Q&
EDITOR’S
HOW IS IOT
IMPACTING
YOUR SECURITY
PORTFOLIO?
W
orldwide spending on the
Internet of Things (IoT) is forecast
to reach US$745 billion in 2019,
an increase of 15.4% over the US$646 billion
spent in 2018, according to a new update
to the International Data Corporation (IDC)
Worldwide Semiannual Internet of Things
Spending Guide.
IDC expects worldwide IoT spending will
maintain a double-digit annual growth rate
throughout the 2017 to 2022 forecast period
and surpass the US$1 trillion mark in 2022.
Carrie MacGillivray, Vice President,
Internet of Things and Mobility at IDC,
said: “Adoption of IoT is happening across
industries, in governments and in consumers’
daily lives. We are increasingly observing
how data generated by connected devices is
helping businesses run more efficiently, gain
insight into business processes and make
real-time decisions. For consumers, access
INTELLIGENT TECH CHANNELS
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to data is changing how they are informed
about the status of households, vehicles and
family members as well as their own health
and fitness.
“The next chapter of IoT is just beginning
as we see a shift from digitally enabling the
physical to automating and augmenting the
human experience with a connected world.”
The industries that are forecast to
spend the most on IoT solutions in 2019 are
discrete manufacturing (US$119 billion),
process manufacturing (US$78 billion),
transportation (US$71 billion) and utilities
(US$61 billion).
IoT spending among manufacturers will
be largely focused on solutions that support
manufacturing operations and production
asset management. In transportation, more
than half of IoT spending will go toward
freight monitoring, followed by fleet
management. IoT spending in the utilities
industry will be dominated by smart grids
for electricity, gas and water.
The industries that will see the fastest
compound annual growth rates (CAGR) over
the five-year forecast period are insurance
(17.1%), federal/central government (16.1%)
and healthcare (15.4%).
“Consumer IoT spending will reach
US$108 billion in 2019, making it the
second largest industry segment. The
leading consumer use cases will be related
to the smart home, personal wellness
and connected vehicle infotainment,” said
Marcus Torchia, Research Director, Customer
Insights and Analysis.
“Within smart home, home automation
and smart appliances will both experience
strong spending growth over the forecast
period and will help to make consumer the
fastest growing industry segment overall
with a five-year CAGR of 17.8%.”
The next chapter of
IoT is just beginning
as we see a shift from
digitally enabling the
physical to automating
and augmenting the
human experience with
a connected world.
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