Saying that the Internet of Things or IoT is exploding is an understatement. Analysts expect that by year 2020, there will be over 50 billion devices that will have an internet connection and the devices will generate large amounts of data that businesses can use to their advantage.

The correlation between IoT and Big Data

Based on a study, about 4.4 trillion GB of data will be created by the year 2020 through IoT. Comprehending this is no doubt that easy. But, with the ever increasing number of connected devices, it doesn’t come as a surprise that by year 2020, over 10 billions of devices and sensors will be connected online.

In addition, all these devices will be able to gather, analyze, transmit, and share data in real time. This means that with no data, the IoT devices will not be able to hold the capabilities and functionalities that made them earn so much attention from all over the world.

Color photo of inscription Big Data & IoT Privacy with keyboard and mouse below; used to illustrate the importance of both terms together.
Big data and its role in IoT is to process large amounts of data in real-time. | Image credit: Pixabay
Big Data and Its Role in IoT

When organizations hold of data for purposes of analysis, IoT acts as the primary source for the data. This is where big data’s role in IoT comes in the picture. The analytics of Big Data is emerging as the key to analyzing IoT-generated data from the connected devices that help in taking the initiative to enhance decision making.

Big data and its role in IoT is to process large amounts of data in real-time, then storing these with the use of various storage technologies.

The processing of IoT and Big Data follows these four sequential steps:

  1. IoT devices generate large amounts of unstructured data that are collected in big data system. The IoT generated big data mainly depends on the 3V factors, and these are variety, velocity, and volume.
  2. In big data system that is primarily a shared distributed database, the large amount of data is being stored and kept in big data files.
  3. The stored IoT big data is analyzed with the use of analytic tools.
  4. Reports are generated from the analyzed data.
The Processing of IoT and Big Data

Since unstructured data in IoT is being collected over the internet, big data for IoT requires lightning-fast analysis with huge queries to get rapid insights from the data to come up with quick decisions. Thus, the requirement for big data in the Internet of Things is very compelling.

From the perspective of Big Data, this is the fuel driving the Internet of Things.

How Big Data and IoT Affect Each Other

There is so much more than the interdependent relation between IoT and Big Data. Since they help one another, they also have a big effect on each other. The truth is that when IoT grows even more, this will be placing more demand on the businesses when it comes to big data capabilities.

For instance, with the huge increase of generated data through IoT, traditional data storage technology is getting pushed to the limits. The result is that this calls for more innovative and advanced storage solutions to handle the increasing workloads that result in updating the big data storage infrastructure of the organization.

Aside from that, IoT and Big Data combined apps accelerate the scope of the research in both fields. Therefore, Big Data and IoT both the technology need further development and carry inter-dependency.

Color photo IoT cloud and connected network - used to illustrate the meaning of IoT and Big Data network.
About 4.4 trillion GB of data will be created by the year 2020 through IoT. | Image credit: Pixabay
Steps to Implement IoT Strategy

Connected devices can be everywhere and data being generated by such devices continues to transform manufacturing, healthcare, consumer products, and other industries. However, it’s only the beginning. Finding the best strategy that works best for your business can be crucial to your success in the future. It is also important to find the right IoT strategy. It can result to product optimization, increased revenue streams, better customer relationship, and so on.

These following steps are important to IoT success:

1. Start Small But Think Big

When companies start thinking about IoT, it could be overwhelming. There are lots of ways that IoT may be leveraged, which finding the best place to begin may be like finding the needle in haystack. Therefore, businesses should take a look at the existing offerings to determine natural use case. After that, begin working towards it.

2. Keep All Your Customers in Mind

Implementation of IoT have the potential of transforming businesses, yet it is the experiences of customers that would be most impacted. See to it that you keep all your customers in mind when creating IoT strategies. It’ll be important to have clear value proposition, which resonates with the customers and aligns with the existing offerings of the company, whether services, products or both.

For instance, in the case of Under Armour brand, the company always kept all of its customers in mind when creating new service, which put their goals on fitness first. The executives also ensure that the primary focus of its IoT innovation was to build rewarding and rich fitness communities. The benefits were customer engagement and sales growth instead of the initiative’s driver.

3. Always Have Revenue Goals in Mind

Companies should take note to think of where revenues would come from when IoT strategies are in place. IoT take an investment and the executives would want to think of what they like to achieve when it comes to revenue goals and product development prior to getting started. If you will think ahead, it will ensure that the effort and time that’s developing IoT implementation would pay off in the long run.

4. Never Wait for Competition

The implementation of IoT is happening. So, it only means that you should jump on board. Like the internet before this, a business can’t ignore IoT innovation without the risk to be left behind. In fact, recently, a big percentage of businesses began implementing IoT strategies.


Companies recognize that IoT has a potential of redefining their current business models as well as open up some new forms of customer growth and revenue. For some businesses to keep up with the trends, they should recognize that IoT will stay.

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IoT Privacy Challenges and Big Data Business Concerns

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