The global IoT chip market size is expected to reach around $11 billion in next six years being led by emerging but large markets like India and China.
A recent report published by ‘Research and Markets’ estimates global IoT chip market to reach a value of $10.78 billion by 2022, growing at a CAGR of 11.5% during the 2016-2022 period.
Countries such as China, India, and Japan are aggressively taking initiatives such as heavy investments in R&D to encourage the adoption of Internet of Things in the region, which is expected to boost the demand for IoT chip in the near future, explains the report.
The APAC market comprises developing economies such as China and India-which have a huge potential for the applications of Internet of Things-and Japan, which is home to many large companies such as Fujitsu Ltd. and Toyota Motor Corporation. These emerging markets are driving the growth of the IoT chip market in APAC.
Besides, governments across the globe are supporting and funding research and development in Internet of Things to boost their productivity. The investment of governments in future technologies provides huge opportunities for the semiconductor companies, thus driving the IoT chip market.
Softbank’s recent acquisition of British chip maker ARM for $32 billion is also a testimony of the growing demand of IoT chips in the global market and is a certain boost for the APAC Internet of things dynamics.