Big Data, Cloud and IoT: Panorama and Key Figures for Europe Gabriella Cattaneo Associate VP, European Government Consulting, IDC
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1 Big Data, Cloud and IoT: Panorama and Key Figures for Europe 2020 Gabriella Cattaneo Associate VP, European Government Consulting, IDC
2 The future is clear to see
3 2016 was surprising
4 $ Trillion Digital Disruption Ahead 1,2 Overall CAGR: 6.3% Innovation Accelerators ICT 3rd Platform ICT 2nd Platform ICT 1 0,8 0,6 0,4 IoT, Cognitive Systems, Robotics Big Data, Cloud, Mobile, Social CAGR 19.8% CAGR 6.6% 0,2 Traditional IT CAGR -6.5%
5
6 Let s give some numbers ² = 4%...by 2020
7 IoT Technology Investments Will Reach $1.29 trillion in 2020, Asia Pacific Leads Regional Spending 31.5% North America Western Europe 19.6% CEMA 2.5% 37.6% 6.7% Japan 2.1% Latin America APAC (exc. Japan) 2017 IoT Market Share Source: IDC's Worldwide Internet of Things Spending Guide, November
8 How is IoT currently used in your organization? Internet of Things IoT leading Mere data to new collection business models 2016 IoT data analyzed with impact on processes 2015 IoT data analyzed but no impact on processes yet As shown by IDC s survey of IT users, European IoT maturity level is rapidly increasing, leading to new and unexpected business models for a large share of IoT users Need to move from unit-specific applications to company wide usage the whole is worth more than the sum of the parts Source: IDC European Vertical Markets Survey, November 2016 (n = 1,872) 8
9 12% 29% Consumer and Retail Driving IoT Growth % 8% 14% 21% Consumer Manufacturing Retail Transportation Utilities Other 16% 31% % 10% 13% 17% Manufacturing, driven by the Industry 4.0 revolution, represents the leading industry in the European IoT space Retail leads the B2B IoT market growth and will be under the spotlight in the coming months, driven by the in-store customer experience and omni-channel revolutions Source: IDC's Worldwide Internet of Things Spending Guide, November
10 & By 2018, the Cloud Will Be a Preferred Delivery Mechanism for Analytics, Increasing Public Data Consumption by 150% and Paving the Way for Thousands of New Industry Applications Source: IDC's Futurescape 10
11 By 2020, at least 45% of the European Enterprise IT Infrastructures and Software will be Cloudcentered (delivered as Cloud services or enabling Cloud services) 11
12 And Industry Collaborative Platforms will multiply Kloeckner s Industry Collaborative Platform 12
13 Let s remember the numbers... IoT Cloud ² = 4%...by 2020
14 By 2020, 40% of the European FT500 will see the majority of their business depend on their ability to create digitally-enhanced products, services and experiences 14
15 #idcfuturescape My vision for Aviva is a business that makes it simple, effortless and easy for customers, with digital at its heart our Digital Business Unit (Digital Garage) already has revenues of 1.3 billion. This is the future of Aviva, this is the future of insurance. Mark Wilson, Group CEO Aviva 15
16 By 2019, 40% of European IT Projects Will Create New Digital Services and Revenue Streams That Monetize Data in a Privacy-by- Design Fashion 16
17 AUDI s share of sales from information technology software and software based services for automobility should account for half of total sales (2014: 54 billion) by 2020 Rupert Stadler, CEO Audi 1 7
18 And the final result is... IoT Cloud Digital Transformation ² = 4%...by 2020 The EU Data Economy
19 In The European Data Economy, Data Users Generate The Highest Economic Impact. Stimulating Data Usage Will Drive Economic Growth 2016 Total Value 300 B 54 B 167 B 80 B Direct Impacts Revenues of Data products & services Indirect Impacts Benefits & growth for Data user companies Induced Impacts Increased wages, consumption and spending Source: European Data Market Monitoring Tool, IDC 2016 Source: Source: European Data Market Monitoring Tool, IDC 2016
20 Alternative Scenarios for the EU Data Economy B EXPLOITING INNOVATION SCENARIO 430 B 2.5% of EU GDP 2020 Source: European Data Market Monitoring Tool, IDC 2016 A BALANCED ECOSYSTEM SCENARIO 739 B 4% of EU GDP A FRAGMENTED MARKET SCENARIO 361 B 2.3% of EU GDP
21 But, there are stumbling blocks... Most enterprises are still reluctant to share their data... There is a risk that the supply of data skills will not keep up with demand... Number of potentially unfilled positions % share of total demand by scenario 2.8 M. 27% HIGH GROWTH SCENARIO..there is uncertainty about the regulatory and contractual issues concerning data sharing, data access and data exploitation 2020 Data Workers supply-demand gap 226 K 3.5% 769 K 9.8% BASELINE SCENARIO CHALLENGE SCENARIO Source: European Data Market Monitoring Tool, IDC 2016
22 Think ahead Turn data and information into a competitive Can execute upon a vision for digital transformation advantage Blend digital and physical experiences to garner customer allegiance Turn information into a competitive advantage 22
23 IDC Visit us at IDC.com and follow us on 23
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