|According to a recent IDC ‘APeJ Nations and IoT: A Comparative Assessment’ report, Australia and New Zealand rank among the top four countries in Asia Pacific excluding Japan (APeJ) that are the most capable and ready to generate efficiencies linked to IoT solutions, with New Zealand and Australia in third and fourth place respectively.
The report provides a comparative assessment of APeJ countries’ readiness for sustained IoT adoption, as well as their ability to facilitate its accelerated development. The report reveals that the countries at the top of the index like South Korea, Singapore, New Zealand and Australia ranked well in all measures of stature, business readiness and technological preparedness. Other countries included in the benchmarking exercise are China, Taiwan, Hong Kong, India, Malaysia, Thailand, Indonesia, Philippines and Vietnam.
IDC predicts that the APeJ loT market will grow from US$335.6 billion in 2016 to $565.5 billion in 2020 as the global IoT landscape continues to mature. With such growth and business opportunities at hand, loT vendors and service providers are faced with an increasingly complex set of choices as to which markets to enter to gain the most value and globalise their offerings.
“On the impact for vendors operating in the market, both Australia and New Zealand must be considered attractive investment targets by virtue of their level of overall infrastructure maturity, size of the digitally-aware skills base and the level of innovation expressed in those markets,” said Hugh Ujhazy, Associate Vice President for IoT research, IDC Asia Pacific. “Knowing where a country stands in the loT index will help global and local IT vendors identify the opportunities that lie ahead of them as they line up their strategies at federal, local, and enterprise levels.”
Highlights from the assessment include:
· New Zealand scores exceptionally high on measures such as ease of doing business and start-up procedures, government effectiveness, regulatory quality and innovation; all of which point to necessary components for a business environment that is ready for the growth of the IoT. This is considering they have a relatively small GDP and population compared with G20 countries.
· Australia and New Zealand ranked in the second quartile in terms of country competitiveness, a combination of GDP and the Global Innovation Index.
· New Zealand edged out Australia in infrastructure investment, having higher overall ICT spend per-capita than Australia, while Australia had a higher ratio of secure server deployment.
· In terms of regulation and ease of doing business, both countries were on par, falling slightly behind Hong Kong and Singapore.
· In terms of skills to support IOT deployments and the creation of intellectual capital through the number of local patents, both Australia and New Zealand were on par with each other, sitting slightly behind South Korea.
“Governments in Australia and New Zealand are start-up and business friendly in general, fostering an innovation market where there is fierce competition for venture capital funds,” concluded Ujhazy. “This aspect may lure IoT experimentalists to capital markets outside of ANZ as they seek funding to scale beyond early proof of concepts.”