IDC forecast spending and investment in the IoT sector to register double-digit growth this year, driven by increasing demand for remote operations, supply chain efficiency and a widening digital footprint
The research outfit expects spending on IoT to grow 11 per cent to $277.5 billion along with predicting investments to grow a CAGR of 11.7 per cent between 2023 and 2027 to $435 billion.
Areas with the fastest IoT spending in 2023 are China, Singapore and Hong Kong.
IDC stated discrete and process manufacturing are expected to register the largest investment (see chart, below, click to enlarge).
Bill Rojas, adjunct research director for IDC Asia Pacific, stated “power-saving IoT devices built with 5G enhanced machine-type communications technologies…will start to be introduced into the market to gradually replace LTE Cat 3/4 devices”.
He believes this will result in “more video-enabled end points and advanced analytics”.
He added “satellite connectivity is expected to be introduced to the market during the forecast period, further extending the reach of IoT to remote areas”.
Market analyst Sharad Kotagi added: “Organisations are more focused on data-driven operations to address specific business goals and customer challenges, and investing in the IoT ecosystem is crucial”.