During their investor day 2017, Analog Devices showed two slides that brilliantly captures the IoT opportunity for semiconductor companies:
The first illustrates the number of devices per person from many people per device to many devices per person. A 4th wave should be added to illustrate that IoT really does not require a person as it is more about Machine to machine communication.
Although electronics become more advance and cheaper at the same time, revenue is driven by the exponential increase in number of intelligent units that needs semiconductors.
You can see all the slides from Analog Devices Investor day here: