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AI and IoT are fundamentally altering business - 2023 AI + IoT year in review
Believe the Hype
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We are seeing it every day – the world around us is marching toward hyper-connectivity. Artificial Intelligence enabled Internet of Things (AI+IoT) applications are at the forefront of this transformation. It started with the explosion of data generated by IoT applications which demanded more advanced technology to maximize organizational impact. This is where Artificial Intelligence (AI) comes into play. AI+IoT is revolutionizing nearly every industry imaginable. While we are witnessing the profound impact today, AI+IoT has only just begun.
Companies that have implemented fulsome IoT platforms report previously unseen business insights resulting in dramatic increases in operational efficiency and effectiveness, as well as vast improvements in safety, customer engagement and decision making. However, the growing use of IoT applications has resulted in massive amounts of data. Dealing with this data requires enormous amounts of resources and AI is purpose built for digesting these “oceans” of data and creating action. AI+IoT is making faster decisions, enhancing customer experiences, improving healthcare outcomes, enabling more personalized, targeted advertising, optimizing supply chains, prolonging the useful life of expensive production equipment, devising the most efficient delivery routes…the list is endless. As AI+IoT continues to deploy and evolve, the possibilities for what it can achieve are expansive and the impact on our world is practically limitless.
Key Insights
Drivers of AI+IoT
The rise of AI can be attributed to several primary factors, such as the growing accessibility of software tools, the simplification of AI solution development and maintenance, and the rapid infusion of AI into existing applications. These driving forces enable businesses to harness the power of AI+IoT and innovate on an unprecedented scale. By making software tools increasingly available for industrial AI+IoT, companies can optimize their operations through the development of intelligent applications and facilitate seamless communication between interconnected devices. Simultaneously, the simplification of AI solutions, aided by user-friendly platforms and programming languages, allows for streamlined programming processes, while AI's rapid infusion into existing applications helps businesses enhance their processes and witness the value of AI+IoT firsthand.
In addition to these factors, the emergence of specialized hardware for industrial AI+IoT has played a significant role in advancing AI-driven systems capabilities.
3-5%
Potential increase of sales productivity of current global sales expenditures due to Generative AI
$91B
Expected Global AI+IoT Market by 2028
AI is today's greatest growth opportunity, representing a $13 trillion potential addition to the global economy by 2030
These advanced hardware components bridge the gap between the virtual and physical realms, ensuring seamless communication and data processing between sensors, actuators, and AI algorithms.
Hardware tailored for AI+IoT applications demonstrates a greater tolerance for challenging conditions found in industrial settings, making it highly reliable and well-suited for wide-scale deployment. The convergence of these driving forces allows businesses to capitalize on AI+IoT's potential for revolutionizing operations, increasing efficiency, and discovering new opportunities for growth and innovation in the ever-evolving world of AI+IoT
Source: “McKinsey – Modeling the global economic impact of AI”, “Statista –AI Market Size Worldwide”, “Business wire –Global AIoT Market Projection”
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