- North America is projected to be the IoT platform’s largest market and is expected to remain dominant over the forecast period
- The smart cities and homes segment is projected to report the highest CAGR over the forecast period
The global IoT platform market is expected to reach $13.310 billion by the end of 2026 as per a report by Valuates Reports. It also said that its market size was $2.260 billion in 2019 and it will grow at a compound annual growth rate of 28.5 per cent in 2021-2026.
An IoT platform operates on a multi-layer infrastructure that handles, stores, and transfers the information via the Internet to and from connected devices. They are flexible, cross-device compliant, and come with ready-to-use features to boost the growth of connected device applications.
The report added, “The factors that drive the IoT platform market size are the flexible scaling of data storage in the cloud. Because of the growing number of connected devices in an IoT environment, large amounts of data can be stored, downloaded, uploaded. Therefore, businesses can enhance their ability to handle IoT data resources in terms of knowledge, speed, and agility by leveraging the IoT Platforms.”
IoT-enabled software applications with cloud-based data storage
As per the report, the application enabling framework helps the users to quickly incorporate IoT applications and services without posing any challenges to network connectivity. It helps businesses to achieve value in less time from IoT investments. This is due because the platform reduces technical issues. The report added that the need to reduce the cost and complexity that developers may experience when developing IoT-enabled software applications with cloud-based data storage will be a crucial factor to push the IoT platform market size.
The report added, “Large companies have good budget capabilities and are investing heavily in the implementation of the IoT cloud platform and related services to efficiently control their subscription base. Growth in the big business segments is largely governed by the increasing number of IoT devices installed across large enterprises. These factors are expected to increase the growth of the IoT platform market size.”
The increasing demand for public cloud investments across various developed economies like U.S., China, U.K., Australia, and Canada is also expected to boost the demand for public cloud deployment mode on the market’s IoT cloud platform. The report said that North America is the largest investor in public cloud services that helps organisations to adopt the North American companies’ public cloud deployment model.
North America to lead
North America is projected to be the IoT platform’s largest market and is expected to remain dominant over the forecast period. The report said that in the end-user segment, manufacturing has accounted for the largest market share in 2017. The smart cities and homes segment is projected to report the highest CAGR over the forecast period.
Some factors for this growth include advancements in wireless communication technology and increased efforts by manufacturers, facilities managers, and governments to make consumers aware of the long-term benefits of implementing a home automation system. The growing number of smart city initiatives pushes IoT cloud platform adoption in the field of building and home automation.