CB INSIGHTS, which offers range of consulting, research and database services to the venture community, recently published a series of articles that demonstrates the continued growth and accelerating adoption of IoT Applications.
One ARTICLE traces IoT funding, noting there has been $500 million in investments in private IoT companies in four of the last six quarters.
In addition, deal count has grown significantly. During 2014 and 2015, the number of deals jumped to between 34 and 65 per quarter, up from roughly 25 over 2010 and 2011. By investment stage, Seed and Series A deals combined for 62% of deal share in 2013, but this has declined to roughly 53 percent in the first three quarters of 2015. Mid-stage deals increased to 20 percent of deal flow in the January-September 2015 timeframe.
CB Insights goes on to identify 11 new applications for IoT that will change how industries perform or how consumers live their lives. Among the five most interesting of these:
- Smart Buildings – Buildings will continue to get “smarter” with features such as windows that darken on bright days and adjust room temperatures based on occupancy.
- Ingestibles – These include cameras and sensors the size of a tablet for uses such as determining if patients are taking their meds.
- Computer Vision – Overlapping with artificial intelligence, computer vision enhances decision making based on visible data.
- Submersibles – Low-cost submersibles will be able to perform a wide range of functions, everything from exploring oil rig integrity to helping consumer take pictures.
- Agriculture – New technology, such as drones, will enable farmers to spray crops with increasing precision, and sensors in fields will allow monitor crop data.
While these new applications for IoT tehnology are cool, what powerful IoT analytics enable is cooler. Think about being able to predict when a patient’s organ is going to fail and prescribing medicine that prevents that failure. Or, think about improving crop yields while concurrently reducing the use of fertilizers and pesticides, based on predicted weather patterns for a region. Existing applications of IoT can dramatically improve customer service, help new products come to market successfully, extend the life of expensive equipment and provide many other benefits. This new generation of applications is building on these early successes by potentially savings lives, improving crop yields and benefiting societies as a whole.