Nov 17
A great report has just been published by venture capital company Wing about the global panorama of Internet of Things startup companies and adoption by their target consumers.
The report is based on the analysis of 2,000+ deals, the context around the creation and exit activities, and interviews to IoT pioneers.
International Data Corporation (IDC) issued a new report, Worldwide Internet of Things Spending by Vertical Market 2014-2017 Forecast, which defines the IT opportunity for all vertical markets that comprise the burgeoning Internet of Things (IoT) market. The new report segments the IoT market as well as provides a forecast that illustrates which vertical industries show the greatest market opportunity over the next several years. The market and forecast is based on internal IDC models, analysis, and survey information, which was used to create segmentation models around the 18 vertical markets that IDC tracks.
Successful companies will know how to marry customer intimacy with technology innovation and will focus on solving problems vs. just delivering devices and technology.
As the opportunity for the Internet of Things (IoT) continues to attract new vendors to the market, vendors are now in a better position to capitalize on the IoT opportunity as they hedge their bets on globalizing. A new International Data Corporation (IDC) ranking of G20 countries based on suitability preparedness for the IoT opportunity helps vendors by creating a weighted, single, ordered point of guidance for vendors looking to globalize IoT.
“The market potential from the increasing adoption of Internet of Things (IoT) solutions is not a regional phenomenon”, said Vernon Turner, Senior Vice President, Infrastructure & Sustainability Research at IDC. “IDC expects the IoT technology and services halo effect on business to generate global revenue from $4.8 trillion in 2012 to $8.9 trillion by 2020, growing at a 7.9% CAGR.”
IDC predicts IoT will increasingly become a global phenomenon, led very visibly by countries in the G20. The opportunity is calling for vendors in the IoT ecosystem to first and foremost innovate and implement solutions that yield operational efficiencies in the top-tier countries. IDC’s G20 ranking through the lens of the IoT puts forth the United States and South Korea as the number 1 and number 2 most-prepared countries for IoT, respectively.
“The IDC G20 Index presented through the lens of the IoT reveals just how far and above the top-tier countries are as opportunities for vendors in the space”, said Denise Lund, Research Director, Mobile Enterprise Services and IoT. “The top five countries collectively astound with their share of investment in key technologies and energy consumption. These countries are at the intersection of need for the efficiencies that IoT solutions bring and are more likely to have the mindset for and availability of technologies that align and intersect with IoT use cases.”
This IDC study, The G20 through the Internet of Things (IoT) Lens, outlines the methodology and results for ranking the G20 countries according to their readiness for Internet of Things (IoT) opportunities. The study describes each of the criteria used in the ranking, as well as the weighting scheme applied that creates the ultimate ranking of the more versus less ripe countries for IoT opportunities. The rank ordered G20 countries are presented as the study result.
Global smart meter shipments pass 51 million for six months of 2013
A new tracker report from Navigant Research states that worldwide smart meter shipments for the first six months of 2013 reached 51.4 million.
While the overall smart grid industry has continued to expand over the last 18 months, in North America the first wave of smart meter deployments has crested as government-funded programs wind down. Many large North American utilities that instituted smart grid upgrades over the past few years have completed their smart meter rollouts, and are now pursuing greater efficiency and reliability through data analytics and IT improvements. In other developed countries, however, major utilities are still in the early phases of smart meter deployments.
“The pace of smart meter deployments in North America continues to slow, as smart metering projects that had been fueled by U.S. federal stimulus money come to an end,” said Neil Strother, senior research analyst with Navigant Research. “At the same time, smart meter projects in Europe, particularly in France, are poised to accelerate in coming quarters, while in Asia Pacific, China is aggressively rolling out smart meters and Japan is moving closer to large-scale deployments.”
The ‘Smart Grid Deployment Tracker 3Q13’ report suggests that no other country is likely to come close to China’s pace of deployments over the next few years, even as the country also faces an overall slowdown in its economy. The number of smart meter shipments there increased by 31.2 percent from 4Q 2012 to 1Q 2013, according to the report. Smart meters are an important part of the country’s bid to modernize its infrastructure, and it is evident that the leadership is determined to push ahead. Navigant Research says that the company expects this metering juggernaut will maintain this pace over the next few years.
