View all newsletters
Receive our newsletter - data, insights and analysis delivered to you
  1. Technology
  2. Networks
June 4, 2014

Internet of Things to reach value of $7.1 trillion by 2020

The figure is a downgrade from the $8.9 trillion figure predicted in October 2013.

By

The Internet of Things (IoT) market value is expected to grow from $1.9 trillion in 2013 to $7.1 trillion by 2020 as competition intensifies around smart analytics and applications, according to research.

IoT refers to appliances enabled with sensors and assigned their own IP address that connect to the internet – thus creating a world where devices and machines can communicate with each other, interpret information and make intelligent decisions in real time as more and more devices connect to the internet.

The growth will be driven by increased demand for full-time connectivity as consumers aspire to experience IoT in their homes, cars and daily life.

Vernon Turner, SVP for telecoms, networks and IoT at IDC, said businesses are also taking steps to gain a deeper understanding of the efficiencies, business process implications, and revenue opportunities the IoT can generate.

"Technology vendors are evolving their solutions in a supply-driven market that’s edging toward becoming a more demand-driven market," he said.

Developed regions would hold 90% of the IoT market, while worldwide IoT Installed Base will experience a compound annual growth rate (CAGR) of 17.5% from 2013 to 2020.

In October 2013, IDC predicted sales for the IoT would hit $8.9 trillion.

Content from our partners
European Technology Leadership: Deutsche Bank CTO Gordon Mackechnie
Print’s role in driving the environmental agenda
What finance leaders get wrong about digital transformation

Figures from other sources including analyst Gartner said 26 billion IOT units will be installed by 2020, while Cisco estimates that 50 billion devices and objects will be connected to the internet by 2020.

Websites in our network
NEWSLETTER Sign up Tick the boxes of the newsletters you would like to receive. Tech Monitor's research, insight and analysis examines the frontiers of digital transformation to help tech leaders navigate the future. Our Changelog newsletter delivers our best work to your inbox every week.
I consent to New Statesman Media Group collecting my details provided via this form in accordance with the Privacy Policy
SUBSCRIBED

THANK YOU