I recently participated in the Connected Cloud Summit event in Boston that focused on the opportunities and challenges associated with the Internet of Things (IoT). There was much discussion centered on the industry disruption that is happening across diverse markets such as medical devices and healthcare, communications, industrial automation, automotive, security, and more. It was remarkable to see the pace of innovation that is happening across those industries that is being driven the IoT.
A number of the sessions at the conference, including the panel that I participated in, focused on the business aspects of building an IoT company. It was interesting to hear the different viewpoints from the attendees that represented both large established companies that are transitioning to add IoT capabilities to their offerings as well as start-ups that have been building companies focused on the IoT from day one. There were companies that have been providing hardware, software, and services for years and others that are just starting to think about how they add software and services to their offerings.
Many of the discussions at the conference touched on a few key themes that we have been seeing from our customers for some time:
- On-premise software, SaaS, and intelligent hardware devices and IoT solutions are all increasingly being deployed and consumed in cloud connected environments that are changing the customer experience and disrupting industries
- These dynamics are transforming the way software, hardware, and services are being deployed, consumed, and monetized
- New business models are emerging that require these vendors to adapt their offerings to meet the changing needs of the market
- Offering flexible license models, tracking and aggregating usage, controlling use, and managing entitlements are common challenges for these companies
- The changes in these markets provide opportunities to companies that have the flexible systems, processes, and culture to adapt as these industries continue to evolve
What is clear is that providers of on-premise software, SaaS, intelligent devices or IoT solutions, face similar challenges when it comes to monetizing their offerings in these connected environments. Importantly, these companies should be thinking not only about how they monetize today; they also need to ensure that they have the flexibility in place to future proof their businesses as these markets continue to evolve.
We’ll be focusing on these topics at the upcoming LicensingLive! 2014 conference where the core theme of the event is software monetization in a connected world. The conference will be held in Cupertino, CA on October 21-22 with participation from leading analysts and industry executives. Click here for more information and to register for this free event.
We hope to see you there!