Singapore, 6July 2015: Internet of Things (IoT) continues to gain momentum as vendors and enterprises begin to embrace the opportunities this market presents. Amidst providing back to back, high quality research for its clients, IDC has been ranked amongst the top 3 influential organizations in the domain of Internet of Things by Appinions Inc.
Appinions Inc. identifies and shares information about the most influential people and organizations and their impact on key markets and social topics. As an Influence Marketing Platform, Appinions helps B2B marketers understand who has influence, what they are saying, and where they are speaking. This knowledge then drives thought-leadership, content marketing programs, and more for clients in the Fortune 1000.
Appinions Inc. also named two of IDC’s highly respected research leaders as key influencers in IoT, namely Vernon Turner – Senior Vice President of Enterprise Systems and IDC Fellow for The Internet of Things and Carrie MacGillivray – Program Vice President, Mobile Services, IoT and Network Infrastructure.
According to new research from International Data Corporation (IDC), the worldwide Internet of Things market will grow from $655.8 billion in 2014 to $1.7 trillion in 2020 with a compound annual growth rate (CAGR) of 16.9%.
Devices, connectivity, and IT services will make up the majority of the IoT market in 2020. Together, they are estimated to account for over two-thirds of the worldwide IoT market in 2020, with devices (modules/sensors) alone representing 31.8% of the total. By 2020, IDC expects that IoT purpose-built platforms, application software, and “as a service” offerings will capture a larger percentage of revenue.
“While wearable devices are the consumer face of the Internet of Things, and where recognition of IoT appears to begin, the real opportunity remains in the enterprise and public sector markets,” said Vernon Turner, senior vice president and research fellow (IoT), Enterprise Systems. “The ripple effect of IoT is driving traditional business models from IT-enabled business processes to IT-enabled services and finally to IT-enabled products, which is beginning to disrupt the IT status quo.”
The new forecast is one of three recently completed reports defining the IoT market and identifying opportunities: IDC’s Worldwide Internet of Things Taxonomy, 2015, Worldwide Internet of Things Forecast, 2015–2020, and the Worldwide IoT Spending Guide by Vertical.
“IDC’s Internet of Things taxonomy is intended to provide a framework to categorize and relate technology and industry-specific aspects of this burgeoning market,” said Carrie MacGillivray, program vice president, IoT and Mobile research. “For 2015, the taxonomy includes a view to the horizontal technology stack of hardware, software, services, and connectivity as well as a vertical view to the industries and use cases that IDC is forecasting in the IoT market.”
IDC’s recently published taxonomy, IDC’s Worldwide Internet of Things Taxonomy, 2015 (IDC #256186), can be used by readers as a guide to understanding the overall structure of the IoT market and how IDC organizes its market sizing efforts.
The IDC study, Worldwide Internet of Things Forecast, 2015–2020 (IDC #256397), provides an update to IDC’s worldwide IoT market outlook at a regional and technology level and highlights the key considerations for technology suppliers in this burgeoning, and complex, market as well as some of the drivers and inhibitors to growth throughout the forecast period.
On the other hand, the Worldwide IoT Spending Guide by Vertical specifically highlights country-level spending across IoT use cases and technologies, including smart appliances, automated public transit, remote health monitoring, digital signage, connected vehicles, and air traffic monitoring, among others. Unlike any other research in the industry, the comprehensive spending guide was designed to help vendors clearly understand the industry-specific opportunity for IoT technologies today.
Benefiting from population size and innovation acceleration, the Asia/Pacific region is expected to continue to continue its strong growth, with the number of units, or “things” connected to increase from 3.6 billion in 2014 to 9.2 billion by 2020.
“The IoT industry has matured considerably over the past year, with a number of large government initiatives across APeJ, and China in particular, driving demand,” says Charles Reed Anderson, VP, Head of Mobility and Internet of Things at IDC Asia/Pacific. “This increase in market demand has led to an increased focus on IoT from leading ICT vendors, as well as start-ups – with each keen to grab their share of the growing IoT market.”
About IDC
International Data Corporation (IDC) is the premier global provider of market intelligence, advisory services, and events for the information technology, telecommunications, and consumer technology markets. IDC helps IT professionals, business executives, and the investment community to make fact-based decisions on technology purchases and business strategy. More than 1,000 IDC analysts provide global, regional, and local expertise on technology and industry opportunities and trends in over 110 countries. In 2014, IDC celebrates its 50th anniversary of providing strategic insights to help clients achieve their key business objectives. IDC is a subsidiary of IDG, the world’s leading technology media, research, and events company. You can learn more about IDC by visiting www.idc.com. Follow IDC on Twitter at @IDC.