IoT Market to Reach $1.7 Trillion by 2020: Report

IoT Market to Reach $1.7 Trillion by 2020: Report

A market research firm is predicting massive growth for the Internet of Things. IDC says that by 2020, the IoT market will be valued at a whopping $1.7 trillion, having skyrocketed from last year’s valuation of $655.8 billion.

The firm gets pretty detailed with its predictions, going so far as to estimate the number of ‘IoT endpoints’ – instances of connected devices, from smart thermostats to connected cars. IDC says there were 10.3 billion such endpoints last year, and that by 2020 there will be 29.5 billion. IoT devices will take the lion’s share of the market with 31.8 percent of the total, with connectivity and IT services following.

Interestingly, the Asia Pacific region has dominated the IoT market and will continue to do so, albeit to a lesser degree; it accounted for 58.3 percent of market revenue in 2014 and is expected to account for 51.2 percent at the end of the forecast period. North America’s share of market revenues is going to hover around 26 percent, while Western Europe’s will increase from 12 percent to 19.5 percent.

The report echoes other recent predictions about the Internet of Things, and should serve as some validation for the major organizations now pouring money into R&D in the burgeoning field. Some of the bigger tech companies are already unveiling their IoT platforms as they seek to establish standards for the industry, and are apparently very prudent to do so, given the growth expected for the industry.

Source: Wall Street Journal