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Frost & Sullivan Predicts that Smart Cities will Drive Growth in the Asia-Pacific Internet of Things market by 2026

According to a recent Frost & Sullivan report, the Asia-Pacific Internet of Things (IoT) industry is being increasingly transformed by Mega Trends such as the integration of edge computing networks into IoT platforms and modern narrow-band (NB) IoT deployments. The buoyant APAC IoT market is expected to hit $436.77 billion in sales by 2026, up from $96.92 billion in 2020, at a compound annual growth rate (CAGR) of 28.52%, driven by increasing investments in 4G/LTE and 5G, lesser IoT sensor costs, and government funding.

China is the world leader in IoT investment, accounting for more than half of the APAC market, led by Japan and Australia. Government spending on smart cities accounts for about one-third of total spending in the region, followed by transportation and logistics and then manufacturing. The COVID-19 pandemic, on the other hand, has hampered customers' transformation journeys through many business verticals, causing delays in initiatives such as incorporating emerging technology such as artificial intelligence (AI), Blockchain, and cloud adoption.

Capitalize on the region's attractive IoT market by betting on the following growth opportunities:
  • Telecom Companies can Monetize IoT Deployments  Further: Vendors can expand their service portfolios to include other service management capabilities such as access management, data security, and data routing.
  • Multi-cloud is the Future of IoT: Cloud services can provide shared platforms that enable users to exchange expertise on a single platform. Vendors can go beyond providing cloud computation resources to deliver additional value-added offerings, such as automation capabilities that boost computation capacity.
  • Manufacturing and Smart City Initiatives: Vendors must have integrated IoT solutions while still developing horizontal capabilities. Emerging application areas of manufacturing include predictive maintenance, remote monitoring, and related operational intelligence. Smart lighting, monitoring and surveillance, and waste management are also essential components of smart cities.

Massive Trends in the  Asia-Pacific Internet-of-Things Market is the most recent addition to Frost & Sullivan's Information and Communication Technology research and analyses, which are available through the Frost & Sullivan Leadership Council and assist companies in identifying a constant flow of development prospects to flourish in an uncertain future.

About Frost & Sullivan
Frost & Sullivan has been world-renowned for its role in assisting analysts, corporate executives, and policymakers in managing economic changes and identifying emerging innovations, Mega Trends, innovative business models, and businesses to action, resulting in a steady flow of growth opportunities to fuel potential prosperity for over six decades.

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