Internet of Things M&A has Skyrocketed

IOTFuse 2016 Kick-off Presentation

Accredent presented the state of IoT M&A at this year's IoTFuse 2016 Kick-off event. We shared what is going on in a very hot technology and Internet-of-things M&A environment, and discussed how technology and non-technology corporations and emerging IoT businesses should prepare. Great audience and great discussion.

IoT M&A is Skyrocketing

IoT M&A activities continued to accelerate as technology and non-technology companies try to stay ahead of competitive disruption, acquire talent and pursue the partners needed for end-to-end strategies. As of the last fully reported quarter 3Q15, there were 114 IoT deals (compared to 56 for all of 2014) with a total value of $31.9 billion (compared with $13 billion for full-year 2014).

In 3Q15 alone, there were 38 IoT deals with a total disclosed value of $14.7 billion. 15 of those were Americas deals. Nearly 20 EMEA IoT deals accounted for 59% of the region’s closed value, although they represented only 7% of volume.

For a detailed report or copy of the presentation please Contact Accredent For more information and articles on recent related transactions and trends see our Related Article  and follow Accredent at +accredent and @accredent.

What to do?

Lines between technology and non-technology companies and industries are becoming blurrier and blurrier.  Established companies who have not developed a clear Internet-of-things organic and inorganic strategy need to start.  Those who have one need to execute.

Emerging IoT companies are not the kind that you are going to pass on to your children.  Leaders of these companies need to begin to conceive, or refocus, themselves to be "built to sell" in order to best capture their value at Exit, or even attract investors.

IoT still involves a complex value chain and business process change

A complex value chain and complex business process impact still defines IoT and its associated end-to-end digital strategies.  Seek experienced professional help when taking it on, but choose wisely. Many professional service organizations large and small are entering as advisors, changing their business card from whatever they were before to now say IoT expert.

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Accredent specializes in the Business of The Internet of Things(tm). Formed in 2009 out a four year strategy and M&A engagement with companies that pioneered many of today's Internet-of-Things connected technologies, analytics and use cases. Contact Us

Accredent has been successful partnering with business leaders of corporations and emerging ventures to develop and transform their businesseses, accelerate revenue, growth and enterprise value through the Internet of Things. accredent.com

Roundup of Internet of Things Forecasts and Market Estimates, 2015

Forbes Roundup Of IoT Forecasts and Market Estimates

 

Louis Columbus' December 27th Forbes article provides a good summary of what is projected to happen with the Internet of Things.  The article includes a number of interesting infographics.

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Accredent specializes in the Business of The Internet of Things(tm). Formed in 2009 out a four year strategy and M&A engagement with companies that pioneered many of today's Internet-of-Things connected technologies, analytics and use cases. Contact Us

Accredent has been successful partnering with business leaders of corporations and emerging ventures to develop and transform their businesseses, accelerate revenue, growth and enterprise value through the Internet of Things. accredent.com

Internet of Things and Data Analytics Playing Dominate Role in Merger & Acquisition in 2015

The latest M&A trend reports show of the 1,069 technology-related transactions tracked in 3Q 2015, IoT topped the chart in average value per deal at $1.2 billion followed by Big Data Analytics at $800 million. Many deals were cross-industry and between  non-tech and tech companies. Companies involved in M&As of IoT valued at more than $5 billion, included: Carlyle, GICPrivate, Veritas Information, Honeywell-Elster.

Year to date, there were 114 IoT deals tracked (compared with 56 for all of 2014) with total value of $31.9 billion (compared with $13 billion for full-year 2014). Big Data Analytics deals of had a total value of $29.5 billion year to date, more than double that of its 2014 total.

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Accredent specializes in the Business of The Internet of Things(tm). Formed in 2009 out a four year strategy and M&A engagement with companies that pioneered many of today's Internet-of-Things connected technologies, analytics and use cases. Contact Us

Accredent has been successful partnering with business leaders of corporations and emerging ventures to develop and transform their businesseses, accelerate revenue, growth and enterprise value through the Internet of Things. accredent.com

M&A at its highest levels since before 2008.

According to dealogic.com, M&A deal value is at its highest rate since 2008.

Global M&A volume has surpassed $4tr for the first YTD period on record, and now stands at $4.06tr in 2015. This represents a 38% increase on 2014 YTD ($2.94tr), and is marginally higher than the previous YTD high in 2007 ($3.93tr).  

Technology is the most targeted sector in 2015 YTD with a YTD record high volume of $631.7bn, 53% higher than the previous YTD record high of $412.8bn set in 2000 YTD. 

