We are excited to introduce the much-anticipated fifth edition of the Eclipse Foundation’s annual IoT & Edge Commercial Adoption Survey Report. The latest findings shed light on some of the shifts within the industry that unfolded over the past year, and how certain trends have persisted. Let’s take a look at a few of the key takeaways and explore what they mean for the future of IoT and edge computing:
A Noteworthy Rise in IoT Adoption
The numbers speak for themselves – in 2023 there was a remarkable 11% increase in IoT adoption, with 64% of respondents now deploying IoT solutions. This surge signals a growing recognition of the value and potential that IoT technologies offer across various industries. Moreover, an additional 23% are gearing up to embrace IoT, with plans to deploy within the next 12-24 months.
Steady Adoption, Anticipated Acceleration in Edge Computing
While IoT adoption demonstrated healthy growth, the adoption rate of edge computing remained steady year-over-year at 33%. Nevertheless, it would seem that an adoption surge is on the horizon, with 30% planning deployments within the next 24 months. Meanwhile, an additional 27%, are evaluating the potential use of edge computing platforms, while only 10% remain on the sidelines. This all points to organisations taking a cautious but optimistic approach, with an anticipated acceleration of edge technology adoption for enhanced data processing and analysis closer to the source. Machine learning at the edge is a possible driver here.
A Trend Towards Larger Financial Commitments
Confidence in IoT and edge technologies is on the rise, reflected in a notable shift towards higher investments. In 2023, 17% reported spending between $1-10 million, more than doubling the percentage from 2022, and projections show this growing to 23% in 2024. Furthermore, 5% anticipate spending over $10 million, indicating a trend towards substantial financial commitments in these domains.
Deployments are Scaling Up
The scale of IoT and edge deployments is also evolving, with 10% of deployments now consisting of 50,000 or more devices. This shift towards larger deployments is accompanied by an almost equal mix between greenfield and brownfield implementations, indicating diverse approaches to integrating new and existing technologies.
Organisations Recognize the Strategic Value of IoT & Edge Tech
A notable development in 2023 is the increased influence of C-suite executives in driving decisions related to IoT and edge investments. Nearly half of participating organisations report that their investment choices are predominantly driven by top-level executives, a substantial rise from 38% in 2022. This trend underscores the strategic importance of IoT and edge technologies in shaping business directions and outcomes.
The Rising Tide of Open Source
Open source technologies have taken centre stage in the deployment of IoT and edge solutions, with a whopping 75% of organisations actively incorporating open source into their plans. This overwhelming embrace reflects the critical role open source plays in fostering innovation, flexibility, and collaboration in the development of IoT and edge solutions.
As organisations increasingly recognise the value of these technologies, the trends toward larger deployments, higher investments, and the strategic involvement of the C-suite are likely to continue. Moreover, the embrace of open source technologies signifies continual viability of open, collaborative, and innovative approaches to technology deployment. To learn more about open source in IoT and edge computing, explore our industry collaborations like Eclipse IoT, Sparkplug, and the Edge Native special interest group (SIG).
While these are some of the high level takeaways from this year’s survey, I encourage you to dive into the report yourself. These insights aren't just reflections of our past, but serve as a guide for the future of IoT and edge computing. Let’s keep the conversation going, collaborate often, and collectively continue to shape the path forward.
