Market Insight

Wi-Fi’s Role in the Internet of Things

April 01, 2015  | Subscribers Only


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The Internet of Things (IoT) is a conceptual framework, driven by the desire to embed connectivity and intelligence in a wide range of devices. IHS projects total IoT device shipments will grow from 9.8 billion in 2014 to 15.5 billion in 2019, at a compound annual growth rate (CAGR) of 9.6% in that time frame. Some of these are devices are connected today; however, the real potential for the IoT is in the diverse array of devices and objects that are not yet connected, but that will become connected in the future.

To that end, all major semiconductor suppliers are launching new chipsets targeted at the expanding number of IoT devices. The proliferation of local area networks in home and businesses, combined with the increase in IP-addressable end equipment, creates a number of interesting possibilities for connectivity in the IoT. Given the ubiquity of Wi-Fi connectivity and the extremely large installed base of Wi-Fi-enabled devices that exists today, IHS believes that Wi-Fi will play a pivotal role in the IoT.  With this in mind, just how large will the Wi-Fi market opportunity be within the IoT?

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