Healthcare is second with both a YTD record high volume of $549.4bn, and a YTD record share of total M&A (14%)

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Accredent specializes in the Business of The Internet of Things(tm). Formed in 2009 out a four year strategy and M&A engagement with companies that pioneered many of today's Internet-of-Things connected technologies, analytics and use cases. Contact Us

Accredent has been successful partnering with business leaders of corporations and emerging ventures to develop and transform their businesseses, accelerate revenue, growth and enterprise value through the Internet of Things. accredent.com

Are You Ready for the "Business" of the Internet-of-Things?

 

Navigate digital disruption with an end-to-end digital business strategy.

Professor Michael Porter's recent Harvard Business Review articles on Internet-of-Things (IoT) make clear that it is about business transformation, not another tool. It has become the foundation of an entirely new way of doing business, as well as giving rise to entirely new businesses. There will be 100 billion connected devices expected by 2025, leading to a trillion sensor ecosystem. 1 billion digital natives expected to join the workforce over the next 7 years.  In a hyper-connected era of mobile, social, cloud, big data, and the Internet of Things, future business models will depend on the availability of more data flowing through more systems, being accessed and used by more people.

Formulating end-to-end digital strategies, leading the activation of new product/service solution roadmaps, designing new customer experiences and business models, and championing digital business transformation inside companies and within customer organizations will be a primary strategic and tactical challenge.  Thoughtful organic and inorganic strategy, and well-led product innovation, user experience, and evolution of existing assets and intellectual property will be key to a positive goal-directed digital transformation capable of contributing to significant growth and value creation. 


Professor Porter's HBR IoT articles can be found at the following links.

https://hbr.org/2014/11/how-smart-connected-products-are-transforming-competition
https://hbr.org/2015/10/how-smart-connected-products-are-transforming-companies

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Accredent specializes in the Business of The Internet of Things(tm). Formed in 2009 out a four year strategy, M&A, and business development engagement with companies that pioneered many of today's Internet-of-Things connected technologies, analytics and use cases. Contact Us

Accredent has been successful partnering with business leaders of corporations, operations and product teams, and emerging ventures to develop and transform their businesseses, accelerate revenue, growth and enterprise value through the Internet of Things. accredent.com

5.4 Billion IoT Connected Enterprise Devices By 2020

Enterprise IoT Projected to Grow From 1.2 Billion To 5.4 Billion connected devices by 2020.

In our six years of Accredent's involvement with IoT we have seen the forecast for the number of connected enterprise devices continue to be adjusted upward each year as more businesses look to the technology to save money, collect useful information, transform their business models and change their basis of competition.

In the latest report from US mobile network Verizon projects that today's 1.2 billion business use devices connected to the internet will grow 28 percent year-over-year for the next five years to 5.4 billion by 2020.  Verizon believes the verticals and segments of energy and utilities, public sector, digital signage, connected CCTV, fleet management, and connected vehicles to be the sources of much of this growth.

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Accredent specializes in the Business of The Internet of Things(tm). Formed in 2009 out a four year strategy and M&A engagement with companies that pioneered many of today's Internet-of-Things connected technologies, analytics and use cases. Contact Us

Accredent has been successful partnering with business leaders of corporations and emerging ventures to develop and transform their businesseses, accelerate revenue, growth and enterprise value through the Internet of Things. accredent.com

Accredent Enters 7th Year Supporting Business Growth

Minneapolis based Accredent, LLC is very pleased to be celebrating six years of supporting leaders of NASDAQ and private companies on their journey to growth and value creation through Strategy, M&A, Business Development and Insight Research. Thanks to our clients for their trust over the years, and the opportunity to serve and contribute to their success.

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Accredent specializes in the Business of The Internet of Things(tm). Formed in 2009 out a four year strategy and M&A engagement with companies that pioneered many of today's Internet-of-Things connected technologies, analytics and use cases. Contact Us

Accredent has been successful partnering with business leaders of corporations and emerging ventures to develop and transform their businesseses, accelerate revenue, growth and enterprise value through the Internet of Things. accredent.com

Improve Your Odds of IoT M&A Success

 

M&A is a Critical Piece of Internet of Things Strategy

Critical but risky path to growth. 
Companies not participating in corporate M&A development can leave 50% or more of their growth on the table. However, with a success rate averaging only 45%, growth through acquisitions must be seen as an expensive high risk strategy. That said, success rate vary widely and with the right knowledge and processes your risk can be dramatically reduced. A thoughtful, well-executed acquisition process can improve the odds.

