The role of managed IoT connectivity in business digital transformation

September 18, 2025

Managed IoT connectivity is essential for businesses to fully embrace digital transformation, ensuring efficiency, security and control in the management of thousands of distributed devices, even globally. This solution connects devices, optimizes their operation and enables agile innovation.

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Digital transformation has become essential for businesses to remain competitive. Along this journey, the Internet of Things (IoT) has emerged as one of the most powerful drivers to reshape processes, increase efficiency, reduce costs, enhance customer experience and create new business models based on real-time data.

The real value of IoT is not just connecting things, but managing them intelligently.

Why choose a managed IoT connectivity solution

Today, the Internet of Things is growing at an exponential rate, with billions of devices connected across cities, vehicles, payment systems, security cameras, utility meters, robots, drones, factories and other critical environments — radically transforming the way companies operate.

But this digitalization also brings significant challenges that businesses must overcome: managing large-scale distributed infrastructures, ensuring data protection against cyber threats, maintaining visibility and control over connectivity, and making sure each device delivers value without driving up costs — to name just a few.

This is where managed IoT connectivity makes all the difference, becoming a critical enabler that turns complexity into a major competitive advantage.

Managed IoT connectivity turns technological complexity into a competitive advantage.

Managed IoT connectivity enables centralized control of thousands of globally distributed devices, ensures their security, optimizes usage, maximizes data value, improves operational efficiency, adapts swiftly to an ever-changing market, and guarantees that every connection delivers value. In short, it provides the infrastructure companies need to transform their operations and accelerate innovation to ensure success.

Benefits that go beyond connecting devices to the internet

Managed IoT connectivity brings advantages that go far beyond simply connecting devices to the internet: it's about gaining full control of your entire IoT solution from a single, centralized platform — consolidating management, monitoring, alerts and cost optimization.

Key benefits for businesses include:

  • Unified visibility and control: Monitor the status, location and usage of every device in real time from a single dashboard.
  • Proactive management with alerts: Early detection of issues and automatic activation of corrective actions.
  • Cost optimization: Dynamic plan adjustment, pay-per-use models and elimination of hidden costs.
  • Global scalability: Deploy and manage devices across multiple countries without complex operational agreements.
  • Operational flexibility: Remote configuration and seamless operator or profile switching thanks to technologies like eSIM.
  • Enhanced security: Encryption, authentication and immediate disconnection in the event of threats or unauthorized access.
  • Agility to innovate: Rapid integration of new devices and services without compromising operations.
Every connected device must deliver value without compromising efficiency or security.

Kite, Telefónica Tech's managed IoT connectivity solution

In a world with millions of connected devices, the intelligence to manage them becomes indispensable. That’s why at Telefónica Tech we created the Kite Platform, Telefónica Tech’s intelligent IoT network solution.

Thanks to our managed IoT connectivity platform, Kite, we ensure that every connection is controlled, secure, scalable and efficient. These capabilities have been widely recognized by analysts such as Juniper Research and Gartner, among others.

Kite not only facilitates machine-to-machine communication, but also acts as a strategic enabler that allows businesses to innovate quickly, respond to market changes and create smarter experiences for their customers.

A single, centralized platform is key to scalable and secure IoT connectivity.

Moreover, Kite incorporates AI capabilities that proactively detect consumption anomalies and anticipate incidents before they impact the business. It can also cluster SIMs and analyze their usage patterns, identifying atypical behavior, optimizing resources and enabling smarter, data-driven decisions to maximize the value of each IoT connection.

The true potential of IoT lies not just in digitalizing devices or generating data, but in how those devices are connected, managed and protected. Ultimately, the real value of IoT is not just about connecting things — it's about managing them intelligently and orchestrating their value to the fullest.

Agile innovation requires full control of your IoT connectivity.

Optimizing IoT service pricing with our IoT Partners Programme