Most conversations around Digital Business Transformation trends have started to feel a bit recurring. Conversations around Blockchain, cloud, the IoT, AR, and VR appear to be recurring. But, 2020 will be a complete withdrawal from that. A fresh new set of technologies ready to graduate from the sidelines to the center stage will define 2020.
They comprise of 5G, AI, and data analytics, including a few that may startle you. Without further ruckus, here are the 8 most crucial digital transformation trends for 2020.
1 5G to Underpin New Digital Ecosystems
According to Cisco: “Global mobile data consumption through 2022, measured in exabytes (billion gigabytes) per month, was found to be growing at a compound annual rate of 46%.”
2020 will be a remarkable year for 5G. With the introduction of 5G, the wireless industry has taken a significant step in revolutionizing how people communicate with the world. With some of the most prominent players like AT&T, Qualcomm, Verizon, Nokia, Ericsson, and Huawei ensuring that global 5G deployments stay on pace; and world’s finest Android handset manufacturers already releasing 5G mobile devices, 5G will hit the market in 2020.
By favoring innovative applications, 5G is all set to cater interactional foundation for the future digital world, for example, like the one that of smart cities, smart vehicles, smart factories, and IoT-intensive technologies hungry for 5G. In other words, the real value of 5G will not be restricted to just mobile phones. Instead, it would be about every industry that touches our daily lives that will be revolutionized-for the better.
2 Wi-Fi 6: The Next Generation Wi-Fi
The hype in boosting network performance is concentrated on 5G, but let’s not forget the powerful Wi-Fi. Although Wi-Fi 6 and 5G are completely distinct technologies, both will be powering faster processing and wireless connection speeds in 2020. Their benefits are complementary, not competitive. Both cellular and Wi-Fi technologies are getting significant upgrades in 2020.
While these technologies will feature individual improvements, they will work in synchrony to fill in gaps. This synchrony will create the perfect end-to-end combination of ultra-fast connectivity for home and enterprises. I look forward to downloading speeds up to three times faster than were attainable with Wi-Fi 5.
The real value of Wi-Fi 6 will be in its power to extend faster data speeds to far more devices than Wi-Fi 5. This is critical for two primary reasons. The first one: The number of connected devices on the average Wi-Fi network is predicted to rise from 10 to 50. This will demand faster, more efficient, and smarter Wi-Fi capabilities.
The second one: The quality and volume of data utilized via Wi-Fi networks are exploding. Wi-Fi 5 is not capable of handling the load efficiently. Whereas, Wi-Fi 6 is all set to burst these pain points beginning in 2020.
3 Data Analytics: A Weapon to Thrive in 2020
Businesses that are not still investing immensely in data analytics by 2020 probably won’t survive in the present-day business landscape. Massive volume of customer data is accumulated, processed, and converted into actionable insights to keep the business competitive. Soaring blind and following your intuitions are no longer viable options. Uniquely when every other company is leveraging data analytics tools to identify problems, opportunities, and solutions for their businesses.
This is the reason for envisioning a solidification of analytics capabilities across the technology world, from Salesforce acquiring Tableau, to Microsoft establishing its own Power Platform. Every major tech company has already figured out that their future lies in data. Most specifically, the real-time processing of it. Thus, irrespective of what business you are in, data analytics will be the most essential focal point of digital transformation in 2020 and beyond.
4 AI and ML: The Boosters for Enterprise Data Analytics
Besides data analytics one must invest in artificial intelligence and machine learning. AI and ML offer distilled value proportions. Speed, Scale, and Convenience. Speed and scale speak to benefit the automation of analyzing massive data sets as opposed to assigning the daunting task to human data analysts.
Thanks to technologies like AI and ML that sophisticated data sets can now be analyzed in a fraction of time. All this is just because of the fact that AI and ML algorithms have advanced so well in data analysis. And, because that analysis can seamlessly be scaled in the cloud. While on the convenience side, the use of AI and ML has made them intuitive, hassle-free, and much more reliable.
