On the heels of its SmartThings acquisition this summer, Samsung has now announced that it is partnering and investing (through its venture arm - Samsung Ventures Investment Corporation) in Evrythng; an interesting UK based Start Up that provides software to give every single object in the world a unique web-addressable URL. The aim being to build a social network for the Internet of Things.
Evrythng had previously garnered $7m in a Series A funding round from BHLP, Dawn Capital, Cisco and Atomico. Details of Samsung's investment were not disclosed.
Undoubtedly much of what Samsung saw in SmartThings is also what they see in Evrythng, a platform. The combination of software and embedded systems that can reach beyond their smart home initiative and encompass various hardware partners.
The Smart Home is a key battleground in the war between Google and Samsung. And right now they are both on the offensive. Nest (owned by Google) just acquired Revolv, another company making smart home hubs. They had previously raised $7.3m from investors such as SK Ventures and Drummond Road Capital.
Microsoft, Apple and others remain conspicuous by their absence from recent Smart Home dealings; no doubt focused on different growth strategies. However there are still plenty of Home Automation companies left to buy, should they wish to join the fray.
Our recent research into the Internet of Things in Smart Buildings shows that overall connectivity penetration rates across all building systems are at on average only around 16%. And this varies greatly depending on the type of system.
As the Chart above shows, there is significant latent connectivity penetration across all systems in buildings and this will drive a huge market opportunity. We are projecting that the global market for the Internet of Things in Buildings (BIoT) will rise from $22.93Bn in 2014 to over $85Bn in 2020.
Acquisition and Investment activity in Smart Buildings is currently skewed heavily towards the Home. How long before Google and Samsung turn there attention towards the Commercial Smart Buildings opportunity?
In might be possible here to draw an analogy with Google's email business. Gmail started life as a free consumer email Web application, and has now morphed into a considerable player in the business enterprise market. As their Smart Home offering matures, expect Google to push into the commercial building market as well.
For more information on the market opportunity of the Internet of Things in Buildings, click here - http://memoori.com/portfolio/internet-things-smart-buildings-2014-2020/