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The Internet of Things (IoT) is transforming the way businesses operate, shifting from selling products to delivering comprehensive services. As companies integrate their offerings into IoT ecosystems, they face unique challenges in managing, deploying, and scaling connected devices. However, by incorporating technologies like cloud computing, big data analytics, mobile networks, and social platforms, these organizations can enhance their value proposition and collaborate more effectively with partners.
Mr. Cao Anbang, Chairman of GCR Co., Ltd., highlighted the growing opportunities in IoT application business during his speech on "IoT Application Business Opportunity and Market Development." He emphasized the evolving trends in smart networking, market expansion for IoT solutions, and the development of industrial ecosystems. The transition from traditional product-based models to service-oriented approaches is accelerating, driven by consumer demand for simplicity, flexibility, and seamless integration.
According to research institutions, the number of connected devices surpassed PCs, tablets, and smartphones in 2017. As market dynamics shift from mass production to smaller, more personalized demands, consumers are looking for easy-to-install, user-friendly, and cost-effective solutions. This is where the "platform strategy" of open collaboration becomes essential, enabling diverse businesses to thrive. In 2017, nearly half of global resources and solutions came from small and medium-sized enterprises, underscoring the importance of agility and innovation.
IoT presents vast business opportunities across sensing, connectivity, individual applications, and services. For instance, a smart refrigerator can track food inventory, suggest recipes based on preferences, and even place online orders when ingredients are low. This requires not only smart hardware but also integrated backend systems that support seamless interaction between devices and users. By combining data and technology, companies can create meaningful experiences and unlock new revenue streams.
For end-users, the complexity of IoT ecosystems can be overwhelming. With multiple applications, technologies, and services involved, it's crucial to offer integrated solutions that simplify operations and allow smooth transitions between different platforms. This is where Managed Service Providers (MSPs) play a key role. They must consolidate various products, devices, and services into a unified interface, making it easier for consumers to access and manage their IoT experiences.
As the IoT landscape evolves, so does the channel trading model. Mr. Cao introduced the concept of the "third platform," which represents a shift from traditional IT infrastructures to a more dynamic ecosystem involving mobile devices, cloud computing, and big data analytics. This transformation has given rise to new market opportunities, enabling businesses to deliver more value through integrated, collaborative solutions.
In today’s market, the sales chain typically follows: Commodity → Manufacturer → Agent → System Integrator → Telecom/Integrated Service Provider → Consumer. However, in the future, the role of "pure" agents will diminish, giving way to Managed Service Providers (MSPs). The updated model will be: Commodity → Manufacturer → System Integrator (providing portal + hardware + service) → MSP / Telecom Service Provider → Consumer.
To succeed in this new environment, MSPs need to strengthen their operational capabilities, including outsourcing daily management tasks such as human resources, production support, and lifecycle management. This helps reduce costs and improve efficiency.
The third platform is driving changes in IoT service models, moving from single-solution providers to integrated, collaborative ones. The system platform is also evolving—from an M2M-focused infrastructure to an aggregator platform that filters out unnecessary data and delivers valuable insights. The next generation of platforms will be open collaboration frameworks, capable of supporting complex, multi-layered applications.
GCR (Global Channel Resources) is a leading platform service provider that champions the concept of Managed Service Providers (MSPs). It integrates the service platforms of system integrators and suppliers, offering both offline and online services. Through its B2B cloud platform and online transaction market, GCR supports SaaS providers and ISVs in delivering pre-integrated IoT solutions globally. By bridging regional and local operations, GCR reduces information gaps between ICT channel partners and buyers, enhancing overall competitiveness.
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