THE INTERNET OF THINGS

IFT118A September 2015

Anand Joshi Project Analyst

ISBN: 1-62296-159-5

BCC Research 49 Walnut Park, Building 2 Wellesley, MA 02481 USA 866-285-7215 (toll-free within the USA), or (+1) 781-489-7301 www.bccresearch.com [email protected]

IFT118A - The Internet of Things

TABLE OF CONTENTS TOPIC

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CHAPTER 1 INTRODUCTION STUDY GOALS AND OBJECTIVES REASONS FOR DOING THE STUDY SCOPE OF REPORT INTENDED AUDIENCE INFORMATION SOURCES ANALYST'S CREDENTIALS RELATED BCC RESEARCH REPORTS BCC RESEARCH WEBSITE DISCLAIMER

2 2 2 2 4 4 4 5 5 5

CHAPTER 2 SUMMARY SUMMARY TABLE GLOBAL MARKET FOR IOT DEVICES AND CHIPSETS, THROUGH 2020 ($ MILLIONS) SUMMARY FIGURE GLOBAL MARKET FOR IOT DEVICES AND CHIPSETS, 2014-2020 ($ MILLIONS)

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CHAPTER 3 OVERVIEW FIGURE 1 AN IOT SYSTEM AT A GLANCE

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CHAPTER 4 MARKET SEGMENTS SMART DEVICES AND IOT IOT SENSORS TABLE 1 SENSORS USED IN VARIOUS APPLICATIONS Proximity Sensors Accelerometers Temperature Sensors Light Sensors NETWORKING IN IOT DEVICES WIRED NETWORKS WIRELESS NETWORKS TABLE 2 COMPUTER NETWORK TYPES Types of Wireless Networks Wireless PANs Wireless LANs Wireless Mesh Networks Wireless MANs Wireless WANs Cellular Networks CHOOSING WIRED VS. WIRELESS Convenience Interference, Absorption and Fading Capacity Power POPULAR WIRELESS PROTOCOL STANDARDS FOR IOT DEVICES ZigBee

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IFT118A - The Internet of Things

TOPIC Bluetooth WiFi Cellular Networks Z-Wave Bluetooth Smart TABLE 3 POPULAR WIRELESS PROTOCOLS FOR IOT DEVICES DESIGNING IOT DEVICES FORM FACTOR CONTEXT AWARENESS POWER REQUIREMENTS CHAPTER 5 APPLICATIONS APPLICATIONS OF IOT ENVIRONMENTAL INFRASTRUCTURE MANAGEMENT INDUSTRIAL CONTROL AND AUTOMATION ENERGY MANAGEMENT MEDICAL SYSTEMS HOME AUTOMATION TRANSPORTATION AGRICULTURE MINING SMART CITIES CURRENT STATE OF IOT MARKETS TABLE 4 CURRENT STATUS OF IOT MARKETS TABLE 5 GLOBAL MARKET FOR IOT DEVICES BY SEGMENT, THROUGH 2020 ($ MILLIONS) TABLE 6 GLOBAL MARKET SHARE FOR IOT DEVICES BY SEGMENT, 2014 AND 2020 (%) ISSUES AND CHALLENGES STEMMING FROM IOT PRIVACY, AUTONOMY AND CONTROL SECURITY USER INTERFACE ENVIRONMENTAL IMPACT THE "BASKET OF REMOTES" IOT IN THE ENTERPRISE DIGITAL ENTERPRISE BUSINESS PROCESS OPTIMIZATION PRODUCT DEPLOYMENT AND SUPPLY CHAIN OPTIMIZATION BUSINESS INTELLIGENCE CUSTOMER SATISFACTION NEW SERVICES COST SAVINGS TABLE 7 STATUS OF IOT IN ENTERPRISES ` IOT VALUE PROPOSITION TO BUSINESSES IOT BUSINESS MODELS AND INNOVATION Freemium Data Analytics

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IFT118A - The Internet of Things

