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The Global Market for the Internet of Things (IoT) in Buildings

Jan. 7, 2015
The global market for the Internet of Things in Buildings, which was approximately $23 billion in 2014, will exceed $85 billion by 2020.
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The global market for the Internet of Things in Buildings (BIoT), which was approximately $23 billion in 2014, will exceed $85 billion by 2020, London-based market-research consultancy Memoori predicts in a new report.

The networking-and-related-services segment of the market is expected to show a steady compound annual growth rate of 22.6 percent, rising to approximately $32 billion, which will represent 37 percent of overall revenues, by 2020. Effective network deployment to keep up with the rising bandwidth demands of the BIoT will be crucial to the efficient delivery of services and the management of data flows, Memoori says.

The overall market for systems in buildings, which was approximately $111 billion in 2014, is expected to grow to $181 billion by 2020, led by the physical-security, lighting-control, and fire-detection-and-safety segments.

“The value in the Internet of Things is as much in the data as the device,” Memoori says. “Collecting data from more building services and equipment will provide a much more granular view of exactly how each building is performing. Building-equipment manufacturers and providers must start selling systems that collect, store, and analyze data in the cloud so they can use it to provide better operational efficiency for their clients.”

For more information about the report—“The Internet of Things in Smart Buildings 2014 to 2020”—go to http://bit.ly/Memoori_BIoT.

About the Author

Scott Arnold | Executive Editor

Described by a colleague as "a cyborg ... requir(ing) virtually no sleep, no time off, and bland nourishment that can be consumed while at his desk" who was sent "back from the future not to terminate anyone, but with the prime directive 'to edit dry technical copy' in order to save the world at a later date," Scott Arnold joined the editorial staff of HPAC Engineering in 1999. Prior to that, he worked as an editor for daily newspapers and a specialty-publications company. He has a bachelor's degree in journalism from Kent State University.