Research Nester has released a new report, Internet of Things (IoT) Market: Global Demand, Growth Analysis & Opportunity Outlook 2023, that forecasts trends in the global IoT market up to 2023.By then, the report predicts the IoT market value will have reached$724.2 billion, up from $598.2 billion in 2015.
Here's a look at three more IoT predictions in the years to come: an automation explosion in the manufacturing sector, growing demand in automotive and health-care sectors, and the domination of the Asia-Pacific region in the IoT market.
Manufacturing
The report forecasts significant growth in the manufacturing sector, due to an increased use of automation in the manufacturing industries—the so-called fourth industrial revolution, or Industry 4.0. This revolution is made possible by the Industrial IoT (IIoT), which uses connected and sensor-laden machines to help control everything on the factory floor.
While there's some skepticism as to the benefits of this paradigm,and some manufacturers may not be ready to harness the benefits of the IIoT, increased automation in the manufacturing sector seems inevitable.
Health Care and Automotive
Growth in the manufacturing and automation sector will itself contribute to IoT demand in various sectors, according to the report. Specifically, the report predicts that the automotive and health-care sectors will begin to adopt Internet-enabled equipment to increase operational efficiency and to better serve customers.
Asia-Pacific Domination
The Asia-Pacific region already has the biggest slice of the IoT pie, with 36 percent of the global revenue share in 2015. This isn’t expected to change; according to Research Nester, the Asia-Pacific region will maintain its market domination at least until 2023.
North America, especially the United States, is expected to maintain a market share of 24.2 percent during the forecast period of 2016–2023. Europe's IoT market share is expected to grow to 20.2 percent by 2023, up from 12.2 percent in 2015.
During the forecast period, the market is anticipated to grow at a compound annual growth rate (CAGR) of 13.2 percent.
IoT Barriers and Opportunities
The report also describes a number of barriers to growth in the IoT market, such as low Internet connectivity in underdeveloped nations and a lack of IoT awareness. Unsurprisingly, issues of privacy and security are cited as IoT roadblocks.
Knowing the IoT market trends is one way to find opportunities for yourself or your company. To that end, the report aims to help industry consultants, equipment manufacturers and existing IoT players develop effective market-centric strategies.