Growth Factors of IoT in BFSI Market
The IoT in BFSI market size was valued at USD 17.85 billion in 2018, and the market is now projected tgrow tUSD 116.27 billion by 2026, exhibiting a CAGR of 26.5% during the forecast period of 2019-2026.
The impact of COVID-19 has led tthe increased implementation of IoT systems in BFSI market since banks and financial institutions aimed toptimize the remote operations, personal customer experiences as well as security concerns. As banking went online, and with contactless payments, Internet of Things, such as biometric ATMs, smart payment terminals and IoT based surveillance came intpicture. Yet, the pandemic acted as a major catalyst texploiting IoT vulnerabilities and boosting the cybersecurity and data privacy discussion. The BFSI sector has already accelerated the digital transformation process post COVID and IoT solutions are set tbecome critical enablers as businesses seek tmaximise productivity and deliver more bespoke financial services. This increased the IoT in BFSI market growth.
Increased adoption of banking applications on the Internet is anticipated tpresent one of the most influential drivers for the globalization of the IoT in the BFSI market over the forecast period. One of the major advantages of the online banking applications is that it provides fewer intermediates and pursues easy access services tthe end-users. Some characteristics of online banking applications include; E-wallets service, virtual assistants, self-help services as well as very secured high authentication systems tprevent cyber criminals from accessing the funds. These factors drive the IoT in BFSI market shares.
Another emerging trend in IoT in BFSI market is the combination of IoT with Artificial Intelligence (AI) and machine learning timprove the forecast an customized solutions. Currently, banks and financial institutions are using IoT connected devices like wearable devices and smart home systems as a way of getting real-time customer data. When integrated with AI and ML models, the insights derived from such data help institutions anticipate the needs of the customers as well as provide relevant products while addressing undesirable incidents, including fraud. Smart branches and IoT customer engagement solutions represent an ability of the BFSI sector tinvest in the creation of the experience around the client.
Comprehensive Analysis of IoT in BFSI Market
The IoT in BFSI market is responding quite an unprecedented rate of growth because of its market segmentation. This indicators growth in different regions by substituting the major forces of supply and demand which define the shape of local pharmacy benefit management market. Therefore, they are logically divided int2 Segments, by components analysis and by application analysis. Depending on the component, the scope of the study is further categorized intsolution and services. Solutions are forecasted tincrease at good percent in the future years for it is economical and can be implemented in different kinds of use. Depending on the field of application, the study includes such topics as customer experience, security, monitoring, data management and others
The market size in North America has a considerable presence in the global market. This has mainly been attributed texistence of some of the biggest stake holders such as the JPMorgan Chase & Co, Bank of America, Citigroup Inc among others familiar in banking core communication technologies. Some of the major companies in this market, which have their stronghold in North America prefer tacquire strategic mergers and partnerships with local players tboost their investments in the BFSI business segment.
CiscSystems [U.S.], IBM Corporation [U.S.], Microsoft Corporation [U.S.], Capgemini SE [France], SAP ERP [Germany], Oracle Corporation [U.S.], Accenture Plc. [Ireland], Infosys Limited [India], Software AG [Germany], TibbSystems [Taiwan] and Intel Corporation [U.S.] are significant players in the FinTech market. They are the key player that ensures the industry's success while still having tkeep pace with their innovation in product and services. They offer a competitive zone that incites the growth of technologies and quality assurance. They operate on a global scale and have a wide range of product lines ensuring that the market players compete on a fair playing field bringing in innovations that result in the market's evolution.
In July 2019, Smart ATM edition, based on IoT, was initiated by the world’s security and financial services organisation, primarily located in the US, known as Diebold Nixdorf. This is a smart ATM that is associated with users account thelp the users tmake transactions other than scheduling a session.
Segmentation Table
ATTRIBUTE DETAILS
Study Period 2015-2026
Base Year 2018
Forecast Period 2019-2026
Historical Period 2015-2017
Unit Value (USD billion)
Segmentation By Component
Solutions
Services
By Application
Customer Experience Management
Security
Monitoring
Data Management
Others
By Region
North America (U.S. and Canada)
Europe (U.K., Germany, France, Italy, Spain, and Rest of Europe)
Asia Pacific (Japan, China, India, Southeast Asia, and Rest of Asia Pacific)
Middle East & Africa (South Africa, GCC, and Rest of Middle East & Africa)
Latin America (Brazil, Mexico, and Rest of Latin America)
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