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Most of the spending will be on hardware
Total worldwide spending on the Internet Of Things is expected to hit nearly 1.3 trillion US dollars by 2020. A forecast by International Data Corp, or IDC, has suggested that spending on the technology will increase at a rate of around 15% each year, with most of the costs going towards hardware. It was noted that spending in the hardware sector was likely to reach around 400 billion US dollars in the next three years. A statement from the IDC said that cross-industry investment, which represents systems such as “connected vehicles and smart buildings” would be one of the “top segments” of spending before 2020. Marcus Torchia, an IDC research manager, added that a “fairly close relationship” existed between “high-growth IoT use cases in consumer product and service industries” such as retail, and healthcare.
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