the IoTs
The advantages of the IoTs are presented herein below:
- Saves time and effort: The IoTs applications work faster and automatically as because they are connected through the cloud computing network using the internet. The IoTs applications save time and effort of the users. It makes the work of the users easier and increases their efficiency.
- Automation of daily work: The IoTs applications make the work of the users automated that increases the potential demand for the products. The innovative technology keep the devices connected to the internet that makes all applications work automatically (Weber & Weber, 2010).
- Share Information: The Smart Home Appliances helps to share information regarding who is visiting the house or detect any trespasser (Yao, Wang, Farrokh-Baroughi, Wang, & Qian, 2013). Furthermore, the Smart farming applications help to know the weather conditions and get information regarding the livestock.
- Monitor: The IoTs applications help to monitor the farmland and the animals. Furthermore, it helps to monitor the house when the user is not there at home (Weber & Weber, 2010). Along with that, the smart home appliances set the room environment according to the need of the users.
Issues with the IoTs
The issues related with the IoTs are presented herein below:
- Complexity: The IoTs applications are complex for new users. People who are not a regular user of internet face difficulty in using the IoTs applications. Hence, the company needs to target technology geek people who are capable of using the IoTs applications (Olson & Olson, 2015).
- Technology takes control of life: Technology takes the control over life that makes all information about a person or activity available over the internet. Furthermore, it makes people lethargic and loss control over their own life (Weber & Weber, 2010).
- Costly investment: It is a costly investment for the company as well as for the customers (Olson & Olson, 2015). There is a need to invest high amount of money to develop such projects. It will make the prices of the products much high in the market.
- Loss of data and information: As the IoTs applications uses the cloud computing network to share information, there is a chance of hacking that may lead to loss of data (Olson & Olson, 2015). It brings the privacy of the users under risk.
Security Risks, Ethical, Social and Legal Considerations
Global product developers have identified IoTs as one of the most instrumental technologies to be implemented for business purpose. The remarkable technological advancement has opened up new dimensions in information and communication technology (ICT) (Weber & Weber, 2010). The IoTs has simply merged the physical world with the virtual world creating complete digital infrastructures for diverse usability. For instance, the evaluation of ICT has provided a broad range of applications and subdivisions to the societal public (Bandyopadhyay & Sen, 2011). Under the current circumstances, IoTs has evolved so many latest tracking devices and sensor technology that can be utilised to monitoring human activities, statistical data and human behaviour on a regular basis (Sheng, 2015). Thus, some of the ethical issues of privacy, security and safer management of data sharing must be identified under the ethical quandaries. Unknowingly social public have attached themselves to the IoTs without knowing the privacy policies and usability of the shared data. Hence, the research and development firms of IoTs must confirm the ethical liability of their products so that the consumers can be assured (Cooper & James, 2009). Furthermore, internet advertisers must become proactive so that accurate information can be supplied to the target demographic profile about the IoTs. Also, users and developers must consider the ethical assumptions of monitoring each of the moves of the human body during their daily lives.
Moreover, some of the social and legal consideration must be taken into identification before developing research-based IoTs. The acceptability and accurate usability of IoTs must be recognised at the societal front so that humans can find better living perspective through the IoTs and latest electronic devices. Also, invasiveness prospects of the IoTs must be analysed at the broader perspective (Kobayashi, 2016). On the other hand, legal factors and regulations must be considered in developing IoTs for global market perspective. Through the identification of the potential security problems and privacy issues, the IoTs must fit in according to the legislative restrictions. Invariably, the confidentiality and security of data must be protected under the laws of different countries (Yao, Wang, Farrokh-Baroughi, Wang, & Qian, 2013). Most importantly, the IoTs must fulfil the Data Protection Act, Human Rights Act, and Data Protection Directives to protect the individual rights of the consumers. In the case of innovativeness, IoTs must be registered under the patent regulations so that any violation of developing rights can be protected (Ziegeldorf, Morchon & Wehrle, 2013). Moreover, so-called standards of data sharing and transferring must be kept secret following the Data Privacy Policies. Meanwhile, the IoTs monitoring system must be verified under the Data Protection Act and regulations for regular workable practice.
Opportunities for growth through the identified IoTs
The existing financial position of Smartech has forced the organisational management to innovate in the field of Internet of Things (IoTs) so that the commercial benefits of the IoTs can provide significant strengths to the financial structure of the Melbourne-based Research and Development Company. Under the current circumstances, Smartech can get massive future projects on the basis of Smart Home and Smart Farming Applications (Lee, 2016). The two identified IoTs have been more than a revolution to their target demographics profile. Furthermore, the opportunities are endless for both the selected IoTs in the upcoming future as there is massive global market. Primarily, the Smart Home Application has been highly demanded by the modern home-making companies willing to provide additional technological efficiency to their building.
