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154 Impressive IoT Statistics: 2021/2022 Data Analysis & Market Share

The Internet of Things (IoT) surpassed the human population in number more than a decade ago. And every fact and figure, trend, study and sign points to the same thing–its growth isn’t slowing down, not even a bit. To illustrate this, we compiled a collection of IoT statistics in this article.

After reading this article, you should have a better grasp of the role IoT can play in the business landscape, the best artificial intelligence software you can use to harness this, as well as how other companies are using this technology. After all, only a handful of things can compare to this technology’s growth. The numbers for 2019 are enormous. But it still doesn’t hold a candle to what the future of IoT is shaping up to be.

key iot statistics

IoT Market Statistics

Different research bodies and organizations conducted intensive studies to accurately measure the IoT market. The results vary, but they all have one thing in common–the numbers always present a staggering amount. This collection of IoT market statistics provides good insight into how active this industry is.

  • $381 billion – the estimated 2020 global IoT revenue adjusted for the effects of the pandemic. (GSMA Intelligence, December 2020)
  • This is 9% lower than the original estimate before the onset of the pandemic. (GSMA Intelligence, December 2020)
  • $906 billion – the estimated 2025 global IoT revenue adjusted for the effects of the pandemic. (GSMA Intelligence, December 2020)
  • $200 billion – the estimated 2025 IoT global revenue wiped out by the pandemic. (GSMA Intelligence, December 2020)

Though also down from original figures, the estimates by IDC contrast sharply with those from GSMA Intelligence:

  • $742 billion – the estimated 2020 global IoT revenue adjusted for the effects of the pandemic. (IDC, 2020)
  • This is 8.2% down from the 14.9% growth forecast that IDC predicted in November 2019. (IDC, 2020)
  • IDC expects global IoT spending will return to double-digit growth rates in 2021, to achieve a compound annual growth rate (CAGR) of 11.3% over the 2020-2024 forecast period. (IDC, 2020)
  • $166 billion – the estimated global market size of connected cars by 2025. (Statista, 2020)
  • $81.1 billion – projected global revenue for in-car connected services by 2030. (Statista, 2020)
  • 76.3 million units – number of worldwide connected car shipments in 2020. (Statista, 2020)
  • $55 billion – the predicted global market value of IoT fleet management market by 2026 (Global Market Insights, 2020)
  • 20% – IoT fleet management CAGR from 2020 to 2026. (Global Market Insights, 2020)
  • $832 billion – the estimated total investment that companies made in the IoT market in 2020. (TechJury, 2020)
  • $332.67 billion – the expected global net worth of the IoT Healthcare market by 2027. (Allied Market Research, 2020)
  • 13.2% – CAGR of the IoT Healthcare market from 2020 to 2027. (Allied Market Research, 2020)
  • $5.31 billion – the IoT education market size in 2019. (openPR, 2020)
  • 17.74% – the estimated IoT education CAGR from 2020 to 2027. (openPR, 2020)

pandemic IoT effect

IoT Adoption Statistics

The future is bright for this industry. IoT software market size will continue to grow both in the short- and long-term. It promises to be ubiquitous, with IoT devices installed and embedded in practically all the technologies that humans interface with. Also, IoT is usually deployed together with the tools for artificial intelligence out there in the market. This allows analysts to generate more insights from complex data through machine learning tools and predictive analytics. Thus, it is good to note that IoT use and adoption grow in relation to that the adoption rate of AI as well. The last years have seen companies needing to meet compliance requirements. Of course, it has to come with some measure of success.  In terms of making money and saving money, this is how they fare:

  • 65% – cost saving (GSMA Intelligence, 2020)
  • 68% – revenue generation (GSMA Intelligence, 2020)
  • 53% – regulatory compliance (GSMA Intelligence, 2020)

Beyond this, here’s a list that details how IoT devices would impact different sectors.