TOPIC IoT as a Service Applications and In-app Advertising IOT POSITIONED FOR GROWTH OVER THE NEXT FIVE YEARS MEDIA HYPE AVAILABILITY OF IPV6 CHEAPER HARDWARE EMERGENCE OF SOFTWARE PLATFORMS CHAPTER 6 SMART HOME TABLE 8 GLOBAL MARKET FOR SMART HOME DEVICES, THROUGH 2020 ($ MILLIONS) SMART HOME DEVICES: TECHNOLOGY AND ARCHITECTURE TABLE 9 FEATURES OF SMART HOME DEVICES SMART DEVICES VS. SMART HUBS FIGURE 2 SMART HOME DEVICES WITHOUT A HUB FIGURE 3 SMART HOME DEVICES WITH A HUB IOT APPLICATIONS FOR SMART HOME ELECTRONIC LOCK CONNECTED BULB CONNECTED SWITCH AIR CONDITIONING SMART SMOKE DETECTORS CONNECTED SPRINKLER SYSTEMS SMART KETTLE SECURITY CAMERA SMART TOOTHBRUSH SMART VENT SMART APPLIANCES CHALLENGES WITH THE CONNECTED HOME INSTALLATION Value Proposition Less than Compelling INCOMPATIBILITY MULTIPLE NETWORKS EXPOSURE TO RADIO FREQUENCIES USER INTERFACE SENSORS APPLE, GOOGLE AND SAMSUNG APPLE HOMEKIT GOOGLE NEST PLATFORM SAMSUNG AND SMARTTHINGS TABLE 10 SMART HOME PLATFORMS MARKET SEGMENTATION FOR SMART HOME DEVICES TABLE 11 GLOBAL MARKET FOR SMART HOME DEVICES BY REGION, THROUGH 2020 ($ MILLIONS) TABLE 12 GLOBAL MARKET SHARE FOR CONNECTED HOME DEVICES BY REGION, 2015 (%) INDUSTRIAL IOT DEVICES

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IFT118A - The Internet of Things

TOPIC TABLE 13 GLOBAL MARKET FOR INDUSTRIAL IOT DEVICES, THROUGH 2020 ($ MILLIONS) APPLICATIONS OF IOT IN INDUSTRIES User Notification Predictive Warnings Device Tampering Messaging Robotics Automated Buildings Railroad Industry Air Conditioning, Heating and Refrigeration CHALLENGES IN INDUSTRIAL IOT Educating Manufacturing Industry Workers in IoT Planning Networks Communication in Industrial Environments ROBOTS IN INDUSTRY Qualcomm's Robotics Platform INDUSTRIAL IOT DEVICES MARKET TABLE 14 GLOBAL SHIPMENTS OF INDUSTRIAL IOT DEVICES BY VOLUME, THROUGH 2020 (MILLIONS) TABLE 15 GLOBAL MARKET FOR INDUSTRIAL IOT DEVICES BY REGION, THROUGH 2020 ($ MILLIONS) TABLE 16 GLOBAL MARKET FOR INDUSTRIAL AUTOMATION IOT DEVICES BY REGION, 2015 (%) WEARABLES TABLE 17 GLOBAL MARKET FOR WEARABLE DEVICES, THROUGH 2020 ($ MILLIONS) WEARABLE DEVICE CHARACTERISTICS Size and Look User Interface Power Consumption Connectivity WEARABLE DEVICE DESIGN FIGURE 4 BLOCK DIAGRAM OF A TYPICAL WEARABLE DEVICE CURRENTLY AVAILABLE WEARABLE DEVICES Wearable Watches Wearable that Tracks Movement Wristband that Confirms Identity Wearable that Provides User Alerts Socks that Monitor Movement (and Lack Thereof) Wearable that Records Everyday Events Wearable that Corrects Posture Wearable that Tracks Sleep Ring that Controls Other Devices Wearable Belt WEARABLE WATCHES Apple Watch Samsung Gear Pebble Watch

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IFT118A - The Internet of Things