The report, “Smart Grid Deployment Tracker 3Q13”, provides an analysis of worldwide utility smart grid and smart meter programs updated for the first half of 2013. It tracks data related to global customer endpoints, meter manufacturers, advanced metering infrastructure (AMI) communications vendors, systems integrators, and meter data management (MDM) vendors. The report also includes a tactical examination of the technologies, timeframes, and vendor selections for AMI and smart grid utility deployments across the world, along with vendor selection share analysis for North America.
Beecham Research`s Sector Map shows segmentation of the M2M Market, including 9 key Service Sectors, key Applications Groups within Sectors, and examples of Connected Devices within each Sector at the outer edge.
Service sectors include:
Overall, Beecham Research tracks over 300 different device types.
The Internet of Things Is Poised to Change Everything
The Internet of Things (IoT) represents a new construct in the information and communications technology (ICT) world that is occupying the minds of IT vendors, service providers, and systems integrators as it represents huge potential for new streams of revenue and new customers. International Data Corporation (IDC) has looked at the components, processes, and supporting IT and connectivity for the Internet of Things and expects IoT technology and services spending to generate global revenues of $4.8 trillion in 2012 and $8.9 trillion by 2020, growing at a compound annual rate (CAGR) of 7.9%.
“The momentum of the Internet of Things is driven by a number of factors. There is no doubt that business and consumer demand exists and will continue to expand for IoT solutions,” said Vernon Turner, Senior Vice President of IDC’s Enterprise Infrastructure, Consumer, Network, Telecom, and Sustainability Research. “I expect the current IoT use cases are just the tip of the iceberg.”
Some enablers to the rise of IoT include:
Even though there is growing demand for the IoT, there are still several factors inhibiting growth of this market. This is not to say that they can’t be overcome, but at present, they are hurdles that both vendors and enterprises will have to overcome to make IoT a reality. Some of these challenges are on the supply side, including lack of standards, global scalability, and a nascent ecosystem for application development. On the demand side, the challenges include lack of awareness and other IT/mobility priorities.
Despite these challenges, IDC expects the installed base of the Internet of Things will be approximately 212 billion “things” globally by the end of 2020. This will include 30.1 billion installed “connected (autonomous) things” in 2020. This is largely driven by intelligent systems that will be installed and collecting data – across both consumer and enterprise applications – by the end of the forecast period.
“It is important to remember that while the market for the Internet of Things is still in its infancy, there is a long legacy of autonomous wired connected things,” said Carrie MacGillivray, Program Vice President, Mobile Services, M2M & Network Infrastructure. “The enabler for increased growth over the forecast period is the pervasiveness of wireless connectivity and ubiquitous access to the Internet regardless of location.”
IDC\’s newly published market analysis, Internet of Things (IoT) 2013 to 2020 Market Analysis: Billions of Things, Trillions of Dollars, analyzes the worldwide opportunity for the burgeoning “Internet of Things” (IoT) market. It provides a market outlook for 2013 to 2020 and sets the forecast within the context of the IoT ecosystem, including the intelligent systems, connectivity services, platforms, analytics and vertical applications in addition to the security and professional services required to build out a complete picture. The study discusses the key market trends contributing to the growth of the IoT on a worldwide basis. A forecast of installed “things” and revenues are included in this document.
In addition, IDC recently published a related document, Internet of Things (IoT) Taxonomy, 2013, that provides the classifications and definitions for the major components that comprise the IoT market and therefore are covered within IDC’s IoT research. All definitions and terminology are current as of October 2013.
In Internet of things (IoT) & Machine-to-Machine (M2M) communications, “things/objects” are projected active participants in social process, business, and information where they are suppose to connect and communicate among themselves and within the environment by exchanging data and information “sensed” about the environment, while reacting independently to the “real/physical world” events and influencing by its running process that triggers action and create services with or without direct human intervention.
