McKinsey Analyzes Three Steps in the Evolution of the Internet of Things

According to the latest McKinsey report, the analysis of the Internet of Things will go through three phases - phase one, especially high value for infrastructure and hardware vendors; phase two, core services built on top of infrastructure Big data analysis and search services are relatively valuable. In phase three, new business models for different industries will emerge, and the potential global economic impact of the global Internet of Things will reach 11.1 trillion US dollars by 2025. At the same time, its analysis predicts that the economic impact of the smart factory on the Internet of Things will reach 3.7 trillion US dollars in 2025, and the demand for smart cities will reach 1.7 trillion US dollars in 2025.

In response to this market outlook analysis, Advantech clearly identified its role in the IoT value chain, and designed a three-step strategy for the layout of the IoT in light of the “three-phase” changes in the Internet of Things. First, it will focus on significantly increasing market share. Secondly, through alliances and innovations, new growth opportunities will be identified; and finally, collaboration and bred methods will be used to cooperate with system-integrators for specific industries.

For the development of smart cities and smart factories, Advantech will focus on five areas of smart transportation, smart retail, smart medical care, smart buildings, digital logistics and fleet management in the smart city area; the smart factory sector will focus on the “Industry 4.0” concept. The manufacturing execution system and the production history, production test equipment, machine monitoring and preventive maintenance, labor-saving and automation, and factory environment monitoring are the five major areas of development.

At the same time, Advantech will be able to respond to all the above development trends, and will also significantly adjust the concept of industry-oriented integration from product to industry and from region to global, hoping to achieve optimized operational organization and resource integration benefits and meet the three directions of product design and manufacturing. , namely intelligent design, maker movement, a large number of customized.

After the adjustment, Advantech's characteristics will form three major institutions to serve three major target markets, three business models, and two business models; with the same target market and business model as the principle; the original seven major institutions combined into three major institutions The three major business units are aligned with the three target markets, and the frontline business organizations will be transformed into industry-oriented ones; the operational organization and resource integration benefits will be optimized, and the front-line industry-oriented businesses will be shared in the future, and headquarters headquarters will be integrated to share resources such as R&D, PM, quality, and Manufacturing and other functions.

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