Digital Lifescapes

Enterprise IT infrastructure investment is now more software-defined within the typical data center. The market for hyper-converged integrated systems (HCIS) will grow 79 percent to reach almost $2 billion during 2016, according to the latest worldwide market study by Gartner. HCIS will be the fastest-growing segment of the overall market for integrated systems, reaching almost $5 billion by 2019. Although the overall integrated systems market is growing, other segments of this emerging market will likely experience cannibalization from hyperconverged systems. Gartner defines HCIS as a platform offering shared compute and storage resources -- based on software-defined object storage, software-defined compute, commodity hardware and a unified systems management interface. Gartner believes that hyperconverged systems deliver their greatest value through software tools, and thereby commoditizing the underlying hardware. Hyperconverged Systems Market Development "The integrate...

Air pollution and traffic congestion in urban areas continues to challenge the leadership in major cities across the globe. As a result of these growing problems, more local government leaders are considering alternative approaches to public policy resolutions. Promoting a variety of electric vehicle technology is gaining momentum worldwide. ABI Research predicts an imminent rise in smart electric mobility. Their latest market data analysis lead to a forecast that global electric vehicle revenue will reach $58 billion in 2021 -- that's more than five times the market value in 2015. "The role of vehicle electrication in urban areas is part of a broader smart mobility model that includes shared vehicles, charging options, and driverless electric vehicle fleets of cars, buses, trams, and light rail," said Susan Beardslee, senior analyst at ABI Research . "No singular option prevails -- in fact, innovative manufacturers are creating ways for them to converge." ...

According to the latest global Cloud Price Index (CPI) study, the cloud services sector isn't a commodity market, with price barely impacting market share as customers look for value-added services. Moreover, cloud computing skills and proven experience are still in short supply. That's why cloud service buyers seek information, guidance and support from vendors. The CPI research demonstrates that reduced cloud pricing hasn't significantly changed buyer sentiment. Instead, the supply of higher-value cloud services is key to long-term, sustainable and profitable vendor growth strategies. 451 Research finds that virtual machine pricing has dropped 12 percent on average over the past 18 months, while the price of storage, NoSQL, load balancing, bandwidth and other cloud services have remained stable and continue to provide margins. Exploring the Cloud Market Dynamics Analysts believe that as the price for cloud compute continues to fall toward zero, the savvy hypers...

According to the latest worldwide market study by International Data Corporation (IDC), revenues for big data and business analytics will grow from nearly $122 billion in 2015 to more than $187 billion in 2019 -- that's an increase of more than 50 percent over the five-year forecast period. The consulting services-related opportunity will account for more than half of all big data and business analytics revenue for most of the forecast period, with IT Services generating more than three times the annual revenues of Business Services. Software will be the second largest category, generating more than $55 billion in revenues in 2019. Nearly half of these revenues will come from purchases of End-User Query, Reporting, and Analysis Tools and Data Warehouse Management Tools. Moreover, hardware spending will grow to nearly $28 billion in 2019. Big Data Analytics Market Development The industries that present the largest revenue opportunities are Discrete Manufacturing ($22.8 bill...

Pay-TV service providers across the globe are responding to the emergence of agile video entertainment competitors. The over-the-top (OTT) television and video service revenues for 17 countries within the Asia-Pacific region will reach $18,396 million in 2021 -- that's up from $5,741 million in 2015. Furthermore, China will overtake Japan in 2016 to become market leader in the region. "Smartphone users will continue to drive OTT TV and video audiences. Smartphones are a more important OTT TV reception method than fixed broadband in the Asia-Pacific region -- with the notable exceptions of Australia and New Zealand," said Simon Murray, principal analyst at Digital TV Research . Advertising on OTT sites will remain the main revenue source, bringing in $8,745 million by 2021 -- that's up by $6 billion from $2,609 million on 2015. China will supply $4,911 million of the 2021 total, with Japan providing a further $1,475 million. OTT Video Market Development in APAC ...

