Gartner Research

CSPs Must Implement Overlay Core Network and IT Capabilities to Enable a Broad Range of IoT Initiatives

Published: 22 May 2015

ID: G00260647

Analyst(s): Mentor Cana , Peter Liu


We held structured discussions with six communications service providers pursuing Internet of Things initiatives to identify what impact the IoT is having on their network and IT infrastructures. This report focuses on the transformation that CTOs and CIOs must undertake to enable IoT offerings.

Table Of Contents
  • Impacts


Impacts and Recommendations

  • The already huge number of IoT endpoints (which will number in the billions by 2020), their variety, and their distributed presence and operations are pushing CSPs to deploy IoT-specific core network elements
    • Implementation of a virtualized core network overlay to address congestion
    • Enhanced user profile systems can handle different types of IoT endpoint
    • CSPs must introduce a smart connectivity layer and device management
  • The need to manage thousands of IoT endpoints with "one click" or one API call is driving CSPs to implement IoT-specific IT capabilities for service enablement, provisioning, monitoring and billing
  • IoT opportunities are prompting CSPs to offer their connectivity and IT management platforms "as a service," which is creating new partnership models in the IoT ecosystem
  • To seize the broader IoT market opportunities, CSPs must gain new competencies, such as in big data analytics for the IoT and industry-specific capabilities
    • Specific capabilities
    • Talents and skills

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