The exponential rate of growth in the Internet of Things (IoT) has of course led to more and more things, from wearable devices to factories, becoming embedded with technology. Consumers, as well as enterprises, are increasingly realizing the full potential of IoT, ultimately reducing cost and leveraging more robust data analytics.
Regardless of all the technological advances, end-users and businesses haven’t yet completely tapped into the vast possibilities of the IoT. One of the reasons for this is that today’s users lack the knowledge on how to collect and utilize data from the connected devices. Though it’s theoretically possible to collect and analyze more data than ever before, the actual implementation still lags behind.
There’s an ever-increasing need to think about the relationship between connected devices and the optimum utilization of data in various analytics use-cases. Companies that haven’t yet started leveraging the abundance of data are missing the IoT bus.
As per the estimations made by Grand View Research, the global IoT analytics/analytics of things market size is expected to reach USD 57.3 billion by 2025, following a CAGR of over 29% from 2017 to 2025. Increasing demand for cost-effectiveness and advanced technologies has boosted the adoption rate of analytics of things among enterprises. IoT analytics is helping enterprises and individuals gaining real-time insights, thereby optimizing the decision-making process.
The figure depicts the U.S. IoT analytics market size estimates and forecasts, broken down by various verticals including manufacturing, energy and utilities, retail and e-commerce, healthcare and life sciences, transportation and logistics, and others. Manufacturing is expected to be one of the most lucrative segments, while healthcare and life sciences will likely emerge as the fastest growing vertical over the forecast period.
A wide range of vertical markets contribute to the IoT analytics ecosystem. (Source: Grand View Research)