The Telecom Infrastructure Services (TIS) market in North America will decline from $30.4 billion in 2015 to $27.4 billion in 2021 at a CAGR of -1.7 percent, according to the latest market study by Technology Business Research (TBR). Telecom network operators will shift their focus to software-mediated networks, specifically orchestration, automation, SDN and NFV. Fifth generation (5G) networks will begin to be deployed commercially in 2020, but ongoing rollouts will be use case-driven rather than a nationwide build-out like what occurred in previous generations of wireless technologies, providing little relief to the market. Software-Defined Networking Momentum Decommissioning of legacy infrastructure -- and the  implementation of NFV and SDN -- will accelerate the decline in the maintenance market. Telecom network operators are decommissioning legacy infrastructure, with Tier 1 service providers leading the charge to an all-IP environment. "The deployment and maintenance...

The wearable devices market is evolving rapidly, fueling the explosion of big data apps within the Internet of Things. A combination of new device releases, retail price reductions, and company rationalizations marked the first quarter of 2016 (1Q16) in the worldwide wearables market. According to the latest global market study by International Data Corporation (IDC), the wearable device total shipment volumes reached 19.7 million units in 1Q16 -- that's an increase of 67.2 percent from the 11.8 million units shipped during the same period in 2015. Moreover, the first quarter of 2016 saw its fair share of significant events to entice customers, with multiple fitness trackers and smartwatches introduced at the major technology shows. Wearable Device Category Expansion There were post-holiday price reductions on multiple wearables, including Apple's Sport Watch; and greater participation within emerging wearables categories, particularly clothing and footwear. Conversel...

The traditional printer market has been turbulent during the last few years, due to shrinking demand and vendor consolidation. However, the upside for 3D printing is a bright spot. Canalys predicts that the worldwide market for 3D printers, and associated materials and services will reach a value of $4.9 billion by the end of 2016. The total market is expected to grow by a compound annual growth rate (CAGR) of 43.5 percent from 2015 to 2020 -- reaching a value of $22.4 billion. Shipments of 3D printers are forecast to grow at a CAGR of 67.2 percent -- to reach 2.4 million units by 2020. Worldwide, vendors shipped 182,000 3D printers in 2015, a 37 percent year-on-year increase, with strong performances in both the enterprise and consumer sectors. That being said, challenges remain as the market evolves. The market continues to have mixed results, from a growth perspective. While industrial expenditure on 3D printers fell, educational establishments ordered thousands of systems ...

Numerous industry analysts have reported that organizations continue to report that a shortage of skilled and experienced technical staff in their market inhibits their ability to adopt cloud computing service options. Those that can find the technical talent often discover that the salary requirements of the most capable cloud architects are beyond their traditional IT pay scales. Some organizations have solved the near-term technical staffing challenge by reaching out to vendors that can offer a comprehensive hybrid cloud managed services solution, and can provide staff training and skills certification as a solution to their long-term knowledge transfer needs. Meanwhile, cloud computing consultants and other skilled specialists fulfill the requirement to augment an organization's technical staff -- just-in-time, as needed on new digital transformation projects. Cloud Services Ongoing Market Development The market for cloud computing solutions will continue on a strong g...

There once was a time when traditional telecom service provider networking vendors were gratified that their proprietary platforms ensured continued success. As long as carrier customers agreed to buy products that locked them into the market leader's technology and associated ecosystems, they were assured high-profit margins and limited competition. In fact, not that long ago, some industry analysts actually believed that Cisco could maintain 50%+ market share in several of their product categories, for an unlimited period of time. After all, they had already achieved that goal -- in some cases, for more than two decades. The market outlook seemed to be predictable, until one day it wasn't. Why Telecom Networking is Primed for Disruption For the past several years, the telecom industry has been moving toward a major network and operational transformation epitomized by software-defined networking (SDN) and network functions virtualization (NFV) with the top goals of autom...

The banking industry is being disrupted by new agile, digital-savvy competition. Traditional banks must now increase their efficiency and reduce costs, all while preparing to delivering next-generation digital services, according to the latest worldwide market study by Gartner. Gartner predicts that by the end of 2019, about 25 percent of retail banks will use innovative startup providers to replace legacy online and mobile banking systems. These digital transformation vendors are emerging to make banking easier to accomplish on the various devices that today's customers want to use. "Startups and emerging providers of digital banking platforms offer banks interesting opportunities for innovation," said Stessa Cohen, research director at Gartner . "However, CIOs must prepare to manage the challenges of evaluating and selecting new vendors that may not have proven track records in the financial services vertical or may simply be new and untried without an extensi...

