In the new era of infrastructure, IoT and AI are deepening their integration. According to the analysis, more than 60% of the Internet of Things projects more or less have artificial intelligence elements.
AIoT (Artificial Intelligence of Things) industry is an industry that integrates various technologies and empowers various industries. The potential market space of AIoT industry is over 10 trillion yuan.
Data show that the total output value of China’s AIoT industry was 380.8 billion yuan in 2019, and it is expected to reach 581.5 billion yuan in 2020, with a year-on-year growth of 52.7%. The high growth is mainly due to the planned commercial use of 5G and other new technologies and the large-scale implementation of AIoT applications in the fields of consumption and public utilities.
In the next three years, AIoT industry will continue to grow at a high speed, driven by the continued growth of the consumer and policy-driven application markets. In the long term, the industry-driven application market has great potential and will become a long-term growth point.
In terms of connections, according to IoT Analytics, the number of global IoT connections exceeded 11.7 billion in 2020, surpassing the number of non-IoT connections for the first time and maintaining a 30.8% CAGR over the past decade, far exceeding the 9.4% CAGR of total connections.
Non-IoT connections mainly come from person-to-person communication devices, including mobile phones, computers, etc., most of which are smartphones. The number of connections of the Internet of Things is catching up with that of the non-Internet, which indicates that the network framework of the Internet of Things is gradually improved, data sources are beginning to be abundant, and the development foundation of AIoT is becoming more and more solid.
In the future, with the further improvement of digital infrastructure and more abundant applications, the AIoT industry will release great power.
From January to October 2020, there were a total of 761 AIoT-related investment and financing events in China, with 169, 135, 62, 54, 45, and 41 investment and financing events in enterprise services, components, healthcare, industrial internet, artificial intelligence, and transportation and travel, respectively, each accounting for 22.2%, 17.7%, 8.1%, 7.1%, 5.9%, and 5.4% of the total. The combined percentage reached 66.5%.
The capital market continues to pay attention to AIoT-related fields such as enterprise services, components, medical health and industrial internet. The components sector is receiving more and more attention as issues such as technological innovation and independent control of core technologies are being emphasized in China.
In the areas of corporate services and industrial Internet, China has a strong demand for transformation and upgrading of traditional industries represented by industry and has huge market potential, attracting a large amount of capital influx. Participants in the AIoT capital market include large state-owned funds, large enterprises, and financial investors.
With an active capital market and clear investment direction, China’s AIoT will rapidly promote the development of chip and other underlying technologies and industries, as well as accelerate the maturity of AIoT technology integration application fields such as industrial Internet and medical and health, which will not only contribute to the balanced development of AIoT industry but also lay a foundation for further integration of AIoT industry with other industries.
Source: IoT Think Tank (Original link not found)