The only constant is change – and companies that do not change get left behind. My perspective is that it’s best to accept change as inevitable – to embrace it, lead it, and use it to shape desired outcomes. As I discussed previously, many of today’s leading trends –what I call market transitions – are combining into the Internet of Everything, which we define as the intelligent connection of people, processes, data, and things.
Disruptive innovation is fueling the emergence of the Internet of Everything. I attended the World Economic Forum recently and much of the discussion in Davos focused on the state of innovation. At Cisco, we believe the world has never been more innovative, and this is reinforced in our ongoing discussions with many business and technology leaders.
In an effort to better understand the extent of the opportunity for our customers presented by increasing connectedness, Cisco has conducted analysis on the potential economic impact of the Internet of Everything, the findings of which we’re releasing today. Our analysis indicates that there is as much as $14.4 trillion of potential economic “value at stake” for global private-sector businesses over the next decade, as a result of the emergence of the Internet of Everything.
We define the potential value at stake to be a combination of net new economic value created as a result of the Internet of Everything, as well as value that will migrate from lagging companies and industries to those that take advantage of new innovations — minus the cost of implementation. Based on our analysis, the Internet of Everything has the potential to increase global corporate profits by approximately 21% in aggregate over the next 10 years.