IoT growth to spawn separate new market worth $50b by 2020

Internet of Things [IoT] growth in the coming years will fuel an additional sector of the market concerning device security that could eventually be worth some $50 billion [£30 billion] itself.

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Security concerns with the IoT sector, which is expected to see the amount of things connected to the Internet by 2020 reach 50 billion, will mean the Identity Relationship Management [IRM] market could hit $50 billion [£30 billion] by the same date.

ForgeRock, a developer of IRM solutions, thinks every internet connected device will need an identity service that allows it to make user access decisions in real time that are based on context. This means that the company expects an increase in the number of apps serving each device, thus pushing revenue up in the sector.

“ForgeRock’s vision is to transform markets by facilitating increased access to customers and partners though our next-generation IRM platform. We are seeing a major disruption in the industry as organisations roll-out more dynamic services to customers, prospects, and suppliers, that react to real-time information about the user identity and the context of that user interaction,” said Mike Ellis, CEO, ForgeRock, when talking about the IRM sector.

The IoT sector is one of the fastest growing on the planet and those heady figures touted by Cisco have been accompanied by other groups that have similarly ambitious things to say about the sector.

Gartner, for example, stated that the market for IoT will increase 30-fold from its 2009 base of 900 million units installed to 26 billion units by 2020 – incremental revenue topping $300 million [£180 million] by the same year. It added that “ghost” devices with IoT capabilities that have to be activated using software will become the norm and consumer devices in particular will include this as standard.

Related: Intel publishes nine point Internet of Things manifesto

By 2022 it’s projected that businesses will be able to take $1.9 trillion [£1.1 trillion] of value from the IoT sector and right now manufacturing [15 per cent], healthcare [15 per cent] and insurance [11 per cent] are in top of the league for IoT adoption.