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The next innovations will come mainly from connectivity and middleware layers
Many building blocks will be impacted by the introduction of various technologies devoted to the Internet of Things (IoT). They refer to these different layers:
- Hardware, with the new (embedded) SIM card called eUICC
- Connectivity, due to disruptive networking technologies including LPWA and cellular IoT and the upcoming 5G
- Middleware, including MQTT and LWM2M
- IT such as big data and analytics
Most of these technologies have been designed to meet the challenges of the IoT, including low consumption, massive scale (billions of objects), client supply chain requirements and global footprint.
Technologies mainly pushed by IoT solution providers
Some technologies are being pulled by the vertical players – the embedded eUICC SIM card is a prime example – mainly from automotive OEMs and consumer electronics manufacturers. However, the bulk of them are pushed by IoT solution providers such as module manufacturers, telcos and IT players. In those cases, through these technologies, they will anticipate a virtuous circle with higher revenues flowing from a stronger dissemination of IoT technology itself.
The deployment of IoT technology will take some time as the proprietary and industrial-based technologies of today are very widespread and closed-loop applications and siloed approaches rule.
In all, when change comes, overall impact will be favourable anyway, especially from the perspective of standardised ones as they will drive the market massively through economies of scale.
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