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Mexican Industrial IoT market revenue is expected to increase from $1.13 billion in 2016 to $3.96 billion by 2022, at a compound annual growth rate of 23.2%.
This outlook considers the growth potential of hardware, software, connectivity, and services, and of primary verticals in the Mexican IoT market. The base year is 2016 and the forecast period is from 2017 to 2022. For the purposes of this research, Industrial IoT refers to the use of IoT technologies in industry, automotive, finance, utilities, and other verticals.
Consumer IoT, including consumer wearables, phones, TVs, appliances, home monitoring, and home automation, are not included. Primary research included extensive interviews with CEOs, vice presidents, directors, and other executives.
A bottom-up analysis of the verticals included in the study was based on information in the publisher knowledge base, a modeled analysis of the impacts of various drivers and restraints over the forecast period across Mexico, and modeled demand analysis. These data triangulation and market breakdown procedures were used to complete the overall Market Engineering process and to arrive at the exact statistics for all segments.
Some of the main drivers for IoT growth are the migration from IPv4 to IPv6 and from 4G/LTE to 5G to provide future addresses and bandwidth for IoT.
5G will increase network capacity nearly ten-fold, with data speeds greater than 1 Gbps and near-zero latency and IPv6, the latest Internet protocol, can assign 100 unique IP addresses to every atom on the surface of the earth.
Additionally, average selling price for sensors is projected to decline with prices falling at twice the rate of the previous 5 years. The Mexican industrial IoT market ecosystem comprises vendors, integrators, and service providers offering IoT wireless or fixed two-way communication technologies.