TOPIC Sony Smartwatch Android Wear WEARABLE DEVICE MARKET SEGMENTATION TABLE 18 WEARABLE DEVICES MARKET SEGMENTATION TABLE 19 GLOBAL MARKET SHARE FOR WEARABLE DEVICES BY SEGMENT, 2014 AND 2020 (%) TABLE 20 GLOBAL SHIPMENTS OF WEARABLE DEVICES BY VOLUME, THROUGH 2020 (MILLIONS) TABLE 21 GLOBAL MARKET FOR WEARABLE DEVICES BY REGION, THROUGH 2020 ($ MILLIONS) TABLE 22 GLOBAL MARKET SHARE FOR WEARABLE DEVICES BY REGION, 2015 (%) IOT IN "OTHER" MARKETS TABLE 23 GLOBAL MARKET FOR OTHER IOT DEVICES, THROUGH 2020 ($ MILLIONS) TABLE 24 GLOBAL SHIPMENTS OF OTHER IOT DEVICES BY VOLUME, THROUGH 2020 (MILLIONS) IOT IN THE RESTAURANT AND HOSPITALITY INDUSTRY mTablet Retail Stanchion POS Groupon's POS IOT IN RETAIL Inventory Management Fleet Management Maintenance Real-time Promotions IOT IN TRANSPORTATION Connected Cars Android Auto IOT IN HEALTHCARE FDA and IoT Devices Fertility Tracking Personal Meditation Assistant Smart Shirt Sports Bra Senses Heart Rate Smart Shoes IOT IN AGRICULTURE Productivity Pest Control Water Conservation Real-time Analysis of Data for Farmers MARKET FOR OTHER IOT DEVICES TABLE 25 GLOBAL MARKET FOR OTHER IOT DEVICES BY REGION, THROUGH 2020 ($ MILLIONS) TABLE 26 GLOBAL MARKET SHARE FOR OTHER IOT DEVICES BY REGION, 2015 (%) CHAPTER 7 TECHNOLOGIES IOT DEVICE HARDWARE FIGURE 5 TYPICAL IOT DEVICE HARDWARE SENSORS

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IFT118A - The Internet of Things

TOPIC NETWORK COMPONENTS EMBEDDED SYSTEM FIGURE 6 A TYPICAL EMBEDDED SYSTEM IN AN IOT DEVICE SMART CONNECTORS IOT SYSTEM DEVELOPMENT AND IMPLEMENTATION FIGURE 7 TYPICAL DEVELOPMENT CYCLE FOR AN EMBEDDED DEVICE IOT DEVICE SOFTWARE Device Drivers FIGURE 8 SOFTWARE STACK IN A TYPICAL EMBEDDED SYSTEM Operating System Middleware Application Software and Internet Connectivity SOFTWARE DEVELOPMENT CYCLE FIGURE 9 TYPICAL SOFTWARE DEVELOPMENT CYCLE A Web Application Framework: Web of Things Big Data and IoT IoT Distributed Computation Frameworks IOT Reference Platform NEW IOT PROTOCOLS Thread AllJoyn INDUSTRY CONSORTIUMS TABLE 27 IOT INDUSTRY CONSORTIUMS Open Interconnect Consortium Industrial Internet Consortium Allseen Alliance MARKET FOR IOT DEVICES AND IOT CHIPSETS/PLATFORMS TABLE 28 GLOBAL MARKET FOR IOT DEVICES AND CHIPSETS/PLATFORMS, THROUGH 2020 ($ MILLIONS) TABLE 29 GLOBAL MARKET FOR IOT DEVICES AND CHIPSETS/PLATFORMS BY REGION, THROUGH 2020 ($ MILLIONS) TABLE 30 GLOBAL SHIPMENTS OF IOT DEVICES BY VOLUME, THROUGH 2020 (MILLIONS) TABLE 31 GLOBAL MARKET FOR IOT DEVICES BY REGION, THROUGH 2020 ($ MILLIONS) TABLE 32 GLOBAL MARKET SHARE FOR IOT DEVICES BY REGION, 2015 (%) IOT TECHNOLOGY BUILDING BLOCKS FIGURE 10 IOT CHIPSETS AND PLATFORMS AT A GLANCE SENSORS TABLE 33 TYPES OF SENSORS, TECHNOLOGIES AND VENDORS IN THE IOT MARKETPLACE MARKET FOR IOT CHIPSETS AND PLATFORMS TABLE 34 GLOBAL MARKET FOR IOT CHIPSETS AND PLATFORMS, THROUGH 2020 ($ MILLIONS) TABLE 35 GLOBAL MARKET FOR IOT CHIPSETS AND PLATFORMS BY REGION, THROUGH 2020 ($ MILLIONS) TABLE 36 GLOBAL MARKET SHARE FOR IOT CHIPSETS AND PLATFORM MARKET BY REGION, 2015 (%)

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IFT118A - The Internet of Things

