I’m guilty of hype.
As a communications consultant toiling away at public relations, media relations and corporate communications, I’ve had my fair share of businesses and products that I’ve helped get more attention than it probably deserved. Indeed, when it comes to over-hyping anything, it’s guys like me and my friends in the media who often take it too far.
Recently though, I came across an unlikely source of hype - the McKinsey Global Institute.
In a June 2015 report that I’m now reading, McKinsey states, “The Internet of Things—digitizing the physical world—has received enormous attention. In this research, the McKinsey Global Institute set to look beyond the hype to understand exactly how IoT technology can create real economic value. Our central finding is that the hype may actually understate the full potential of the Internet of Things…” (emphasis is mine).
If McKinsey is hyping something, should we believe it?
Their report, “The Internet of Things: Mapping the Value Beyond the Hype”, does point out 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.”
I think this is where the race is today - finding the platforms for interoperability, compiling data sources, building security into the system and developing the apps that deliver true value. We have a long way to go, but investment and innovation is only growing.
If done right the hype just may be understated. McKinsey finds that IoT has a total potential economic impact of $3.9 trillion to $11.1 trillion a year by 2025. They state with consumer surplus, this would be equivalent to about 11 percent of the world economy!
Do you believe the hype?