While the Internet of Things (IoT) is top of mind for most German manufacturers and logistics companies, just 5% are currently tapping into IoT's potential, according to a recent survey.
of 150 IT and business decision-makers from the transportation and manufacturing industries was part of a study that was commissioned by Deutsche Telekom AG (NYSE: DT) and its subsidiary T-Systems International GmbH .
Security was a primary concern for the survey respondents with 73% saying they wanted to invest in IT security ahead of spending money on IoT-related sensors or networks. In particular, the survey respondents were concerned that the networking of production facilities would make them more vulnerable to hacker attacks.
"IT decision-makers are thinking a lot about IoT and predictive maintenance because the opportunities they offer are obvious," said Anette Bronder, head of T-Systems' Digital Division, in a prepared statement. "But they also have a lot of security concerns -- and we need to dispel those if we want to prepare the ground for the necessary infrastructure and to establish the IoT in Germany across the board."
The top factors motivating the German companies to invest in IoT included the pressure to improve efficiency (77%), the need to become more competitive (73%), and the need for greater flexibility and agility (71%).
When it comes to enabling the digital transformations that need to take place to enable IoT, 65% of the companies said they would rely on external service providers to help them with their IoT projects.
— Mike Robuck, Editor, Telco Transformation