Manovega Communications

Vertical Markets – Market Data and Trends

Digital Signage

-The market for digital signage continues its growth as the market consumed 1.1 million displays in 2008, according to MultiMedia Intelligence. This is an increase of display shipments 34% over 2007. By 2012, the market will consume nearly 2.3 million displays (http://multimediaintelligence.com/index.php?option=com_content&view=article&id=137:digital-signage-market-growth-continues-as-ip-drives-next-generation-advertising-according-to-multimedia-intelligence-but-economic-weakness-looms&catid=36:frontage&Itemid=214)

-Global shipments of retail digital signs are set to rise to 2.5 million units by 2013, generating a Compound Annual Growth Rate (CAGR) of 26.8 percent from 758,122 units in 2008 – iSuppli (http://www.retailcustomerexperience.com/article.php?id=1180)

-ROA estimates that the current market size of digital signage is almost $738.4 million (JPY 70 billion) and will grow to $7.38 billion (JPY 700 billion) by 2015 (http://www.digitalsignageexpo.net/Home/tabid/36/smid/1236/ArticleID/1731/t/Japanese-Digital-Signage-Market-Will-Grow-to-US-7-Billion-by-2015/Default.aspx)

-Total revenue from the market is expected to increase by 33 percent in 2009 and includes hardware, software, installation and maintenance, said Zippy Aima, digital media analyst at ABI Research. Aima said 2008 revenue ranged up to $700 million (http://www.crn.com/hardware/215801343;jsessionid=5CGELYOKCJQZHQE1GHPSKHWATMY32JVN)

-Driven by a desire by retailers and advertisers to better target consumers in the out-of-home media market, the overall market for digital signage software, hardware, installation and management services in the United States will grow from a $641 million market in 2008 to nearly $1.4 billion by 2013 (http://www.abiresearch.com/press/1283-Digital+Signage+Market+Expected+to+Double+Over+Next+Five+Years)

-According to RocSearch, dated July 27, 2007, the overall market for the Digital Signage industry worldwide is projected to be $14.6 billion by the end of 2011 (http://internetconnectivitygroup.com/digital_signage.html)

-With a current market of over US$800 million dollars digital signage has proven its effectiveness as a marketing channel. It is also one of the fastest growing marketing channels, with a projected market for digital signage worth US$3.5 billion by yeah 2011. In fact, over 430,000 digital displays were sold in 2005 alone, with the sole purpose of being used for digital signage displays (http://www.digitalsignageresource.com/digital-signage-articles/digital-signage-market-rapidly-expands.asp)

Mobile Health

-15 million wireless/mobile health devices will be in use annually by 2012 (http://medtechiq.ning.com/group/telemedicine/forum/topics/research-report-predicts-15)

-The U.S. market for wireless home-based healthcare applications and services will grow at a five-year cumulative annual growth rate of over 180% from $304 million in 2009 to become a $4.4 billion industry in 2013; The estimated annual growth rates are 96% in 2010, 126% in 2011, 95% in 2012 and 68% in 2013. One factor fueling the increases is the economic stimulus law’s health information technology providers, which will open new opportunities for wireless vendors. Wireless technology can support chronic care management, diagnostic device monitoring, wellness and fitness applications, medication management, and independent living - http://www.wirelessdevnet.com/news/2009/aug/06/news1.html, http://www.healthdatamanagement.com/news/home_health-38778-1.html

Intel, GE projects market for tele-health devices to grow from $3 billion this year to $7.7 billion by 2012 (http://www.internetnews.com/mobility/article.php/3826801, http://news.cnet.com/8301-1035_3-10213540-94.html)

-ON World “WSN for Healthcare” report – wireless sensor networks can reduce annual health care costs by $25 billion by 2012 (http://www.themobilehealthcrowd.com/?q=node/219)

-$19 billion in Recovery Act stimulus (US) for health IT initiatives

-Global Medical Tourism market should climb to $100 billion by 2012 (http://www.fiercehealthcare.com/story/global-medical-tourism-market-hit-100b-2012/2009-06-29)

-Datamonitor – Remote Patient Monitoring to grow at CAGR of 56% to hit $8 billion by 2012 (http://www.fiercehealthit.com/story/trend-remote-patient-monitoring-market-growing/2007-09-04)

-Spending on telemedicine will hit $2.4 billion this year and triple to $6.1 billion by 2012 (http://health.usnews.com/articles/health/best-hospitals/2009/07/15/the-high-tech-hospital-of-the-future.html)

-The market for wireless devices that monitor patients’ condition and report that data to healthcare providers is on the verge of explosive growth, according to a new study from ABI Research. Over the next few years it will show a remarkable 77% compound annual growth rate (CAGR) resulting in global revenue of almost $950 million in 2014.

