Global Industrial Internet of Things Market 2016 to 2020

Date: 2/22/2016

The Global Industrial IoT (IIoT) Market 2016 to 2020

The Global Market for Industrial Internet of Things (IIoT) Is Anticipated to Grow at A CAGR of More Than 7% From 2016 To 2020

  • By: Technavio
  • Publishing Date: February 17, 2016
  • Report SKU: IRTNTR8726

Outlook of The Global Industrial Internet-Of-Things (IIoT) Market

Internet-of-Things (IoT) provides objects with unique identification systems and can transfer data through a network without human interaction. The global market for industrial IoT (IIoT) is anticipated to grow at a rapid pace during the forecast period, and the prospects for growth in this market will be driven by the increasing government support and traditional industries' digital transformation to enhance business productivity and sustain a competitive advantage. Also, the recent increase in data generation using IIoT is a significant factor that will spur growth in this market during the forecast period. Recently, it has been observed that many connected devices are used in industries to generate a high volume of data. This data is then used by companies to optimize cost and generate revenue. Comprehensive market analysis carried out by the analysts at Technavio has shown that the global market for IIoT will grow at a CAGR of more than 7% during the forecast period.

Recent advances in sensor technology are one of the key drivers for the growth of this market. Advances in sensor technologies and innovations in material sciences have led to the proliferation of different types of sensors. In recent times, it has been observed that the sensor technologies have advanced in terms of miniaturization, energy consumption, performance, and cost. In an industrial internet setup, sensors help to boost enterprise mobility, remote monitoring, and remote system control. These benefits will result in significant cost savings, which in turn will spur their adoption during the estimated period.

Geographical Segmentation of the IIoT Market

  • APAC
  • Europe
  • North America
  • ROW

In 2015, the APAC region dominated this market and is anticipated to grow at a CAGR of around 8% during the forecast period. Growing investments in the implementation of IIoT will spur the prospects for market growth in this region. Furthermore, with the growing utilization of industrial robots and the introduction of initiatives like the Industrial Value Chain Initiative, the market for IIoT in APAC will have a positive outlook until 2020.

The IIoT market in APAC was valued at close to USD 38 billion in 2015 and is expected to reach over USD 54 billion in 2020, growing at a CAGR of more than 7%. Many countries in Asia are heavily investing in IIoT implementation, which will drive the demand for IIoT during the forecast period.

For instance, in 2012, China started developing technology for device communication via infrared, machine to machine (M2M), and radio-frequency identification (RFID). The development of the Greenfield Electronic Manufacturing Cluster (EMC) and Brownfield EMC is expected to boost R&D activities in the IIoT market in India during the forecast period. South Korea plans to invest USD 3.66 billion in the IoT by 2020, as it is recognized as an inevitable factor for sustainable market growth. China is the major competitor of South Korea in major areas, including the semiconductor, manufacturing, and automobile industries.

Competitive Landscape and Key Vendors

The global IIoT market competitive and is primarily dominated by the large vendors as they have access to better technologies and resources. The vendors that have the ability to offer a wide range of products and services like networking devices and network management services will gain a competitive edge over their peers.

Key Vendors in This Market Are:

  • Cisco
  • GE
  • IBM
  • Intel
  • Rockwell Automation
  • RTI

Other prominent vendors analyzed in this market research are Accenture, ARM Holdings, AT&T, Broadcom, Google, Honeywell, Huawei, Robert Bosch, Siemens, and Zebra Technologies.

About Technavio

Technavio is a leading global technology research and advisory company. The company develops over 2000 pieces of research every year, covering more than 500 technologies across 80 countries. Technavio has about 300 analysts globally who specialize in customized consulting and business research assignments across the latest leading edge technologies.

Technavio analysts employ primary as well as secondary research techniques to ascertain the size and vendor landscape in a range of markets. Analysts obtain information using a combination of bottom-up and top-down approaches, besides using in-house market modeling tools and proprietary databases. They corroborate this data with the data obtained from various market participants and stakeholders across the value chain, including vendors, service providers, distributors, re-sellers, and end-users.