TOPIC CHAPTER 8 INDUSTRY STRUCTURE SELECT COMPANY PROFILES: HARDWARE PLATFORMS TABLE 37 COMPANIES PROVIDING IOT HARDWARE PLATFORMS ARM HOLDINGS PLC BROADCOM CORP. FREESCALE SEMICONDUCTOR INC. IMAGINATION TECHNOLOGIES INC. INTEL CORP. MARVELL SEMICONDUCTOR INC. MEDIATEK INC. QUALCOMM INC. TEXAS INSTRUMENTS INC. SELECT COMPANY PROFILES: IOT PLATFORMS TABLE 38 SOFTWARE PLATFORMS - DEVICE SIDE ARRAYENT HAYSTACK IOBRIDGE INC. ZONOFF INC. SELECT COMPANY PROFILES: CLOUD-SIDE PLATFORMS TABLE 39 CLOUD-SIDE PLATFORMS AMAZON.COM BUG LABS MICROSOFT CORP. ORACLE CORP. THINGWORX XIVELY BY LOGMEIN SELECT COMPANY PROFILES: IOT OPEN SOURCE PLATFORMS TABLE 40 IOT OPEN SOURCE PLATFORMS H-NODE NIMBITS PARTICLE SENSE-IOT SELECT COMPANY PROFILES: IOT CHIPSETS AND PLATFORMS ANALOG DEVICES INC. ELECTRIC IMP INVENSENSE INC. SENSINODE OY STMICROELECTRONICS SELECT COMPANY PROFILES: DEVICES APIGY INC. APPLE COMPUTER BELKIN INTERNATIONAL CONTROL4 CO. CRESTRON ELECTRONICS CO. ECOBEE GOOGLE ISMARTALARM INC.

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IFT118A - The Internet of Things

TOPIC KWIKSET LG ELECTRONICS INC. NINJABLOCKS SAMSUNG SAVANT SYSTEMS LLC SIGMA DESIGNS INC. SMARTTHINGS WHIRLPOOL CORP. SELECT COMPANY PROFILES: WEARABLES ADIDAS FITBIT INC. JAWBONE NIKE INC. PEBBLE TECHNOLOGY CORP. SONY CORP. WITHINGS USA SELECTED COMPANY PROFILES: INDUSTRIAL IOT 3D ROBOTICS AMAZON ROBOTICS LLC. ARDUINO CISCO SYSTEMS INC. DOUBLE ROBOTICS ENLIGHTED INC. GE INTELLIGENT PLATFORMS HONEYWELL PROCESS SOLUTIONS JASPER TECHNOLOGIES INC. ROCKWELL AUTOMATION SCHNEIDER ELECTRIC SELECT COMPANY PROFILES: MEDICAL DEVICES ALIVECOR IHEALTHLABS JOHNSON AND JOHNSON MEDTRONIC INC. SELECT COMPANY PROFILES: OTHER VERTICAL APPLICATIONS BITPONICS DASH LABS INC. FITBARK INC. FORD RESEARCH AND INNOVATION NOMI PLACEMETER POLAR ELECTRO INC. TELCARE TRIMBLE NAVIGATION LTD.

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IFT118A - The Internet of Things

