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© 2014 Cisco and/or its affiliates. All rights reserved. Cisco and the Cisco logo are trademarks or registered trademarks of Cisco and/or its affiliates in the U.S. and other countries. To view a list of Cisco trademarks, go to: www.cisco.com/go/trademarks. Third-party
trademarks mentioned are the property of their respective owners. The use of the word partner does not imply a partnership relationship between Cisco and any other company. (1110R)
At-A-Glance
The Next Wave of Value
The fast pace of technology is changing the organization.
Barriers to market entry are falling. Customers/citizens
demand new ways to interact. Margins are shrinking. As
network connections spread throughout the world, many
private- and public-sector leaders are asking: “Where
can I find the next wave of value?”
Enter the Internet of Everything (IoE). IoE connects the
unconnected with ever-smarter technology. It brings
people together with process, data, and things. New
capabilities are created along with richer experiences.
Forward-thinking organizations have unprecedented
opportunities.
Five Key Areas of Value at Stake for the Private Sector
•	 $2.5 trillion: Better use of assets will improve
execution and capital efficiency, reducing expenses
and cost of goods sold.
•	 $2.5 trillion: Increased employee productivity will
reduce person-hours and free your knowledge-
workers to do more effective work.
•	 $2.7 trillion: Process inefficiencies will be eliminated
through supply-chain improvements.
•	 $3.7 trillion: Improved customer experiences will build
stronger relationships and bring more customers.
•	 $3 trillion: Tech innovations will increase return on
R&D, reduce time to market, and create revenue
from new business models.
Five Key Areas of Value at Stake for the Public Sector
•	 Employee productivity ($1.8 trillion): IoE improves labor
effectiveness for new and existing services.
•	 Connected militarized defense ($1.5 trillion): IoE
generates a fourfold force-multiplier effect through
improved situational awareness and connected
command centers, vehicles, and supplies.
•	 Cost reductions ($740 billion): IoE improves labor
efficiency and capital-expense utilization, while also
reducing operational costs.
•	 Citizen experience ($412 billion): IoE shortens
“search” times, improves the environment, and
produces better health outcomes.
•	 Increased revenue ($125 billion): IoE improves
the ability to match supply with demand while also
enhancing monitoring and compliance.
IoE Boosts Confidence Globally
For example, in the private sector, organizations in
developed countries such as Germany, Japan, France,
and the United States are currently realizing the most
benefit from IoE. But Cisco’s IoE Value Index shows that
leaders in emerging markets such as India, China, and
Brazil are confident in their ability to capture IoE value.
Emerging markets that take advantage of IoE are quickly
gaining in the marketplace.
Cisco Consulting Services
The Internet of Everything—A $19 Trillion Opportunity
Understanding Market Potential
$19 trillion in IoE value is at stake in the private
($14.4 trillion) and public ($4.6 trillion) sectors
over the next decade, according to two recent
Cisco studies.* These findings allow leaders
in both the private and public sectors to begin
planning how they can benefit from IoE.
“Based on [Cisco’s] analysis, companies
should have a sense of urgency about
aligning their strategies and practices
to leverage IoE.”
TechZone360
June 2013
Sources: “Embracing the Internet of Everything to Capture Your Share of $14.4 Trillion,” Cisco white paper, February 2013.
http://www.cisco.com/web/about/ac79/docs/innov/IoE_Economy.pdf
“Internet of Everything: A $4.6 Trillion Public-Sector Opportunity,” Cisco white paper, January 2014.
http://www.cisco.com/web/services/portfolio/consulting-services/documents/internet-of-everything-public-sector-white-paper.pdf
© 2014 Cisco and/or its affiliates. All rights reserved. Cisco and the Cisco logo are trademarks or registered trademarks of Cisco and/or its affiliates in the U.S. and other countries. To view a list of Cisco trademarks, go to: www.cisco.com/go/trademarks. Third-party
trademarks mentioned are the property of their respective owners. The use of the word partner does not imply a partnership relationship between Cisco and any other company. (1110R)
At-A-Glance
Private Industries with the Most to Gain
According to the IoE Value Index study, the high-tech,
telecom, and financial services industries ranked
highest in potential IoE value for 2013. Retail, energy,
and manufacturing were near the bottom and have the
highest potential upside for future growth.
Case Study. Retail Is One of the Top Industries to Benefit from IoE
Retailers Get Customer-Specific
For retailers, machine-to-person (M2P) capabilities
scored the highest for potential to create value in the
IoE Value Index study. Retailers can:
•	 Enhance customer service and merchandising
strategies by tracking in-store behavior.
