According to a recent report from Navigant Research, the internet of things market is expected to reach $500 million in 2020.
A recent slide-based report from Navigant explores the U.S. market for the IoT, focusing on technology trends, customer adoption, utility rollouts, and the vendor landscape, with cost curve projections and adoption forecasts, through 2025.
The developing IoT market will require a rethinking of current utility business models to capture market share in this broader demand management landscape.
IoT enables customers to manage their energy independently, as the technologies opens the door to ongoing relationships through devices, software, and services.
“IoT is not one device or technology but a platform of data collection devices, secure data networks, software, and services that delivers actionable insight,” says Casey Talon, principal research analyst with Navigant Research. “If utilities seize the opportunity, they can leverage this to enhance customer offerings and increase customer engagement.”
To position their businesses to succeed, utilities should develop an IoT service strategy to compete with investment on the customer side of the meter, according to the report. Utilities should also consider developing, acquiring, or partnering to offer IoT-enabled managed services.