LIST OF TABLES TABLE HEADING SUMMARY TABLE GLOBAL MARKET FOR IOT DEVICES AND CHIPSETS, THROUGH 2020 ($ MILLIONS) TABLE 1 SENSORS USED IN VARIOUS APPLICATIONS TABLE 2 COMPUTER NETWORK TYPES TABLE 3 POPULAR WIRELESS PROTOCOLS FOR IOT DEVICES TABLE 4 CURRENT STATUS OF IOT MARKETS TABLE 5 GLOBAL MARKET FOR IOT DEVICES BY SEGMENT, THROUGH 2020 ($ MILLIONS) TABLE 6 GLOBAL MARKET SHARE FOR IOT DEVICES BY SEGMENT, 2014 AND 2020 (%) TABLE 7 STATUS OF IOT IN ENTERPRISES ` TABLE 8 GLOBAL MARKET FOR SMART HOME DEVICES, THROUGH 2020 ($ MILLIONS) TABLE 9 FEATURES OF SMART HOME DEVICES TABLE 10 SMART HOME PLATFORMS TABLE 11 GLOBAL MARKET FOR SMART HOME DEVICES BY REGION, THROUGH 2020 ($ MILLIONS) TABLE 12 GLOBAL MARKET SHARE FOR CONNECTED HOME DEVICES BY REGION, 2015 (%) TABLE 13 GLOBAL MARKET FOR INDUSTRIAL IOT DEVICES, THROUGH 2020 ($ MILLIONS) TABLE 14 GLOBAL SHIPMENTS OF INDUSTRIAL IOT DEVICES BY VOLUME, THROUGH 2020 (MILLIONS) TABLE 15 GLOBAL MARKET FOR INDUSTRIAL IOT DEVICES BY REGION, THROUGH 2020 ($ MILLIONS) TABLE 16 GLOBAL MARKET FOR INDUSTRIAL AUTOMATION IOT DEVICES BY REGION, 2015 (%) TABLE 17 GLOBAL MARKET FOR WEARABLE DEVICES, THROUGH 2020 ($ MILLIONS) TABLE 18 WEARABLE DEVICES MARKET SEGMENTATION TABLE 19 GLOBAL MARKET SHARE FOR WEARABLE DEVICES BY SEGMENT, 2014 AND 2020 (%) TABLE 20 GLOBAL SHIPMENTS OF WEARABLE DEVICES BY VOLUME, THROUGH 2020 (MILLIONS) TABLE 21 GLOBAL MARKET FOR WEARABLE DEVICES BY REGION, THROUGH 2020 ($ MILLIONS) TABLE 22 GLOBAL MARKET SHARE FOR WEARABLE DEVICES BY REGION, 2015 (%) TABLE 23 GLOBAL MARKET FOR OTHER IOT DEVICES, THROUGH 2020 ($ MILLIONS) TABLE 24 GLOBAL SHIPMENTS OF OTHER IOT DEVICES BY VOLUME, THROUGH 2020 (MILLIONS) TABLE 25 GLOBAL MARKET FOR OTHER IOT DEVICES BY REGION, THROUGH 2020 ($ MILLIONS) TABLE 26 GLOBAL MARKET SHARE FOR OTHER IOT DEVICES BY REGION, 2015 (%) TABLE 27 IOT INDUSTRY CONSORTIUMS TABLE 28 GLOBAL MARKET FOR IOT DEVICES AND CHIPSETS/PLATFORMS, THROUGH 2020 ($ MILLIONS) TABLE 29 GLOBAL MARKET FOR IOT DEVICES AND CHIPSETS/PLATFORMS BY REGION, THROUGH 2020 ($ MILLIONS) TABLE 30 GLOBAL SHIPMENTS OF IOT DEVICES BY VOLUME, THROUGH 2020 (MILLIONS) TABLE 31 GLOBAL MARKET FOR IOT DEVICES BY REGION, THROUGH 2020 ($ MILLIONS)

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IFT118A - The Internet of Things

TABLE HEADING TABLE 32 GLOBAL MARKET SHARE FOR IOT DEVICES BY REGION, 2015 (%) TABLE 33 TYPES OF SENSORS, TECHNOLOGIES AND VENDORS IN THE IOT MARKETPLACE TABLE 34 GLOBAL MARKET FOR IOT CHIPSETS AND PLATFORMS, THROUGH 2020 ($ MILLIONS) TABLE 35 GLOBAL MARKET FOR IOT CHIPSETS AND PLATFORMS BY REGION, THROUGH 2020 ($ MILLIONS) TABLE 36 GLOBAL MARKET SHARE FOR IOT CHIPSETS AND PLATFORM MARKET BY REGION, 2015 (%) TABLE 37 COMPANIES PROVIDING IOT HARDWARE PLATFORMS TABLE 38 SOFTWARE PLATFORMS - DEVICE SIDE TABLE 39 CLOUD-SIDE PLATFORMS TABLE 40 IOT OPEN SOURCE PLATFORMS

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IFT118A - The Internet of Things

LIST OF FIGURES FIGURE TITLE SUMMARY FIGURE GLOBAL MARKET FOR IOT DEVICES AND CHIPSETS, 2014-2020 ($ MILLIONS) FIGURE 1 AN IOT SYSTEM AT A GLANCE FIGURE 2 SMART HOME DEVICES WITHOUT A HUB FIGURE 3 SMART HOME DEVICES WITH A HUB FIGURE 4 BLOCK DIAGRAM OF A TYPICAL WEARABLE DEVICE FIGURE 5 TYPICAL IOT DEVICE HARDWARE FIGURE 6 A TYPICAL EMBEDDED SYSTEM IN AN IOT DEVICE FIGURE 7 TYPICAL DEVELOPMENT CYCLE FOR AN EMBEDDED DEVICE FIGURE 8 SOFTWARE STACK IN A TYPICAL EMBEDDED SYSTEM FIGURE 9 TYPICAL SOFTWARE DEVELOPMENT CYCLE FIGURE 10 IOT CHIPSETS AND PLATFORMS AT A GLANCE

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