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“The Prisoner’s Dilemma of the IoT Standards Wars”

Posted on 14. October 2015 Written by Marcel Weiss

Martin Spindler:

What would be required for interoperability to happen is non-zero-sum thinking with the big platform vendors. And yet we have entered a spiral of zero-sum competition in what seems to be a crucial part of a still-emerging market.

What this will lead to is a necessary segmentation of the market. It is unrealistic, and a problematic aspect of the whole Internet of Things discussion, to have cluster such a variety of things as Industrial and Supply Chain applications, Automotive, Health and Home together. Each of these industries will likely develop their own set of competing standards, where winners will be easier to find, but a lot of deadweight loss will occur. (Think HD-DVD firms and customers.) The really valuable position to sit in such a scenario is at the fringes of respective verticals – being a gateway and translation point between them. We’re starting to see key player jockey into position for this.

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Author: Marcel Weiss is a writer, consultant and fighter for pareto-optima. He is thinking and linking from Berlin, Germany.

contact: marcel@neunetz.com

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