•	 Customize offerings, marketing, and advertising by
analyzing customer behavior data.
•	 Help shoppers explore products and increase sales
with in-aisle interactive displays.
Factories Get Smarter
To improve profits with IoE, manufacturers should focus
on two main areas:
•	 Machine-to-machine (M2M) connections — essential
for “smart factories” and the largest source of IoE
value for manufacturers.
•	 M2P connections — a future focus, one where the
analytics and “big data” opportunity looms large.
Energy Firms Get Proactive
According to the IoE Value Index, all five of the best IoE
enablers for energy firms were M2M technologies.
•	 Utility companies can use M2M connections to
implement smart grid technologies that manage
energy transmission with real-time data and
predictive analytics; and to match energy supply
with demand more accurately using smart meters
installed in customer premises.
•	 Another promising source of IoE value for the energy
industry is person-to-person (P2P) connections
enabled by collaboration technologies, such as
the ability to locate experts quickly and to access
expertise where and when it is needed via video.
Your Competitive Advantage
Capturing IoE value hinges on applying technology
to improve the “people” and “process” aspects of
your organization. Cisco Consulting Services can
help you capitalize on your best IoE opportunities.
The Internet of Everything—A $19 Trillion Opportunity
Cisco Consulting Services
Visualize More About IoE
Dig deeper into the private-sector data with
our IoE Value Index Visualizer. Access the
Visualizer at:
http://internetofeverything.cisco.com/explore/
full#/country/usa.
Tesco Boosts Digital Presence and
Visibility of Multichannel Offerings
Machine > Person
Transactional touchscreen kiosk
lets shoppers browse and buy from
extended online range.
Life-sized “magical mirror” allows kids
to try on different outfits and interact
with animations virtually.
Shoppers use touchscreen display to
browse key trends and build personal
wish lists.
Digital signage showcases best of
the product range and multichannel
offering.
Scan to view more information about
the Tesco solution or visit
http://www.cisco.com/web/about/
ac79/docs/retail/Tesco.pdf
Sources: “Embracing the Internet of Everything to Capture Your Share of $14.4 Trillion,” Cisco white paper, February 2013.
http://www.cisco.com/web/about/ac79/docs/innov/IoE_Economy.pdf
“Internet of Everything: A $4.6 Trillion Public-Sector Opportunity,” Cisco white paper, January 2014.
http://www.cisco.com/web/services/portfolio/consulting-services/documents/internet-of-everything-public-sector-white-paper.pdf

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Cisco IoT A $19 trilion dollar industry

  • 1. © 2014 Cisco and/or its affiliates. All rights reserved. Cisco and the Cisco logo are trademarks or registered trademarks of Cisco and/or its affiliates in the U.S. and other countries. To view a list of Cisco trademarks, go to: www.cisco.com/go/trademarks. Third-party trademarks mentioned are the property of their respective owners. The use of the word partner does not imply a partnership relationship between Cisco and any other company. (1110R) At-A-Glance The Next Wave of Value The fast pace of technology is changing the organization. Barriers to market entry are falling. Customers/citizens demand new ways to interact. Margins are shrinking. As network connections spread throughout the world, many private- and public-sector leaders are asking: “Where can I find the next wave of value?” Enter the Internet of Everything (IoE). IoE connects the unconnected with ever-smarter technology. It brings people together with process, data, and things. New capabilities are created along with richer experiences. Forward-thinking organizations have unprecedented opportunities. Five Key Areas of Value at Stake for the Private Sector • $2.5 trillion: Better use of assets will improve execution and capital efficiency, reducing expenses and cost of goods sold. • $2.5 trillion: Increased employee productivity will reduce person-hours and free your knowledge- workers to do more effective work. • $2.7 trillion: Process inefficiencies will be eliminated through supply-chain improvements. • $3.7 trillion: Improved customer experiences will build stronger relationships and bring more customers. • $3 trillion: Tech innovations will increase return on R&D, reduce time to market, and create revenue from new business models. Five Key Areas of Value at Stake for the Public Sector • Employee productivity ($1.8 trillion): IoE improves labor effectiveness for new and existing services. • Connected militarized defense ($1.5 trillion): IoE generates a fourfold force-multiplier effect through improved situational awareness and connected command centers, vehicles, and supplies. • Cost reductions ($740 billion): IoE improves labor efficiency and capital-expense utilization, while also reducing operational costs. • Citizen experience ($412 billion): IoE shortens “search” times, improves the environment, and produces better health outcomes. • Increased revenue ($125 billion): IoE improves the ability to match supply with demand while also enhancing monitoring and compliance. IoE Boosts Confidence Globally For example, in the private sector, organizations in developed countries such as Germany, Japan, France, and the United States are currently realizing the most benefit from IoE. But Cisco’s IoE Value Index shows that leaders in emerging markets such as India, China, and Brazil are confident in their ability to capture IoE value. Emerging markets that take advantage of IoE are quickly gaining in the marketplace. Cisco Consulting Services The Internet of Everything—A $19 Trillion Opportunity Understanding Market Potential $19 trillion in IoE value is at stake in the private ($14.4 trillion) and public ($4.6 trillion) sectors over the next decade, according to two recent Cisco studies.