The Bluetooth® community continues to expand the technology to solve new connectivity challenges while creating new market opportunities. After first addressing audio streaming, Bluetooth expanded into low-power data transfer. Now, Bluetooth technology is meeting the market demand for indoor location services and reliable, large-scale device networks. And, according to the newly released 2019 Bluetooth Market Update, each of these key solutions areas are expected to see significant growth over the next five years.
Stripping away the hassle of wires on headsets, speakers, and home entertainment devices, Bluetooth® technology has revolutionized wireless audio streaming. Even while Bluetooth innovation is expanding into new markets and use cases, Bluetooth wireless audio solutions are still on the rise with annual shipments expecting to see a 7% CAGR over the next five years. The recently released 2019 Bluetooth Market Update notes that 39% of all Bluetooth peripheral devices (not including phones, tablets, and PCs) shipped in 2023 will support audio streaming.
The idea of a connected world, free from wires, is quickly becoming a reality. From fitness trackers and health & wellness monitors to toys and tools, millions of new Bluetooth® low-power, data-transferring devices free consumers from wires every year.
The wide application of Bluetooth technology shows us that anything can be a connected device. Annual shipments of simple data transfer solutions are forecasted to double from 690 million in 2018 to 1.3 billion in five years. According to the 2019 Bluetooth Market Update, data transfer will be the leading Bluetooth solution area by volume in 2023, surpassing even Bluetooth enabled audio streaming.
Data transfer will be the leading Bluetooth® solution area by volume in 2023.
The popularity of Bluetooth Low Energy for connecting data to applications and services is unquestioned. Anything can be a connected device, and more and more Bluetooth innovations are expanding beyond classification. By 2023, 14% of connected endpoints will fall outside traditional device category definitions, up from 7% in 2018.
New advancements in Bluetooth technology are enabling powerful, low-cost indoor positioning and location services solutions. In fact, 300 million Bluetooth® tags are projected to ship each year by 2023.
Increasing demand for location services is powering a surge in Bluetooth wayfinding, asset tracking, and item finding solutions. By 2023, there will be 1.7 billion active handsets engaged in Bluetooth location services. With a 43% CAGR, location services is the fastest growing Bluetooth solution area.
The release of Bluetooth® mesh networking has paved the way for the creation of large-scale device networks capable of controlling, monitoring, and automating tens, hundreds, or thousands of devices in smart homes, smart buildings, smart factories, and smart cities around the globe. Forecasts predict that by 2023, there will be more than 360 million annual device network device shipments each year.
More Market Trends
The insights highlighted in this article are only a fraction of what you’ll find in the complete 2019 Bluetooth® Market Update. Updated forecasts in this year’s report not only reflect the expansion of Bluetooth technology across audio streaming, data transfer, locations services, and device network solutions but give you a look at trends in traditional and emerging markets, from smartphones to the smart building and beyond.
For more on what analysts are predicting within Bluetooth markets and specific use cases, download the 2019 Bluetooth Market Update.