35% of the growth will originate from North America for the IoT data management market. The US is the key market for IoT data management in North America. Market growth in North America will be faster than the growth of the market in other regions.
The IoT data management market is expected to grow by $94.79 billion from 2021 to 2026. However, the growth momentum is likely to decelerate at a CAGR of 13.68% as per the latest market report by Technavio. The IoT data management market to record an 18.50% Y-O-Y growth rate in 2022.
IoT data management market driver
The key factor driving growth in the IoT data management market is the growth in industrial automation. The industrial environment is currently witnessing evolutionary changes with the rising automation of processes. The combination of physical and digital systems has improved HMI and enabled M2M communication.
Industry 4.0 defines the entire life cycle of products where the manufacturing processes by smart machines are carried out on their own, smart robots coordinate with humans to assemble products, and driverless transport vehicles have started to operate logistics on their own.
The integration of cyber systems and physical systems in the industrial manufacturing industries enables higher efficiency, greater safety, predictive maintenance of machines, and increased profitability. Therefore, industries across the globe are implementing Industry 4.0 to optimize material flow and detect errors at the early stages of the life cycle of a product.
The lack of awareness of efficient management of IoT initiatives and investments will be a major challenge for the IoT data management market during the forecast period. Though the adoption of industrial IoT is on the rise, enterprises continue to face a considerable challenge in managing, securing, and optimizing their IoT investments. The implementation of IoT in industrial facilities is one of the primary tasks undertaken by industries.
The next step is to train the employees on working on the IoT platform so as to allow workers to adapt better and faster to IoT. The lack of skilled employees to handle the intricacies of IoT systems is a major problem encountered by end-user industries. Without proper training and knowledge of IoT systems, the capabilities of IoT can be exploited only partially. Such factors act as a challenge for the adoption of IoT and IoT data collection and device management platforms in industries, thereby hampering the growth of the market.