Growth Opportunities and Business Models for the Pervasive Internet

Not long ago, we heard that "the Internet changes everything." While some major changes did occur in the "first wave," in fact not everything was altered. For many manufacturers, little or nothing changed except that workers and executives now use email. The result may be complacency, a sigh of relief, and a look forward to several decades more of business as usual. Yet hardly any error could be more costly than to underestimate the magnitude, or mistake the nature, of the change that will come as devices, having already outnumbered people as internet users, continue to connect at an increasing rate.

It's not just numbers, not just the magnitude of the change that manufacturers need to understand. It's the fundamental changes to business models that will accompany every company'sóor a competitor'sódecision to connect its products to the Pervasive Internet.

Simply put, the new world is one in which every connected product turns its manufacturer, and in many cases others along the value chain, into a new kind of service business. It's a paradigm shift that will open bright futures for those who can make the shift, and doom those who cannot.

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