The Internet of Things (IoT) is becoming an increasingly important part of our daily lives, connecting a wide range of devices and allowing for greater automation and convenience. As we move into 2023, there are several key trends that are likely to shape the IoT landscape.

Increased Adoption of 5G Technology

Predictions for 2023 include 5G networks playing a major role in the IoT, offering faster speeds and lower latency than previous generations of mobile networks. According to a recent report by Ericsson, 5G networks are expected to cover around 40% of the world’s population by 2024. This will make it possible for devices to communicate with one another more quickly and efficiently, and will open up new possibilities for IoT applications such as self-driving cars, augmented reality and virtual reality. By the year 2023, it is likely that we will see more and more IoT devices and services leveraging the capabilities of 5G networks.

Growth of Edge Computing

Edge computing is a technology that allows data to be processed at the source, rather than being sent to a centralized location for processing. According to a study by MarketsandMarkets, the edge computing market is expected to grow from $44.7 billion in 2022 to $101.3 billion by 2027. This can help to reduce the amount of data that needs to be transmitted over the network, and can also make it possible to process data in real-time. Edge computing is well-suited to IoT applications, and we are likely to see more and more devices and services using this technology in 2023.

Advancements in AI and Machine Learning

Artificial intelligence (AI) and machine learning (ML) are becoming increasingly important in the IoT, as they can be used to analyze data from connected devices and make predictions about future events. According to a report by MarketsandMarkets, the global AI in IoT market size is expected to grow from $5,1 billion in 2019 to $16,2 billion by 2024. Come 2023, it is anticipated that we will see more devices and services that make use of AI and ML, such as smart home systems that can learn your habits and adjust the temperature or lighting accordingly, and predictive maintenance for industrial equipment.

Increased Focus on Security

As the number of connected devices increases, so does the potential for security breaches. According to a study by Statista, the number of connected devices is expected to reach 15,1 billion by 2024, and 25,2 billion by 2028. With this growth, security in IoT has become more critical than ever before. In 2023, we can expect to see more emphasis on security in the IoT, with companies and governments investing in new technologies and practices to keep data safe. This will be especially important for critical infrastructure and industrial applications, where the consequences of a security breach can be severe.

Greater Interoperability

One of the challenges of the IoT is the fact that there are so many different devices and platforms, which can make it difficult for them to communicate with one another. According to a study by MarketsandMarkets, the IoT interoperability market is expected to reach $2.5 billion by 2023. Come 2023, it is anticipated that we will see more efforts to increase interoperability, so that devices from different manufacturers can work together seamlessly. This will be especially important for smart cities and industrial applications, where many different systems need to be integrated.

Emergence of IoT Platforms

IoT platforms provide a way for businesses to connect, manage and analyze IoT devices at scale. According to a study by MarketsandMarkets, the IoT platform market size is expected to grow from $5.6 billion in 2018 to $26.3 billion by 2023. By the year 2023, it is likely that we will see more companies using IoT platforms to gain insights from IoT data and automate business processes. It will also be a trend for IoT platforms to become more specialized, catering to specific industry verticals, such as healthcare, retail, and transportation.

In conclusion, the IoT is going to continue to grow and evolve in 2023, with the adoption of 5G networks, the growth of edge computing, advancements in AI and machine learning, increased focus on security, and greater interoperability. These trends are expected to drive significant growth in the IoT industry, with projections of billions of dollars in market size by 2023. Businesses should be aware of these trends and start exploring how they can leverage the power of IoT to improve their operations, gain a competitive advantage and capitalize on the potential of IoT market.

Author: Leszek Warzecha, Digital Marketing Specialist at ITSG Global