3 Major Tech Trends

Coming in 2015

What’s coming in 2015?

• Technology growth in China

• More Internet of Things (IoT) expansion

• Telecoms becoming even bigger tech players

3 trends to keep an eye on next year:

Trend 1: Technology Growth in China

Technology Growth in China

According to a recent report by IDC:

• “China has a roaring domestic market in technology”

• 500 million smartphones will be sold in the country next year -- and Chinese vendors will make 85% of those devices.

• China's technology market will make up 43% of all tech sector growth worldwide in 2015

Technology Growth in ChinaChinese smartphone maker, Xiaomi, is now the No. 3 smartphone vendor in the world

Data Source: IDC.

0

20

40

60

80

100

Samsung Apple Xiaomi Lenovo LG

Q3 2014 Smartphone Shipments (in millions)

Technology Growth in China

“While Apple and Samsung continue to dominate the Ultra-Premium end of the market, these vendors are facing significant pressure from local players in the emerging markets. For example, Xiaomi, the Chinese smartphone vendor, is witnessing tremendous success in China and India as a result of its aggressive price-point offerings.

These new players are beginning to build market share and achieve larger economies of scale, which eventually will enable them to expand their offering and challenge other Smartphone sectors in the future.”

- Juniper Research

What this means for Apple and Samsung:

Trend 2: Internet of Things Expansion

Image source: Qualcomm.

Internet of Things Expansion

• 50% of IoT tech is focused on manufacturing, transportation, smart cities, and the consumer market right now

• Over the next five years all industries will have Internet of Things initiatives, according to IDC

Believe the hype:

Internet of Things Expansion

• IoT spending will exceed $1.7 trillion next year

• Big data and analytics market will reach $125 billion in 2015, with IoT as a major focus

• Cisco Systems says the global value of the Internet of Things will be $19 trillion by 2020

• U.S. value will be worth 32% of that

By the numbers:

Internet of Things Expansion

• IDC says wearable technology will "underwhelm” next year

• Predicts only 40 million to 50 million wearablessold in 2015

Not every IoT category will flourish:

Image source: Apple.

Trend 3: Telecoms on the Rise

Image source: Fool Editorial..

Telecoms on the Rise

• IDC says, “Wireless data will be the biggest and fastest-growing Telecom Services sector” next year

• In 2015, wireless data segment will be worth $536 billion

• Carrier margins are eroding, forcing new ways to create additional revenue

What’s changing:

Telecoms on the Rise

• U.S. telecoms are focusing on more personal data and content connections

• Chinese telecoms are building out large country-wide services

China and the U.S. are two of biggest areas for telecom tech growth next year, but each country has its own approach.

Telecoms on the Rise

• IDC expects more over-the-top deals like we’ve seen between Verizon and Netflix

• Expects Net Neutrality will be mandated in the U.S., but a “hybrid” system will allow more tiered Internet deals to be made between content makers and telecoms

• Sprint and T-Mobile are about as low as they can go now on data pricing. Pricing wars should subside at least a little bit next year

The U.S. approach:

Telecoms on the Rise

• Lots of big picture connections, (i.e. Internet of Things)• China Mobile is both the world’s largest mobile carrier

and the world’s largest machine-to-machine operator (more than 32 million connections)

• Even has its own network for M2M connections• China Unicom is close behind with 10 million M2M

connections• Also manages smart city meters, video surveillance, and

emergency response connections with its connections

What Chinese telecoms are already doing:

More Trends: A Busy 2015

• Enterprise mobile apps will double

• More phablet growth

• Sales for public cloud services will increase

• More machine learning

• Increased data security needs

• 3D printing of consumer products hits new highs

There are plenty more trends to watch next year:

The $19 Trillion Industry that Could Destroy the Internet

One bleeding-edge technology is about to put the World-Wide-Web to bed. It could make early investors wildly rich. Experts are calling it the single largest business opportunity in the history of capitalism... The Economist is calling it

"transformative"... But you’ll probably just call it "how I made my millions." Don't be too late to the party, click now for the free report.