  • Over 60% of organizations currently use IoT, with only 9% of them currently having none at all. (Impact, 2020)
  • Of the 21.7 billion active connected devices worldwide in 2020, 11.7 billion (54%) are estimated to be IoT device connections. (IoT Analytics, 2020)
  • 30 billion – estimated number of IoT device connections by 2025. (IoT Analytics, 2020)
  • This figure would amount to 4 IoT devices per person on average. (IoT Analytics, 2020)
  • $77.3 billion – global industrial IoT market size in 2020 (Statista, 2020)
  • $110.6 billion – global industrial IoT market size by 2025 (Statista, 2020)
  • $124 billion – estimated global smart city initiative investment in 2020. (IDC, 2020)
  • $189.5 billion – estimated global smart city initiative investment in 2020. (IDC, 2020)
  • $43 billion – global IoT transportation and logistics spending in 2020 (Visual Capitalist, 2020)
  • 840 million – number of IoT devices in 2020 that use cellular networks. (Cision, 2020)
  • 5.7 billion – estimated number of IoT devices that will use cellular networks by 2026. (Cision, 2020)
  • $16.8 billion – the estimated 2026 market value of IoT security services, arising from the need to better secure IoT-connected devices. (Cision, 2021)
  • 24.4% – the Compound Annual Growth Rate (CAGR) of the smart clothing (IoT connected) market over the period 2020 to 2027. By 2027, that is equivalent to $6.42 billion. (Insight Partners, 2020)
  • $53.9 billion – the global connected car market value in 2020 (Cision, 2020)
  • $166 billion – the projected global connected car market value by 2025. (Cision, 2020)
  • 28.6% – the market share of modules and sensors, the leading IoT technology category in 2020. (IDC, 2020)
  • 21.3% – the 2020 market share of ongoing IoT services. (IDC, 2020)
  • 14.2% – the 2020 market share of connected IT and installation services. (IDC, 2020)
  • 11.7% – the 2020 market share of IoT application software. (IDC, 2020)

Source: IDC, 2020

Best Artificial Intelligence Software

  1. Cloud Machine Learning Engine is a powerful cloud-based predictive analytics modeling software. It comes with features like Cloud Datalab and Prediction Services to help you make sense of your IoT data and build predictive models and gain useful business insights.
  2. Azure Machine Learning Studio is a top machine learning platform that helps its users create applications for business intelligence among other uses. It has powerful web-based modules for experiments, trained models, projects, and APIs housed in its easy drag-and-drop interface.
  3. Salesforce Einstein is a highly specialized AI platform dedicated to sales data processing. Its modules can help you make sense of IoT data and apply insights and models from the program to real-world uses to boost your ROI.
  4. IBM Watson is a popular AI platform for research and discovery. It sports features like visual recognition, a language translator, and a natural language classifier that is perfect for many IoT data uses.
  5. Nvidia Deep Learning AI is another popular platform for AI and IoT data analytics. With powerful features like inference creation and testing, deep learning training, and AI exploration tools, it makes generating insights from connected devices easier for analysts.

IoT Big Acquisition Statistics

If we’re going to believe in any of the IoT market analyses conducted by various organizations, one thing’s clear. The IoT market is going to get a lot bigger than it is right now. Therefore, it comes as no surprise that these huge companies are already starting to invest in this technology. There has been a good number of corporations that purchased smaller companies in the past few years. Some of the most notable ones are presented in the statistics below.

  • $3.2 billion – the amount with which Google purchased NEST in 2018. (TechCircle)
  • $1 billion – in 2018, Amazon acquired Ring for this price. (Adweek)
  • $32 billion – the whopping sum with which Softbank purchased ARM in 2016. (SDxCentral)
  • $1.4 billion – the amount paid in cash by Cisco to acquire IoT startup company, Jasper Technologies, in 2016. (SDxCentral)
  • $8 billion – how much Samsung invested to acquire a connected car technology company in 2017. (CRN)
  • $2.4 billion – the acquisition fee of Verizon to get the rights of Fleetmatics, a fleet management company, in 2016. This is the most notable one out of all this telco company’s IoT-related acquisitions. (FleetOwner)

Softbank purchased ARM

IoT Challenges Statistics

This technology, however large its market potential is, poses some issues. Human beings’ natural resistance to change is one. However, there are other serious problems that surface; the more IoT data is presented. Both the critics and supporters of this industry have shared sentiments regarding these challenges. And we have a list of statistics to show for it. Some of the most important issues that must be addressed before truly enjoying every benefit that IoT products bring include:

