Internet of things emerging as next big thing
Connected-device technology spreading swiftly into daily life
The internet of things (IoT) market is growing rapidly as more and more devices are getting connected dynamically.
In addition, the IoT market growth is likely to be a dominant force across the spectrum of technology-related industries, as connected-devices are touted as the “next big thing.”
IoT refers to a network of physical objects, including vehicles, buildings and electronic devices connected to the internet to exchange data. It allows such objects to be monitored and controlled remotely.
According to industry tracker International Data Corporation, worldwide spending on IoT will grow 16.7 percent year-on-year in 2017, reaching just over $800 billion (906 trillion won).
“By 2021, global IoT spending is expected to total nearly $1.4 trillion as organizations continue to invest in the hardware, software, services and connectivity that enable IoT,” it said.
Information technology-savvy Korea also makes the case as its number of subscribers to IoT services is presumed to have surpassed 6 million in June, with it adding an average of 100,000 users every month, the Ministry of Science and ICT said.
The government has been pursuing various projects to secure new growth engines in preparation for the Fourth Industrial Revolution characterized by a fusion of cutting-edge technologies, most noticeably in the IoT sector.
“IoT connectivity is the core technology of the Fourth Industrial Revolution,” Vice ICT Minister Kim Yong-soo said.
IoT network competition
The nation’s telecom companies are also focused on developing connected-device technology as a new cash cow.
As IoT proliferates at an incredible pace, each company has been seeking to build a nationwide network dedicated to IoT services.
SK Telecom, the nation’s largest mobile carrier, first introduced the nationwide long-range, wide-area network (LoRaWAN) in June 2016, which is one of the IoT standards that many seek to make a global platform.
Since then, SK has increasingly taken advantage of the network to reach both the B2B and B2C markets.
In addition, to support the development of IoT services and devices, SK has run the “IoT Open Test Bed” for small- and mid-sized companies and startups to offer a one-stop development environment — encompassing networks, devices and platforms — for IoT services.
Competing with SK, KT and LG Uplus joined hands to launch the world’s first commercial narrowband IoT (NB-IoT) network in June.
With its low power consumption and cost-effectiveness, NB-IoT technology is applicable to diverse service models for individual and industry automation, such as utility metering, smart factories, cargo tracking and location tracking of children and goods.
IoT reaching out to everyday life
The telecom companies’ IoT competition is getting fiercer beyond dedicated networks as the smartphone-centered telecommunication market is saturated.
As a result, they are turning their attention to home IoT and daily life-related technologies.
LG, a leading player in the home IoT business, had collected 800,000 subscribers to its home IoT services by the end of the second quarter of the year after launching in July 2015.
Forming partnerships with local constructors, LG has come up with various product offerings, including the IoT@Home application.
It connects home devices with people, enabling them to check the state of their home and family, and even control things remotely using a smartphone or even voice command, according to LG.
Along with the IoT home service, LG plans to expand its NB-IoT based smart waste collection system, launched in May with Goyang City, to other major cities.
SK, which entered the smart home business in 2014, developed the nation’s first artificial intelligence (AI) speaker NUGU last year, followed by the portable AI speaker — NUGU Mini — in August to expand its presence in the sector.
In June, SK signed a memorandum of understanding with KCC ICT to develop a vehicle control service using IoT technology. When commercialized, it will be able to check vehicle conditions through real-time monitoring and offer customized maintenance and management.
In addition, SK has come up with a LoRa-based location-tracking device called Gper allowing parents to track their children’s location in real time, and Keyco, an IoT-based keychain with an embedded GPS chip for pets allowing owners to pinpoint their location.
Recently, SK agreed with global baggage manufacturer Samsonite to offer its IoT-based device Smart Tracker to prevent travelers from losing their bags.
KT, the nation’s largest-fixed line operator that is more focused on commercializing the world’s first fifth-generation (5G) network service, launched GiGA IoT Home Manager in April. It enables remote control of up to six home appliances manufactured by LG Electronics through the telecom firm’s voice-recognizing AI home assistant platform GiGA Genie.
By 2021, global IoT spending is expected to total nearly $1.4 trillion as organizations continue to invest in the hardware, software, services, and connectivity that enable the IoT.