A report by research firm Transforma Insights, led by veteran IoT analysts Jim Morrish and Matt Hatton published the first iteration of its highly granular and rigorously researched TAM Database. According to the forecast from Transforma Insights’ Total Addressable Market (TAM) Forecast Database.
At the end of 2019 there were 7.6 billion active IoT devices, a figure which will grow to 24.1 billion in 2030, a compound annual growth rate (CAGR) of 11 percent, according to this new research.
Short range technologies, such as WiFi, Bluetooth and Zigbee, will dominate connections, accounting for 72 percent in 2030, largely unchanged compared to the 74 percent it accounts for today. Public networks, which are dominated by cellular networks, will grow from 1.2 billion connections to 4.7 billion in 2030, growing market share from 16 percent to 20 percent. Private networks account for the balance of connections, 10percent in 2019 and 8 percent in 2030, the report said.
A second phase, to be released in September 2020 will include further granular technology and revenue splits.
In revenue terms, the total IoT market in 2019 was worth US $465 billion, a figure which will rise to US $1.5 trillion in 2030. Services, including connectivity, will account for 66 percent of spend, with the remainder accounted for by hardware, in the form of dedicated IoT devices, modules and gateways.
Commenting on the forecasts, Transforma Insights Founding Partner Jim Morrish said in a written statement: The value of a robust set of market data from a reputable source is not to be underestimated when planning to address the market opportunity.
Image credit: Transforma