How Will Datacenters Support the Proliferation of IoT Devices?

Aug 02, 2017

In recent years, there has been a flood of Internet-connected devices in both the business and consumer markets. Virtually every industry[1] is making use of IoT. From refrigerators that tell you when you’re low on milk to software that helps insurance companies resolve claims faster, the IoT landscape is in the midst of a serious boom.

In fact, according to Gartner, there will be an estimated 20.4 billion IoT “units” installed worldwide by 2020. Consumer applications represent 63 percent of IoT applications, with 5.2 billion units in 2017, while businesses are on pace to employ 3.1 billion connected devices this year.[2] These devices are expected to generate upwards of $300 billion in revenue for the suppliers that are deploying the IoT devices.[3]

So, the burning question on everyone’s mind… how can our current infrastructure step up to meet the demand? Here are some hurdles datacenter provides will have to overcome to ensure IoT devices are supported with 99.999 percent uptime:


Security is quite possibly the most hot-button topic associated with network data. Breaches can be catastrophic for a business. If estimates are correct, the 20.4 billion IoT devices forecast for 2020 will transmit an astounding amount of data on a minute-to-minute basis. That means A LOT of confidential information could be at risk. As mentioned in a previous blog, worldwide spending on information security is expected to reach $90 billion in 2017, an increase of 7.6 percent over 2016, and will top $113 billion by 2020. Spending on enhanced detection and response capabilities is expected to be a key priority for security buyers through 2020.[4]

There’s already an inordinate amount of consumer data being transmitted as a result of mobile phones, apps, video games, credit card transactions, medical record systems and a host of other sources. The increase of IoT devices will substantially increase the amount of sensitive data that could be at risk if the appropriate security measures aren’t put into place.

Data Storage, data, data center, storage, data storage, IoTThe projected IoT device surge will vastly increase the amount of consumer-driven personal data and enterprise-driven big data. Raising the potential for storage capacity issues.

IoT connects remote assets to a centralized management system, which stores information on status, location, functionality and more. In many cases information per user is stored so that the device can learn a user’s tendencies and operate in a “smart” capacity based on user behavior.

This influx of massive data transmission means datacenter providers will need to deploy forward-looking capacity management processes in order to proactively meet the business priorities of companies utilizing IoT technology.

Network Architecture

In the same vein as data storage, datacenter providers will need to get creative with network design in order to ensure that their facilities are properly supporting the surplus of IoT devices on the way.

IoT will likely leverage a combination of public cloud, private cloud and enterprise datacenter services to support itself. There may be a period of time when existing infrastructure is heavily taxed, especially in major metropolitan areas (consumer IoT) and major manufacturing hubs (enterprise IoT).

For applications that rely on low latency, the companies supplying IoT devices/applications may need to house their data in close proximity to users in order to avoid lag time, which is another challenge to consider.

Bottom Line

It’s difficult to know exactly how IoT will develop over the next 3 years. One thing is certain; companies introducing IoT devices will need to lean heavily on datacenter partners to ensure their products and services drive maximum revenue. IoT initiatives will require customized datacenter strategies that account for current needs and future growth of IoT applications. has a reputation for providing exceptional datacenter services and strategy in South Florida. For over two decades, we have worked with organizations in a multitude of industries to ensure that their individual datacenter needs are met. Our facilities meet the most stringent compliance standards, provide the highest possible level of security and offer access to a 24/7/365 remote hands team available to support your datacenter needs – included supporting your requirements for an increasing number of connected devices.

Learn more about our cloud, colocation and connectivity services and contact us  today to talk through your specific IT requirements. Call us at 1-877-388-HOST (4678) or email for an obligation-free assessment.

[1] Network World – IoT is everywhere

[2] Gartner – Gartner Says 8.4 Billion Connected “Things” Will Be in Use in 2017, Up 31 Percent from 2016

[3] IT Business Edge

[4] Gartner – Gartner Says Detection and Response is Top Priority for Organizations in 2017.