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The US, South Korea, and the UK have been ranked as the three countries most ready to generate and benefit from the Internet of Things (IoT).
This is according to the updated International Data Corporation (IDC) 2016 index ranking the Group of 20 (G20) nations on their preparedness for Internet of Things (IoT) development. The original index was first published in 2013 but this updated index is now comprised of 13 criteria that IDC views as necessary for sustained development of the IoT and reflects each nation’s economic stature, technological preparedness, and business readiness to benefit from the efficiencies linked to IoT solutions.
The US scored particularly well on measures such as ease of doing business, government effectiveness, innovation, and cloud infrastructure, as well as GDP and technology spending as a percent of GDP.
South Korea, despite a modest GDP, scored extremely well on IoT-specific spending and has a business environment that fosters innovation and promotes attractive investment opportunities.
Similarly, the UK scored very highly on measures of ease of doing business, government effectiveness, regulatory quality, start-up procedures, innovation, and broadband penetration.
The standout country in the ranking proved to be Australia, which, despite its relatively small GDP, scored exceptionally high on ease of doing business and start-up procedures, government effectiveness and regulatory quality, and innovation and education.
Australia’s scores point to a country that has the necessary ingredients for a business environment that is ready for the growth of IoT.
“Countries are keen to become or maintain a competitive advantage and, as such, are looking to the Internet of Things as one of those initiatives,” says Vernon Turner, senior vice-president: Enterprise Systems and IDC Fellow for The Internet of Things.
“Knowing where a country stands in the IoT Index will help global and local IT vendors know what opportunities lie ahead of them as they line up their strategies at federal, local, and enterprise levels.”
IDC proposes that the ideal set of countries ready to facilitate the accelerated development of IoT opportunities can be found in the G20. Not only do these countries exhibit a rich composition and quality of overall economic stature, business readiness, and technological preparedness, but they are also a set of countries with eclectic needs for the efficiencies that IoT solutions can create.
IDC predicts that the countries which score higher in the ranking will more likely have the magnitude of need for efficiencies that IoT solutions can create, will be more conducive for business and product innovation, and be more likely to have the mindset for and availability of technologies that align with IoT use cases.
“IDC’s assessment of the G20 nations’ capacity to develop IoT opportunities reveals some surprising results,” adds Adam Wright, senior research analyst: IoT at IDC. “Not all countries are created equal, and sheer GDP size alone is not necessarily the best predictor of a country’s readiness for and ability to accelerate the development of the IoT.”