market sizing...market sizing: iot cellular connectivity 6 iot cellular connectivity revenues will...

1

Market sizing

• MENA

• APAC

• Latin America

Middle East and North Africa

2

THE MIDDLE EAST

AND NORTH AFRICA

Algeria

Bahrain

Egypt

Iran

Iraq

Israel

Jordan

Kuwait

Lebanon

Libya

Morocco

Oman

Palestine

Qatar

Saudi Arabia

Syria

Tunisia

Turkey

UAE

Yemen

Definition of geographical regions

0.0%

0.5%

1.0%

1.5%

2.0%

2.5%

3.0%

3.5%

4.0%

2015 2016 2017 2018 2019 2020

as %

of w

orld

con

nect

ions

IDC Machina Research

0

100

200

300

400

500

600

700

800

900

2015 2016 2017 2018 2019 2020

IoT

conn

ectio

ns (m

illio

n)

IDC Machina Research Deloitte

Market sizing: The MENA region is a relatively small IoT market

3

In 2020, MENA will account for around 3.3%

of the world’s IoT connections

IoT connections 2015-20 CAGR:

15% (IDC)

22% (Machina)

World growth CAGR: 15-19%

IoT connections in MENA IoT connections in MENA as % world total

MENA region will account for 3% of the world’s connections by 2020

Market sizing: Revenues

4

0

20

40

60

80

100

120

140

2015 2016 2017 2018 2019 2020

IoT

reve

nues

(US

D b

illio

n)


0.0%

0.5%

1.0%

1.5%

2.0%

2.5%

3.0%

3.5%

4.0%

4.5%

2015 2016 2017 2018 2019 2020

as %

of w

orld

reve

nues


In 2020, MENA will account for an around

3% of total global IoT revenues

IoT revenues 2015-20 CAGR:

14% (IDC)

21% (Machina)


IoT revenues in MENA IoT revenues in MENA as % world total

With around 3% of the world’s IoT revenues, MENA is a small region in terms of value

0.0%

0.5%

1.0%

1.5%

2.0%

2.5%

3.0%

3.5%

4.0%

2015 2016 2017 2018 2019 2020

as %

of t

otal

cel

lula

r tra

ffic

IoT cellular (Analysys Mason)

Market sizing: Total IoT and Cellular IoT connections growth

5

IoT cellular traffic will account for less than

2.5% of total cellular traffic in MENA over the

forecast period

-

50

100

150

200

250

300

350

400

2015 2016 2017 2018 2019 2020

All cellular (Analysys Mason)


IoT cellular and total cellular connections in MENA,

2015=100

IoT cellular traffic as a % of total cellular traffic (MENA)

For operators, IoT will be the key driver of connections and traffic, growing faster than the existing business

0.0%

0.5%

1.0%

1.5%

2.0%

2.5%

3.0%

3.5%

4.0%

2015 2016 2017 2018 2019 2020

as %

of t

ota

l Io

T r

even

ues


Market sizing: IoT cellular connectivity

6

IoT cellular connectivity revenues will account for

less than 1.0% of total IoT revenues in MENA

over the forecast period

0.0%

0.5%

1.0%

1.5%

2.0%

2.5%

3.0%

3.5%

4.0%

2015 2016 2017 2018 2019 2020

as %

of t

otal

IoT

con

nect

ions


IoT cellular connections as a % of total IoT connections

(MENA)

IoT cellular connectivity revenues as a % of total IoT

revenues (MENA)

Cellular connectivity is only a small part of the IoT opportunity

Asia Pacific

DEVELOPED

ASIA–PACIFIC

EMERGING

ASIA–PACIFIC

Australia Afghanistan Maldives

Brunei American Samoa Marshall Islands

French Polynesia Armenia Micronesia

Guam Azerbaijan Mongolia

Hong Kong Bangladesh Myanmar

Japan Bhutan Nauru

Macau Cambodia Nepal

New Caledonia China Niue

New Zealand Cook Islands North Korea

Northern Mariana IslandsFiji Pakistan

Georgia Palau

Singapore India Philippines

South Korea Indonesia Sri Lanka

Taiwan Kazakhstan Tajikistan

Kiribati Thailand

Kyrgyzstan Turkmenistan

Laos Uzbekistan

Malaysia Vietnam


7

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

2015

2016

2017

2018

2019

2020

as %

of w

orld

con

nect

ions


0

2

4

6

8

10

1220

15

2016

2017

2018

2019

2020

IoT

con

nect

ions

(bill

ion)


Market sizing- Connections APAC is the largest IoT region in the world

8

IoT connections in APAC IoT connections in APAC as % world total

In 2020, APAC will account for

around 40% of the total global

IoT connection base


18% (IDC)

18% (Machina)


