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Market Perspective

Evolving Role of the IoT Edge Gateway

Patrick Filkins, Rohit Mehta

Download the IDC research paper:
The Evolving Role of the IoT
Edge Network Gateway

IDC's recent research paper on IoT edge network gateway opportunities covers market size, enterprise buyers' needs, and IoT device vendor strategy recommendations. On the edge, opportunities exist for IoT products that aggregate, analyze, and disseminate sensor data back to customers' core networks and clouds.

From the paper:

"Moving to a cloud-first model is helping enterprises unlock more options about how to design and deploy edge networks for IoT. However, more technology options often result in more complexity. In the case of IoT, the challenge runs deeper. The barrier between traditional IT and OT departments remains a key hindrance when planning and executing IoT projects. While these problems are partially addressed through reorganization and reskilling, it will take time for many enterprises to optimize staff for IoT. In the meantime, vendors are doing their part to overcome these challenges by engineering IoT network infrastructure with new capabilities."

"For instance, security features embedded in IoT edge network gateways can now bring enterprise-grade security closer to end devices. Some software (e.g., security) traditionally hosted in edge datacenters can now be deplyed and remotely managed on the IoT edge network gateways, combining functions commonly allocated to either IT or OT departments. This infrastrucutre "convergence" is likely to continue as enterprises explore optimal ways to support more IoT connections and expedite IoT projects."

"Indeed, IDC estimates that spending on IoT edge infrastructure will grow at a CAGR of 22.0% and reach $3.37 billion in 2021."

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