- IoT sensors will become ubiquitous, but the market will be dominated by residential and commercial building automation and the "Industrial Internet." In 2018, NanoMarkets says that these applications will account for more than 90 percent of the market. NanoMarkets sees especially rapid growth in sensors for the Industrial Internet which will help control industrial processes and smart objects in industrial environments. But some of the most hyped applications – gaming and healthcare, in particular – have limited growth and market size potential. For example, annual healthcare expenditures on IoT sensors will not grow beyond $400 million during the coming decade.
- NanoMarkets believes that a major opportunity exists to create cost-effective means of bringing legacy sensor networks online with a major opportunity for wireless sensor hubs which will generate revenues of $1.24 billion by 2018. Commercially successful hubs will also need to be IPv6 Internet gateways, since few sensor devices directly support Internet protocols as yet. Even when sensor devices begin to include security, context, localization and data context functions, it will be some time before they become affordable for IoT applications.
- Automation of both commercial and residential building is where the largest revenues for IoT sensors will be generated, with commercial building automation accounting for $7.9 billion in revenues in 2018. Energy control is the "killer app" here; just 1% savings in commercial building energy costs worldwide would amount to some US $62bn in savings through 2020. Building automation markets – especially the residential segment – need plug-and-play, convenience (on par with entertainment experiences) and the ability to use smartphones as controllers.
NanoMarkets Issues New Report Covering Market For Sensors For The Internet-of-Things
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