The global urban-rural internet connectivity divide. How does it stand now? Here are the data:

  • 28% – global urban households with no internet connection (International Telecommunication Union, 2020)
  • 63% – global rural households with no internet connection (International Telecommunication Union, 2020)
  • 72% – African urban households with no internet connection (International Telecommunication Union, 2020)
  • 94% – African rural households with no internet connection (International Telecommunication Union, 2020)
  • 26% – Arab states urban households with no internet connection (International Telecommunication Union, 2020)
  • 62% – Arab states rural households with no internet connection (International Telecommunication Union, 2020)
  • 30% – Asia and Pacific urban households with no internet connection (International Telecommunication Union, 2020)
  • 64% – Asia and Pacific rural households with no internet connection (International Telecommunication Union, 2020)
  • 19% – CIS urban households with no internet connection (International Telecommunication Union, 2020)
  • 34% – CIS rural households with no internet connection (International Telecommunication Union, 2020)
  • 12% – European urban households with no internet connection (International Telecommunication Union, 2020)
  • 22% – European rural households with no internet connection (International Telecommunication Union, 2020)
  • 26% – the Americas’ urban households with no internet connection (International Telecommunication Union, 2020)
  • 50% – the Americas’ rural households with no internet connection (International Telecommunication Union, 2020)
  • 13% – developed countries urban households with no internet connection (International Telecommunication Union, 2020)
  • 19% – developed countries rural households with no internet connection (International Telecommunication Union, 2020)
  • 35% – developing countries urban households with no internet connection (International Telecommunication Union, 2020)
  • 62% – developing countries rural households with no internet connection (International Telecommunication Union, 2020)
  • 75% – least developed countries urban households with no internet connection (International Telecommunication Union, 2020)
  • 90% – least developed countries rural households with no internet connection (International Telecommunication Union, 2020)
  • 54% – landlocked developing countries urban households with no internet connection (International Telecommunication Union, 2020)
  • 86% – landlocked developing countries rural households with no internet connection (International Telecommunication Union, 2020)
  • 21–162 million – number of Americans who don’t have access to the internet. (Pew Charitable Trusts, 2020)
  • According to World Economic Forum, 14% of the US population remains disconnected from the internet. (World Economic Forum, 2020)
  • The average American had personal information stolen at least 4 times in 2019. (Interest.com, 2020)

Meanwhile, IoT devices face their own security issues. The following are the highlight findings:

Broken down, these IoT security threats come in the form of:

  • 41% – exploits in the form of:
    • 14% – network scan
    •   5% – remote code execution
    •   5% – command execution
    •   5% – buffer overflow
    •   5% – others
    •   4% – SQL injection
    •   3% – zero-day
  • 33% – malware in the form of:
    • 12% – worm
    •   8% – ransomware
    •   7% – backdoor trojan
    •   6% – botnet
  • 26% – user practice in the form of:
    • 13% – password
    •   8% – phishing
    •   5% – cryptojacking (Threatpost, 2020)

Among operating platforms, the threats to IoT devices increase the fewer system fixes and patches are available. For the desktop environments, the following shows their absence and degree of support:

  • 83% – no support, including:
    • 56% – Win7
    • 11% – WinXP
    •   7% – Embedded
    •   4% – Linux
    •   3% – Unix
    •   2% – Win (other)
  • 17% – active support, including:
    • 11% – Win10
    •   2% – Embedded
    •   2% – Linux
    •   2% – Win8.1 (Threatpost, 2020)

According to a study by  GSMA Intelligence, the top challenges around IoT enterprise integration include:

  • 53% – integrating with existing technology (GSMA Intelligence, 2020)
  • 50% – security and data privacy concerns (GSMA Intelligence, 2020)
  • 47% – cost of implementation (GSMA Intelligence, 2020)
  • 40% – employee/internal resistance (GSMA Intelligence, 2020)
  • 38% – lack of in-house skills (GSMA Intelligence, 2020)
  • 27% – unclear ROI (GSMA Intelligence, 2020)

