Greater Reach and Product Availability
Large companies often have better market penetration and the product availability necessary to successfully implement new technology. The success of the Internet of Things depends greatly on the ability of a wide range of products to successfully integrate and communicate with one another, and the larger companies have the greatest range of products and reach compared to those of smaller businesses.
Capital Necessary for Investment
Smaller businesses may often be more innovative than larger, more established companies that have been in business for years, but they lack many of the resources necessary to bring the Internet of Things into reality. Incorporating various degrees of connectivity across all the devices we use on a daily basis won’t come cheap, and large companies have the capital necessary to invest in this type products evolution. Small businesses simply don’t have the cash resources to pour into research and development that the larger companies have, giving them a significant technical advantage over many of the smaller competitors.
One of the biggest concerns today with the Internet of Things is security. With hackers continuing to attack corporate networks all over the world, businesses are working hard and investing heavily in their security systems. The same investment will have to be made in every single device that is connected to the IOT, further prohibiting smaller businesses from entering the market. Currently, the Internet of Things is being spearheaded by various large tech companies such as Google, Cisco and AT&T who have the resources necessary to iron out any security concerns. While this may help consumers rest easier, it does not bode well for a smaller, underfunded company trying to break into the Internet of Things market.
The Internet of Things represents the next big evolution of both the Internet and many every day products. Imagine a world where everything is connected, and where with the swipe of your finger you can easily adjust the temperature of your home while you are driving down the road or start your coffee maker to get a warm cup of Joe right when you walk in the door. That is the direction many companies are headed and large companies already hold a significant advantage over many small businesses with their vast resources and multitudes of product lines that they can connect together to offer consumers a new and unique experience using otherwise common place products.