Internet of Things spending grew 17.9% in 2016
TweetFollow Us on Twitter

Internet of Things spending grew 17.9% in 2016

Internet of Things spending grew 17.9% in 2016
Worldwide spending on the Internet of Things (IoT) is forecast to have reached US$737 billion in 2016 as organizations invest in the hardware, software, services, and connectivity that enable the IoT. According to a new update by International Data Corporation (IDC), global IoT spending will experience a compound annual growth rate (CAGR) of 15.6% over the 2015-2020 forecast period, reaching $1.29 trillion in 2020.

According to the research group, the industries forecast to make the largest IoT investments in 2016 are manufacturing ($178 billion), transportation ($78 billion), and utilities ($69 billion). Consumer IoT purchases, the fourth largest market segment in 2016, will become the third largest segment by 2020. Meanwhile, Cross-Industry IoT investments, which represent use cases common to all industries, such as connected vehicles and smart buildings, will rank among the top segments throughout the five-year forecast. The industries that will see the fastest spending growth are insurance, consumer, healthcare, and retail, according to IDC.

Given manufacturing's position as the leading IoT industry, it's no surprise that manufacturing operations is the IoT use case that will see the largest investment ($102.5 billion) in 2016. Other IoT use cases being deployed in manufacturing include production asset management and maintenance and field service.

The second largest use case, freight monitoring ($55.9 billion), will drive much of the IoT spending in the transportation industry, according to IDC. In the utilities industry, combined investments in Smart Grid for electricity and gas will total $57.8 billion in 2016.

Smart Home investments by consumers will more than double over the forecast period, reaching more than $63 billion by 2020. In the Insurance industry, telematics will be the leading use case while remote health monitoring will see the greatest investment in the healthcare industry. Retail firms are already investing in a variety of use cases, including omni-channel operations and digital signage.

"A fairly close relationship exists between high growth IoT use cases in consumer product and service oriented verticals like retail, insurance, and healthcare," said Marcus Torchia, research manager, IoT, with IDC's Customer Insights and Analysis team. "In some cases, these are green field opportunities with tremendous room to run. In other verticals, like manufacturing and transportation, large market size and more moderate growth rate use cases characterize these verticals. As a whole, the IoT opportunity is a diverse developing market place for vendors and end users alike.”

From a technology perspective, hardware will remain the largest spending category throughout the forecast, followed by services, software, and connectivity. And while hardware spending will nearly double over the five-year timeframe, it represents the slowest growing IoT technology group. Software and services spending will both grow faster than hardware and connectivity.

IDC predicts that hardware spending will approach $400 billion by 2020. Modules and sensors, that connect end points to networks, will dominate hardware purchases, while application software will represent more than half of all IoT software investments.

 

Community Search:
MacTech Search:

Software Updates via MacUpdate

Latest Forum Discussions

See All

Six fantastic ways to spend National Vid...
As if anyone needed an excuse to play games today, I am about to give you one: it is National Video Games Day. A day for us to play games, like we no doubt do every day. Let’s not look a gift horse in the mouth. Instead, feast your eyes on this... | Read more »
Old School RuneScape players turn out in...
The sheer leap in technological advancements in our lifetime has been mind-blowing. We went from Commodore 64s to VR glasses in what feels like a heartbeat, but more importantly, the internet. It can be a dark mess, but it also brought hundreds of... | Read more »
Today's Best Mobile Game Discounts...
Every day, we pick out a curated list of the best mobile discounts on the App Store and post them here. This list won't be comprehensive, but it every game on it is recommended. Feel free to check out the coverage we did on them in the links below... | Read more »
Nintendo and The Pokémon Company's...
Unless you have been living under a rock, you know that Nintendo has been locked in an epic battle with Pocketpair, creator of the obvious Pokémon rip-off Palworld. Nintendo often resorts to legal retaliation at the drop of a hat, but it seems this... | Read more »
Apple exclusive mobile games don’t make...
If you are a gamer on phones, no doubt you have been as distressed as I am on one huge sticking point: exclusivity. For years, Xbox and PlayStation have done battle, and before this was the Sega Genesis and the Nintendo NES. On console, it makes... | Read more »
Regionally exclusive events make no sens...
Last week, over on our sister site AppSpy, I babbled excitedly about the Pokémon GO Safari Days event. You can get nine Eevees with an explorer hat per day. Or, can you? Specifically, you, reader. Do you have the time or funds to possibly fly for... | Read more »
As Jon Bellamy defends his choice to can...
Back in March, Jagex announced the appointment of a new CEO, Jon Bellamy. Mr Bellamy then decided to almost immediately paint a huge target on his back by cancelling the Runescapes Pride event. This led to widespread condemnation about his perceived... | Read more »
Marvel Contest of Champions adds two mor...
When I saw the latest two Marvel Contest of Champions characters, I scoffed. Mr Knight and Silver Samurai, thought I, they are running out of good choices. Then I realised no, I was being far too cynical. This is one of the things that games do best... | Read more »
Grass is green, and water is wet: Pokémo...
It must be a day that ends in Y, because Pokémon Trading Card Game Pocket has kicked off its Zoroark Drop Event. Here you can get a promo version of another card, and look forward to the next Wonder Pick Event and the next Mass Outbreak that will be... | Read more »
Enter the Gungeon review
It took me a minute to get around to reviewing this game for a couple of very good reasons. The first is that Enter the Gungeon's style of roguelike bullet-hell action is teetering on the edge of being straight-up malicious, which made getting... | Read more »

