Cisco expects UK startups to transform the UK economy over the next decade with healthcare, retail, transport and energy companies in line to earn a combined £100 billion from the Internet of Everything (IoE) by 2025.
A new study entitled "The Internet of Everything: Unlocking the Opportunity for UK Startups" found firms that look to connect people, processes, data and things across major sectors have the best opportunity to benefit from a share of the spoils from the 50 billion devices Cisco estimates will be connected worldwide by 2020.
"The UK's startup community is a great source of innovation, and we're confident that we're only witnessing the first wave. In the coming months and years, we can expect these businesses to be at the forefront of the transformation of the UK economy as we fully embrace the possibilities of a digital future," said Phil Smith, chief executive of Cisco UK and Ireland.
For what's at stake, STEM is crucial
Breaking it down by industry, healthcare startups have the greatest opportunity of all, Cisco predicting they could access as much as £48 billion over the next 10 years, followed by retail (£37 billion), transport (£11 billion), and energy (£7 billion).
To realise this, Cisco wants businesses, government and education to work in closer proximity in order to educate students and young entrepreneurs in the STEM (science, technology, engineering and math) skills essential for the IoE to grow at this rate.
Regulations on the way
Government and regulatory organisations in the UK have already shown a willingness to embrace the new revolution. David Cameron plunged some £45 million into a fund in early 2014 for British firms working on Internet of Things (IoT) projects and Ofcom is devising on a regulatory framework to manage to influx of new connected devices.
Cisco has a significant vested interest in the IoE and has already established eight innovation centres around the world in locations including London, Tokyo, Sydney, Berlin and Tokyo. At these centres, it showcases the IoE in real-world environments, provides settings for companies to jointly develop innovations, and fosters local and global innovation between universities, startups and mature technology vendors.