However, when the use of algorithms is considered against a backdrop of cloud computing and how easy it has become to transfer data from a device to the data center then large companies are looking to use the new emerging connected world to improve performance, enhance productivity and increase profit.  The use of algorithms is no longer confined to low-level mathematics, electronics or communications – the arena is open and innovation rife. Expect large corporate companies to employ teams of data scientists, mathematicians, as well as software developers, in order to maximize the benefit algorithms can offer.

The need for a common language

Domestic interaction with Bots (an application that performs an automated task) is established and set to grow. For example, the recent announcement from Amazon that the Echo personal assistant will be available outside of the US, in the UK and Germany, will boost its reach.

Although you can connect Bots to pieces of kitchen and home equipment the process still requires significant user interaction to carry out the setup. For example, you can connect a wi-fi enabled kettle or your fridge to the Echo – with some effort. To augment the effectiveness of these personal assistants other devices in the home require straightforward connectivity. Ask Alexa “Can you make me a cup of coffee?”, she will reply with something along the lines of “I wish I could. Cooking is beyond me at the moment” – perhaps a hint that Alexa will soon be making your morning coffee?

In order to provide the user with a rich, robust and zero config ecosystem of devices some standardisation of protocols may be required – who is going to do this and who will get their standard to the forefront is unclear, but expect to see further convergence over the next few years before an exponential uptake of connected devices is achieved.

Ubiquitous, low-power, low -cost connectivity

Further advances in chipset and micro-processing technologies are required in order to provide low-power, low-cost, communication-anywhere, devices. Many current IoT applications use the smartphone as an intermediary - requiring additional user interaction. To enable transparent, ubiquitous connectivity, then low-cost, low-power connectivity devices that work anywhere are required. Watch out for new chipsets which will extend the capability of 4G cellular networks beyond the smartphone and into IoT devices.