For future business applications.
According to new research from technology analyst firm, Telsyte, more than 68 per cent of IT and business leaders see 5G as crucial for their business strategy going forward. Half of these respondents indicated 5G is critical for future application development, as well as supporting existing applications.
The enterprise 5G market in Australia is forecast to generate around $45 billion per annum by the mid-2020s, comprising next generation application development, IT services, platforms and connectivity, but the top three barriers to 5G investment were integration with current systems, lack of business case and security concerns. Lack of skills is also an issue with more than 25 per cent of respondents indicating they will be looking for an outsourced partner for developing 5G applications.
Telsyte managing director, Foad Fadaghi, said businesses that are just tinkering with IoT devices are hitting a wall. “Critical to the success of implementing IoT strategies seems to be taking a scalable and holistic approach, with security considered upfront,” he said.
Nearly half of businesses surveyed expect five times or greater connected devices as today within their organisations within five years’ time. This explosion in devices is fuelling innovation and experimentation with The Internet of Things (IoT).
Telsyte’s latest Australian Enterprise IoT maturity model shows that 32 per cent of organisations have a strategic approach to IoT, of which around half have pilot programs running or already have IoT in operations. Of those companies that do not, almost one in three large organisations (200+ employees) plan to adopt an IoT strategy within 12 months.
The biggest barriers are lack of a business case, IoT seen as too expensive and a lack of skills and expertise. Among those that have overcome the barriers, early signs show that IoT is having a big impact on their businesses.
The study found more than half of the survey respondents believed that around a quarter of their IoT devices might be connected via cellular technology within three years’ time while around a quarter of organisations believe up to 50 per cent could be connected via mobile networks.