Global IoT Software Market was valued US$ 1.5 Bn in 2017, and expected to reach US$ 7.9 Bn in 2016, at CAGR 23.8% during forecast period.
Global IoT Software Market
Global IoT Software Market is segmented into type, application, and geography. On the basis of type, market is segmented into Real-time Streaming, Analytics Software, Security Solution Software, Data Management Software, Remote Monitoring System Software, and Network Bandwidth Management Software.
According to application, market is divided into Building and Home Automation, Manufacturing, Retail, Transportation, Others. Geographically market is spread by North America, Asia Pacific, Europe, Latin America, and Middle East & Africa.
Hardware decisions and devices impact the software usage in IoT, making software one of the most important component while managing IoT ecosystem. Software remains the key factor while managing IoT devices through platforms, analytics and security among others.
The Internet of Things (IoT) is essentially a system of machines or objects outfitted with data-collecting technologies so that those objects can communicate with one another.
Software became an important segment for the whole IoT industry after hardware and services with the security spending crossing the USD 1.5 billion in 2017 itself. From 2018 to 2020, the market for software will grow at a huge rate with double digit compounded annual growth rate as a result of growing government intervention, and technological evolution in the business and consumer sector being the main contributing factors.
Software testing divisions in IoT sector are facing ever growing challenge of software and hardware interaction with inability of transmitting huge amount of real time data. The variety of real-time scenarios with heterogeneous sensors and protocol makes testing extremely complex.
Organizations who want to stay ahead of the competition when it comes to the quality of their IoT experience need to consider the right mix of manual and automation testing. Enabling the storage, processing, data collection, manipulating and instructing are all functions of the software segment.
North America and Europe with countries like US, Germany and UK have been a few regions to initially embark on the IoT and cloud based paradigm for business and consumer sector. The security concerns related to the IoT devices that enable easy communication through artificial intelligence have eventually led to the higher application security software through cloud, endpoint, networking and application types.
European Union alone have invested more than 50 million USD on transformation of the security sector which is likely to cross USD 70 million by 2020.