Microsoft Corporation (NASDAQ:MSFT), Intel Corporation (NASDAQ:INTC) and Cisco Systems Inc. (NASDAQ:CSCO) are now working in concert with each other to develop the next generation of standards to be used by smart devices.

Given the fact that IoT is a morphing multi-billion-dollar industry, it needs open standards to grow faster, less red tape measures and new entrants as well as interoperability and inter-compatibility when it comes to existing solutions. This move, while logical, comes in at a time when adoption and innovation has slowed considerably according to a blog post made by Terry Myerson, the EVP of “Windows and Devices Group.” It must be noted that the Open Connectivity Foundation (OCF) is not an original idea. It stems from the OIC, the Open Interconnect Consortium headed by Intel, Broadcom and Samsung initially, which saw it face off against Microsoft and Qualcomm as part of the AllSeen Alliance. A merger of these standards is only expected to accelerate progress in the industry, which is arguably still in its infancy.

Microsoft’s presence is a huge factor when it comes to IoT, with the company committing significantly to the IoT infrastructure as an extended aspect of its Azure cloud push and Windows 10. More importantly, Microsoft is a software publisher with a host of developers backing it up, essentially meaning that the OCF has a significantly higher chance of success with a juggernaut of the Redmond-based tech giant’s stature on board. With both Google and Apple remaining mum on their own IoT positions, Microsoft’s jump could be an industry-defining one with it also having the added advantage of being first to the punch.

The IoT industry has a lot of industry giants leaning on it as the primary source of future growth, but due to a fragmented ecosystem and limited early adopters, it is not performing as per industry expectations even as worrisome economic concerns loom in the background for financial markets since the start of 2016.