Proactive approach improves the odds. 
Opportunistic acquisitions fail 63% of the time. Proactive acquisitions aligned to a growth strategy and a strong acquisition planning process succeed at a much greater rate. The problem can be tracked back to a lack of quality choice due to a passive approach in the identification of a range of prospective targets.

Alignment with your current business key to success. 
Understanding and deep insight are critical. Studies show that best acquisitions are most often made in related fields, and the worst in less related fields. The strategic decision to acquire in a totally new field can seriously effect your chance of success.

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Accredent specializes in the Business of The Internet of Things(tm). Formed in 2009 out a four year strategy and M&A engagement with companies that pioneered many of today's Internet-of-Things connected technologies, analytics and use cases. Contact Us

Accredent has been successful partnering with business leaders of corporations and emerging ventures to develop and transform their businesseses, accelerate revenue, growth and enterprise value through the Internet of Things. accredent.com

Is Your IoT Innovation Failing The Value Creation Test?

Internet of Things Innovation and enterprise value

A fundamental value creation challenge is finding innovation that changes the basis of competition and creates structural advantages that, in turn, creates sustained enterprise value.  Even the most creative business ideas can fail this value creation test when the innovation discussion centers solely on creating value through operational process, products, services or market innovation.

A study by the IBM CEO Report  explored how firms distribute their innovation efforts. While most businesses applied some effort into innovating across the board, business model innovation received the least attention.

 

However, Companies focused on business model innovation delivered 5% higher five year compound annual growth rates. While businesses focused on product/service/market innovation saw only slight growth.  Those primarily applying process innovation were actually worse off. 

 

 

Technology is changing the basis of competitive advantage. Whereas it may have taken 18 months for a competitor to copy a new product or service in the past, the time is down to 6 months or less in many sectors.

Formulating value creating Internet of Things-based business strategies, leading the activation of new product/service solution roadmaps, designing new customer experiences and business models, and championing digital business transformation inside companies and within customer organizations will be a primary strategic and tactical challenge for most companies going forward. 

A thoughtfully planned and well executed Internet of Things customer experience-driven business model innovation changes the basis of competition and creates sustainable structural advantages that can take even the best "fast follower" several years to emulate.

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Accredent specializes in the Business of The Internet of Things(tm). Formed in 2009 out a four year strategy, M&A, and business development engagement with companies that pioneered many of today's Internet-of-Things connected technologies, analytics and use cases. Contact Us

Accredent has been successful partnering with business leaders of corporations, operations and product teams, and emerging ventures to develop and transform their businesseses, accelerate revenue, growth and enterprise value through the Internet of Things. accredent.com

Accelerating Revenue, Growth and Value Creation through The Internet of Things

  

5 Steps to Accelerating Revenue, Growth and Value Creation with Internet of Things

 

 

 

• Gain ongoing insight needed to take preemptive actions and tilt Internet of Things growth in your  favor.

• Innovate and execute Internet of Things strategies, business models and user experiences to change your basis of  competition and accelerate opportunities for growth and value creation.

• Succeed at proactive M&A and alliances. Carefully align and integrate your Internet of Things inorganic strategy, candidate targeting, diligence and integration.

• Build go-to-market approaches and digital ecosystem partner expansion that drives penetration and revenues up and incremental expenses down. 

• Evolve existing assets and intellectual property, and foster change and business transformation to make the new growth ongoing and repeatable.

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Accredent specializes in the Business of The Internet of Things(tm). Formed in 2009 out a four year strategy and M&A engagement with companies that pioneered many of today's Internet-of-Things connected technologies, analytics and use cases. Contact Us

Accredent has been successful partnering with business leaders of corporations and emerging ventures to develop and transform their businesseses, accelerate revenue, growth and enterprise value through the Internet of Things. accredent.com

Accredent has expanded to new Minneapolis office

Accredent moves to new headquarters

We are delighted to announce that Accredent has expanded to a new Minneapolis office. We are now located at the heart of the 494 corridor at 3800 American Boulevard West, Bloomington (494 & France Ave).

Accredent, LLC is a strategy and corporate development firm that helps companies to explore, analyze and develop revenue, growth and value creation opportunities.

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Accredent specializes in the Business of The Internet of Things(tm). Formed in 2009 out a four year strategy and M&A engagement with companies that pioneered many of today's Internet-of-Things connected technologies, analytics and use cases. Contact Us

Accredent has been successful partnering with business leaders of corporations and emerging ventures to develop and transform their businesseses, accelerate revenue, growth and enterprise value through the Internet of Things. accredent.com