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IoT Reality: Market Value less than $0.5T Globally by 2025BOSTON, April 5, 2017 /PRNewswire/ -- IoT undoubtedly offers significant cost savings, improved efficiency, reduced downtime, enhanced supply chain and new business opportunities. However, the market value for IoT solutions has been dramatically inflated. Strategy Analytics latest report "Global IoT: A Billion not Trillion Dollar Opportunity" concludes that IoT deployments remain limited and largely in trial or development phases.
Strategy Analytics interviewed IT decision makers across 9 vertical markets in the U.S., UK, France, and Germany in January 2017. Key findings include:
Harvey Cohen, President of Strategy Analytics, commented, "Estimates that put the IoT market value at $3T or more have a credibility problem. Can IoT really be bigger than the entire IT industry? The economic value potential of IoT is indeed huge, but the opportunity for suppliers of products and services is likely to be measured in $US Billions not Trillions. Nevertheless, the opportunity for professional services is attractive for firms who are seeing enterprise software sales stagnating." David Kerr, a VP at Strategy Analytics, noted, "Claims that the IoT market has progressed from experimental to mainstream are just not supported by Strategy Analytics voice of the buyer data yet. IoT must compete for a share of the total IT budget; businesses and public entities move slowly and are not easily convinced by vague claims of future economic benefit." The analysis also concludes that many roadblocks to IoT remain including security, integration with legacy systems, proliferation of standards, privacy concerns, compliance issues, and the skill sets needed to extract value from the huge volume of data produced. Andrew Brown, Executive Director of IoT summarized, "No one vendor or supplier has all the skills needed to deliver, support, and maintain highly complex IoT solutions. Partnerships and alliances will be critical. While the opening moves have been taken we are still early in the dance. None of the barriers are insurmountable with the right partnerships, the appropriate understanding of business motivations and requirements, and an ability to provide consistent support across hardware, software and services." About Strategy Analytics Strategy Analytics, Inc. provides the competitive edge with advisory services, consulting and actionable market intelligence for emerging technology, mobile and wireless, digital consumer and automotive electronics companies. With offices in North America, Europe and Asia, Strategy Analytics delivers insights for enterprise success.
To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/iot-reality-market-value-less-than-05t-globally-by-2025-300435200.html SOURCE Strategy Analytics |