-The market for wireless devices that monitor patients’ condition and report that data to healthcare providers will post a 77% CAGR resulting in global revenue of almost $950 million in 2014, according to a new study from ABI Research (http://www.telecomasia.net/content/remote-patient-monitoring-devices-hit-950m-revenue-2014-–-abi-research)

Wi-Fi in Public Transport

-Passenger Internet on public transport is the fastest growing venue type for Wi-Fi, with 238% growth in number of online sessions between 2006 and 2007; Europe was fastest growing market with 142% growth during same period (Source: iPass, March 2008)

Remote Surveillance

-The market for managed wireless security services will more than triple in size over the next five years, experiencing a robust, recession-resistant compound annual growth rate (CAGR) of 27% for the years 2008-2014, and exceeding $1 billion at the end of that period (http://www.abiresearch.com/research/1004311)

-IMS Research: Remote video and surveillance market estimated to be worth $292.2 million in 2007 and is forecast to reach $1 billion by 2013 (http://www.asmag.com/showpost/8193.aspx)

-IP CCTV market to grow at CAGR of 35-40% over next few years, market revenue surpassed $6 billion in 2008 (http://www.rncos.com/Press_Releases/IP-Surveillance-to-Drive-CCTV-Market.htm)

Mobile Video

-Global video conferencing service revenues amounted to $1.6 billion in 2008

-Industry is growing at 15% per annum – IDC figures (http://www.totaltele.com/view.aspx?ID=446942&mail=38)

-Infonetics: 400 million mobile video phones expected to sell in 2013, creating a market worth tens of billions of dollars; number of mobile video subscribers hit 41 million in 2008 (http://www.cellular-news.com/story/39192.php?source=rss)

Automotive Telematics

-ABI Research: Automotive Telematics and Navigation will experience 25% CAGR from 2007 to 2011, generating in total revenues of $38.3 billion in 2011 (http://findarticles.com/p/articles/mi_m0EIN/is_2006_August_28/ai_n16691615/)

-Gartner estimates by 2016 consumers will consider in-vehicle connectivity as important as traditional automobile features like safety and fuel efficiency (http://www.gartner.com/it/page.jsp?id=996912)

M2M

-Cellular M2M connections – which enable wireless data calls between machines – will approximately triple their current number of about 75 million by 2014, according to a new study from ABI Research. (http://www.telecommagazine.com/newsglobe/article.asp?HH_ID=AR_5686)

-Strategy Analytics estimates M2M communications will grow at CAGR of 24% from $16 billion in 2008 to over $57 billion in 2014; $20 billion in 2009, $25 billion in 2010 (http://www.mobilehandsetdesignline.com/news/209600382)

-ABI: 3G will capture 30% of M2M market by 2012 (http://electronics.ihs.com/news/abi-3g-m2m.htm)

-The number of mobile network connections used for machine-to-machine(M2M) communications will grow from 37.5 million in 2007 to 186 million in 2012, according to the Berg Insight (http://www.zdnetasia.com/news/communications/0,39044192,62041096,00.htm)

-Quoting analyst Berg Insight, Vodafone says that M2M revenues for mobile operators are expected to grow from €3 billion last year to €8.9 billion in 2012 globally (http://emergingtechnologies.becta.org.uk/index.php?section=etn&rid=14720)

-Ivan Seidenberg, CEO of Verizon Communications, is excited about the next generation of wireless–the one that will usher in growth that could see penetration rates of more than 500 percent for the mobile industry, thanks largely to M2M connections (http://www.fiercewireless.com/ctialive/story/verizons-seidenberg-500-percent-penetration-achievable/2009-04-01?utm_medium=nl&utm_source=internal#ixzz0Q4B3jHSE)

Cloud Computing

-Merrill Lynch estimates cloud computing market will be worth $160 billion by 2011, including $95 billion in business and productivity apps, and $65 billion in online advertising (http://www.sys-con.com/node/604936)

-US government spending on cloud computing to grow at 40% CAGR over next six years; expenditure will pass $7 billion by 2015 (http://www.marketresearchmedia.com/2009/05/20/us-federal-cloud-computing-market-forecast-2010-2015/)

-ABI Research forecast that the number of mobile cloud computing users will jump from 42.8 million people in 2008 to more than 998 million in 2014, representing nearly 19 percent of wireless subscribers (http://www.chicagotribune.com/business/chi-tc-biz-cloud-0922-0923-sep23,0,6931839.story)

Mobile Enterprise

-IBM will invest $100 million in Mobile Enterprise Enablement over next 5 years (http://www-03.ibm.com/press/us/en/pressrelease/27747.wss)