While the application of IoT in the healthcare industry is well documented, it also faces challenges of its own. These are mainly in the following areas:

  • 89% – IoT-related security breach (Appinventiv, 2020)
  • 49% – malware (Appinventiv, 2020)
  • 39% – human error (Appinventiv, 2020)
  • 22% – DDos (Appinventiv, 2020)
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Top Challenges around IoT Enterprise Integration, 2020

Top Challenges around IoT Enterprise Integration, 2020
Integrating with existing technology: 53

Integrating with existing technology

%
Top Challenges around IoT Enterprise Integration, 2020
Security and data privacy concerns: 50

Security and data privacy concerns

%
Top Challenges around IoT Enterprise Integration, 2020
Cost of implementation: 47

Cost of implementation

%
Top Challenges around IoT Enterprise Integration, 2020
Employee/internal resistance: 40

Employee/internal resistance

%
Top Challenges around IoT Enterprise Integration, 2020
Lack of in-house skills: 38

Lack of in-house skills

%
Top Challenges around IoT Enterprise Integration, 2020
Unclear ROI: 27

Unclear ROI

%

Source: GSMA Intelligence, 2020

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IoT Benefits Statistics

Phones aren’t the only smart thing present these days. There are also smart homes, smart cities, smart cars, and others. IoT is such a big industry because of the wide application it has. The convenience it brings and the lives it saves are just a few of its benefits. So needless to say, IoT market size is varied, enormous, and steadily growing. Here’s a list of statistics showing a few of the benefits brought by this technology.

  • 83% of organizations that have introduced IoT technology have improved their efficiency as a result. (Impact, 2020)
  • 49% – the share of decision-makers who view IoT as transformational to their companies and industry. (GSMA Intelligence, 2020)
  • 39% – the share of decision-makers who see IoT as transformational to their companies and industry, but the technology is not there yet. (GSMA Intelligence, 2020)
  • 10% – the share of decision-makers who think IoT will improve but not transform their company and industry. (GSMA Intelligence, 2020)
  • 36% of companies are considering new business directions as a result of their IoT initiatives. (Impact, 2020)
  • 40% of consumers do not care whether a chatbot or a real human is on the other line as long as they are getting the help they need. (Impact, 2020)
  • An estimated 43% of businesses that implement IoT policies into their organizations experience increased business agility by improving the way operational processes are conducted. (Impact, 2020)
  • 35% – estimated energy savings from a smart lighting system that implements an adaptive behavior as opposed to a rigid, predefined behavior. (Escolar, et. al)
  • $37 million – yearly savings of the city of Barcelona thanks to smart lighting. Not to mention the 47,000 new job opportunities it opened. (Data-Smart City Solutions)
  • 80% of retailers will use IoT to customize store visits by 2021. (SaS)
  • 66% of cities in the US are making investments in smart city IoT technology. This includes intelligent traffic signals, smart meters, and Wi-Fi kiosks. (TechRepublic)
  • 50% – the estimated waiting time reduction through the use of IoT in the healthcare industry. (Appinventiv, 2020)
  • 57% – estimated increase in workforce productivity in the healthcare industry brought about by IoT. (Appinventiv, 2020)
  • 57% – estimated business cost saving by the healthcare industry through IoT. (Appinventiv, 2020)
  • 36% – estimated new business models created by the healthcare industry brought about by IoT. (Appinventiv, 2020)
  • 27% – improved healthcare industry collaborations among colleagues and patients because of IoT. (Appinventiv, 2020)
  • 10% – increase in road traffic capacity with smart parking. (Visual Capitalist, 2020)
  • 30% – decrease in passenger waiting time with connected public transport. (Visual Capitalist, 2020)

Estimated IoT-related benefits to public safety and crime levels due to IoT enabled processes like predictive policing, real-time crime mapping, and gunshot detection:

