There has been a lot of noise these days surrounding the Internet of Things (IoT). The Internet of Things brings more things into the digital fold every day, from refrigerators to parking spaces to homes. This is likely to make the Internet of Things a multi-trillion-dollar industry. According to our market research report, the Global Internet of Things (IoT) Market size is valued at USD 164 Billion in 2018 and is expected to grow at a CAGR of 38.62% by 2025.
Before we get started, let me give you a rundown on this booming technology that has taken hold of the planet. Simply put, IoT is a system that connects any device to the Internet and other devices connected. It is a giant network of connected things and people which enables data sharing within the network. At a technical level, IoT can be defined as a system of interrelated computing devices, mechanical and digital machines that have unique identifiers and the ability to transfer data over a network without requiring human-to-human or human-to-computer interaction.
WHAT ARE THE TRENDS THAT ARE CAUSING THIS RAPID ADOPTION OF IoT?
Businesses are adopting IoT at a steady pace to keep up with the competition. Mainly small and medium-sized companies are embracing IoT technologies to sustain their market advancements in cost efficiency, profitability, and operations. Businesses are expected to watch out for these trends in the growing IoT market.
Top trends that are positively impacting the IoT market growth:
1) Increase in the Devices and Information
It is expected that by the end of 2020, the number of devices connected to the Internet will be around 4 ? 5 billion around the world. This increase in the number of devices will impact the growth of the IoT market as well. With the launch of 5G opening the door to more computers, and data traffic. This will, in turn, increase the adoption of edge computing, which will make it easier for businesses to process data more quickly and closely.
2) Impact of Artificial Intelligence
Making the most of the data, and even knowing how modern infrastructure works at a basic level, requires computer support through artificial intelligence. Based on their AI capabilities, the big cloud providers, including Amazon, Microsoft, and Google, are constantly looking to compete. Different start-ups hope to increase their market share by using AI algorithms capable of leveraging machine learning and deep learning, allowing businesses to extract more value from their ever-growing data volumes.
AI will assist IoT data analysis in the following areas: data planning, data creation, streaming data visualization, data precision in time series, predictive and advanced analytics, and geospatial and location in real-time. This increasing AI trend is expected to create an impact on IoT market growth.
3) Increasing Investments
The undisputed influence of IoT has and will continue to attract more technology venture capitalists. Spreading smart devices and growing consumer reliance on doing a lot of their daily tasks using these smart devices would contribute to the excitement of investing in IoT start-ups. Customers will be waiting for the next major innovation in IoT ? such as smart mirrors that examine your face and call your doctor if you look sick, smart ATMs that integrate integrated security cameras, and more.
4) Growing VUI Adoption
Digital assistant devices, including HomePod, Alexa, Siri, and Google Assistant, are the potential hubs for the next phase of smart devices, and companies are trying to create "their hubs" with customers so that they can keep adding devices with fewer efforts. IoT operates on a connected device network; it can incorporate sensing and signaling technologies to capture process, and transmit data for analysis, feedback, and intervention to cloud platforms. That makes it an excellent partner for VUI technologies, allowing users to a more natural approach and analyze their data. This technology partnership is expected to increase the IoT market.