The Internet of Things has the potential to transform the data center, according to a new report from Gartner Inc. The firm estimates that the IoT will include 26 billion Internet-connected physical devices installed by 2020, and by that time IoT product and service suppliers will generate incremental revenue exceeding $300 billion, mostly in services.

"IoT deployments will generate large quantities of data that need to be processed and analyzed in real time," Fabrizio Biscotti, research director at Gartner, said in a statement. "Processing large quantities of IoT data in real time will increase as a proportion of workloads of data centers, leaving providers facing new security, capacity and analytics challenges.

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