IC Insights has scaled back its forecast of chip sales for the Internet of Things (ioT) in 2020 by about $920 million, mostly because of lower revenue projections for connected cities applications such as smart electric meters and government spending on infrastructure.
That's not to say there's slump. The updated forecast still shows total 2017 sales of IoT semiconductors rising about 16.2% to $21.3 billion (with final revenues in 2016 being slightly lowered to $18.3 billion from the previous estimate of $18.4 billion), but the overall growth is 1% a year slower.
Total semiconductor sales for IoT system functions are now expected to reach $31.1 billion in 2020 (Figure 1) versus the previous projection of $32.0 billion in the final year of the forecast.
The forecast shows growth of around 9% for connected cities until 2020, compared to the IoT semiconductor market for wearable systems which is expected to show a CAGR of 17.1% (versus 18.8% in the previous projection).
The forecast shows growth of around 9% for connected cities until 2020, compared to the IoT semiconductor market for wearable systems which is expected to show a CAGR of 17.1% (versus 18.8% in the previous projection).
The lower growth projection in chip sales for connected cities systems is a result of anticipated belt tightening in government spending around the world and the slowing of smart meter installations now that the initial wave of deployments has ended in many countries. Slower growth in semiconductor sales for wearable systems is primarily related to smartwatch shipments through 2020.
Report Details are here: IC Market Drivers 2017
Report Details are here: IC Market Drivers 2017
No comments:
Post a Comment