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Folkestone’s Latest Blog – Digital Connectivity – 2015 A Watershed Year But It Is Only The Beginning

  • Published February 02, 2016 10:07AM UTC
  • Publisher Wholesale Investor
  • Categories Company Updates

1st February 2016

Digital Connectivity – 2015 A Watershed Year But It Is Only The Beginning

2015 was a watershed year for digital connectivity.

We have moved from an information economy where we created data, to an intelligent economy where we are connecting a myriad of objects that can not only generate data but facilitate the sharing of information and real time analysis. The speed of change is unprecedented and inexorable.
Our economic, learning, cultural, and human environments are being transformed. This is especially true for the real estate sector – houses, office, retail, industrial, health and medical facilities, hotels and cities – where digital disruption is having an enormous impact.

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The Digital Transformation of Industries

The conversation about digital technology has shifted over the past five years. No longer seen as the exclusive domain of tech companies or a driver of marginal efficiency gains, digital technology is now considered a powerful enabler of fundamental innovation and industry disruption across the value chain. What big bets are companies making in the digital transformation of their business models and organization structures?

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The More Things Change – Value Creation, Value Capture, and the Internet of Things

Most “things,” from alarm clocks to Zambonis, the human body includ­ed, have long operated largely “dark,” with their location, position, and functional state unknown or even unknowable. No longer, thanks to the Internet of Things (IoT), a suite of technologies and associated business pro­cesses that allow us to track and count, observe and identify, evaluate and act in circumstances heretofore effectively invisible and beyond reach.

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The Internet of Things: Mapping the Value Beyond the Hype

The Internet of Things—digitizing the physical world—has received enormous attention. In this research, the McKinsey Global Institute set out to look beyond the hype to understand exactly how IoT technology can create real economic value. McKinsey’s central finding is that the hype may actually understate the full potential of the Internet of Things—but that capturing the maximum benefits will require an understanding of where real value can be created and successfully addressing a set of systems issues, including interoperability.

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