Posted by Frédéric Fassot | 25 Nov 2021 | – ECO -, 7/7, CONJUNCTURE, MARKET, TELECOMS

IoT Analytics has 613 IoT platform companies currently in operation. While their number has not increased over the past two years, the IoT platform market continues to concentrate, with the top 10 companies now controlling nearly two-thirds (65%) of the overall market, up from 58% in 2019 and 44% in 2016.

Two years ago, IoT Analytics identified 620 IoT platform companies (*) worldwide against 450 companies in 2017. The trend of more and more IoT platform companies in the market seems to have stopped and gone. now reverse, at least on the American continent and in Europe (EMEA zone). For the first time, more IoT platform companies have gone out of business than new ones have been created. As a result, the number of IoT platforms is consolidating and there are 613 IoT platform providers based on the latest research from IoT Analytics.

From 2015 to 2019, the number of IoT platforms had more than doubled from 260 to 620. However, since 2019, that number has decreased slightly to 613. Their may have stopped growing, but the size of the market has declined. still significantly increased. In 2020, $ 5 billion was spent on IoT platforms. The market is expected to reach $ 28 billion in 2026, an average annual growth rate of 33% between 2020 and 2026. Growth is fueled by the rapid adoption of cloud-based IoT platforms and the growing number of customers choosing to ” buy rather than develop their IoT platforms. Most IoT platforms offer application management / activation capabilities (58% of 613 IoT platforms). Data management is offered by 43% of all IoT platforms and 35% offer IoT device management. Fewer IoT platforms offer IoT telecommunications management capabilities (7%) or infrastructure / IaaS services (3%).

In the past two years, 188 IoT platform companies have gone out of business. Of the 620 IoT platform companies identified in 2019, the majority (426) are still alive and active in 2021. However, 188 of these companies are no longer considered IoT platform companies. In addition, 182 new IoT platform companies have emerged since 2019. The fact that 30% of all market players have dropped out and almost the same percentage have joined the market demonstrates that the market environment remains very dynamic.

Many platform companies have evolved their business models. Over the past two years, 30 platform companies have switched to an app or now offer a vertical solution instead of a horizontal IoT platform, and 10 now offer a security-oriented platform. Rather than choosing to compete with 620 other companies and invest millions of dollars in maintaining a highly modular and scalable software platform, these vendors have kept pace with the demand for specific, sometimes niche, applications that allow them to create competitive advantages in specific solutions.

The market is more concentrated around a few suppliers. The market for IoT platforms continues to concentrate, with the top 10 companies now controlling almost two-thirds (65%) of the overall market, up from 58% in 2019 and 44% in 2016. Microsoft, Amazon AWS and, in one to a lesser extent, Google Cloud, Alibaba and a few others have become market leaders with growth rates of over 50% per year. Notably AWS and Microsoft continue to add new capabilities to their growing portfolios of IoT platform services.

The number of IoT platforms in Asia Pacific and China is increasing. In June 2021, the Chinese government announced its objective of 3 to 5 industrial IoT (IIoT) platforms of international influence “made in China” by 2023. The number of suppliers in Asia-Pacific (and in particular from China ) has grown from 16% in 2019 to 22% in 2021. Shenzhen and Beijing are now among the top five cities for the headquarters of IoT platform companies. While most IoT platform companies are still headquartered in North America (44%), their share has shrunk by six points over the past two years. Tuya, Alibaba Cloud, Baidu IoT Core, and Huawei Connection Management Platform are examples of the 66 Chinese IoT platform companies identified by IoT Analytics.

(*) An IoT platform is a specialized software tool used to create and manage IoT solutions. IoT Analytics classifies five different types of platforms: Application Activation / Management, IoT Device Management, Data Management, Connectivity / Telecom Management, and IoT-based Infrastructure as a Service (IaaS). This latest research publication details the competitive landscape of IoT platform companies, ranks the technological capabilities of each IoT platform, identifies the key segments targeted by each platform, and ranks the top platforms based on revenue and market share.

Ref: https://vipress.net