Minimum Viable Products for Internet of Things Applications: Common Pitfalls and Practices

Abstract

Internet of Things applications are not only the new opportunity for digital businesses but also a major driving force for the modification and creation of software systems in all industries and businesses. Compared to other types of software-intensive products, the development of Internet of Things applications lacks a systematic approach and guidelines. This paper aims at understanding the common practices and challenges among start-up companies who are developing Internet of Things products. A qualitative research is conducted with data from twelve semi-structured interviews. A thematic analysis reveals common types of Minimum Viable Products, prototyping techniques and production concerns among early stage hardware start-ups. We found that hardware start-ups go through an incremental prototyping process toward production. The progress associates with the transition from speed-focus to quality-focus. Hardware start-ups heavily rely on third-party vendors in term of development speed and final product quality. We identified 24 challenges related to management, requirement, design, implementation and testing. Internet of Things entrepreneurs should be aware of relevant pitfalls and managing both internal and external risks.

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