The research and consulting company International Data Corporation (IDC), specializing in information technology and telecommunications markets, published a report on the prospects of blocking solutions in various business processes, and also compiled a list of countries where the development of DLT technologies will become a priority.
According to the report, in 2017, the cost of enterprises for the implementation of DLT-technologies amounted to $ 945 million. Experts are confident that in 2018 this figure will increase to $ 2.1 billion. Thus, according to IDC for five years, from 2016 to 2021 , the annual growth will be 81.2%. By the end of this period, the business expenses for the implementation of blocking solutions should reach $ 9.2 billion.
The United States will see the largest blockchain investments and deliver more than 40% of worldwide spending throughout the forecast. Western Europe will be the next largest region for blockchain spending, followed by China and Asia/Pacific (excluding Japan and China)(APeJC). All nine regions covered in the spending guide will see phenomenal spending growth over the 2016–2021 forecast period with Latin America and Japan leading the way with CAGRs of 152.5% and 127.3%, respectively.
Lets see more detailed how it will going in different parts of the world.
Middle East & Africa
Spending on blockchain solutions in the Middle East and Africa (MEA) is set to more than double this year, according to the latest insights from International Data Corporation. The global technology research and consulting firm’s recently launched Worldwide Semiannual Blockchain Spending Guide shows spending in the region totaling $80.8 million for 2018, up 107% on the $38.9 million spent in 2017.
Looking further ahead, IDC expects blockchain spending in MEA to reach $307 million in 2021, which represents a compound annual growth rate (CAGR) of 77.4% for the 2016–2021 period. While various industries are evaluating the use of blockchain, IDC research suggests the region’s public sector (including government, education, and healthcare) will spend an estimated $120.8 million in this space in 2021, accounting for 39.2% share. It will be followed by the financial services sector at 35.5% and the distribution and services sector at 14.1%.
Asia Pacific excluding Japan (APEJ)
Asia Pacific excluding Japan (APEJ) spending on blockchain solutions is forecast to reach $281.69 million in 2018, almost double the $148.76 million spent in 2017, according to the first-ever IDC Worldwide Semiannual Blockchain Spending Guide. IDC expects APEJ’s blockchain spending to grow at a robust pace over the 2016–2021 forecast period with a five-year compound annual growth rate (CAGR) of 90.70% — faster than the projected worldwide growth of 81.21%.
China will see a phenomenal five-year CAGR of 95.00%, with Asia Pacific excluding Japan and China following closely with an 86.14% five-year CAGR.
According to the inaugural Worldwide Semiannual Blockchain Spending Guide from International Data Corporation (IDC), Western Europe will be the second largest region at a worldwide level, starting from around $200 million in 2017, including all the experimentation projects.
The initial investment in proof-of-concept cases will nearly triple the spending in 2018, to reach $1.8 billion in 2021. There is interest in blockchain across industries, with the compound annual growth rate (CAGR) expected to be 66.6% for 2016–2021.
“During 2017 many companies across a wide range of industries started to understand the feasibility, sustainability, and potential deployment of blockchain,” said Carla La Croce, research analyst, Customer Insights and Analysis, IDC. “2018 will be the year of blockchain.”
Blockchain spending will be driven by the financial sector (46.7% of 2018 spending), led by the banking industry, which will account for around $260 million of the total. The second largest spender will be the distribution and services sector (nearly $120 million in 2018), with the retail and professional services industries as the largest, while the manufacturing and resources sector ($112 million in 2018) will be driven by the discrete and process manufacturing industries. IDC expects the highest growth to be in telecommunications (79.1% CAGR), professional services (77.2% CAGR), and healthcare (76.7% CAGR).
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