I think there is still space for the right startup who can focus solely on user experience (ease of use), speed to market and breathtaking product design..
I'm curious, why do you think there would not be room? And what is your definition of IoT?
My definition of IoT in this context was mainly Smart Home and Smart Health products; I should have been a bit more clearer.
To answer your question about crowded. There are so many players who are competing to grab a slice of this market. From High end well established brands to two man band startups. Hence my question for your thoughts.
IoT is a growing business , especially now that we have ridden the hype wave. Truth is though, we're coming into a stage that many business start closing down since there is so much competition.
If you, however, have an original idea or innovate greatly I reckon you can find success. So stay away from making some LoRaWAN gateways, or automating some homes. I think those markets are pretty saturated.
I definetly think that Smart Health still has a lot of things it could be applied to. But right now, I'm currently making a home climate system with LoRaWAN for my university end project. It is that saturated that I honestly feel breaking into that concept, and being disruptive at that, is going to be hard.
Large amount of space in the IoT market for risk based products still. The health products will still develop.