Scope of Global Technology Industry Reports-
The technology market is the amalgamation of many smaller markets of technology which includes everything from smartphones and other smart devices, to the IoT and virtual reality. It includes many of the innovations that have changed the way people live. Today’s world is driven largely by technology in one form or another. From transport to healthcare to communication, every industrial segment is touched by technological innovation to make work simpler for which the investment into technological research is in the peak now a days.
Global Technology Industry Market is valued at USD 3.443 trillion in 2019 and expected to reach USD 5.131 trillion by 2026 with the CAGR of 5.86% over the forecast period.
Continuous innovation in technology sector such as machine learning, artificial intelligence, augmented reality; growing adoption of technology in every point life such as banking, financial services, entertainment, communication etc.; as well as active government supports and private mega factories large investment in research & development of innovating new technologies are the major driving factors for technology industry. For instance, there are about 44,864 jobs in the U.S. today according to LinkedIn that mention machine learning as a required skill, and 98,371 globally, which shows how prevalent is machine learning in business today. Another example of uses of machine learning can be know from the fact that, approximately 75% of Netflix users go for films recommended to them by the company’s machine learning algorithms. Similarly, innovative technologies such as smart phones, internet of things, automation, new age sensors, block chain etc. are the attractive technologies which force consumers to apply them in their respective ways of life, strengthening the technology industry.
Recent Development- Covid-19 effect on Various Industries
An uncertain business situation due to Covid-19 pandemic is forcing corporates to review and reanalysis their business. Social distancing has become new Norm. Organizations around the globe are understanding the need for operational and systems resilience. Due to lock down, many IT companies have digitized all their processes and invested in cutting edge technology and collaboration tools to support their location-independent delivery models and secure borderless work environments.
Many of the companies in services sector such as banking & other financial services, education, retail, healthcare, food & grocery delivery are forced to embrace technology, automation, cloud and mobility trends for the continuation of their business in this social distancing period. There is a trend of digitization and automation as work from home is starting to become new normal, for which more workloads are being migrated to the cloud to ensure business continuity. Industries such as retail must spend more on IT and IT infrastructure for better application and retail support services.
Manufacturers of industrial equipment and household hardware as well as security product companies are aiming to deliver end-to-end applications, infrastructure and scale digital services as part of customer’s digital transformation strategy. Chemical manufacturers are planning to implement automation solutions and deliver PC as a service (PCaaS). Additionally, present crisis has opened new direction for educational eco system, where digital learning system and online class with the help of messaging apps are the new environment of schools and colleges.
It is estimated that digitization, cloud computing, artificial intelligence and machine learning will dominate post Corona pandemic market. Investors are focusing on companies with strong balance sheets, stable growth, attractive dividend yields and low profit volatility. In India companies such as TCS, Infosys, HCL technologies and NIIT technologies are predicted to be stronger from virus outbreak based on their past records of execution, strong client relationships, strategy on cost control measure etc.
5G wireless networks have the capability of supporting 1000-fold gains in capacity, connections for at least 100 billion devices and a 10gb per second individual user experience of extremely low latency and response times. However, the main restraining factor for mobile network carriers is the need of increasing bandwidth and to decrease network costs. Even if 4G technology is still in expansion phase, countries such as US and China are already implanting 5G networks in their infrastructures and it is estimated that the global revenue from 5G network is more than 3.5 billion in2019. The adoption of 5G network can be known from the fact that, 380 operators are investing in 5G networks in form of tests, trials, pilots as well as planned and actual deployments and 88 operators have declared 3GPP-compliant 5G technology in their networks.
AI is one of the latest as well as important technology trends for 2020 and the emerging technology is used mainly by large enterprises through machine learning and predictive analytics. In 2019, the worldwide spending on AI was USD 35.8 billion. Oracle predicts that by 2020, approximately 78% of brands will have implemented AI. AI demand is growing due to the ability of making the routine works automatic, sparing the employees for the works that cannot be possible by machines. The need of collecting, analyzing and organizing vast amount of data has become the main driving point for AI. It is estimated that, worldwide data will increase 61% to 175 zettabytes by 2025. Additionally, until now about 37% of organizations have implemented AI in some form which is 270 percent increase over last four years which shows the high adoption rate of this technology.
At present, industries are focusing more on the efficiency and the response rate of computing, by which data analysis is made. And edge computing is becoming more dependable on this scenario. Edge computing takes data storage and computation closer to the businesses and upgrades the response times and saves bandwidth. Additionally, it depends more on the latest trend in technology as the industries are rapidly implementing sophisticated and specialized resources, which is bound to decrease the latency. At present, edge computing is being powered by the rapid growth of the Internet of Things (IoT) and in the future, it is estimated to create an unstructured architecture based on a set of distributed cloud services. The application of it can be known from the example such as drones that directly communicate with the enterprise IoT platform and conduct peer-to-peer exchanges. The latest package delivery drone by Amazon is one such example of edge computing.
Distributed ledger technology comprises blockchain, Artificial intelligence (AI), Extended reality (such as virtual and augmented reality), and Quantum computing, are trending from previous 2-3 years and is expected to continue in 2020. For example, Volkswagen, is already investing in quantum computing to test traffic flow optimization and accelerate battery development. The company is also researching on distributed ledgers to give automatic payments at gas stations, make tamper-proof odometers, protect cars from hackers and so on. Similarly, it is trying to use AR instructions to help service employees repair vehicles.
The use of cloud storage and cloud computing are already becoming mainstream by the industries around the globe and the next technological improvement that is going to hit the tech ecosystem is the distributed cloud system. Distributed Cloud operates in connecting the public cloud distributed operation of cloud services to specific locations. It is predicted that by 2020, about 75% of the enterprise-generated data will be processed irrespective of the centralized data center. And this new upcoming technology of 2020 is expected to be a significant breakthrough in the cloud infrastructure. Distributed Cloud is still in its beginning and there is a long way to go. Many organizations are up with their service subsets to be used in a distributed way.
Top Technology Industry Trends 6- Big data
Big data is a technological sector that treats ways to analyze, systematically collect information from, or to deal with data sets that are too large or complex to work on with by traditional data-processing application software. To generally understand the power of Big Data, the example that can be taken is Netflix, who saved close to USD1 billion by using Big Data for customer retention. It is estimated that companies have also increased their profits by 8-10% with big data implementation. Some of the aspects where Big Data is applied are for more effective research and development, for improved business efficiencies, for quicker innovation cycles and for better quality of product/service