IoT related services revenue will total $96 billion by 2023

A compound annual growth rate would rise of 22.4% between 2018 and 2023

IoT related services

IoT related services revenue will total $96 billion by 2023. Source: shutterstock.com

According to the Global Data, the marketplace for the Internet of Things (IoT) related services, is expected to boost by $96.3 billion in sales by 2023. The research reveals that software and services will dominate the Asia-Pacific (APAC) IoT market. However, growth from connectivity and devices will speed up with the launch of more cellular-based IoT networks supported by 5G.

In the IoT marketplace, connectivity is generally seen as the lowest spot in the value chain, followed by devices. The highest value IoT services come from providing software platforms and applications for IoT management and operations. While telecoms operators are well positioned to supply connectivity, many want to move up the value chain to offer higher value services like IoT management platforms
Malcolm Rogers, Senior Technology Analyst at GlobalData

Smart cities and industry 4.0 initiatives from vertical industries like manufacturing, utilities, and energy will be the key drivers of the growth.

Governments, along with these industries, are also expected to spend a lot on IoT services over 5 years.

Operators in APAC are moving towards simple IoT connectivity to provide end-to-end IoT platforms, to grow their revenue.

Telcos in APAC most commonly start providing simple IoT connectivity platforms. They offer onboarding tools, billing and usage monitoring, and controls and basic network security.

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