The "Internet of Everything" could generate $4.6 trillion in value for public-sector organizations over the next 10 years, according to a new study released by Cisco. It can help governments create value by saving money, improving employee productivity, generating new revenue (without raising taxes) and enhancing citizen benefits.
IoE is the networked connection of people, process, data and things, and the increased value that occurs as "everything" joins the network. Several technology transitions – including the Internet of Things, increased mobility, the emergence of cloud computing and the growing importance of big data – are combining to enable IoE.
One example: The city of Barcelona is utilizing IoE solutions today to offer it residents new services and richer experiences. One of the first to develop Virtual Citizen Services in Europe, Barcelona is using video and collaboration technologies to allow citizens to virtually interact with city hall without having to travel to local offices. Barcelona has implemented IoE solutions in water management, smart parking, waste management and connected buses, all of which are helping the city save money and improve the quality of service to citizens.
Cities globally have the potential to claim $1.9 trillion in value from IoE over the next decade, according to Cisco's study. Smart buildings are poised to save $100 billion in operating costs by reducing energy consumption through the integration of HVAC and other systems. Gas monitoring could generate $69 billion by reducing meter-reading costs and increasing the accuracy of readings for citizens and municipal utility agencies.
"With more of the world's population moving into urban centers daily, cities must become more flexible and responsive to citizen needs, while making the most of public resources," said Wim Elfrink, Cisco's EVP of industry solutions and chief globalization officer. "The Internet of Everything is transforming how cities deliver services and how citizens interact with government."
Beyond cities, the benefits of IoE extend to governments at almost every level, according to the study. State agencies have the potential to realize $682 billion in value by applying IoE solutions to processes like bridge maintenance, offender transport, chronic disease management and wildfire suppression.