Building a slide deck, pitch, or presentation? Here are the big takeaways:
- Only 10% of businesses will have radical transformation due to blockchain by 2022. - Gartner, 2017.
- By 2022, over one billion people will have data on blockchain, but many will have no clue it's even there. -Gartner, 2017.
Only 10% of businesses will see radical digital transformation due to blockchain by 2022, according to a new Gartner report.
Saying the technology is not a one-size-fits-all remedy, the report suggests blockchain is more of a long-term investment than a vehicle for quick digital transformation in the enterprise. For a successful implementation, companies may need to significantly alter their current methods.
"Exploiting blockchain technologies to the fullest extent will require enterprises to creatively deconstruct current business models," the report said.
SEE: IT leader's guide to the blockchain (Tech Pro Research)
Over 80% of businesses attempting to save money by adopting blockchain will fail to do so by 2020, the report found. Businesses should only use the technology in areas where it can provide a differentiated value, the report said.
With increased interest in blockchain recently, many businesses are using it to upgrade current business procedures, Gartner found. However, other technology can work just as well, the report noted, especially for traditional enterprises, which may not see as many benefits as younger startups.
Additionally, the technology itself isn't ready to be deployed for some enterprise needs, the report found. Areas such as data management and performance need a more mature form of blockchain in order to successful. Gartner predicts the technology will be evolved enough by the early 2020s.
Tech professionals trying to use blockchain in their company should use scenario planning exercises that involve different variables including distributed share ledgers and competitors with decentralized business models, Gartner recommended.
Gartner also suggested investing in blockchain trials to see how it impacts your business, and to assign someone the task of monitoring blockchain and cryptocurrency advancements.
Blockchain may be an invisible technology, the report suggested. More than one billion people will have data stored on a blockchain by 2022, but many may not know it's there. Companies may need to prepare for consumer worries of security, much like with today's concerns over privacy and Internet of Things (IoT) devices.
- Digital transformation: A CXO's guide (TechRepublic)
- How blockchain will shape up in the enterprise in 2018 (ZDNet)
- Cheat sheet: Blockchain (TechRepublic)
- How blockchain can transform the manufacturing industry (ZDNet)
- 18 new IT jobs created by Bitcoin and blockchain (TechRepublic)
Olivia Krauth is an Education Reporter at Insider Louisville.