Gartner Says 8.4 Billion Connected "Things" Will Be in Use in 2017
February 09, 2017
Share this

Gartner, Inc. forecasts that 8.4 billion connected things will be in use worldwide in 2017, up 31 percent from 2016, and will reach 20.4 billion by 2020. Total spending on endpoints and services will reach almost $2 trillion in 2017.

Regionally, Greater China, North America and Western Europe are driving the use of connected things and the three regions together will represent 67 percent of the overall Internet of Things (IoT) installed base in 2017.

The consumer segment is the largest user of connected things with 5.2 billion units in 2017, which represents 63 percent of the overall number of applications in use.

Businesses are on pace to employ 3.1 billion connected things in 2017.

"Aside from automotive systems, the applications that will be most in use by consumers will be smart TVs and digital set-top boxes, while smart electric meters and commercial security cameras will be most in use by businesses," said Peter Middleton, Research Director at Gartner.

In addition to smart meters, applications tailored to specific industry verticals (including manufacturing field devices, process sensors for electrical generating plants and real-time location devices for healthcare) will drive the use of connected things among businesses through 2017, with 1.6 billion units deployed.

However, from 2018 onwards, cross-industry devices, such as those targeted at smart buildings (including LED lighting, HVAC and physical security systems) will take the lead as connectivity is driven into higher-volume, lower cost devices. In 2020, cross-industry devices will reach 4.4 billion units, while vertical-specific devices will amount to 3.2 billion units.

While consumers purchase more devices, businesses spend more. In 2017, in terms of hardware spending, the use of connected things among businesses will drive $964 billion. Consumer applications will amount to $725 billion in 2017. By 2020, hardware spending from both segments will reach almost $3 trillion.

"IoT services are central to the rise in IoT devices," said Denise Rueb, Research Director at Gartner. Total IoT services spending (professional, consumer and connectivity services) is on pace to reach $273 billion in 2017.

"Services are dominated by the professional IoT-operational technology category in which providers assist businesses in designing, implementing and operating IoT systems," added Rueb. "However, connectivity services and consumer services will grow at a faster pace. Consumer IoT services are newer and growing off a small base. Similarly, connectivity services are growing robustly as costs drop, and new applications emerge."

Share this

The Latest

July 17, 2019

The 11th anniversary of the Apple App Store frames a momentous time period in how we interact with each other and the services upon which we have come to rely. Even so, we continue to have our in-app mobile experiences marred by poor performance and instability. Apple has done little to help, and other tools provide little to no visibility and benchmarks on which to prioritize our efforts outside of crashes ...

July 16, 2019

Confidence in artificial intelligence (AI) and its ability to enhance network operations is high, but only if the issue of bias is tackled. Service providers (68%) are most concerned about the bias impact of "bad or incomplete data sets," since effective AI requires clean, high quality, unbiased data, according to a new survey of communication service providers ...

July 15, 2019

Every internet connected network needs a visibility platform for traffic monitoring, information security and infrastructure security. To accomplish this, most enterprise networks utilize from four to seven specialized tools on network links in order to monitor, capture and analyze traffic. Connecting tools to live links with TAPs allow network managers to safely see, analyze and protect traffic without compromising network reliability. However, like most networking equipment it's critical that installation and configuration are done properly ...

July 11, 2019

The Democratic presidential debates are likely to have many people switching back-and-forth between live streams over the coming months. This is going to be especially true in the days before and after each debate, which will mean many office networks are likely to see a greater share of their total capacity going to streaming news services than ever before ...

July 10, 2019

Monitoring of heating, ventilation and air conditioning (HVAC) infrastructures has become a key concern over the last several years. Modern versions of these systems need continual monitoring to stay energy efficient and deliver satisfactory comfort to building occupants. This is because there are a large number of environmental sensors and motorized control systems within HVAC systems. Proper monitoring helps maintain a consistent temperature to reduce energy and maintenance costs for this type of infrastructure ...

July 09, 2019

Shoppers won’t wait for retailers, according to a new research report titled, 2019 Retailer Website Performance Evaluation: Are Retail Websites Meeting Shopper Expectations? from Yottaa ...

June 27, 2019

Customer satisfaction and retention were the top concerns for a majority (58%) of IT leaders when suffering downtime or outages, according to a survey of top IT leaders conducted by AIOps Exchange. The effect of service interruptions on customers outweighed other concerns such as loss of revenue, brand reputation, negative press coverage, or the impact on IT Ops teams.

June 26, 2019

It is inevitable that employee productivity and the quality of customer experiences suffer as a consequence of the poor performance of O365. The quick detection and rapid resolution of problems associated with O365 are top of mind for any organization to keep its business humming ...

June 25, 2019

Employees at British businesses rate computer downtime as the most significant irritant at their current workplace (41 percent) when asked to pick their top three ...

June 24, 2019

The modern enterprise network is an entirely different beast today than the network environments IT and ops teams were tasked with managing just a few years ago. With the rise of SaaS, widespread cloud migration across industries and the trend of enterprise decentralization all playing a part, the challenges IT faces in adapting their management and monitoring techniques continue to mount ...