  • 8–10% – reduction in crime incidents. (Visual Capitalist, 2020)
  • 30–40% – reduction in emergency response time. (Visual Capitalist, 2020)
  • 8–10% – reduction in fatalities. (Visual Capitalist, 2020)
  • 10–15% – improvement on emergency service arrival time. (Visual Capitalist, 2020)
  • 10% – decrease in street crime with IoT street crimes monitoring of public safety. (Visual Capitalist, 2020)
  • Using a range of technological applications, smart cities can cut emissions, reduce waste, and save up to 80 liters of water per person per day. (Visual Capitalist, 2020)
  • 10–15% – reduction in gas emissions due to IoT application. (Visual Capitalist, 2020)
  • 20–30% – reduction in water consumption through the use of IoT. (Visual Capitalist, 2020)
  • 10–20% – reduction in unrecycled waste due to IoT implementation. (Visual Capitalist, 2020)
  • 3–15% – reduction of the negative health effects of poor air quality. (Visual Capitalist, 2020)
  • 30% – reduction in street lighting costs by using smart lights. (Visual Capitalist, 2020)
  • 20% – reduction of waste collection costs with smart waste systems. (Visual Capitalist, 2020)

IoT business benefits

IoT Spending Statistics

At this point, we’ve shared enough IoT reports, and we couldn’t stress enough how big a market this is. In this light, spending a huge amount on this industry isn’t a surprising action at all. Government agencies, private companies, and huge corporations all agree to this as well. To illustrate, the next set of statistics shows just that.

  • $742 billion – global technology spending on IoT in 2020.
  • The figure represents a YoY growth rate of 8.2%, down from the original 14.91% growth forecast in 2019. (Help Net Security, 2020)
  • In 2021, the global IoT spending is forecast to return to double-digit growth, for a CAGR of 11.3%. (Help Net Security, 2020)
  • Personal and consumer services—which includes hotels, theme parks, casinos, and movie theaters—is the only industry with a decline in IoT spending in 2020, down 0.1% from 2019. (Help Net Security, 2020)
  • 4.3% – growth rate in IoT spending in the discrete manufacturing industry in 2020. (Help Net Security, 2020)
  • 5.0% – growth rate in IoT spending in the oil and gas industry in 2020. (Help Net Security, 2020)
  • 5.7% – growth rate in IoT spending in the transportation industry in 2020. (Help Net Security, 2020)
  • 11.9% – growth rate in IoT spending in the education industry in 2020. (Help Net Security, 2020)
  • 12.3% – growth rate in IoT spending in the insurance industry in 2020. (Help Net Security, 2020)
  • 14.5% – growth rate in IoT spending in the healthcare industry in 2020. (Help Net Security, 2020)
  • Smart home spending in IoT grew at 14.4% year over year in 2020. (Help Net Security, 2020)
  • IoT software remains the fastest growing technology category in terms of spending, with a five-year CAGR of 13.5% and a focus on application and analytics software purchases. (Help Net Security, 2020)
  • China, the US, and Western Europe account for around three-quarters of all IoT spending in 2020. (Help Net Security, 2020)
  • Of the three, China grew at a faster rate than the other two regions, 13.4% versus 9% (US) and 11.4% (Western Europe). (Help Net Security, 2020)
  • The fastest IoT spending growth in 2020 came from the Middle East and Africa (19% CAGR), Central and Eastern Europe (17.6% CAGR), and Latin America (15.8% CAGR). (Help Net Security, 2020)

Source: Help Net Security, 2020

Internet of Things is Inevitable

Whether we are ready or not, IoT is definitely finding its way into our lives. The presented IoT market research reflects this. With billions of dollars being spent on it, there is no telling where the future would lead.

It’s not a bad thing, however, because this innovative technology can bring a lot of positive changes. For us personally, it could provide a lot of conveniences.

For businesses, IoT, together with CRM can influence customer engagement. Healthcare could save more lives, and more smart cities can be developed further. These examples aren’t even scratching the surface of what the Internet of Things can do. For better or worse, it’s capable of a lot more.

