By 2018, the number of global IoT connections will exceed that of mobile phones. Ericsson said in its report that by 2021, the number of mobile connections in the world will reach 27.5 billion, of which the Internet of Things will reach 15.7 billion and the number of mobile phones will reach 8.6 billion.
By then, the Asia Pacific region will become the largest market for IoT connections, followed by Western Europe and North America. Mobile operators need to be aware that Ericsson predicts that by 2021, cellular-based IoT connections will account for less than 10% of total IoT connections. This shows that technologies that use unlicensed spectrum, such as WiFi and LoRaWAN, have become the dominant technologies for IoT at least for the next five years. But from 2020 onwards, as operators begin to commercialize 5G, cellular networks will become more and more important to the Internet of Things.
Ericsson predicts that by the end of 2021, the number of global 5G connections will reach 150 million. By then, LTE connectivity will grow from 1.2 billion at the end of the first quarter of this year to 4.3 billion. Meanwhile, the number of 3G connections is also expected to grow from 2.1 billion by the end of 2015 to 3.1 billion, while the number of 2G connections will drop from 3.6 billion to 1.2 billion.
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