The Internet of Everything (IoE) can help governments create value worth an estimated $6.4 trillion over the next decade, according to a new study.
The study, released by Cisco at the Consumer Electronics Show (CES), argues that IoE can help governments save money, improve employee productivity, generate new revenue (without raising taxes) and enhance citizen benefits.
IoE is the networked connection of people, process, data and things and the increased value that occurs as “everything” joins the network.
The study cited the city of Barcelona as one of the early adopters of IoE. The city was the first to develop Virtual Citizen Services in Europe, using video and collaboration technologies to allow citizens to virtually interact with city hall without having to travel to local offices. It has also 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.
“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.”
In terms of opportunity, the study noted that smart buildings alone are poised to generate $100 billion in potential savings by lowering operating costs through the reduction of energy consumption. Gas monitoring, on the other hand, could generate $69 billion by reducing meter-reading costs and increasing the accuracy of readings for citizens and municipal utility agencies.
Smart parking could also create $41 billion by providing real-time visibility into the availability of parking spaces across a city. Residents can identify and reserve the closest available space, traffic wardens can identify non-compliant usage, and municipalities can introduce demand-based pricing. Road pricing could create $18 billion in new revenues by implementing automatic payments as vehicles enter busy zones of cities, improving traffic conditions and raising revenues. Lastly, water management could generate $39 billion by connecting the household water meter over an IP network to provide remote information on use and status.