Price Scanner via MacPrices.net

Take $150 off every Apple 11-inch M3 iPad Air
Amazon is offering a $150 discount on 11-inch M3 WiFi iPad Airs right now. Shipping is free: – 11″ 128GB M3 WiFi iPad Air: $449, $150 off – 11″ 256GB M3 WiFi iPad Air: $549, $150 off – 11″ 512GB M3... Read more
Apple iPad minis back on sale for $100 off MS...
Amazon is offering $100 discounts (up to 20% off) on Apple’s newest 2024 WiFi iPad minis, each with free shipping. These are the lowest prices available for new minis among the Apple retailers we... Read more
Apple’s 16-inch M4 Max MacBook Pros are on sa...
Amazon has 16-inch M4 Max MacBook Pros (Silver and Black colors) on sale for up to $410 off Apple’s MSRP right now. Shipping is free. Be sure to select Amazon as the seller, rather than a third-party... Read more
Red Pocket Mobile is offering a $150 rebate o...
Red Pocket Mobile has new Apple iPhone 17’s on sale for $150 off MSRP when you switch and open up a new line of service. Red Pocket Mobile is a nationwide MVNO using all the major wireless carrier... Read more
Switch to Verizon, and get any iPhone 16 for...
With yesterday’s introduction of the new iPhone 17 models, Verizon responded by running “on us” promos across much of the iPhone 16 lineup: iPhone 16 and 16 Plus show as $0/mo for 36 months with bill... Read more
Here is a summary of the new features in Appl...
Apple’s September 2025 event introduced major updates across its most popular product lines, focusing on health, performance, and design breakthroughs. The AirPods Pro 3 now feature best-in-class... Read more
Apple’s Smartphone Lineup Could Use A Touch o...
COMMENTARY – Whatever happened to the old adage, “less is more”? Apple’s smartphone lineup. — which is due for its annual refresh either this month or next (possibly at an Apple Event on September 9... Read more
Take $50 off every 11th-generation A16 WiFi i...
Amazon has Apple’s 11th-generation A16 WiFi iPads in stock on sale for $50 off MSRP right now. Shipping is free: – 11″ 11th-generation 128GB WiFi iPads: $299 $50 off MSRP – 11″ 11th-generation 256GB... Read more
Sunday Sale: 14-inch M4 MacBook Pros for up t...
Don’t pay full price! Amazon has Apple’s 14-inch M4 MacBook Pros (Silver and Black colors) on sale for up to $220 off MSRP right now. Shipping is free. Be sure to select Amazon as the seller, rather... Read more
Mac mini with M4 Pro CPU back on sale for $12...
B&H Photo has Apple’s Mac mini with the M4 Pro CPU back on sale for $1259, $140 off MSRP. B&H offers free 1-2 day shipping to most US addresses: – Mac mini M4 Pro CPU (24GB/512GB): $1259, $... Read more

Jobs Board

All contents are Copyright 1984-2011 by Xplain Corporation. All rights reserved. Theme designed by Icreon.