IoT: Soaring Demand for Smarter Devices to Bring Lucrative Opportunities in Market
The key players in the Internet of Things market are Cisco Systems Inc., Google Inc., Microsoft Corp., and Apple Inc., among others, as per Transparency Market Research. Of these, Apple Inc. is targeting on expanding its business via introduction of new products and enhancement of the already existing products. A new version of OS X was introduced by this company in June 2015. This new version will refine the performance of systems and the Mac experience. Likewise, other top companies in the market also aim at expanding their business through mergers and acquisitions.
The global Internet of Things market stood at US$237.77 bn in 2014 and is predicted to touch US$924.86 bn in 2021, expanding at a whopping 21.40% CAGR between 2015 and 2021. In terms of technology, the segment of Wi-Fi held a significant share of 33.05% in the market in 2014. This segment was trailed by the segment of ZigBee, which accounted a share of 25.20% in the same year. On the other hand, the segment of Bluetooth low energy held the third largest share in the overall Internet of Things market.
Increased Reliability of Internet of Things to Raise its Demand in Automotive Sector
In terms of application, the market for Internet of Things is led by the industrial segment and this segment held a share of 23.69% in 2014, trailed by automotives and consumer electronics. The segment of automotives held a share of 21.54% in 2014, trailed by the segment of consumer electronics which held a share of 18.52% in the same year. The automotives segment held the second position owing to the fact that there is high employment of the Internet of Things in the automotive sector due to high reliability. This is owing to the fact that Internet of Things enhances the safety and aids in meeting the regulatory compliance standards.
Geographically, North America holds the dominant share in the market and accounted for a share of 38.64% in 2014, in terms of revenue. The Europe Internet of Things market trailed North America and held the second position in the market in the same year, whereas the region of Asia Pacific is the most swiftly developing region in the market and will constitute a share of 21.36% by 2021.
Increased Dependence on Internet of Things May Backfire
The increasing technological developments seen in the healthcare field and the growing initiatives taken by governments globally to expand the Internet of Things market will provide impetus to the development of the overall market. In addition, the growing requirement to raise cost reduction and efficiency will also boost the growth of this market,” says a TMR analyst. This is due to the fact that the Internet of Things aids in getting machine to machine communication which enables enhanced efficiency and accurate results.
On the other hand, the market is negatively impacted by the increasing reliance on Internet of Things. This is owing to the fact there is an increasing dependency of consumers on Internet of Things in their daily lives. An increased reliance on any technology may result in damage as no system is error-free. Nonetheless, it is predicted that in the coming years, devices such as refrigerators, cars, and televisions will be equipped with sensors and an internet connectivity for publishing the data collected. Hence, the soaring demand for smarter devices may bring in new opportunities in the market for Internet of Things, states a TMR analyst.
