Business sector leads Mexico's IoT investments in 2015

The Mexican business sector accounts for 70% of the country's investments in internet of things (IoT) applications, according to a 5G Americas report based on data from consulting firm IDC.

The country spent over US$1.9bn on IoT applications last year. The business sector stood out in terms of IoT investments, with approximately US$1.35bn, while the industrial sector invested US$534mn and the logistics sector allocated US$328mn to IoT applications.

Insurance, agribusinesses and retail trade were also catalysts for IoT investments, said 5G Americas.

The nascent consumer segment is becoming more dynamic, as it represented 17% of total IoT expenditure. Connected devices, such as smartphones, tablets and laptops, accounted for most of the investments. However, Mexico allocated considerable resources in connected vehicles, healthcare devices and wearables

The government sector represented the remaining 13% of investment, which was split between smartgrid projects, asset management mechanisms, public transport and smart city developments. The latter accounted for the largest government IoT spending, at US$154mn.

Another IDC study forecast that Mexico would invest US$2.18bn in IoT applications this year, with the business sector leading the race once again.

5G Americas noted that Mexico must allocate more spectrum to mobile operators in order to meet the demand that will result from the expected increase in the number of broadband users and connected machines. According to consulting firm Telconomia, Mexico could almost double the awarded spectrum by 2018.