Retailers across the globe were one of the first sectors to adopt big data applications, as a way to gain new in-store shopper traffic insights. Wireless technology is key component of the solution. ABI Research reported greater growth in Wi-Fi location analytics within the retail market during 2015. ABI analyst calculations show that total Wi-Fi location technology installations in retail were up almost 400 percent year-over-year. And, the growth trend is forecast to continue in 2016. Driving the growth is a combination of start-ups and legacy access point vendors, such as Cisco Systems, Ruckus Wireless, and Zebra Technologies, that are adopting new pricing models, technologies, and a large number of platform partners to help them win new business. Market Development of New Wi-Fi Apps "Previous iterations of Wi-Fi location platforms were expensive and not ideal for customer engagement," said Patrick Connolly, principal analyst at ABI Research . According to the ABI...

Mobile device users installed nearly 156 billion software applications (apps) worldwide in 2015, generating $34.2 billion in direct (non-advertising) revenue. According to the latest market study by International Data Corporation (IDC), these figures will grow to more than 210 billion installs and nearly $57 billion in direct revenue by 2020. However, while the market will continue to grow throughout the forecast period, IDC now expects to see slower growth in both application install volumes and direct revenue over time. This trend, which is largely driven by market maturation, will see annual install growth fall to single digits over the second half of the forecast period. Mobile application install volume will experience a five year compound annual growth rate (CAGR) of 6.3 percent. Meanwhile, direct revenue from mobile apps will also experience slower growth by the end of the forecast period, although the five year CAGR will remain in the double digits at 10.6 percent. Mark...

The high-cost healthcare system in the United States is clearly ready for a major digital transformation . In particular, cloud-based video technology has begun to display the potential to alter legacy processes. Virtual visits with a practitioner has surfaced as a viable method of seeking help for certain medical conditions. Catalyzed by the Affordable Care Act (ACA) rising prevalence of chronic conditions and an impending physician shortage, virtual visits will gain adoption in the U.S. healthcare industry. According to the latest study by Frost & Sullivan, the telehealth market will achieve a CAGR of 17.8 percent from 2015 to 2021. Both physician and patient familiarity with cloud-based video services is laying a foundation for the use of telehealth virtual visits. Early adopters have expressed their satisfaction with these services, encouraging providers to establish additional services focused on behavioral health and other specialized therapeutic areas. Market Developme...

As more people around the globe discover that they don't need a personal computer (PC) to participate in the Global Networked Economy, the market for smartphones and phablets has satisfied the demand for internet access and web browsing. This is now the pervasive trend worldwide. Besides, the ongoing adoption of Software-as-a-Service (SaaS) apps meant that mainstream users learned what has become common knowledge -- just about anything you need to accomplish can be done in the cloud. The impact of this disruptive trend on traditional PC manufacturers has been devastating. "The global PC market had a bad start to 2016 and it is difficult to see any bright spots for vendors in the coming quarters. The tablet boom has faded in the distance and the market is fully mature. Global shipments declines are expected to continue unless vendors bring some remarkable new innovation to the market," said Tim Coulling, senior analyst at Canalys . Market Declines Dominate the PC Lan...

Over-the-top (OTT) video adoption continues to disrupt the legacy pay-TV market. In its latest analysis on the online streaming media adapter market, ABI Research examined the impact of new lower-priced devices and the mounting pressures within the global consumer electronics industry. People now have many ways to stream video entertainment. Moreover, the ongoing introduction of new, cost-efficient devices with innovative functionality has the capability to swiftly change the competitive landscape. Meanwhile, traditional pay-TV providers continue to increase service subscription and set-top box rental prices. "The rise of Google's Chromecast devices, along with the Amazon Fire TV Stick, generated interest in the stick or dongle form factor, but these successes speak more toward pricing than design," says Michael Inouye, principal analyst at ABI Research . Streaming Media Market Development In China, according to the ABI assessment, the streaming media stick form f...

Last year we witnessed the Internet of Things (IoT) hype reach a peak, with news of connected smart cities, connected cars and many new offerings. All of which established 2016 as the time for a reality-check, where IoT becomes real for more businesses in more parts of the globe. Worldwide spending on IoT security will reach $348 million in 2016, that's a 23.7 percent increase from 2015 spending of $281.5 million, according to the latest market study by Gartner. Spending on IoT security is expected to reach $547 million in 2018. Gartner predicts that IoT security market spending will increase at a faster rate after 2020, as improved skills, organizational change and more scalable service options improve execution. "The market for IoT security products is currently small but it is growing as both consumers and businesses start using connected devices in ever greater numbers," said Ruggero Contu, research director at Gartner . Market Development for IoT Security G...

