Six forces are about to change the way you do business. Ten trends are driving digital transformation. And 6 trends are poised to transform the smart home.
These are some of the latest figures from top IT market watchers. And here’s your tech provider’s roundup.
6 forces impacting tech providers thru 2025
Six forces in the IT industry will threaten your business through 2025, predicts Gartner. In response, the research firm adds, tech providers will need to create new models, products and relationships. Here are the 6 powerful forces according to Gartner:
> Disruption from geopolitics & world events: Global trade tension — such as we’re seeing between the U.S. and China — will affect product strategies, customer strategies, business management and more. Meanwhile, the global pandemic and associated lockdown are creating big, new challenges around collaboration and communication.
> Changing customer demand & expectations: The business side, rather than IT, will increasingly decide and sign off on tech purchases. These customers will also demand a clearer idea, before they make a purchase, of a potential IT solution’s value.
> Disruption from emerging tech: Gartner expects these technologies to include “digital me” (such as social-distancing tech, health passports and digital twins), composite architectures and formative AI.
> New industry dynamics: The IT industry doesn’t sit still. Tech providers will need to respond with new strategies, new routes to market, and new abilities to both collaborate and compete with others.
> Challenges from both new entrants: New, tech-savvy competitors have a nasty way of leapfrogging older companies. To stay competitive, consider adopting new purchasing models, ways to improve the customer experience, means to becoming easier to do business with.
> Disruptive business models: These may include “generative solutions,” which create value by combining information, tech and operations in new ways. Gartner predicts that the fastest-growing tech providers will get half their sales from generative or platform business models by 2025.
10 predictions for digital transformation
Digital transformation (DX) waits for no one, not even a global pandemic. Market watcher IDC predicts that DX spending will grow by an average of 15.5% a year through 2023, when it will reach $6.8 trillion (yes, the T is correct) worldwide.
What are DX’s driving forces? IDC has identified no fewer than 10:
> Accelerated investments create economic gravity: Two-thirds of global GDP will be digitalized by 2022. That will require a lot of IT modernization.
> Digital organization structures and roadmaps mature: By 2023, three-quarters of organizations will have comprehensive DX implementation roadmaps, up from only about one quarter today.
> Digital management systems mature, too: Six in 10 leaders of the world’s largest organizations will shift their management orientation from process to outcome by 2023.
> The rise of the digital platform and extended ecosystems: Three-quarters of business leader will leverage digital platforms and ecosystems by 2025.
> A digital-first approach for staff: By 2021, 6 in 10 enterprises will invest heavily in digitalizing the employee experience.
> Business-model reinvention: Nearly 1 in 3 organizations will accelerate innovation to support business and operating-model reinvention by 2021.
> Sustainability and DX: By 2022, a majority of companies will realize greater value by combining digital and sustainability. This will become the de-facto standard.
> Digitally native cultures: Half of all enterprises will implement an organizational culture optimized for DX by 2025.
> Accelerating digital experiences: By 2022, 7 in 10 organizations will have transformed business processes with IT.
> Business innovation platforms: Six in 10 of the world’s largest companies will build their own business-innovation platforms by 2023.
6 key trends for the smart-home future
Get ready: Homes will change more over the next 20 years than they did during the previous 100, predicts ABI Research.
ABI says what it calls the Transformational Smart Home is coming soon and will be characterized by a wide range of interconnected services. This will be driven by 6 key concepts:
> Sentient: A smart home will be able to automatically adjust to any changes its owner specifies, including efficiency and weather changes.
> Cooperative: Smart homes will become embedded in networks of other homes. The benefits will include the ability to manage, control, use, and share resources more efficiently.
> New lifestyle: Simple and flexible changes in the use of spaces will support an increasingly wide range of activities, even in smaller homes.
> Home as business: New capabilities will enable and support residents’ home-based revenue-generating services.
> Low impact: New smart homes will offer automated control over selecting, generating, delivering, consuming and disposing of goods and services. The larger goal: zero environmental impact.
> Marketplace: Smart-home providers will act as mediation points between companies looking to engage and consumers.