Europe seems so ready for Internet of Things. Dutch Telco, KPN, announced that they had completed nationwide coverage of the Netherlands in a wireless Internet of things network. It is actually like Traditional Cellular network but with far low cost and low energy. KPN’s network can connect sensors monitoring everything from rail switches at Utrecht Central station to depth sounders at the Port of Rotterdam and baggage handling at Schiphol Airport.
Some amount of Internet of Things Network has been built in other countries across the Europe too. France and Germany are the example. South Korea is also one of country that’s being ready for Internet of Things. Many countries worldwide are now ready for Internet of Things.
So far, KPN has contracts inked to connect 1.5 million devices, according to Jacob Groote, the executive in charge of mobile services at KPN. Not all 1.5 million are yet connected, he says, and even when they are, it won’t be enough to have a substantial financial impact on the company, which had annual revenue in 2015 of $7.72 billion (€7 billion).
Groote said that KPN saw various opportunities from their customer such s Governments which is using sensors to monitor infrastructure, such as whether dikes in remote areas are getting too wet and risk failing and In Corporations, which uses IoT sensors to dynamically control lighting intensity along bike paths in Rotterdam.
KPN still won’t say how much investment they’ve made so far. Experts say it’s orders of magnitude cheaper to build an IoT network than the billions of dollars in licensing and hardware costs associated with laying large 4G networks. KPN will charge a subscription for each device on the network, currently between about $4.50 and $16.50 per year, depending on data requirements.
“The problem is the revenue will only start when the network is there,” says Pedro de Smit, the managing director of Clickey, a designer of hardware devices for KPN and other IoT networks. Already, says de Smit, Clickey has experienced a noticeable uptick in customer sales since KPN announced nationwide coverage in the Netherlands at the end of June.
Based on de Smith, to keep growing few things is necessary. First, tt is for the KPN network to enable location-based features, which would, for instance, allow a shipping container to be tracked in transit across the country—something expected to go live before the end of 2016. The second is IoT coverage beyond national borders. Siemens, Shimano, and other large companies are very interested in gaining access to IoT networks, but only when there is enough geographic coverage, says de Smit. That may take a few years.