Will we sign contracts as we do with mobile phones, getting hardware for “free” and paying for services? Or will we get discounts or free devices by handing over our personal data, as we do with Google and Facebook?
Smart home services are likely to be paid for the same way as mobile phones, predicted Stephen Pattison, vice president of public affairs at British chip designer ARM, speaking at the HyperCat internet of things Summit in London on 8 June.
“What we’ll be looking at in the future is a big company … coming to your door saying they could give you all your white goods – your television, your phone, your tablet, they can do security around your house – and they will charge you rent for that,” he said.
Trading our data for services
An alternative, especially for apps based on hardware we already have, is trading our data for free services – think of how Google or Facebook get their revenue without charging people to use their platforms. “It’s a fantastic free service, but they monetise [your] data,” noted Brian Robertson, networking firm Broadcam’s business development director for EMEA. “The freemium model has created a monster that we’re all quite happy to use.”
Source: The Guardian