The Internet of Things (IoT) is a trillion-dollar product design trend defined by the interconnection of “computing devices” embedded in everyday objects, enabling them to send and receive data.
By 2018, wearable IoT products are expected to jump to 112 million units, more than five times last year’s figure, according to market researcher IDC. There is already a vast assortment of do-everything wearable devices that will attempt to emerge from the shadow of the Apple Watch. Samsung, Motorola and others already have entries in the do-it-all device gold rush. In the wearable tech market, the number of consumers who own wearable tech devices will jump from 7% to 28% by the end of next year; and by 2020, 14% of consumers will have Internet connected clothing.
By 2019, companies will ship 1.9 billion connected home devices, bringing in about $490 billion in revenue. Google and Samsung are already ahead of the pack. Google bought smart thermostat maker, Nest Labs, in 2014 for $3.2 billion, and Samsung purchased connected home company SmartThings for $200 million. And by 2020, the number of Internet-connected things will reach 50 billion, with $19 trillion in profits and cost savings over the next decade. 2020 is one year after Blade Runner Rick Deckard was originally tasked with “retiring” replicants.
It’s an exciting time for product companies and with the right design tools in place they can streamline processes, change directions, and meet demands for new opportunities in the booming Internet of Things market. Since neither attractive replicants nor Delorean flying cars have come to fruition, all I can excited about these days is helping medical device and high-tech companies in Silicon Valley and the Off-Shore Colonies create the next big IoT thing.
By minimizing costly product errors and shipping delays — especially for a sector with complex products and frequently changing parts, such as batteries —a cloud product realization platform helps IoT companies get to market first, stake a larger market share, and maximize profit margins.
Some of the biggest disruptions in IoT products are changes in electronic components. Sensors, controllers, and batteries are all rapidly evolving to better support new applications like wearables that need smaller parts that consume less power. New technological developments impact product design and require OEMs to have the tools in place to streamline design processes.
A cloud-based product realization platform is critical to keep track of these electronic components. A better understanding of which parts are going obsolete can provide a competitive edge for IoT companies. A strong cloud-based product development solution enables companies to embrace disruption change, execute a rapid technology pivot and accelerate a new product launch.
PLM was created to allow high tech and medical device companies — not just IoT OEMs — to better manage documents to streamline their extended supply chain efficiencies, improve cross-functional collaboration and increase enterprise-wide visibility into the design process. In addition, Arena’s PLM application simplifies bill of materials (BOM) and change management for organizations of all sizes, especially IoT companies.
And that’s why over 250 innovative IoT companies rely on Arena to unlock their imagination, speed innovation, and tame even the most unconventional design ideas into IoT’s next big thing.