The speed and accuracy in AI and ML are just to grow much more in 2020.
5 Blockchain: Advancing Beyond just Cryptocurrencies
Blockchain has always been overhyped for the past couple of years. The crypto craze has been dominating the world for over a decade now, and it seems like no one is getting enough of it. Is that all Blockchain has to offer?
Entering into 2020, we will eventually begin to see the scale for something more meaningful in Blockchain beyond cryptocurrency. From banking to secure communications to healthcare and ridesharing, Blockchain is set to revolutionize our future. Amazon Web Services is democratizing blockchain technology with its state-of-the-art subscription-based blockchain-as-a-service platform.
Supporting the several big heads, including Samsung, Microsoft, IBM, Alibaba is also working in the same space. The Blockchain is relatively new, and it is going to take several experiments before it succeeds. However, the possibilities for innovation with Blockchain are endless. It is going to be exciting to see how Blockchain will be used for safety, real estate, supply chain management, intellectual property, and royalties. 2020 could be the beginning of the real rise of Blockchain.
6 Conversational AI: A Legitimate Interface
Customer experience must be a top priority for any customer-facing business in this cut-throat digital age. According to Gartner, by 2020, 40% of users will primarily communicate with new applications that support conversational user interfaces powered by artificial intelligence. By 2022, conversational agents will handle 20% of all customer service.
However, these numbers should send a shock to any business that is neither actively engaging nor implementing a conversational AI strategy in 2020 and beyond.
7 Smart Cities, Autonomous Drones, Connected Vehicles: Our New Reality
Connected vehicles, smart cities, smart factories, autonomous drones, are all set to become the new reality of the digital age. We know we have been envisioning them for years. We are not quite there yet, but we believe that the combination of technologies like edge computing and 5G will bring us remarkably closer in 2020. Tesla is evidently the first name on the board in terms of bringing this innovation to the market.
This is happening through close strategic planning between automotive and technology creators. Tech giants like Intel, Nvidia, Qualcomm, and BMW, Ford, Volvo are collaborating while Uber is creating its own autonomous fleet. Amazon is experimenting with shipping you every day needs to your doorstep with autonomous drones. These experiments are finally bringing these long-envisioned and long-promised technologies to the market.
8 XaaS and UX/CX: Taking the Center Stage in 2020
Digital Transformation, ideally, is about more than just the sum of its technology parts. Continuous transformation is a core driver of Digital Transformation, and transformation almost always transcends the tools that enable it. For this reason, we need to highlight the technology-adjacent trends that will govern Digital Transformation conversations in 2020.
XaaS: Everything-as-a-service will gain more momentum in 2020 that it ever did. Hewlett Packard Enterprise announced that it would cater to XaaS in its portfolio by 2022. As we observe the innovations in onsite, off-site, cloud, etc., the “big IT” will move on to premises-as-a-service. Besides big data, analytics, Blockchain, and more. XaaS will get completely mainstream from 2020 onwards.
UX/CX: User experiences and customer experiences closely intertwine digital transformation success. This emphasis will prolong to drive business investments. On the one hand, this is particularly true as businesses continue to evolve from building internal competencies and enhancing efficiency to executing their vision. On the other hand, enhancements in connectivity, computing capabilities, smart automation, and intuitive user interfaces will altogether make 2020 an inflection point for UX and CX across a wide range of businesses.
Moving Forward with a Flexible Transformation Roadmap
While primary technologies will continue to find themselves in the limelight of most digital transformation initiatives, we believe that these eight will specifically govern digital transformation conversations and inform the trajectory of successful digital transformation initiatives in 2020. If you were looking for a cheat-sheet of critical business trends to invest in 2020, this is it!
Digital Transformation Trends, Digital Transformation 2020 is written by Shreya Panchal for emxcelsolutions.com