Page 90 - Trends in Telecommunication Reform 2016

• support and control of the IoT capabilities many technology companies and consulting firms
infrastructure; and predict .
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• offering IoT capabilities, including network With near-field communication, smart phones
capabilities and resources, to other providers . can be a universal platform for individuals to
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interact with IoT objects, removing one of the
Depending on the requirements of specific main cost barriers to growth. Payment, ticketing,
applications, there may be some degree of vouchers, and customer loyalty applications will
business integration between device, network, become cheaper and easier to manage, allowing
platform and application providers. much greater sophistication in pricing, marketing,
product management and analysis. One company
has forecast that approximately USD 36.05 billion
3.3 Development trends and in NFC payments will be made worldwide in 2017,
application areas although this figure has declined by more than 40
per cent from previous forecasts, due to slower
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The IoT sector has grown, sometimes unevenly, than expected growth .
over the last 15 years . Hardware developments
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have made these technologies available at the
low cost, size and energy-consumption necessary. 3.3.1 Uses of IoT in manufacturing and
But many applications have been incremental logistics
improvements to existing business processes,
developed by existing companies that can So far, IoT technology has been used mostly in
afford the required investments. At this stage, logistics and inventory management. Retailers
businesses specializing in IoT services may be can track products from the factory, through
needed to spur further growth and market-entry, distribution networks – updating orders and routes
along with further cost reductions, enabling in real time – to warehouses and into stores. IoT
the radical disruption of existing industries that allows automatic replacement of stock when it is

Figure 3.2: Smart cities

Source: Libelium.

72 Trends in Telecommunication Reform 2016