Bosch, a German hardware giant, is setting its sights beyond its traditional manufacturing sector. With a €4.3bn ($5.1bn) annual investment in software development and 19,000 software engineers, the company is aiming to become a significant player in the digital economy. Bosch’s strategy is to utilise its hardware expertise to offer a complete package of hardware and software solutions, particularly in the Internet of Things (IoT).
The company has already developed a cloud-based platform for IoT services and is looking to expand its digital services. Its IoT suite offers services for device management, data analytics, and software updates. The company’s IoT sensors are embedded in various devices, from cars to heating systems, collecting data which can then be analysed.
The company also recognises the importance of data security and privacy, investing in encryption technology and data anonymisation. Bosch’s vision is to become an orchestrator of the digital economy, providing secure and reliable IoT services. This approach is expected to open up new revenue streams for the company, with digital services predicted to account for 15% of Bosch’s total sales by 2020.
However, Bosch faces stiff competition from tech giants like Amazon and Google, who also have their eyes on the IoT market. The company’s success in the digital economy will depend on its ability to innovate and adapt to the rapidly changing technological landscape.
Go to source article: https://www.economist.com/news/business/21731196-bosch-wants-be-far-more-just-t-internet-things-german-hardware-giant