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Sweden-based telco expects region’s IoT market to be worth 11.6 billion in five years.
There will be 150 million connected devices in the Nordics by 2020, predicted TeliaSonera on Friday, up from 45 million in 2014.
In a joint study with Arthur D. Little (ADL), which cited figures from Machina Research, the Sweden-based telco said the region’s Internet of Things (IoT) market will see annual revenue growth of 17% per year, reaching €11.6 billion in five years, compared to €5.3 billion last year.
TeliaSonera said the three biggest IoT verticals are expected to be consumer gadgets, smart buildings, and connected cars (see graph).
"This revolution will bring great new opportunities for people, business and society at large. Homes will be safer, cities smarter and business better," said Hans Dahlberg, head of TeliaSonera global IoT services, in a statement. "When things connect and communicate they become platforms for change."
TeliaSonera is particularly keen to tap into the connected car segment, and plans to launch its Telia Sense solution, which turns any car into a connected car, in Sweden this year, followed by other Nordic and Baltic countries thereafter.
"We expect the Nordics, with progressive city and traffic authorities, tech-savvy population and Sweden’s strong automotive sector, to take the lead in this development," Dahlberg said.
The telco expects annual connected car revenue in the Nordics to climb to €2 billion by 2020 from €600 million in 2015, driven primarily by vehicle navigation, usage-based insurance (UBI), and stolen vehicle recovery services.
"Business leaders in all industries should pay close attention to what is now happening around connected cars. Because what happens in cars today, will happen in other industries tomorrow," said ADL partner Martin Glaumann.
