According to IDC, spending on the Internet of Things (IoT) will experience a CAGR of 13.6% over the 2017-2022 forecast period, reaching $1.2 trillion by 2022 as the diverse market reaches "broad-based critical mass."
Further IoT market drivers include innovative analytics software innovations, cloud technologies and business/IT services.
"The IoT market is at a turning point-- projects are moving from proof of concept into commercial deployments," the analyst says. "Organisations are looking to extend their investment as they scale their projects, driving spending for the hardware, software, services, and connectivity required to enable IoT solutions."
The forecast shows the consumer sector leading in IoT spending growth, with a CAGR of 19%. The insurance and healthcare provider industries follow. In terms of total spending, discrete manufacturing and transportation are the largest with spending exceeding $150 billion. From an enterprise use case perspective, vehicle-to-vehicle (V2V)and vehicle-to-infrastructure (V2I) solution should experience fast spending growth with a 29% CAGR, followed by traffic management and connected vehicle security.
