Global sales of smart connected devices to surge

by CXOtoday News Desk    Sep 27, 2012

Smart connected devicesThe worldwide sales of smart connected devices including PCs, smartphones, and tablets witnessed a year-on-year growth of 27.4 percent and its shipment is expected to grow by 14 percent annually through 2016, said a new report by research firm IDC.

Nearly, 267.3 million units of smart connected devices were shipped in the second quarter of 2012, a 2.8 percent quarter-over-quarter improvement. The research firm stated that the tremendous increase in smart connected devices is led by tablets and smartphones.

According to IDC, both consumers and business buyers across the world would continue to show a huge appetite for these client devices. Many enterprise customers have already started to use these devices actively. On a revenue basis, these devices reached $131.5 billion worldwide, a 16.3percent increase over last year, but showed a 2.7 percent decline from the past quarter.

IDC estimated that smart connected devices will grow at a rate of 14 percent by 2016. In this category, smartphones already represent over 59 percent and will grow to 63 percent around the same time. Tablets will rise from its 10 percent share in 2012 to a whopping 13 percent by 2016.

IDC also projected a fall in the PC share from 31 percent to 24 percent. Although IDC stated that smartphones will make up the bulk of the volume, tablets are expected to grow the fastest at over 22 percent CAGR between 2012 and 2016.

“The recent shipment data clearly demonstrates that we have fully entered into the multi-device era, where individuals are buying and using multiple devices per person, most often with different combinations of operating systems,” said Bob O’Donnell, Senior Researcher, IDC.

he added that the implications of this development on application developers, device makers, Web service providers and enterprises will be profound.

IDC predicts the combined worldwide smart connected devices market will surpass 2 billion units in 2016. The Asia Pacific market growth is expected to reach 860 million units by 2016, the US is also expected to experience continued growth, bringing its total device count to over 600 million by 2016 and a CAGR of 13.7 percent compared to 2012. EMEA is expected to grow at a slower pace relative to other regions, with volume totaling just over 530 million by 2016 and a CAGR of 12.6 percent.