Page 60 - FY18 Advanced Services Strategic Plan

IoT market profile

Total Addressable Market Market Opportunities
• Rapid growth of digitization efforts in the industrial sector
• Governments view digital transformation as a competitive
3,551 and sustainability strategy
+27% • IoT data proliferation will drive analytic requirements
2,826
2,217 • Digital transformation will drive need for networking, mobility, security,
collaboration, etc.
1,699
1,300 • Security pervasive across all sectors/opportunities
995 • Gartner forecasts IoT Professional Services to reach $400 billions of spend
726
523 by 2020. Other sources including IDC suggest $200-$300B range with
FY2014 FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 double digit CAGR through 2020

Competitive Landscape Market Risk
• Fragmented and evolving market with no clear leader • Diverse market requirements could dilute GTM focus
• Competitors’ focus varies by technology and service • Evolving standards and technologies impact service development
• System Integrators, GE, Honeywell, Accenture, IBM, niche players • Numerous competitors vying for market share and partner alignment
• OT Services: GE, Honeywell, Yokogawa, Accenture, niche players
• Cloud / IoT Services: Amazon, Google, Microsoft • Nimble competitors / solution providers execute faster (and better)
• Large deals being sold by competitors • Highly fragmented PLATFORM MARKET with 450+ IOT platforms
• 5-year contract awarded by Schneider Electric to Accenture to support • Market is moving fast - without focused execution and leveraged investment,
ongoing rollout of Industrial IoT-enabled solutions Cisco will miss this market transition
• Fujitsu installed an IoT-based visualization system in Intel factory in
Malaysia with a goal of ¥10B in revenue over the next 3 years

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