Samsung is spending big money on Internet of Things innovations

Getting in the game

Electronics giant Samsung has announced that it will pledge $1.2 billion over the next four years towards startups and research about the Internet of Things (IoT). The investment will be split between Samsung’s own internal projects, and supporting the development of other startups in the U.S.

What’s more, Samsung founded the National IoT Strategy Dialogue to help influence the development of U.S. policies and regulations about the computer-powered, interconnected devices that make up the Internet of Things.

What’s going on behind the curtain?

In the past, the South Korean electronics manufacturer has been shy about partnering with other companies and investing. But recently, Samsung has shown new openness to collaborating, and is putting its money where its mouth is when it comes to developing IoT technology. Samsung has also acquired Joyent, a San Francisco-based company that rents servers and data centers.

The company has also created a line of IoT ready devices called Arktik, as well as the computer power to support them.

The Internet of Things is not just about keeping young people well stocked with the latest gadgets. On the contrary, a lot of the excitement about the IoT lies in its potential to help aging adults maintain independence.

Besides digital health devices, Samsung’s investments will also go towards the development of smart machines, like drones and robots, autonomous cars, and the software to process all the data that the IoT will generate.

Mobile phones are out, IoT is in

The company has a lot to gain from investing in the IoT. Experts predict that the value of the IoT market could reach $1.7 trillion over the next four years. Samsung is already the leading manufacturer of mobile phones, televisions and memory chips. But the company is seeking ways to expand, especially after losing some of its market share in mobile phones in recent years. Samsung’s investment will help it catch up with other chip and hardware manufacturers like Intel and Qualcomm.

With IoT devices on the rise, there’s a lot of competition, a lot of innovation on the horizon, and a lot of money to be made.

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