The market for consumer head-mounted displays (HMDs) will see 90.1 million shipments by 2027, growing at a Compound Annual Growth Rate (CAGR) of 36.1%.The development of Virtual Reality (VR) for consumer entertainment dates all the way back to the 1980s and 1990s, but adoption has never taken off in a meaningful way until now. ABI Research forecasts that the total VR industry, including hardware, software, and services will be worth US$95 billion in 2027. Some enterprise markets are also seeing significant growth, driven by value in training and simulation, but consumer makes up the majority of the VR market.
In 2021, the global cold chain track and monitor telematics technologies market size was US$286 billion, according to ABI Research. By 2027, the cold chain telematics industry will be valued at over US$700 billion and growing at a Compound Annual Growth Rate (CAGR) of 16.6%. As 20% of perishable goods are wasted during shipping, cold chain logistics managers are turning to technological solutions to monitor shipped goods.
By 2025, global spending on pharmaceutical (pharma) products will reach US$1.6 trillion, according to a report from IQVIA. And that doesn’t even include the current US$220 billion spent on chemicals, raw materials, excipients, and other Active Pharmaceutical Ingredients (APIs) that are needed to produce finished medicines. This demand, in tandem with a strict regulatory environment, necessitates the need for Internet of Things (IoT) technologies that provide rich data and analytical insight into logistical operations.
With climate change being at the forefront of the public’s conscience, telecommunications operators and vendors need to look for innovative ways to conserve energy. Although 5G is 90% more energy efficient per unit of traffic than 4G, it still requires substantially more overall energy consumption—from heavy traffic load, Massive Multiple-Input Multiple-Output (mMIMO), Radio Access Networks (RANs), and cell site capacity. For example, a 5G base station needs 3X more power than a 4G base station.
The telco market is experiencing a tremendous amount of activity with fierce competition within the traditional mobile network market from new entrants, open networks, and hyperscaler services. Meanwhile, the boundaries of the reach of each company are blurring. Telco network operators are at the center of this competition, but ABI Research believes their position is ideal to let them become much more than they are today. They have the technology and platforms to do so, but have yet to capitalize on them. They also have long-time excellence in customer experience management and are very familiar with direct, personable, and high-value contact with end users.
The need for a reliable IoT device management solution has never been more apparent than now. During the pandemic, the frequency of cyberattacks reached unprecedented levels. In every corner of the digital world, there’s a cybercriminal lurking in the virtual shadows. In fact, Cybersecurity Ventures predicts that cybercrimes will cost businesses US$10.5 trillion per year by 2025. With the ever-growing uneasiness of digital security, organizations are rethinking how vulnerable their Internet of Things (IoT) devices may be to a breach. Not only would an IoT attack result in the loss of financial capital and confidential information, but also the loss of trust in the market.
Between government regulation and growing consumer interest in eco-friendly products and services, telecommunications (telco) operators have recently felt pressure to invest in sustainable energy solutions. Of all the Greenhouse Gases (GHGs) emitted worldwide, telco operators will be responsible for 2% of them by 2030—on par with the aviation industry, according to the Polytechnic University of Bucharest. Once completely off the radar for business leaders, sustainable technologies have gradually become a new staple in the telco industry.
Sponsored by Huawei
Written by ABI Research Senior Director Dimitris Mavrakis
Telco operators across the world are currently pursuing their digital transformation strategies in order to evolve from the legacy connectivity business and become Information and Communication Technology (ICT) providers. The opportunity is there: telco operators already operate what can be called distributed intelligence networks and have experience in managing them. In a way, these platforms are what will likely power tomorrow’s processing payloads, including Machine Learning (ML) and Artificial Intelligence (AI) algorithms running in distributed deployments. This was a key theme at the MWC trade show this year, with the slogan of the show being “Connectivity Unleashed” and focusing on enterprise applications—contrary to previous shows, which focused mostly on consumer applications.
The often-discussed chipset shortage brought on by the COVID-19 pandemic has sustainably affected several industries, and a full recovery is not projected until 2024. Although the smart credentials and government ID markets have not been immune, they have been dealt a far lesser blow. This year, ABI Research forecasts shipments to reach 596 million units—a number that would compare favorably to pre-pandemic levels—followed by a year-over-year growth to 766 million in 2026. As travel restrictions continue to weaken, obtaining and renewing passports will gain stronger interest, as ePassport shipments will reach 176 million in 2024.
Although the long-term future of the Metaverse is still unclear, the current surrounding hype is still receiving considerable attention. In fact, this excitement has driven immediate growth for the global Content Delivery Network (CDN) market, which is also expected to more than double by 2030, reaching nearly US$24 billion.