The market for Internet of Things (IoT) related services, is projected to exceed USD 96.3 billion in sales in Asia Pacific by 2023, according to data and analytics firm, GlobalData.
The market – which includes connectivity, devices and software, and related services – is growing at a compound annual growth rate (CAGR) of 22.4 per cent between 2018 and 2023.
GlobalData’s research reveals that the Asia Pacific (APAC) IoT market will be dominated by software and services. However, growth from connectivity and devices will accelerate with the launch of more cellular-based IoT networks supported by 5G.
One of the key drivers of growth will be the continued focus on smart cities and industry 4.0 initiatives from vertical industries like manufacturing, utilities and energy. Governments along with these industries are expected to spend heavily on IoT services over the forecast period. Transport and logistics are also expected to be key drivers.
Malcolm Rogers, senior technology analyst at GlobalData, comments: “5G will enable the deployment of millions of devices and sensors, which in some industries can be used to deliver real time insights into operations, reduce safety hazards and offer services like predictive maintenance.”