APAC accounts for around 40% of global device connections

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

2015 2016 2017 2018 2019 2020

as %

of w

orld

reve

nues


0.0

0.5

1.0

1.5

2.0

2.5

3.0

2015 2016 2017 2018 2019 2020

IoT

reve

nues

(US

D tr

illio

n)

IDC Machina research

Market sizing: Revenues: APAC is the largest IoT region in the world

9

IoT revenues in APAC IoT revenues in APAC as % world total

In 2020, APAC will account for

around 38% of total global

IoT revenues

IoT revenues 2015-20 CAGR:

12% (IDC)

24% (Machina)


IoT in APAC could worth over 2.5 trillions of USD in 2020

0.0%

0.5%

1.0%

1.5%

2.0%

2.5%

3.0%

3.5%

2015 2016 2017 2018 2019 2020

as %

of t

otal

cel

lula

r tr

affic


Market sizing: Total IoT and cellular IoT connections growth

10

-

50

100

150

200

250

300

350

2015 2016 2017 2018 2019 2020



IoT cellular and total cellular connections in APAC, 2015=100 IoT cellular traffic as a % of total cellular traffic (APAC)

IoT cellular traffic will account for less than

3% of total cellular traffic in APAC over the

forecast period

For operators, IoT will be the key driver of connections and revenue, growing faster than the existing business

Latin America

11

LATIN AMERICA

Anguilla Guyana

Antigua and Barbuda Haiti

Antilles Honduras

Argentina Jamaica

Aruba Mexico

Bahamas Montserrat

Barbados Nicaragua

Belize Panama

Bermuda Paraguay

Bolivia Peru

Brazil Puerto Rico

Cayman Islands St Kitts and Nevis

Chile St Lucia

ColombiaSt Vincent and the Grenadines

Costa Rica

Cuba Trinidad and Tobago

DominicaTurks and Caicos Islands

Dominican Republic

Ecuador Uruguay

El Salvador Venezuela

Grenada Virgin Islands (UK)

Guatemala Virgin Islands (USA)


0%

1%

2%

3%

4%

5%

6%

2015 2016 2017 2018 2019 2020

as

% o

f w

orld

co

nn

ect

ion

s


0

100

200

300

400

500

600

700

800

900

1000

2015 2016 2017 2018 2019 2020

IoT

conn

ectio

ns (m

illio

n)


Market Sizing: LATAM is a relatively small region for IoT markets

12

In 2020, Latin America will account for an average 4% of the

total global IoT connection base


14% (IDC)

19% (Machina)


IoT connections in

Latin America

IoT connections in Latin America as % world total

LATAM accounts for only 4% of global device connections by 2020

0%

1%

2%

3%

4%

5%

6%

7%

2015 2016 2017 2018 2019 2020

as %

of w

orld

reve

nues

IDC Machina research

0

10

20

30

40

50

60

70

80

2015 2016 2017 2018 2019 2020

IoT

reve

nues

(US

D b

illio

n)


Market Sizing: LATAM is a relatively small region for IoT markets

13

In 2020, Latin America will account for an average 4% of

total global IoT revenuesIoT revenues 2015-20 CAGR:

10% (IDC)

20% (Machina)


IoT revenues in

Latin America

IoT revenues in Latin America as % world total

IoT in LATAM could be worth 70 billion USD in 2020

0%

1%

2%

3%

4%

5%

6%

2015 2016 2017 2018 2019 2020

as %

of t

otal

cel

lula

r tra

ffic


Market sizing: Total IoT and Cellular IoT connections growth

14

IoT cellular traffic will account for less than 5% of

total cellular traffic in Latin America over the

forecast period

-

50

100

150

200

250

300

2015 2016 2017 2018 2019 2020



IoT cellular and total cellular connections in Latin America,

2015=100

IoT cellular traffic as a % of total cellular traffic (Latin America)

For operators, IoT will be the key driver of connections and revenue, growing faster than the existing business

0%

1%

2%

3%

4%

5%

6%

7%

8%

9%

10%

2015 2016 2017 2018 2019 2020

as %

of t

otal

IoT

reve

nues


Market sizing: IoT Cellular connectivity

15

IoT cellular connectivity revenues will account for

less than 1% of total IoT revenues in Latin America

over the forecast period

0%

1%

2%

3%

4%

5%

6%

7%

8%

9%

10%

2015 2016 2017 2018 2019 2020

as %

of t

otal

IoT

con

nect

ions


IoT cellular connections as a % of total

IoT connections (Latin America)

IoT cellular connectivity revenues as a % of total IoT

revenues (Latin America)

IoT cellular connectivity is only a small but important part of the IoT opportunity

market sizing...market sizing: iot cellular connectivity 6 iot cellular connectivity revenues will...

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