Understanding the economics.
WHAT THE ONE-OFF COSTS ARE
Development Certification Tooling Initial inventory Installation
WHAT THE RECURRING COSTS ARE
Connectivity, per device Platform, per device or message Storage Support Maintenance and replacement Battery replacement
WHY RECURRING COSTS DOMINATE
They continue for the deployment's life, and multiply by device count.
WHAT TO CALCULATE
Cost per device per year, fully loaded.
WHAT TO COMPARE AGAINST
The value the system produces, per device per year.
WHAT TO BE HONEST ABOUT
Whether that value is measured or assumed.
WHAT MAKES DEPLOYMENTS FAIL COMMERCIALLY
Support cost per device exceeding expectation Battery life below prediction Failure rates above expectation Connectivity cost underestimated
WHAT REDUCES RECURRING COST
Fewer transmissions Longer battery life Self-diagnosis reducing visits Negotiated connectivity at volume
WHAT TO MEASURE IN A PILOT
All of those, precisely.
WHAT TO MODEL
The deployment at full scale, using pilot figures rather than estimates.
WHAT TO DECIDE
Whether it remains viable at that scale.
