Connected Devices Weekly Update/Connected Devices Weekly Update/2016-09-01

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Program Status Notes
Project Vaani Validation (Lindsay/Sandip) On Target
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Project Cue Validation Stage (Julie/Preeti) On Target
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Project Smart Display Josh On Target
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Project Haiku Maria/Liz On Target
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Project Sensor Web Cindy/Wesley On Target
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Project Smart Kitchen Tamara/Nicole On Target
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Project Magnet Maria/Francisco On Target
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Research Team Lindsay On Target
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Participation Update Michael/Brian On Target
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Market Developments Update Irina
  • Lowe's, a US home improvement retailer, integrated Amazon's Alexa with its series of smart home devices, called Iris. The first devices are thermostats, fans and light switches, with other Iris devices coming on board at a later time. Lowe’s also announced it is selling Iris products on Amazon for the first time.
  • Sonos is also joining Alexa's ecosystem. Sonos says it will add Alexa support to all existing speakers via a free software update sometime in 2017, with a privte beta coming in 2016.
  • Deloitte released IoT adoption figures in the UK that show adoption of smart home gadgets flatlining in 2016 compared to 2015. The adoption of monitoring systems and thermostats is flat at 3% of the market, as well as that of smart lightning and appliances, at 2% of the UK market. Most popular IoT devices are smart TVs with 28% adoption, followed by wireless speakers (10%), fitness bands (9%) and smart watches (4%).
  • Xiaomi is entering the smart home market with a value proposition of low cost and speed. Su Jun, the head of the company's appliances team: "Many of our products can be made in the factory, loaded onto trucks, shipped to warehouses, and delivered to customers all in one day." Jin Di, research manager with the Boston-based consulting firm IDC: "The low-price strategy may have gained it lots of fans early on. But it's not a long-term development strategy."
  • The Economist wrote a feature on the cloud computing market. Amazon has the largest share, with over 30% of cloud services sales in Q2. It has ten times as much computing capacity as the next 14 cloud providers combined, according to Gartner. AWS’s sales in the past quarter were about three times the size of its closest competitor, Microsoft’s Azure. This business is the reason why its parent company was able to report its third consecutive record quarterly profit in July, after years of patchy results. IBM (7% market share) and Google (5%) follow Amazon and Microsoft.
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