IoT worldwide spending to hit $1.2 trillion by 2022, says IDC

IDC predicts that Internet of Things (IoT) spending growth will be compound annual growth rate (CAGR) of 13.6% over the 2017-2022 forecast period and reach $1.2 trillion in 2022.

IDC's latest research in the rapidly growing IoT technology market includes IoT spending for 14 technologies across 20 vertical industries in nine regions and 53 countries through 100 use cases.  It offers business investment opportunities across a spectrum of industries and IoT use case implementations.

That’s the view of top IT industry researcher IDC which this week updated its global spending outlook for the technology.

Internet of Things (IoT) is the concept of connecting any device to other connected device over the Internet allowing these devices exchanging information for meaningful operation.
The consumer sector will lead IoT spending growth with a worldwide CAGR of 19% and followed by the insurance and healthcare provider industries, the forecast says.

The two largest industries for IoT spending sectors will be discrete manufacturing and transportation. Each will exceed $150 billion in spending in 2022, IDC added.

Report further states, vehicle-to-vehicle (V2V) and vehicle-to-infrastructure (V2I) solutions will experience the fastest spending growth (29% CAGR) over the forecast period. It will be followed by traffic management and connected vehicle security.

Group vice president, Internet of Things and Mobility, Carrie MacGillivray said, "The IoT market is at a turning point – projects are moving from proof of concept into commercial deployments. Organizations are looking to extend their investment as they scale their projects, driving spending for the hardware, software, services, and connectivity required to enable IoT solutions."

As the diverse IoT market reaches a broad-based critical mass, Internet of Things (IoT) spending will be driven by innovative offerings in analytics software, cloud technologies, and business and IT services have expanded rapidly.