The Internet of Things (IoT) is the network of physical objects or processes embedded with a variety of devices and technologies, such as radio frequency identification technology, global positioning systems, infrared sensors and laser scanners, that enable these objects to communicate and interact with others through the Internet. The objects can be remotely monitored and controlled. IoT collects all necessary information, including sound, optical, thermal, electrical, mechanical, chemical, biological, and geographical details, to facilitate connection and interaction of embedded devices and people on a large scale. In this way, it supports smart perception, identification and management of the objects and processes.
IoT, an information carrier based on Internet and conventional communication networks, enables an interconnected network of individually addressable physical objects. It has the three major features of comprehensive perception, reliable transmission, and intelligent processing. An object under IoT can be a smart phone, headset, car, bulb, fridge, coffee machine, security system, alarm system, and other domestic and mobile devices. It is estimated that by 2020 more than 30 billion objects will be connected with IoT globally.
IoT has extensive usages in areas such as intelligent transportation, environmental protection, government administration, public security, safe homes, intelligent fire control, industrial monitoring, elder care, personal health, flower cultivation, water system monitoring, food traceability, and military investigation and information collection. Smart cities are a good model on how the technology can be applied comprehensively, covering smart municipal administration, smart agriculture and gardening, smart healthcare, smart buildings, smart traffic and smart tourism.
China's installed base of smart assistant devices are expected to reach 5.8 billion by 2023. Devices for the home such as air conditioners, door locks, TVs and refrigerators, which will be able to be operated by a smart assistant via the network, will reach 3.6 billion in 2023, according to the latest report on China's Internet of Things (IOT) market by global technology market analyst firm Canalys.
China’s fast development of the IoT owes a lot to government support. As a representative of the new-generation technology, IoT has become a key priority under the national strategy. The Chinese government has been implementing IoT growth strategy among cities in order to promote business growth and drive development in areas of AI, cloud computing, and big data. The government plays a crucial role in internet infrastructure planning and construction. In the future, it is likely that the Chinese government will continue to invest heavily in semi-conductor chips.
According to estimation by the IDC, by 2020, IoT will create a USD 1.46 trillion global market. Chinaidr predicted that China’s IoT market will exceed 1.8 trillion yuan by 2020. It is widely believed that China will be a key player in the IoT industry. Thanks to its large population and low-cost chip manufacturing industry, China will continue to play a significant role in driving the global IoT market forward.