The global telecom service provider Wi-Fi equipment market totaled $713 million in 2015. The market has grown consistently year-over-year since 2007, due to the ongoing deployment of Wi-Fi as a wireless internet access offering for public hotspots. Now, Wi-Fi growth in the telecom carrier realm is increasingly being driven by a diverse customer base and emerging technologies -- including Hotspot 2.0, 802.11ac and network functions virtualization (NFV), according to the latest worldwide market study by IHS . By 2020, the worldwide carrier Wi-Fi market is forecast to reach $1.5 billion, and have a cumulative size of over $6.8 billion from 2016 to 2020 based on two market segments: standalone Wi-Fi access points predominantly deployed by fixed-line operators, cable multiple system operators (MSOs) and wireless internet service providers (ISPs). Plus, dual-mode Wi-Fi and cellular access points deployed by mobile operators. Technology innovations continue to deliver positive impact...

Worldwide pay-TV revenues -- including subscription fees, PPV movies and TV episodes -- for 138 countries will grow by $99 million between 2015 and 2021 to reach $205.92 billion. That follows a 19.5 percent growth rate between 2010 and 2015, according to the latest market study by Digital TV Research. North American pay-TV revenues will fall by $13.5 billion between 2015 and 2021. Customer decline is responsible for some of this loss, but greater competition and conversion to bundles are more pressing factors. Moreover, the Western Europe region growth will be flat at $31 billion. "Most of the rest of the world will not follow the North American experience. True, pay-TV revenues will fall in 27 countries between 2015 and 2021, but not to the same extent as in Canada and the U.S. market," said Simon Murray, principal analyst at Digital TV Research . Major Shift in Pay-TV Market Development That being said, most countries are nowhere near the market maturity achieved...

Seasonality combined with disinterested customers led to an annual decline of 14.7 percent in worldwide tablet shipments during the first quarter of 2016 (1Q16). Global shipments of tablets reached 39.6 million, according to the latest market study by International Data Corporation (IDC). Slate tablets continued their decline while still accounting for 87.6 percent of all shipments. More importantly, the slate tablet segment has become synonymous with prices at the low-end of the market. While this may bode well for vendors like Amazon that rely on hardware sales to increase their overall ecosystem size, it has not helped other leading vendors who rely solely on greater margins for hardware sales. Ongoing Gains for Detachable Tablets Meanwhile, detachables experienced triple-digit year-over-year growth on shipments of more than 4.9 million units, an all-time high in the first quarter of a calendar year. But that performance won't result in a celebration. Many challenges rem...

Smart home, beacon, wearable, and other nascent Internet of Things (IoT) applications -- including energy management and smart cities -- are to propel the wireless IoT connectivity market forward, according to the latest worldwide market study by ABI Research. The market's trend toward multi-protocol connectivity IC adoption will ease development time, boost scale, and reduce complexity and cost for manufacturers across these different sectors in the years ahead. "2015 witnessed a growing trend toward the development of multi-protocol connectivity SoCs for the IoT, some of which support both Bluetooth Smart and 802.15.4," said Andrew Zignani, industry analyst at ABI Research . ABI analysts believe the devices that incorporate multi-protocol chipsets will stand the tests of time. While a product might utilize Bluetooth in the short term, a device manufacturer may want to switch to Thread in the future or have the ability to talk to multiple connectivity protocols onc...

According to the latest global market study by International Data Corporation (IDC), vendors shipped a total of 334.9 million smartphones worldwide during the first quarter of 2016 (1Q16) -- that's up slightly from the 334.3 million units in 1Q15, marking the smallest year-over-year growth on record. The minimal growth in this quarter is primarily attributed to strong smartphone saturation in developed markets, as well as a year-over-year decline from both Apple and Samsung, the two market leaders. The biggest change to the market, however, was the addition of lesser-known Chinese brands OPPO and vivo, which pushed out previous fourth and fifth place players Lenovo and Xiaomi, respectively. Market Development in China Matures As the China market matures, the appetite for smartphones has slowed dramatically as the explosion of uptake has passed its peak. In 2013, China's year-over-year shipment growth was 62.5 percent; by 2015, it had dropped to 2.5 percent. Conversely, ...