By utilising the sensor technology, Smart Home Application can be controlled by the Smartphone of the operators to complete some operations significant for security, temperature control, cleaning purpose, lighting purpose and much more (Lee, 2016). As a result of the scenario, many investing companies will fund the research for Smartech. Conversely, the identified Smart Farming Application is another exceptional IoTs that is utilised for the commercial purpose in the farming industry (Rasmussen, 2015). By using the GPS technology, modern farmers can control shared data, latest technology and efficient agriculture standards through one touch of the Smartphone. In the United States of America, Australia and other European countries such Smart Farming Application can be a massive hit in the upcoming five years (Lee, 2016). Hence, on the basis of the global growth perspective, the opportunities are never-ending for the identified IoTs of Smartech.
The above discussion has identified the clear prospects for Smartech in developing the IoTs for the specialised niche market. Two of the identified IoTs such as Smart Home Applications and Smart Farming Applications can provide significant market prospect due to increasing standards of urbanisation. The contemporary business organisations and social public attached to the construction industry and farming industry have demanded latest technological advancement so that their lifestyle and productivity will be impressed. As a result of the scenario, in the next five years, the IoTs developed by Smartech can generate the impressive scale of demand in the niche market. The endless commercial benefits of the two identified IoTs can set significant standards in the competitive market area. By considering the efficient data mining procedure of the Smart Home Applications and Smart Farming Applications, Smartech can manufacture electronic gadgets and devices profitable for business perspective. Invariably, latest monitoring sensor technology must be efficiently applied to the IoTs so that users can get the highest sustainability.
Emerging Internet of Things has designed sustainable technologies for the target market linking the material and virtual world. Furthermore, through the identification of the social impacts of the IoTs, privacy, security, legal and ethical considerations must be addressed to develop emerging applications and communication paradigms supportive for social propagation. Also, the recognised IoTs can facilitate new dimensions for the users for better knowledge and infrastructural sustainability. Through the identification of latest prospects related to the specific Internet of Things (IoTs) of Smartech, the R&D team of the organisation can increase their performance standards in the niche market in the upcoming five years. Conclusively, the research data and findings of the investigation can show the sustainable efficiency of the IoTs so that it can commercially benefit the organisation.
Through the identification of the commercial propagation of the Internet of Things (IoTs), Smartech can invent the best IoTs usable in the Smart Farming and Smart Housing industry. Moreover, considering the discussion including the advantages and disadvantages of the IoTs, the research and development firm must understand the future perspective of the Internet of Things (Shi, Cao, Zhang, Li, & Xu, 2016). Similarly, the ethical, legal and societal considerations must be identified to not only focus on the profitability but also benefits of the social public. Therefore, through the critical analysis of the identified outcomes, three recommendations have been given in the underlying section to be followed by Smartech.
- Significant and Comprehensive Market Research: Evidently, comprehensive market research will be an essential part of the developing phase to identify what are the available prototypes in the niche market. Through the identification of existing IoTs intended towards housing and agriculture industry, Smartech can focus on something latest and innovative ideas to add a new whole dimension in the target market (Lee, Na, Kim, & Chang, 2016). Meanwhile, Rarity and innovativeness of the IoTs will be the most crucial factors for capturing the market in the upcoming years. Moreover, the organisation needs to assure that such IoTs technology has been untouched till now to make it more unique and demanding.
- Differentiation of IoTs applications: As Smartech has identified the Smart Housing Application and Smart Farming Application to be developed at the commercial stage for further business perspective, the R&D team of the organisation must look for differentiation of the IoTs applications. Thus, the IoTs applications and devices can be offered to the majority of the target industry (Ortiz, Hussein, Park, Han, & Crespi, 2014). Also, the existing market review of the available IoTs will be crucial so that the enterprise can develop a different set of IoTs to influence the target demographic profile. In addition to that, such differentiation of IoTs applications can widen the market area for successful commercialisation of the product.
- Improvise Contemporary Marketing Concepts: By identifying the technological advancement in every industrial sector, developing the IoTs will not be enough for commercial purpose. Hence, Smartech must realise the potential need of latest marketing strategies of the IoTs so that the prototypes can impress the international clients at the very initial phase (Ortiz, Hussein, Park, Han, & Crespi, 2014). Thus, the organisation can manage to bring more investors to complete their entire research work. Also, the advanced marketing agenda must include a glimpse of the probable pricing of the IoTs so that more interested clients can be contacted at the initial testing period of the developing IoTs.
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