---
title: "IoT: The digital thread that brings business functionalities together"
description: Businesses often ask the question, what is IoT and how is it relevant? In short, IoT is the digital thread that brings together business functionalities.
image: https://blog.savincom.co.uk/hubfs/What-is-IoT.jpg
---

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# IoT: The digital thread that brings business functionalities together

**[Internet of things (IoT)](https://www.savincom.co.uk/iot/)** integrates the interconnectedness of human culture -- our 'things' -- with the interconnectedness of our digital information system. The Internet of Things, or IoT, refers to the billions of physical devices around the world that are now connected to the internet, all collecting and sharing data. Thanks to the arrival of super-cheap computer chips and the ubiquity of wireless networks, it's possible to turn anything, from something as small as a pill to something as big as an aeroplane, into a part of the IoT.

> **With more than 7 billion connected IoT devices today, experts are expecting this number to grow to 10 billion by 2020 and 22 billion by 2025.**
> 
> ***Source: oracle.com***

![What-is-IoT](https://blog.savincom.co.uk/hs-fs/hubfs/What-is-IoT.jpg?width=777&name=What-is-IoT.jpg)

#### So, what is IoT?

Connecting things to the internet harvests many great benefits both for home and business users alike. We’ve all seen these benefits with our smartphones, laptops, and tablets, but this is true for *everything* else too. The Internet of Things is actually a pretty simple concept, *it means taking all the things in the world and connecting them to the internet.* The internet of Things, or “IoT” for short, is about extending the power of the internet beyond computers and smartphones to a whole range of other things, processes, andenvironments. Those “connected” things are used to gather information, send information back, or both.

We think it’s important to understand the benefits of connecting things to the internet. Why would we even want to connect everything to the internet?

In the Internet of Things, all the things that are being connected to the internet can be put into three categories:

1. Things that collect information and then send it.
2. Things that receive information and then act on it.
3. Things that do both.

#### How does IoT work?

Devices and objects with built in sensors are connected to an Internet of Things platform, which integrates data from the different devices and applies analytics to share the most valuable information with applications built to address specific needs. 

These powerful IoT platforms can pinpoint exactly what information is useful and what can safely be ignored. This information can be used to detect patterns, make recommendations, and detect possible problems before they occur.

#### Why does IoT matter?

IoT provides businesses and people better insight into and control over the 99 percent of objects and environments that remain beyond the reach of the internet. And by doing so, IoT allows businesses and people to be more connected to the world around them and to do more meaningful, higher-level work.

IoT has become one of the most important technologies of the 21st century. Now that we can connect everyday objects—kitchen appliances, cars, thermostats-to the internet via embedded devices, seamless communication is possible between people, processes, and things.

By means of low-cost computing, the cloud, big data, analytics, and mobile technologies, physical things can share and collect data with minimal human intervention. In this ever-so-connected world, digital systems can record, monitor, and adjust each interaction between connected things. The physical world meets the digital world—and they cooperate.

**Why do businesses need IoT?**

IoT solutions allow companies to improve their existing systems, and also build entirely new connection points to customers and partners. It also brings with it new IT challenges. With billions of connected devices transmitting potentially valuable information, you can begin leveraging market awareness and measuring performance within your organization.

With the evolution of digital business, operating models are shifting to derive business value and competitive differentiation from visibility and predictive capabilities. The digital journey begins by integrating these once siloed functions into end-to-end driven complete architectures. IoT is the digital thread that brings these functions together.

IoT solutions opens up a new range of possibilities for businesses – how they operate, how they grow and how they keep customers happy. Savincom works with the major operators to provide both sim connectivity and platform to businesses.

***Looking to get IoT for your business? Get in touch with our team of experts, call on 020 3862 7740, today.***

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