Embedded Engineers See Higher Volume of IoT Services, but Path to Monetization Remains Unclear, According to New Research by VDC

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The IoT is bringing rapid change to the global embedded market, and engineers are taking note.

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The onset of the IoT is bifurcating the embedded market. Engineers see the chasm looming in the distance, but are less sure about how their organizations should cross.

IoT adoption, as measured by the inclusion of Internet connectivity on projects under development, is at an all-time high in a market that has traditionally favored isolation, according to a new report from VDC Research (click here for more info). VDC reports that 51% of surveyed engineers are currently working on a project that features internet connectivity and cloud support. Furthermore, more than three-quarters of surveyed engineers reported that their organizations are either already deploying IoT-capable devices and applications, or plan to deploy them by 2020.

With respect to the effect of the IoT within their own organizations, engineers are somewhat skeptical of the new engineering paradigm’s benefits. A significant portion of survey respondents (30% ) indicated that they believed their organization was already maximizing the revenue it could derive from IoT technologies. “A substantial portion of engineers do not see upside revenue potential from the IoT over the long run,” says VDC research associate Roy Murdock. “A lot of IoT marketing hype gets thrown around at a high level, but engineers tend to see through much of it, as they are intimately familiar with IoT products.”

VDC’s report quantifies other notable trends in the embedded world, such as the migration from proprietary commercial operating systems and tools towards a variety of free, open source solutions that had previously been considered too unreliable and immature for embedded development. Factors affecting project adherence, programming language choice, and tool selection are also covered in detail. A granular understanding of the market through the eyes of an engineer will be indispensible for those looking to map and predict changes in the embedded landscape.

About VDC Research
Founded in 1971, VDC Research provides in-depth insights to technology vendors, end users, and investors across the globe. As a market research and consulting firm, VDC’s coverage of AutoID, enterprise mobility, industrial automation, and IoT and embedded technologies is among the most advanced in the industry, helping our clients make critical decisions with confidence. Offering syndicated reports and custom consultation, our methodologies consistently provide accurate forecasts and unmatched thought leadership for deeply technical markets. Located in Natick, Massachusetts, VDC prides itself on its close personal relationships with clients, delivering an attention to detail and a unique perspective that is second to none.

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Roy Murdock
VDC Research Group, Inc
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