Thursday 24 March 2011

50 Billion connected devices--economics not quite there yet.

Although the general trend seems to support the conclusions of the author in the linked article below: marketing will drive the integration of connected devices/sensors, the economics are just not there yet. That is, in developed economies that doesn't appear to be sufficient inefficiency in current consumer flow to justify a new, autonomous feedback loop with suppliers. That is, the cost of multiple sensors per person or personnel transaction would not be offset under any existing, linear calculation for push or pull value from a consumer perspective. Further, there are no counter-intuitive leveraged benefits to be realized at this point--unfortunately, those tend to lag substantially from initial adoption. The market will eventually get there, but not any time soon and probably not along the marketing path.

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