Interpretation: The government supports the potential market of the bright sword Internet of things

China Securities Journal recently reported that the first application for a special fund of 500 million yuan in Internet of Things has been initiated, and more than 600 companies have applied for the declaration. The IoT special fund totals 5 billion yuan and is expected to be distributed within 5 years.

The supporting policies for the development of the Internet of Things industry have been continuously strengthened and gradually implemented. In 2010, for the first time, the Internet of Things was mentioned in the government work report. This year's government work report clearly puts forward “accelerating the development and application of the Internet of Things”. The Ministry of Finance promulgated the "Special Fund Management Measures for the Internet of Things" in April, hoping to speed up industrial development and development through special fund guidance. The special funds are mainly used for the development and industrialization of IoT technology, standard research and formulation, application demonstration and promotion, and public Service platform and other aspects of project support. In June, the Ministry of Finance revised the Administrative Measures for Central Government Interest Subsidy Funds for Infrastructure Construction Loans, which increased the interest rate for providing service to outsourcing and Internet of Things companies.

Listed companies related to the Internet of Things will benefit from special fund support There is no doubt that if the Internet of Things companies declare a special fund for IoT, they will receive a certain amount of special fund support, which can solve the problem of insufficient funds for R&D of some companies. However, taking into account the large number of declared companies, the number of companies that may eventually obtain approval may be quite large. It is expected that the amount of money obtained by a single company will not be too high, so it will not have a significant impact on the company's performance.

The potential market of the Internet of Things is huge, but in a short period of time, the application scope of the Internet of Things is still very wide for a few industries or domain demonstration applications. At present, it is only used in a few areas such as logistics, transportation, animal husbandry, and asset management. In the future, as long as it is fully applied in some areas such as logistics and transportation, the market size is quite large. However, the current Internet of Things still lacks industry standards, high costs, and immature application models. In the next two to three years, it will still be the stage of application and promotion of Internet of Things. The areas of promotion are government-led areas such as intelligent transportation and smart grids.