5 sectors in which IoT is expected to grow in 2018 in Brazil.

By Werter Padilha,

The beginning of the year is the time to identify trends, sectors with greater growth prospects and investments, whether by companies, governments and consumers. For these analyzes, we rely on information provided by different and reputed consultancies. According to IDC data, world spending on the Internet of Things (IoT) is expected to reach US $ 772.5 billion in 2018, an increase of 14.6% over the US $ 674 billion spent by the end of 2017.

Growth rates will continue high in the coming years as IoT technologies can be exploited in countless industries and in principle there are no frontiers for them – from smart home to industry 4.0. However, it is also necessary to analyze the dynamics of these markets to identify which of these sectors are more mature for large-scale adoption of IoT, willing to invest in this digital transformation and to explore the data produced by the devices – a path towards the future that needs to be beginning and continuity.

IoT demands analysis, planning, strategy, investment and return on the resources contributed, because it is not enough to connect devices or people through a network, be it public or private. The continuous flow of information generated by IoT devices and technologies should help individuals, organizations, and governments achieve their goals, be it reducing waste and operating costs, increasing sales, offering new customer experiences, life, more efficiency in management, improvement in competitiveness or any other specific objective.

In view of this need to analyze the maturity of sectors and trends, I have listed below 5 sectors in which the adoption of IoT is expected to grow in 2018 in Brazil, exploring the potential of new technologies, the evolution of IoT platforms, cloud expansion , the growing use of analytics and business intelligence software, and the good prospects open for the dissemination of the National IoT Plan and other projects and policies already underway in the country. They are:

1. Hardware and software industry for IoT

According to IDC, the hardware will attract a significant amount of investment, considering the need to build the IoT infrastructure, with the acquisition and installation of sensors, beacons, RFID tags, gateways and solutions, among other equipment and programs, which provide intelligence, identification and traceability to things. It is the investments to create the infrastructure capable of generating and supporting data traffic, as the installed base of connected devices expands exponentially.

2. Industry – general and basic manufactures

In the modernization of manufacturing processes, IoT is a fundamental part of the evolution of industrial automation to the concept of Industry 4.0 and Brazil is seeking to recover the delay and loss of international competitiveness. The connectivity starts to contribute to the creation of more flexible production processes and brings impacts that go well beyond the reduction of the failures in the factory floor. The choice of industry as one of the priority verticals of the National IoT Plan, the FIESP and ABDI program underway, called “Towards Industry 4.0”, among other initiatives to disseminate knowledge about digital technologies that should be incorporated into production, indicate which is a priority strategic issue for Brazil, as is already the case in Germany, China and South Korea.

3. Agribusiness

Research carried out by a global company of information and communication technology services and solutions, points out that agribusiness is one of the most advanced sectors in Brazil in the adoption of IoT, that is, it is already tuned with the use of technologies to improve both efficiency production, transportation, logistics and storage. Agribusiness is one of the most competitive international sectors in the world, and to maintain this position, business owners and the government are willing to increase investments in the adoption of new technologies for fleet management, data collection of agricultural equipment, climate data monitoring and soil, among other information, to make the country advance in the ranking of world food production.

4. Hospital health and management

Health is another sector prioritized by the National IoT Plan and has initiatives underway in doctors’ offices, diagnostic centers and public and private hospitals. Nowadays, digital technologies in health have contributed as much to the diagnosis and treatment of patients as in hospital administration and asset management. One of the stakes is telemedicine, a concept that involves the remote storage and monitoring of vital signs of patients by means of devices. We can also consider the popularization of wearables (such as watches, bracelets and sneakers), which monitor heart rate, sleep time and other vital signs.

5. Urban mobility and transit

Within the different areas worked by the concept of Intelligent Cities, IoT can be seen as a key to improving traffic and urban mobility in medium and large cities, helping to measure the size of the problem, quantify the number of cars on a street, propose routes and prioritize investments. Brazil already has an MCTIC Project, which aims to integrate monitoring systems into the National IoT Plan, which aims to create solutions in areas such as urban mobility, safety and cargo transportation. Several states of the federation are investing in smart traffic lights and connected public transport.

We believe that companies, government, research institutions and consumers will stay mobilized in the adoption and dissemination of the use of equipment connected to the Internet, as the synergy will allow the creation of an environment in Brazil capable of leveraging the investment in IoT in the 5 sectors mentioned – hardware and software industry, agribusiness, health, industry and urban mobility – and other attractive areas such as retail and logistics.

Werter Padilha, CEO of Taggen Soluções de IoT, coordinator of the IoT Committee of ABES – Brazilian Association of Software Companies, and member of the committee of the National Plan for Internet of Things, a project developed by BNDES and the Ministry of Science, Technology and Innovation and Communications (MCTIC).

Source: Portal TI Inside

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