Surprise in the IoT: hidden costs endanger companies!

Surprise in the IoT: hidden costs endanger companies!

In the world of the Internet of Things (IoT) there is a widespread illusion: The idea that the initial costs of connectivity offer a good basis for the entire budget planning. But as [iottechnews.com] (https://iottechnews.com/news/eseye-why-true-kost----- ------konnectivity-hidden/), the real editions are often much higher than the first offer suggests. Similar to the car purchase, in which the operating costs play a major role, the IoT project also applies: if you only look at the price, you run the risk of opening up long-term costs. David Langton, the CMO of ESEYE, warns that many companies risk being confronted with connection errors and high operating costs.

An alarming survey by ESEYE shows that 99.6% of IoT implementations do not reach the required connecting levels. 79% of the companies surveyed strive for almost 100% availability of their devices - but less than 0.4% actually reach this target brand. This not only results in financial losses, but can also severely damage the reputation of a company.

The pitfalls of cheap providers

It is no secret that the price is often the first consideration when choosing an IoT connectivity provider. However, eseye.com, 68% of the decision-makers in the IoT area agree that favorable providers do not offer a long-term solution. This can be seen in the hidden costs that many companies inevitably have to bear. The total cost of property (Total Cost of Ownership, TCO) is crucial to realistically assess the economy of an IoT strategy. They include all editions for design, implementation and maintenance over the entire life cycle of a device.

A remarkable case shows how dining can achieve savings of £ 8.8 million in a global advertising company through a comprehensive TCO rating. By eliminating redundant hardware and improving the efficiency of connectivity, the running costs could also be significantly reduced.

cost estimate: the key to success

But how exactly does the cost estimate in the IoT area work? [FASTERCAPITAL.com] (https://fastercapital.com/de/inhalt/kostschaletlet-internet-der-wie-man-iot-Geraete- und-sensors-zur-cost-schalstell-nutz.html) describes that a precise cost estimate takes into account several dimensions, including hardware, software, connectivity and maintenance costs. A multidimensional view is essential here in order to be able to make well -founded decisions.

The costs can be divided into different categories, including:

• device procurement
• installation and connectivity fees
• data storage and analysis
• maintenance costs

In addition, companies should also focus on scalability and flexibility when planning in order to be able to meet changing requirements. A good knack for the cost estimate can not only increase efficiency, but also develop completely new sources of income.

Finally, the inclusion of security measures and data protection in the cost estimate is essential. Since the IoT world is becoming increasingly complex, it must be ensured that security aspects are taken into account from the start. If companies put the right degree of attention to the total costs of the IoT, they can not only realize long -term savings, but also fully exploit their innovation potential.