Communication service providers (CSPs) need to reinvent themselves and their business models. IoT has already became one of the core businesses in telecommunication companies in terms of revenue and subscriber numbers. As we help CSPs evolve their ecosystems to support new partnerships and business models that generate new revenue streams and enable them to go to market faster.
Automotive – Connected Car
Automakers have correctly noticed a growing trend and a significant business opportunity for connecting their cars. Analysts differ in their estimates, but all agree that the prospects are staggering. According to Analysys Mason, there will be more than 700 million connected cars in 2025, most of which will have embedded connectivity.
Healthcare – mHealth
For healthcare, the IoT isn’t a post-2020 dream: many of its applications are already in use to expedite the data-collection process, and alleviate pressure on hospitals. The more connections there are between devices, the more effective monitoring will become, giving users the power to prevent illnesses and see patterns building up before they become a problem. Services such as Chronic Disease Management System, Smart Beds, Equipment usage tracking are already in use.
Insurance – UBI
A car insurance company spends the most money on one category: paying for claims (65% of every premium dollar). If they’re lucky, when they subtract agent commissions, underwriting expenses, advertising and all overhead, they are left with a 5–10% profit. Telematics, or pay as you go car insurance, is increasing in popularity. The IoT offers truly disruptive and transformative potential to the insurance industry. The grand strategy of insurance companies will be transformed by IoT and big data. According to Berg Insight Insurance Telematics in Europe and North America report, total of almost than 4,900 insurance companies were active on the European market in 2014 and automotive insurance represents a significant share of the total insurance premiums in Europe. From the same report; motor gross written premiums in EU 23+2 reached a total of € 125.0 billion in 2014, up by 0.7 percent from the year before. The four largest markets represent almost 65 percent of the total premiums. Germany is the single largest market with total premiums of € 24.3 billion in 2014. The second largest market was France at € 20.0 billion followed by the UK and Italy reaching total motor insurance premiums of € 18.4 billion and € 17.6 billion respectively during the year.
Home Appliances – Connected Home
Providers need to look to partner with other players to integrate disparate service, app and device elements within scalable solutions. Telecom operators must build on their existing relationships with customers and established presence within the home in marketing such services. The companies who are successfully adding smart home customers to their portfolios have several things in common. Specifically, they are doing the following: investing in sales and marketing, developing a customer support infrastructure and providing professional installation services to their customer.