The future-proof smart home: How Lowes, Vivint and iControl build business for tomorrow

The Internet of Things (IoT) continues to gain steam in Japan, Korea, and the U.S. aswearable and mobile device usage grows every day. As a result of the benefits of smart home products, which include increased efficiency, cost savings, and even saving lives, the technology looks to explode over the next few years. In fact, according to research from Intel Corp., the IoT market is expected to grow from 2 billion objects in 2006 to 200 billion by 2020.

Thats a lot of gadgets expected to hit the market, and even in 2014 we got a glimpse of how popular IoT has become. Kickstarter, Inc.and Indiegogo, Inc. put out dozens of IoT-related projects daily, supporting a startup community of crowd-funded business opportunities. Traditional technology providers are also making the shift to IoT services, with smart home security offerings from AT&T, remote control appliance management from Samsung and a dedicated storefront for smart home gadgets at top retailers like Amazon and Best Buy.

As weve seen with the smartphone market, gadget trends are fleeting as manufacturers fight to differentiate their products in a consumer-driven market. We can expect that IoT devices will face the same plight - just over the past two years weve seen dozens oftypes of object trackers launched, including 8.3 million wearable trackersbought by consumers in 2012 alone, and over 97,000 applications for monitoring health were recorded in 2013.

How can an IoT business devise a plan to factor fickle consumer trends while also curbing competition from industry stalwarts that can bundle services to existing customers, as well as disruptive startups crafting breakthrough products?

Today we hear from a handful of executives facing the challenges of excelling in the rapidly evolving world of IoT.Products like AOptix Technologies, Inc.s wireless fiber is literally laying the groundwork to support an IoT industry far into the future.And retailer Staples Inc. has made future-proofing a selling point with its Staples Connect platform powered by Zonoff Inc. software. Hewlett-Packard Co. sees new opportunity in providing the backend for businesses looking to prepare for future consumer demand, offering Unified Information Access technology that integrates the old and the new instantiations of machine-to-machine communications required for a profitable IoT market.

Kevin Meagher, VP and GM, Lowes Companies, Inc. Smart Home Division

We are working to make sure our retail strategy is future proof by providing an open platform that will scale to meet our customers needs over time. Lowes Companies, Inc. was the first to target the mass consumer market with a broad home automation solution, Iris, which makes smart homes easily accessible and affordable. We took technology that is perceived as expensive and difficult to install and made it available and easy-to-use by creating simple Do-it-Yourself (DIY) kits at affordable price points.

Getting new technology to work with old is a challenge. For example, some homes have the old type security systems with wired sensors that have limited functionality. We can connect these to Iris, but its old technology that would need a professional to rewire. An Iris Safe and Secure system has so much more functionality; its simple to install, and at $179 for a complete kit, it is cheaper than trying to rework the old security systems.

In the future, everything in the home will be connected to the Internet. Common home improvement products will offer connectivity to better provide consumers with safety, convenience, and overall peace of mind. Smart devices in-store today, such as door locks, thermostats, and even garage door openers, work and operate like traditional components of home improvement, but they bring the consumer-added functionality and ease to make managing their home simpler and more affordable. They give consumers the ability to remotely monitor and control their home so they have greater peace of mind.

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The future-proof smart home: How Lowes, Vivint and iControl build business for tomorrow