The overall mobility industry to add US$40 billion revenue every year
The mobility market is of both hardware and software. The hardware industry consisting of notebook/laptop and smart Phones are not seeming to have high growth and in fact desktop market is going down. But if you look at the total mobility market, the things are very optimistic, as per the latest IDC analysis.
The total mobility revenues are forecasted to grow from US$ 1.5 Trillion by 2016 to more than US$ 1.7 trillion by 2020, as per latest findings by IDC. While growing at CAGR of 2.2 % this basically gives US$40 billion annual revenue gains to overall industry. If you look at the domains where the revenue growth is happening, itís not really in the hardware, it is basically from the services and the software. Software revenues are expected to grow double digit over the forecast period as per the IDC. The strongest growing area in the software is in the mobile application development platform and also mobile applications for enterprise usage.
"Despite the belief that the mobility market is maturing, there is still plenty of opportunity to drive enterprise spend especially at the software layer," said Carrie MacGillivray, vice president, Mobility & Internet of Things. "By 2020, the software market will increase spend by 15%, driven by mobile application development and mobile security capabilities."
The consumers are spending money continuously on mobility. The new trend is business establishments are showing interests in mobility market. If you look at who leads in the industry by investment, the banking sector is taking the lead whose investment in the mobility is to forecast to surpass US$100 billion by 2020 according to IDC. The other areas where IDC suggests higher investments is in the areas of Discrete manufacturing, professional services, and retail. The fastest revenue growth areas over the 2015-2020 forecast period as per IDC are healthcare (5.1% CAGR), followed by telecommunications, professional services, and utilities.
"Worldwide, the healthcare provider industry is expected to have the fastest growth in mobility spending over the life of the forecast," said Jessica Goepfert, program director, Customer Insights and Analysis. "Within the U.S., however, while the healthcare provider industry is still expected to be among the top 5 growth areas for mobility, spending is starting to temper. Rather, we see good activity in the securities and investment services industry, where mobility projects are focused on enabling more productive and meaningful ways to engage with clients. Mobile technologies and solutions offer advisors the ability to access content that they can share with clients anywhere and anytime."
IDC sees startups and small businesses have significant roles in this revenue generation. Small offices employing less than 10 employees are using mobility for enhancement of productivity where mobility solution cost lesser than traditional IT solutions.
If you look at geographical analysis of this data, Asia/Pacific (excluding Japan) led by strong investments in China, then followed by US. China is expected to see largest overall mobility market in terms of revenues forecast to exceed $500 billion in 2020 according to IDC. The other regions of interesting growth include Middle East and Africa (MEA).