The Current State of the Internet of Things Continuity and Change, Commonalities, and Fragmentation Updated Research Available

Research Objectives and Methodology

Field Work: Q3 2023

Respondents: IT and business decision-makers responsible for IoT-related purchases

Total Sample: n=688

Study Period: 2023

• Since 2010, Frost & Sullivan has conducted an annual survey of IT and business decision-makers regarding their perceptions, decisions, and purchases. In 2023, and for the third time since the survey’s inception, Frost & Sullivan implemented a set of IoTspecific questions, allowing comparison over time.
• The survey’s goal is to understand respondents’ evolving organizational priorities and the extent to which cloud-related technologies help them achieve their business objectives. 
• The results provide a glimpse of enterprise decision processes, including: 
  • Decision-makers that are driving the adoption of digital solutions; 
  • How enterprises rank challenges and priorities; o What benefits are experienced by region and industry;
  • What infrastructure options enterprises are using and planning to add; 
  • Key IoT applications; 
  • The approximate ranking of spending on components; 
  • Growth expectations.

Important Findings

• Security and data protection remains the top challenge for implementation—tactical issues are paramount. Furthermore, decision-makers continue to report challenges related to the complexity of system integration when implementing IoT solutions.
• IoT adoption and spending remain stable. Decision makers seem reluctant to change the status quo regarding IoT spend in 2024. Organizations will maintain their investment in IoT at 2% to 4% of their IT budget.
• Regional differences emerge across the survey with dissimilar adoption patterns. North America (NA) showed a discrepancy with the other regions in terms of wireless connectivity and the reasons for its IT budget decrease. NA and Asia-Pacific (APAC) respondents indicated similar responses regarding data volume and application. Concurrently, Europe and Latin America (LATAM) cited similar responses about the benefits of IoT and its applications.
• Businesses from different verticals cited dissimilar deployments and experiences. Market sectors vary depending on who makes decisions and preferred IoT applications.