In 2016, 6.4 billion Internet of Things (IoT) devices will be used globally, up 30% from this year. By 2020, the number of IoT devices used worldwide will grow to 20.8 billion.
Market research firm Gartner predicts that in 2016, 6.4 billion Internet of Things (IoT) devices will be used worldwide, up 30% from this year, when 5.5 million devices will be connected every day.
Of the 6.4 billion IoT devices, about 400 million are consumer devices, 110 million are cross-industry devices, and 128 million vertical industrial devices. By 2020, the number of IoT devices used worldwide will grow to 20.8 billion, of which 13.5 billion are consumer devices, 4.4 billion cross-industry devices, and 2.9 billion vertical industrial devices.
In 2016, the market size associated with consumer IoT hardware and applications should reach $546 billion, while the corporate Internet of Things spending was $868 billion. Jim Tully, vice president of Gartner, said that the number of connected devices installed by the consumer side, but the expenditure is the enterprise-side application wins.
In enterprise-side IoT applications, cross-industry installations include networked light bulbs, HVAC, and building management systems. These devices are deployed to save costs, while vertical industry devices refer to hospital operating rooms. Special equipment in the house, or the tracking device of the cargo ship.
Tully said that dedicated IoT devices are currently the largest category of enterprise applications. However, as the use of general-purpose devices increases, the situation will change rapidly. By 2020, the number of IoT devices across industries will dominate enterprise applications.
In addition to the number of IoT installations, Gartner also estimates that IoT service spending in 2016 will reach $235 billion. The largest service is a professional category, such as enterprise outsourcing design, installation or operation of IoT systems, but networking services. The pace of growth with consumer services is even greater. Tully pointed out that IoT services are the real driver of IoT value, and new services launched by end-user organizations and operators are getting more and more attention.
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