The Internet of Things:

a movement, not a market

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The Internet of Things:
revolutionizing the competitive landscape
IoT is more than just the latest buzzword about the future of business and technology.
IoT is transforming everyday business practices and opening new windows of opportunity.
IoT is here, and the future is happening now.

Did you know? Global data transmissions

are expected to increase
The number of connected IoT from 20-25% annually to
devices worldwide will jump 50% per year, on
12% on average annually, from average, in the
nearly 27 billion in 2017 to
next 15 years.
125 billion in 2030.

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IoT: a movement, not a market
Despite the revolutionary potential of IoT, many companies have trouble
identifying a consistent IoT strategy. The reason IoT can often seem like an
elusive concept is rooted in a simple yet often overlooked fact:

IoT is a movement,
not a market.
IoT is a process,
not a product.

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The future is now: why IoT matters
IoT is here and growing exponentially.
IoT represents a constantly evolving movement of profound change in how humans interact with machines,
information, and even each other. The emerging IoT movement is impacting virtually all stages of industry and
nearly all market areas—from raw materials to production to distribution and even the consumption of final goods.

>27 billion
connected IoT
Medical Commercial & Automotive &
devices in 2017 Consumer Communications Computer
337 million devices industrial electronics Transportation 5.2 billion devices 14.6 billion devices 1.7 billion devices
20.8% CAGR 2013-30 4.3 billion devices 789 million devices 13.8% CAGR 2013-30 7.8% CAGR 2013-30 -2% CAGR 2013-30
24.3% CAGR 2013-30 21.4% CAGR 2013-30

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The future is now: why IoT matters (continued)
IHS Markit can help organizations develop strategies, discover new opportunities, and test IoT across
this dynamic movement.
Combining unmatched quantitative and qualitative IoT analysis and network testing with
primary research across the entire IoT value chain, IHS Markit helps companies develop current
and future strategies to uncover new growth opportunities across the converging IoT ecosystems.

822.6 million devices in 2017

19.61% CAGR 2016-2021
407.4 million devices in 2017
Connected &
Smart Home 13.96% CAGR 2016-2021
Smart Buildings Personal IoT

>450 million devices in 2017

>18% CAGR 2016-2021 Smart Cities
Smart
Agriculture

56.5 million devices in 2017

Smart Energy Connected Car
13.62% CAGR 2016-2021
Management

356.5 million devices in 2017 Industrial Commercial

23.24% CAGR 2016-2021 IoT Transport

Intelligent
Retail Medical IoT 103.4 million devices in 2017
15.33% CAGR 2016-2021

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The four foundational pillars of IoT
IHS Markit has identified four foundational, interconnected pillars at the core of the IoT movement:
connect, collect, compute, and create. The entire IoT is built upon these four innovational pillars.

‒‒ New Connections of devices ‒‒ Advanced Computation that transforms

and information collected data into new possibilities
‒‒ Enhanced Collection of data that grows ‒‒ Unique Creation of new interactions,
from the connections of devices and information business models, and solutions

13%
Platform (PaaS)
Lotion/Oil $10.7B
25%
Sweat Infrastructure (IaaS) Software (SaaS) 62% 2017
2021:
$48.2B $54.8B
20 billon
Connectivity IC
Shipments
23%

2020 43%
34%
Cellular Low Power Wireless ■ Google Assistant
WILAN & Bluetooth Classic Wired Condensation
2016 Global Revenue ■ Amazon Alexa
■ Other

New 5G & NB-IoT capabilities shift Emerging biometrics sensing Cloud & XaaS driving new business Artificial Intelligence drives Google
demand for celluar activity technologies provide more models and cost efficiencies dominance in digital assistant market
convenient and stronger security

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IoT insights for your business: The IHS Markit advantage
With insights and analysis available across eleven key research areas and even more adjacent markets, IHS Markit is uniquely
positioned to offer an unmatched horizontal and vertical view of the IoT movement within and across each of the four IoT pillars.
Helping shape both short- and long-term strategies, the insights and analysis that IHS Markit provides mirrors the very connect,
collect, compute, and create pillars of the IoT itself.

‒‒ We connect industries that are otherwise ‒‒ We compute the impact of these changes to
viewed in isolation create new and unmatched insights
‒‒ We collect more and better data ‒‒ We create insights that show unique value
opportunities for each vertical market

Automotive
Displays Enterprise & IT Healthcare Technology
Electronics

Manufacturing Mobile, Consumer

Media & Advertising Mobile & Telecom
Technology & Connected Devices

Power & Teardowns &

Security Technology Semiconductors
Energy Technology Cost Benchmarking

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IoT insights for your business: The IHS Markit advantage (continued)
The depth and breadth of IHS Markit primary research allows for unprecedented analysis of IoT.
Our information helps inform both short- and long-term organizational strategies. IHS Markit can help you:
‒‒ See how each individual IoT pillar is changing your market as ‒‒ Understand and anticipate market trends as connections,
well as related horizontal and vertical markets and industries collection methods, computations, and the creation
of new opportunities expand exponentially
‒‒ Identify new growth opportunities and find competitive
advantages across the IoT value chain ‒‒ Utilize IHS Markit’s industry leading primary research across the
entire IoT movement.

New opportunities for cellular IoT Smart Cities Projects by Type

11%
Massive IoT
24%
‒‒ Cheaper
‒‒ 10+ year battery life 26%

5G ‒‒ 100k devices/cell
‒‒ Deep coverage 10%

3%
Mission-Critical 26%

‒‒ Sub-1ms latency
Energy & resource efficiency Physical infrastructure Mobility & transport
‒‒ High reliability & availability Healthcare Governance Safety & security

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Learn more
IHS Markit Technology’s unique breadth and depth of industry research
across multiple key vertical markets and technologies offers the most
comprehensive insights and analysis of the IoT movement available.

Learn more about IHS Markit’s critical IoT insights and

visit our IoT feature page.

About IHS Markit

The Technology Group at IHS Markit is the leading source of information, insight and analytics in
critical areas that shape today’s technology ecosystem—from materials and components, to devices
and equipment, to end markets and consumers. Businesses and governments in more than 150
countries around the globe rely on the deep market insight and expert independent analysis of our
300+ industry analysts in technology sectors spanning IT, telecom, media, industrial, automotive,
electronics, solar and more.
Copyright © 2017 IHS Markit. All Rights Reserved

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