 

References:

  1. GSMA Intelligence. (2020, December). Global mobile trends 2021: Navigating Covid-19 and beyond. GSMA Intelligence.
  2. IDC. (2020, June 18). Worldwide spending on the Internet of things will slow in 2020 then return to double-digit growth, according to a new IDC spending guide. IDC.
  3. Wagner, I. (2020, September 15). Connected cars worldwide – statistics & facts. Statista.
  4. Global Market Insights. (2020, September 30). Fleet management market size statistics – Global growth report 2026. Global Market Insights.
  5. Petrov, C. (2021, March 31). 47 Internet of things statistics to show how big it is in 2021. TechJury.
  6. Telugunta, R., & Choudhary, S. (2020, June). Internet of things (IOT) in healthcare market size, and growth 2027. Allied Market Research.
  7. Verified Market Research. (2021, January 26). IoT in education market size 2021 growth, analysis, vendors. openPR.
  8. Browning, J. (2020, October 5). 5 benefits of the Internet of things for SMBs. Impact.
  9. Lueth, K. L. (2020, November 19). State of the IoT 2020: 12 billion IoT connections. IoT Analytics.
  10. Jones, K. (2020, February 25). How the Internet of things is building smart cities. Visual Capitalist.
  11. ABI Research. (2020, November 17). By 2026, cellular IoT devices will hit a global total of 5.7 billion, creating a connectivity conundrum for carriers. Cision.
  12. ABI Research. (2021, January 27). Increasing need for device management security pushes IoT security services to US$16.8 billion by 2026. Cision.
  13. Insight Partners. (2020, August). Smart clothing market to grow at a CAGR of 24.4% to reach US$ 6,418.08 million from 2020 to 2027. The Insight Partners.
  14. Research and Markets. (2020, August 17). Global connected car market (2020 to 2025) – Emergence of various technologies such as 5G and AI present opportunities. Cision.
  15. Ghoshal, A. (2018, February 12). Google merges smart home unit nest with its hardware team in bid to outgun Alexa. TechCircle.
  16. Lacy, L. (2018, February 27). Amazon buys video doorbell startup ring. Adweek.
  17. Matsumoto, C. (2016, July 19). SoftBank offers $32B for ARM as merger season continues. SDxCentral.
  18. Hardesty, L. (2016, February 4). Cisco buys IoT startup for $1.4B. SDxCentral.
  19. O’Donnell, L. (2016, November 14). Samsung revs up efforts in connected car space with $8B deal for Harman. CRN.
  20. FleetOwner. (2016, August 2). Verizon to acquire Fleetmatics. FleetOwner.
  21. International Telecommunication Union. (2020). Measuring digital development: Facts and figures 2020. International Telecommunication Union.
  22. de Wit, K. (2020, May 29). Who’s not online in America today? Pew Charitable Trusts.
  23. Ang, C. (2020, August 17). These are the countries where internet access is lowest. World Economic Forum.
  24. Klein, J. (2020, May 19). The average American had personal information stolen at least 4 times in 2019. Interest.com.
  25. O’Donnell, L. (2020, March 11). More than half of IoT devices vulnerable to severe attacks. Threatpost.
  26. Srivastava, S. (2020, September 8). Understanding the impact of IoT in healthcare. Appinventiv.
  27. Escolar, S., Carretero, J., Marinescu, M., & Chessa, S. (2013). Estimating energy savings in smart street lighting by using an adaptive control system. International Journal of Distributed Sensor Networks10(5), 971587.
  28. Adler, L. (2016, February 18). How smart city Barcelona brought the Internet of things to life. Data-Smart City Solutions.
  29. Newman, D. (n.d.). The connected consumer: IoT’s impact on the future of retail. SAS.
  30. Maddox, T. (2017, November 6). 66% of US cities are investing in smart city technology. TechRepublic.
  31. Help Net Security. (2020, June 18). Global IoT spending dropping significantly in 2020, but expected to rebound in 2021. Help Net Security.
Allan Jay

By Allan Jay

Allan Jay is FinancesOnline’s resident B2B expert with over a decade of experience in the SaaS space. He has worked with vendors primarily as a consultant in the UX analysis and design stages, lending to his reviews a strong user-centric angle. A management professional by training, he adds the business perspective to software development. He likes validating a product against workflows and business goals, two metrics, he believes, by which software is ultimately measured.

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