The Internet of Things (IoT) market was estimated to be worth $1.3 trillion last year, and is projected to grow at a compound annual growth rate of 13 percent to reach $3.04 trillion in 2020 worldwide, according to the latest report from market research firm IDC. The installed and connected base of IoT units will reach approximately 30 billion by that time.

The report also predicts that government mandates and more openly eco-conscious cultures will propel Western Europe and Asia/Pacific to outpace North America in terms of IoT revenues and installed base through 2020.

"The opportunities presented by IoT are driving widespread attention among both traditional and non-traditional ICT vendors looking to take advantage of emerging revenue opportunities", said IDC's Vernon Turner, Senior Vice President, Enterprise Infrastructure, Consumer, Network, Telecom, and IoT Research, adding that IoT represents unparalleled opportunity in government, consumer, and enterprise environments.

For those who are unaware, IoT refers to a network of networks of uniquely identifiable endpoints that communicate without human interaction using IP connectivity. The IoT ecosystem includes intelligent systems, network equipment, connectivity services, data integration, and often other types of software, applications, services, and security.

"There will be no one leader in this market", said Carrie MacGillivray, IDC Vice President, IoT and Mobile Service and Infrastructure, adding that the market will rely on partnerships, federation, and innovative services to create truly valuable IoT solutions.

Back in June this year, IDC had predicted that the global IoT market would hit $7.1 trillion by 2020.