In the vision of IoT & M2M, it is expected that, any “thing/object” will consists of at least one exclusive way of recognition (directly by a “Unique Identifier” or indirectly by some “Virtual Identifier” methods), by creating an addressable continuum of “things” such as computers, people, actuators, refrigerators, sensors, books, passports, luggage, clothes, food, TVs, vehicles, mobile phones, medicines, etc.
With continuous overhauling of traditional computing environments to a major connected ICT infrastructure, and the need to secure these networks is becoming critical, which in turn fuel the growth of IoT & M2M Communication Market. In 2011, the Cyber Security Market estimated at $44.0 billion and is expected to reach $290.0 billion by 2017, with an increasing CAGR of 30.1% from 2012 to 2017.
The report provides in-depth market data for different industry verticals across the World. By 2017, the overall IoT & M2M Communication market, public safety & security and retail will be estimated to contribute maximum market share, i.e. 16.8% and 18.7% followed by consumer & residential, and IT & telecom at around 11.9% and 10.5%; industrial & commercial buildings 8.6%; Healthcare 7.7%. While, the energy & power, transportation, manufacturing, and other verticals with a forecast data at 7.1%, 7.1%, 6.8%, and 4.9%, respectively.
The report comprises of a thorough segmentation of the IoT & M2M Communication market. Chapter three covers market definition, segmentation, market size, evolution of IoT & M2M Communication, and briefings about the drivers, restraints, and opportunities. Chapter four describes about different types of technology & platforms. Chapter five & Six covers IoT components type and M2M connections & modules; while chapter seven provides Verticals type, and finally eight chapter deals with the geographic analysis of IoT & M2M Communication market.
The report also includes competitive landscape and company profiles of the top industry players in the cyber security industry.
Proprietary wireless protocols are quickly losing their dominance in the healthcare market to more standards-based wireless technologies such as Wi-Fi, Bluetooth, and IEEE 802.15.4. Over the next 5 years, Bluetooth Smart (formerly Bluetooth Low Energy) will lead in shipments and Wi-Fi will lead in revenues in the healthcare device IC market expected to exceed $100 million by 2018.
“Smartphones and tablets are the primary reason for Bluetooth Smart adoption in MBAN devices. Given their growing penetration among consumers and Bluetooth Smart Ready enablement, they are the conduit for MBAN wireless sensor data back to cloud-based healthcare services,” says senior analyst, Adarsh Krishnan.
The recent IEEE 802.15.6 and IEEE 802.15.4 enabled devices that can operate in the dedicated wireless spectrum (2360-2400 MHz) allocated for MBAN use are expected to witness less traction with adoption initially limited to professional on-site healthcare facilities. The 802.15.6 standard ICs are expected to ship around 8 million chipsets worldwide in 2018.
ZigBee and other 802.15.4 based protocols are expected to outperform 802.15.6 standard growing at CAGR of 72% over the next 5 years. Inhibiting adoption of the newer 802.15.6 protocol is the lack of wireless spectrum harmonization across different world regions.
These findings are part of ABI Research’s mHealth Research Service which includes Research Analyses, Market Data, Insights, and Competitive Assessments. The service looks at the rapidly developing market for wearable wireless sensors and their connectivity to gateway devices and smartphone applications across sports, fitness and wellbeing, home healthcare, remote patient monitoring, and on-site professional healthcare markets.
Hybrid Indoor Location to Dominate Billion Unit Smartphone Market
Apple’s acquisition of WiFiSLAM has brought smartphone indoor location technologies to the fore. With over 1 billion new smartphones forecast to utilize indoor location technologies in 2018, there are still significant opportunities for companies with the right technologies and strategies.
In ABI Research’s latest Location Technology report, “Smartphone Indoor Location Technologies”, it has forecast the adoption of different indoor location technologies, and the companies best placed to be successful. “We see a significant trend towards hybridization, with Wi-Fi, BLE and sensor fusion vita,” commented senior analyst, Patrick Connolly. “By 2014, hybrid solutions will have already surpassed standalone indoor location technologies on smartphones, with Wi-Fi and sensor fusion hybrid solutions reaching over 900 million units in 2018. Longer term, technologies around optical light, object recognition and LTE-direct are all forecast to offer differentiation.”
Pedro Antao Alves 