As more businesses adopt smart devices, they not only need to make sure they run efficiently but that they’re also monitored and managed successfully – meaning higher demand for managed services. In fact, the IoT managed service market is expected to grow at a 15.3% annual compound growth rate until 2022.
So, the question is, as a managed service provider, how do you make the most of this market opportunity in the IoT space?
Considerations at the outset
Analysing IoT device data
While most managed service providers will be able to simply manage and monitor IoT devices, you will stand out by offering to analyse data collected from the devices, to provide customers with advice that will truly drive their business goals.
Need for new expertise
Many IoT devices lack the plug-and-play features that form part of traditional desktop operating systems. Managed service providers will need to bring in new expertise to build management and automation systems, which are required to successfully operate an IoT managed services business.
Decision-making is complex
Managed service providers should be aware that implementing IoT applications is more complicated than traditional IT infrastructure. A big contributor to the complexity is the type and number of individuals involved in the decision-making process.
Who to target?
Healthcare, manufacturing and retail verticals are the readiest for IoT, making these opportune markets to start targeting.
The best way for you to win as many opportunities as possible, is by creating dedicated teams with expertise around these specific verticals. By doing this, IoT offerings can be tailored to each customer’s individual needs, which can differentiate you from the competition.
What’s the future of IoT managed services?
It’s no surprise that security is a big focus area for organisations when adopting IoT strategies. In fact, the overall IOT managed security services market is expected to increase fivefold by 2021.
Managed service providers can benefit from the growing market by building IoT security into their offering as an ‘as-a-Service’ model.
More organisations have also started to realise that IoT can’t be as effective as it needs to be, if only utilising the cloud. IoT needs to deliver data in real-time, but if the data is travelling miles to a cloud data centre before a user can view it, then delay is likely. Edge computing solves this problem by putting micro data centres just outside the network – at the “edge”.
Businesses implementing these micro data centres will be looking for someone to manage them and extract the data to provide true business insight. This is where you, the managed service provider, can step in.