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Internet of Things

X-axis label2021
Manufacturing sector37
Construction sector28
Selected services sector34
All sectors34

The Internet of Things (IoT) refers to interconnected devices or systems, often referred to as "smart" devices or systems. They collect and exchange data and can be monitored or remotely controlled via the internet. Alarm systems, smoke detectors, cameras, sensors, lights and cars are some examples of appliances that can be connected to the IoT. In 2021, more than a third (34%) of enterprises indicated that they use IoT in some capacity. In the Manufacturing sector, 37% of businesses use these interconnected devices while 34% and 28% of firms in Services and Construction use IoT devices respectively. See Figure 4.1a and Table 4.1.

X-axis label2021
for Energy consumption management7
for Premises' security23
for Production processes4
for Logistics management7
for Condition-based maintenance needs of machines or vehicles5
for Customer service6
for Other purposes9

The most common use of IoT devices in 2021 was for the security of the enterprise's premises. Almost a quarter (23%) of firms use IoT devices for premises' security. A higher proportion of Manufacturing (26%) and Services (24%) enterprises use IoT devices for security than Construction (12%) firms.

Among enterprises in Ireland, 7% indicated they use IoT devices for energy consumption management. IoT use for this purpose was higher among Manufacturing enterprises (11%) compared to 7% of Construction firms and 6% of businesses in Services.

Similarly, 7% of enterprises use interconnected devices for logistics management with more Manufacturing (11%) firms making use of IoT for this purpose than Construction (8%) and Services (6%).

While only 4% of firms use IoT in their production processes, one in ten Manufacturing enterprises reported doing so compared to 4% of Services and 2% of Construction companies. Meanwhile 7% of Services firms use IoT devices for customer service while only 3% and 2% do so in Manufacturing and Construction respectively. See Figure 4.1b and Table 4.1.

Table 4.1 Enterprise use of Internet of Things by sector, 2021
    %
 Manufacturing sectorConstruction sectorSelected services sectorTotal
Use any interconnected devices or systems that can be monitored or remotely controlled via the internet37283434
        for Energy consumption management11767
        for Premises' security26122423
        for Production processes10244
        for Logistics management11867
        for Condition-based maintenance needs of machines or vehicles6645
        for Customer service3276
        for Other purposes81499
Enterprises can use more than one source, hence the sum of the different types does not equal the total figure.

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