Global Sources
EE Times-India
EE Times-India > EDA/IP

Booming IoT market ushers in promising IT services

Posted: 24 Nov 2015     Print Version  Bookmark and Share

Keywords:Frost & Sullivan  IoT  big data  IT service  IT industry 

The growth of the Internet of Things (IoT) is without a doubt on a steep uphill climb. In fact, it is expected to continue its transformative potential across industries in 2016, with services seen to lead spending in the IoT space. Frost & Sullivan predicted the IoT market to be valued at $24.2 billion in 2015 and will reach $79.3 billion in 2020 with a CAGR of 26.8 per cent from 2015 to 2020, with services accounting for nearly three quarters of the market in 2020.

"The major IoT opportunities will be in the deployment and management of IoT projects. This will lead to a requirement for new skill sets which are currently scarce in the APAC region," noted Andrew Milroy, SVP, ICT practice, Frost & Sullivan, Asia Pacific.

There will also be a shift towards computing decentralisation as the IT industry gradually shifts towards using more IoT technology. Examples include P2P networks becoming more widely used, allowing connected devices to communicate directly with each other rather instead of being routed through a centralised data centre.

Milroy also expects IoT to be heavily influenced by 'cloudification' and this will lead to its own set of challenges. These include the large amounts of data involved, realignment of existing processes and security solutions.

Spotlight on cyber security

Cyber security is also paramount as the security paradigm is increasingly shifting to the physical domain in 2016. The increasing use of mobile devices and the gradual spread of the IoT will offer many more attack vectors, and increases the risks of successful attacks enormously. The ongoing convergence of operational technology with information technology will enable the successful attackers to have much greater impacts than before. Industrial control systems are more vulnerable than ever before and security will be the number one consideration as these systems are modified or developed. In 2016, it is evident that security will be prioritised and built into the architecture of any new systems before they are implemented.

Less than five per cent of the data captured by sensors today are used for optimisation analytics and this figure has a potential to increase significantly as more and more devices get connected to the Internet. With the growth of data coming from IoT becoming a reality, big data providers are starting to sit up and take note and incorporate solutions that cater to this growth. As it becomes clear that IoT data will potentially dwarf social media and traditional internet data, big data providers have started working closely with IoT vendors to create platforms to support data management, data analytics and enable data collaboration. Enterprises today use insights collected to drive efficiency in their internal processes and we are seeing more use cases where big data is used as an extension of an enterprise's core revenue but this will require a change in their existing business model. This will take time for revenue to grow because their customers will also need to change their procurement processes to cater to this.

Digital disruption is set to be the norm across industries as they look to transform to keep their business relevant amidst the ever changing technological landscape. According to Milroy, this trend will lead new business models and is set to stay.

1 • 2 • 3 Next Page Last Page

Comment on "Booming IoT market ushers in promisi..."
*  You can enter [0] more charecters.
*Verify code:


Visit Asia Webinars to learn about the latest in technology and get practical design tips.


Go to top             Connect on Facebook      Follow us on Twitter      Follow us on Orkut

Back to Top