Global IoT tendencies create opportunities for rising IoT companies which want to build a profitable & in-demand product. Smart home market is predicted to grow by 42% between 2017 and 2022. Being the fastest-growing IoT sector, it is closely followed by automotive and medical niches.

To get your IoT project right from the first time, you almost certainly need a partner. In fact, the success stories of most IoT companies are based on strong strategic and tech partnerships. PetCube had a manufacturer from China to build their first PCB prototypes for production. This way, Ukrainian startup completed their lack of hardware manufacturing skills and got their product delivered to market fast. Now it’s listed among the most successful Ukrainian IoT startups.

But how do you know when it’s worth delivering the development of your product to a third-party company?

When is it a good idea to entrust your product development to an IoT development company?

At the beginning of your IoT company growth, it’s quite difficult to build the whole development team from scratch. You should keep in mind both the development of hardware (devices) and software (an application, or set of apps to manage devices and data of your IoT system). Thus, a complete IoT development team consists of:

  • System architect
  • Hardware engineers
  • Firmware developer
  • iOS or Android developers (depending on the type of OS you target)
  • UI/UX designer
  • Web developers (front-end and back-end)
  • QA engineer
  • Security expert
  • Project manager.

Of course, a lot depends on the requirements, stage and budget of your project. Building such team might cost you a fortune. 
Thus, an alternative solution is finding a reliable IoT company who will take care of hardware and software development for you

Here’s a list of cases when turning to an IoT development company has proven to bring the best quality results.

Why IoT Companies build partnerships

1. “I’m new to IoT product development”

If it’s your first IoT project, you might not be aware of all the risks and difficulties. For instance, all the IoT protocols should be compliant with each other and any IoT system should pass multiple testing stages to become safe to use. Even a small error or insecurity can cause significant system damage in IoT projects. That’s why security remains a serious concern for 97% of IoT companies.

Development of IoT system requires a profound knowledge of IoT architecture, cloud storage, data transmission protocols and connected sensors. A low level of understanding of any of these aspects might lead to wrong decisions or poorly planned strategy. 

Whenever not sure what type of specialists to hire, turn to an experienced IoT development partner who will give you a hand. This way, you can avoid losing your time and money due to false assumptions or non-secure IoT devices.

2. “I can’t afford to build the whole development team”

Obviously, not every IoT startup can afford to hire a whole software development team in-house. An alternative solution is to partner with a software development company that has solid expertise in the IoT development, Big Data and security. This way, you will be able to hire more skilled specialists for lower rates than in-house developers.

Did you know that an average salary of C++ developer in USA is 10K$ a month, while in Ukraine it’s around 2K$ for a middle-level position? Not to mention tax expenses, office rental and equipment expenses that you can omit by delivering IoT project to a third-party vendor. By outsourcing IoT project, you get a better control over your expenses since the project price is estimated beforehand.

3. “I want to get to market faster than competitors”

On average, it takes 12 months to prototype and take to market an IoT device. Such a long time period could harm your product success since the needs and preferences of users might change until that time. A similar product might appear as well. 

You can spend months on screening and hiring candidates for a single programming position. Turning to an IoT company instead, you can get an instant access to qualified workforce pre-selected or chosen to your requirements. As a result, the development process begins much earlier and proceeds faster. 

Take the example of Vakoms client who wanted to develop a smart home system. The IoT system should control the heating and alarm devices from a single control panel and had to be managed both remotely and directly. When the client turned to us, we already had the necessary specialists on board. So all it took was organising the team work and making a detailed project estimates to start the development. The first demo of home automation system was released in 6 month. The back-end of web admin page and two mobile apps for iOS and Android OS were all ready.

IoT companies can build product faster

4. “I want a reliable tech partner who is expert in IoT development”

Clutch Co reveals that growing the expertise and efficiency remain the top reasons for small businesses to outsource in 2019. 

Receiving an honest opinion from experienced IoT experts can be decisive for your product quality and its end user experience. You might explore new product features or alternative programming languages allowing to release the same product much faster. Based on their rich hands-on experience with similar-type projects, IoT specialists could say how to best implement your idea.

For example, one of our clients Beam Authentic wanted to build a desktop app for Windows, macOS and Linux OS. The app should exchange the content with wearable device instantly and save it on a web platform. To speed up the app the development process, we offered to build a single cross-platform app with a Qt framework. As a result, the app was delivered fast and worked seamlessly across the platforms. 

5. “I need a long-term support of my product”

The problem with complex IoT systems is that they require regular monitoring and OTA updates to remain secure. Hiring and retaining your tech specialists in-house takes loads of time & efforts with no promise of long-term cooperation. Indeed, with a trusted IoT development partner you can get a robust system backup once it is needed. Even after the release, IoT development experts might test it for performance and provide the needed maintenance instantly. Meanwhile, you can focus on other things and key priorities of your IoT company. 

From our own experience, it takes a great deal of work to keep an IoT system secure. IoT products are among the most fragile types of software. That’s why we regularly monitor their performance and update connected devices of our clients to prevent any downtimes and safety errors. 

As an IoT company, you can entrust to your software partner the following services:

  • development of all kinds of applications 
  • designing and development of your website
  • building and setting up your server, back end
  • embedded programming
  • designing and development of interfaces for your smart device
  • PoC & MVP development and testing.

Summary

Bill Gates has become a smart home technology evangelist. His own home, “Pacific Lodge”, located on the shores of Lake Washington, is among the first fully automated houses in the world. The fact that the earth’s main IT visionary is confident about the technology is a sufficient evidence of its bright prospects, isn’t it?

However, today the Internet of Things is far beyond smart houses. A recent research by Fortune Business Insights predicts that financial services and agriculture are two sectors that will demonstrate the fastest-growing CAGR in the global IoT market

The success of individual entrepreneurs and entire IoT companies depends on how quickly they will notice market opportunities and begin to adjust accordingly.

Solid tech partnerships might simplify and speed up your IoT development while giving you a competitive advantage. Would you build a partnership or try to do everything on your own?