Internet of Things Market: Projection of Each Major Segment over the Forecast Period

The global internet of things market is thrived by players of all sizes, with a large chunk of them traditionally based in the area of consumer electronics or internet and communication technologies (ICT), notes Transparency Market Research (TMR). Some of the leading companies in the global internet of things market are Cisco Systems, Inc., Intel Corp, Amazon.com, Inc., Microsoft Corp., Apple, Inc., and Google, Inc.

Top players in this market focused on acquiring propriety platforms and technologies are at the forefront in developing innovative products, in order to consolidate theirs shares in various regions, observes TMR. Several players are focused on developing secure technology solutions to gain a competitive edge over others in the IoT value chain. The estimated valuation of the global internet of things market was US$334.22 bn at the end of 2016. Projected to rise at a substantial CAGR of 20.55% from 2016 to 2024, the revenue of the market is anticipated to reach US$1,490.31 bn by the end of the forecast period.

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ZigBee segment held the major revenue share of the market in 2015 and is expected to lead the market throughout the forecast period. Regionally, North America dominated the market for internet of things in 2015.

The IoT market is underpinned by rapid advances in the area of cloud computing. The soaring demand for cloud-based services among various enterprises has led to the rapid evolution of IoT technologies and platforms as the backbone. There is increased adoption of IoT for resolving the energy constraints in cloud-based servers. The burgeoning demand for more processing power and storage options has bolstered the uptake of internet of things platforms

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The rapid pace of digitization across various regions and the rising demand for data-driven services in a variety of areas are the key factors boosting the internet of things market. The rising number of use cases in several end-use industries to improve productivity and bring process improvements are the key trends expected to bolster the demand for internet of things. The growing demand for cloud computing solutions and recent advances in communication technologies are the key factors expected to catalyze the market over the forecast period.

The mounting concern of data safety and privacy in IoT connected devices is a crucial factor likely to hinder the market to an extent. The privacy of sensitive personal data is a key concern expected to cripple the growth of the market to an extent, if not addressed on a proactive basis. The limited processing power and the lack of security measures, such as encryption, is another crucial factor likely to hamper the demand for internet of things.

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To this end, there is an emerging need for real-time assessment of failures and data integrity to make IoT useful in several applications areas, such as in automotive and healthcare. Nevertheless, the rising number of use cases in healthcare, hospitality, and retail is expected to open up lucrative avenues for vendors. The integration of wireless technologies in smart locks and next-generation systems has made them more secure and up the convenience. This is expected to boost their demand among property owners, thereby catalyzing the growth of the IoT market.

The rising adoption of IoT in less technology-centric companies is also to augur well for the internet of things market. For instance, the adoption of IoT to improve food delivery is anticipated to open up exciting opportunities for market players.

The study presented here is based on a report by Transparency Market Research (TMR) titled “Internet of Things Market (Technologies - Zigbee, Bluetooth Low Energy, Near Field Communication, Wi-Fi, and RFID; Applications - Media, Manufacturing, Medical and Healthcare, Consumer Application, and Energy Management) - Global Industry Analysis, Size, Share, Growth, Trends and Forecast 2016–2024.”

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