IoT spending to exceed $1tn by 2020
According to a new report from the International Data Corporation (IDC), global spending within the internet of things (IoT) market is expected to reach $772.5bn by the end of 2018.
This represents a yearly growth of 14.6%, up from the $674bn that is expected to be spent throughout the course of 2017.
The report, named “IDC worldwide semiannual IoT spending guide”, further predicts that these levels of growth will be maintained, forecasting a compound annual growth rate (CAGR) of 14.4% between 2017-2021.
If the forecasts from the IDC are correct, the IoT market will surpass $1tn in 2020.
IoT hardware is expected to be a key driver in 2018, alongside infrastructure and security spending. However, the IoT software market is expected to be the fastest growing technology segment, with a predicted five-year CAGR of 16.1%.
“By 2021, more than 55% of spending on IoT projects will be for software and services. This is directly in line with results from IDC’s 2017 Global IoT Decision Maker Survey where organizations indicate that software and services are the key areas of focused investment for their IoT projects,” said Carrie MacGillivray, Vice President, Internet of Things and Mobility at IDC.
“Software creates the foundation upon which IoT applications and use cases can be realized. However, it is the services that help bring all the technology elements together to create a comprehensive solution that will benefit organizations and help them achieve a quicker time to value.”
Industries where IoT is expected to become a key component include manufacturing ($189bn), transportation ($85bn), and utilities ($73bn). These will be followed by consumer spending, largely driven by an increasing demand for smart home technologies.
“Consumer IoT spending will reach $62 billion in 2018, making it the fourth largest industry segment. The leading consumer use cases will be related to the smart home, including home automation, security, and smart appliances,” said Marcus Torchia, Research Director, Customer Insights & Analysis.
“Smart appliances will experience strong spending growth over the five-year forecast period and will help to make consumer the fastest growing industry segment with an overall CAGR of 21.0%.”
Searching for the Top 100 Leaders in Technology
The search is on for the Top 100 Leaders in Technology 2021 – nominated by readers of Technology magazine and open to all.
The initiative has been launched and nominations are now open, with the final, prestigious Top 100 due to be announced during Technology and AI LIVE running 14-16 September, beamed from London to the world.
This latest, definitive list of the leading executives and influencers in the industry will be announced at the event and shared across social media channels, this website, and presented in a special supplement that honours all of those named in our annual list.
The Top 100 Leaders follows on from the well-received Top 100 Women in Technology that BizClik Media Group (BMG) – publishers of Technology magazine, AI magazine and a growing portfolio of industry-leading titles – produced in March this year to coincide with International Women’s Day.
“The Top 100 Women recognised the incredible and influential women driving our industry,” says Scott Birch, editorial director, BMG. “The success of that initiative encouraged us to recognise the Top 100 Leaders – individuals championing everything that we love about technology and embracing best practice that’s good for business.”
Nominations are already coming in, with some notable highlights including:
Rhonda Vetere - Herbalife
Bryan Smith - Expedient
Nominate your Top 100 Leader HERE
The deadline for nominations closes on Sunday 1 August 2021, and it is free to nominate. The Top 100 Leaders will be announced across our platforms and at the LIVE event.