Artificial intelligence in the IoT (AIoT) is the top emerging trend in the survey, demonstrating the beginning of the process of building a true IoT ecosystem. The research showed that almost half (49%) of respondents already use artificial intelligence in their IoT applications, with machine learning being the most widely used technology (28%), followed by cloud-based AI (19%). This adoption of AI in the IoT is coupled with a growing confidence in leading IoT advancements and an increasing number of respondents who see themselves as innovators. However, it is still clear that some engineers (51%) are hesitant to adopt AI because they are new to the technology or because they need specialized expertise on how to implement AI in IoT applications.

Other findings from Farnell’s second global IoT survey show that security remains one of the biggest concerns designers must consider when implementing IoT. Although the number of respondents citing security as their biggest concern has decreased from 40% in 2018 to 35% in 2019, it still ranks well above connectivity and interoperability due to the type of data that “things” (machines) and humans collect, which can be confidential and highly personal. Companies starting new IoT projects prioritize IoT security by implementing hardware and software security to protect against any potential threats. Another important security aspect is ownership of the collected data, with 70% of respondents preferring to have the data collected by an edge device rather than belonging to an IoT solution provider.

The survey also shows that while many engineers (46%) still prefer to design a complete cloud-based security and peripherals solution themselves, there has been increased receptiveness to integrating production-ready solutions, such as the SmartEdge IIoT gateway, which offers a comprehensive IoT solution. Compared to 2018, in 2019 the number of respondents who confirmed they would consider third-party devices increased by 12%, particularly if they face limitations in staff expertise or if time-to-market is critical.

In 2019, a key trend from last year's survey continued, with results suggesting that the growing range of hardware available to support IoT development continues to present new opportunities. A growing number of respondents see innovation emerging from startups (33%, up from 26% last year), which benefit from the widespread availability of modular solutions and single-board computers. The percentage of respondents adopting off-the-shelf hardware has also increased to 54% (up from 50% in 2018).

Cliff Ortmeyer, Global Director of Technical Marketing at Farnell, comments: “The opportunities in the Internet of Things and artificial intelligence continue to grow, driven by access to an increasing number of hardware and software solutions that allow designers to bring their products to market faster than ever before and without the need for specialized expertise. This is opening up the IoT to new competitors and giving designers the opportunity to innovate to improve quality of life. Farnell provides access to a wide range of IoT and artificial intelligence development tools, offering ready-to-use solutions to common challenges.”.

Despite the rapid integration of smart devices like Amazon's Alexa and Google Home into our daily lives, which highlights the widespread adoption of IoT in the consumer sector, 2019 saw a shift in focus towards home automation, with the percentage of respondents who consider it the IoT application with the greatest impact over the next five years falling from 27% to 22%. On the other hand, industrial automation and smart cities both saw increases, rising by 22% and 16% respectively, thanks to a better understanding of the value that IoT data can bring to operations (increasing from 44% in 2018 to 50% in 2019). This trend is particularly evident in the industrial sector, where more and more facilities are adopting partially or fully automated manufacturing and increasing investment in predictive maintenance to reduce production downtime.

The survey was conducted between September and December 2019 with 2,015 respondents in 67 countries across Europe, North America, and Asia Pacific. Responses came primarily from engineers working on IoT solutions (59%), as well as buyers of IoT-related components, hobbyists, and makers.

Farnell offers a wide range of products and support materials to help designers create IoT solutions and integrate artificial intelligence. It carries products from leading manufacturers such as Raspberry Pi, Arduino, and Beagleboard. Farnell's IoT Hub and AI pages also provide access to the latest design products, information, and documentation to support the design process. Readers can find an infographic with all the results of Farnell's global IoT survey at Farnell in Europe, Newark in North America, and element14 in Asia Pacific.