According to a recent study done by Management Consulting firm Zinnov, the city of Bengaluru is the prime destination for Internet Of Things startups to set up a base in the Indian subcontinent.
With nearly 52 per cent of the country’s total Internet Of Things startups in Bengaluru, the city has emerged on the number spot on the Zinnov list. It is followed by Delhi NCR at the number two spot with 12 per cent IoT startups. Mumbai, Hyderabad and Chennai acquire the third, fourth and fifth position on the list with 11 per cent, 4 per cent and 2 per cent respectively.
The study done by Zinnov has highlighted that more than 120 IoT startups took birth in the South Asian country in the period of last 10 years. Out of these 120 startups, more than 80 per cent went live after the year 2010.
According to the study, all these IoT startups have been successful in attracting a whopping USD 169 million in funding since 2006. The huge funding figures represents the interest of the nation in IoT and the promise it holds.
The study also talked about the emerging trends in the Indian IoT landscape and revealed that even though the initial wave of growth for IoT startups in India was tilted towards Consumer applications, the next wave will be focusing on Industrial IoT.
Industrial IoT (IIoT) is being pitched as the next big thing. According to experts, by the year 2020, the industry could be worth a whopping $151bn. IIoT startups have received close to USD 65 million in funding from investors like Qualcomm Ventures, Tiger Global Management, Blume Ventures, the report added. Since the industry is still in its nascent stage, the topics that are being hotly debated right now in IIoT has the potential to shape the industry’s entire future.
Sharing specific details about the Indian IoT landscape, the Zinnov study revealed that about 67 per cent of the IoT Startups in India are in the Infrastructure layer, which includes hardware components such as embedded chips, infrastructure sensors, MEMS, actuators, modules, SIM card and system design.
The study highlighted the fact that the Indian IoT Landscape can be classified across three broad categories based on their use cases, which are Consumer IoT, Enterprise IoT, and Industrial IoT.
While the Consumer IoT category boosts of having 47 per cent of the Indian IoT Startups, Enterprise IoT at 40 per cent share takes the second place and Industrial IoT comes in at the third position with 27 per cent of the IoT share.
According to the Zinnov study, Bengaluru’s wide availability of talent, thriving ecosystem of investors, easy access to industry experts and the presence of startup accelerators are some of the factors that have contributed towards Bengaluru’s dominance in the Indian IoT space.