One report found that there are about 13 billion IoT devices globally, and the compound annual growth rate (CAGR) is 19 percent per annum. Of these, 2.7 billion IoT connection devices use SIM with a CAGR of 12 percent. Most of the world’s IoT device market belongs to China. The country owns more than 10 billion IoT connections, of which 1.84 billion devices use SIM.
In Vietnam, according to Research and Market, the IoT market was valued at $2.5 billion in 2021 and grew by 22.6 percent per annum. Research and Market predicted that the market would be worth $8.5 billion by 2027.
Mason’s statistics showed that 90 percent of Vietnam’s IoT connections will be within 25 scenarios of use. Of these, the most commonly used scenarios with NB-IoT technology are fire alarms, household-use appliances, smart agriculture, street lights, and smart electricity meters.
For IoT devices used for 4G/5G connectivity, they will be used mostly to connect automobiles, car fleet management, cameras, POS and scenarios related to healthcare.
Nguyen Thi Hiep from Deloitte Southeast Asia said Deloitte believes that Vietnam will have 14.8 million IoT connection devices by 2027.
IoT apps can be divided into five types of services, including connectivity, device management, application, data management and analysis, machine learning, and AI.
From now to 2024, IoT’s apps in Vietnam will be mostly in device connection and management. However, the market of the two services will narrow eventually to give place to services related to data application, management and analysis, machine learning, and AI.
According to Hiep, there are many fields in Vietnam that have potential to use IoT technology – energy, transport, logistics, natural resource production and exploitation, retail, healthcare, and government.
Of these, the energy sector could be prioritized because the complexity when using IoT is relatively low. The other fields related to transport such as logistics have complexity at a medium level.
Deloitte suggested that Vietnam should prioritize application of IoT in electrical equipment, support to connect cars and heavy trucks, manage ship fleet, supervise cargo transport and payment at shops.
According to Nguyen Van Son, director of Viettel Telecom, two new definitions have appeared in the field of IoT – IoV (Internet of Vehicle) and IoG (Internet of Government). These are the IoT apps Vietnam will develop strongly in the next 3-5 years.
Son suggested establishing an IoT association of Vietnam where businesses can share knowledge and experiences in applying IoT in life.
Trong Dat