* These findings allow leaders in both the private and public sectors to begin planning how they can benefit from IoE. “Based on [Cisco’s] analysis, companies should have a sense of urgency about aligning their strategies and practices to leverage IoE.” TechZone360 June 2013 Sources: “Embracing the Internet of Everything to Capture Your Share of $14.4 Trillion,” Cisco white paper, February 2013. http://www.cisco.com/web/about/ac79/docs/innov/IoE_Economy.pdf “Internet of Everything: A $4.6 Trillion Public-Sector Opportunity,” Cisco white paper, January 2014. http://www.cisco.com/web/services/portfolio/consulting-services/documents/internet-of-everything-public-sector-white-paper.pdf
  • 2. © 2014 Cisco and/or its affiliates. All rights reserved. Cisco and the Cisco logo are trademarks or registered trademarks of Cisco and/or its affiliates in the U.S. and other countries. To view a list of Cisco trademarks, go to: www.cisco.com/go/trademarks. Third-party trademarks mentioned are the property of their respective owners. The use of the word partner does not imply a partnership relationship between Cisco and any other company. (1110R) At-A-Glance Private Industries with the Most to Gain According to the IoE Value Index study, the high-tech, telecom, and financial services industries ranked highest in potential IoE value for 2013. Retail, energy, and manufacturing were near the bottom and have the highest potential upside for future growth. Case Study. Retail Is One of the Top Industries to Benefit from IoE Retailers Get Customer-Specific For retailers, machine-to-person (M2P) capabilities scored the highest for potential to create value in the IoE Value Index study. Retailers can: • Enhance customer service and merchandising strategies by tracking in-store behavior. • Customize offerings, marketing, and advertising by analyzing customer behavior data. • Help shoppers explore products and increase sales with in-aisle interactive displays. Factories Get Smarter To improve profits with IoE, manufacturers should focus on two main areas: • Machine-to-machine (M2M) connections — essential for “smart factories” and the largest source of IoE value for manufacturers. • M2P connections — a future focus, one where the analytics and “big data” opportunity looms large. Energy Firms Get Proactive According to the IoE Value Index, all five of the best IoE enablers for energy firms were M2M technologies. • Utility companies can use M2M connections to implement smart grid technologies that manage energy transmission with real-time data and predictive analytics; and to match energy supply with demand more accurately using smart meters installed in customer premises. • Another promising source of IoE value for the energy industry is person-to-person (P2P) connections enabled by collaboration technologies, such as the ability to locate experts quickly and to access expertise where and when it is needed via video. Your Competitive Advantage Capturing IoE value hinges on applying technology to improve the “people” and “process” aspects of your organization. Cisco Consulting Services can help you capitalize on your best IoE opportunities. The Internet of Everything—A $19 Trillion Opportunity Cisco Consulting Services Visualize More About IoE Dig deeper into the private-sector data with our IoE Value Index Visualizer. Access the Visualizer at: http://internetofeverything.cisco.com/explore/ full#/country/usa. Tesco Boosts Digital Presence and Visibility of Multichannel Offerings Machine > Person Transactional touchscreen kiosk lets shoppers browse and buy from extended online range. Life-sized “magical mirror” allows kids to try on different outfits and interact with animations virtually. Shoppers use touchscreen display to browse key trends and build personal wish lists. Digital signage showcases best of the product range and multichannel offering. Scan to view more information about the Tesco solution or visit http://www.cisco.com/web/about/ ac79/docs/retail/Tesco.pdf Sources: “Embracing the Internet of Everything to Capture Your Share of $14.4 Trillion,” Cisco white paper, February 2013. http://www.cisco.com/web/about/ac79/docs/innov/IoE_Economy.pdf “Internet of Everything: A $4.6 Trillion Public-Sector Opportunity,” Cisco white paper, January 2014. http://www.cisco.com/web/services/portfolio/consulting-services/documents/internet-of-everything-public-sector-white-paper.pdf