Abstract:

The increasing availability of high-quality data collected and transmitted in real-time through cheap, ubiquitous hardware and connections will undoubtedly lead to scientific, technical, and commercial innovation. Opportunities for business are massive in terms of improvements in productivity, and control of supply chains and distributed real-time processing.  The paper's objective is to analyse chosen economic and social impacts of the Internet of Things (IoT) in relation to its business potential. The Internet of Things is a scenario in which objects, animals or people are provided with sen-sors and gain the ability to communicate. The resulting information networks are capable of creating new business models, improving business processes, and reducing costs and risks. Economic impacts treated in this paper include aspects like ICT sector's expenditures, innovation, and investment in the EU, and trends and business potential of the IoT. Social impacts, which might be both positive and negative, will be discussed as well. Among the positive ones belong im-proved access to information and education, new tools and equipment. On the other hand, the IoT may cause job losses or reduced physical activity and per-sonal interaction.