The "Internet of Things" sector is likely to grow from $4.11 billion in 2015 to $13.49 billion by 2020, at a compound annual growth rate of 26.9%, an Irish technology research company estimates.
The new report by Research in Market notes that the need for operational efficiency has increased the utilization of sensors through enhanced automation and integrated technology solutions across the manufacturing process.
This, in turn, has increased the demand for IoT solutions for various manufacturing applications. Other driving forces include reducing hardware and connectivity cost, and increasing penetration of connected devices.
IoT in manufacturing software market provides real-time monitoring, security and analytics to enhance the operational effectiveness.
Data management holds the largest share of IoT in manufacturing software market in 2015 and is projected to dominate the market during the forecast period.
This growth will be fueled by massive heterogeneous data extracted from different connected devices. Network and application security is expected to grow at the highest CAGR during the forecast period due to rising cyber threats and attacks on the IoT infrastructure.
Radio Frequency Identification dominates connectivity technology in the IoT in the manufacturing market. This growth is driven by the declining cost of connectivity devices and hardware across North America, Europe and Asia-Pacific regions. Near Field Communication is one of the latest short-range wireless technologies and is expected to witness the highest growth due to its compatibility with contactless infrastructure and other devices.
North America is projected to dominate the IoT in manufacturing market during the forecast period due to technological advancements and early adoption of IoT.
APAC market is expected to grow at the highest CAGR during 2015-20. The primary driving forces for this growth are increasing technological adoption and huge opportunities in the manufacturing countries, especially China and Japan.
