The combined revenues from mobile hardware, software and services sales in 2017 is forecast to total $1.57 trillion, a 2.6% year-over-year increase. Through 2020, products and services purchases are expected to rise at a compound annual growth rate of 2.1% and post revenues of $1.67 trillion in 2020.

The largest part of the spending will come in connectivity services which, when combined with hardware sales, will account for about 95% of mobility industry revenues.

The fastest growth, however, is in the software part of the industry where applications and application development are forecast to grow at compound annual rates of 17.3% and 20.3%, respectively.

Phil Hochmuth, program director of enterprise mobility at IDC, said:

Mobility has moved from niche and novelty usage in business to a core end-user computing technology for enterprise workforces. While devices and apps transform how workers do their jobs, mobile app platforms and services create entire new business models and customer interaction opportunities. To take advantage of all this, enterprise IT buyers must know the relationships, dependencies, and requirements of all aspects of mobile computing, from hardware and devices, to management and development platforms, security, and services.

According to IDC’s new report, “Worldwide Semiannual Mobility Spending Guide,” the banking, discrete manufacturing and professional services industries will combine to invest $166.3 billion in 2017 in mobility. The telecommunications industry will see the fastest compounded growth rate of spending through 2020, up 4.2%, while consumer spending is forecast to grow at a compound annual growth rate of 2.5%.

IDC program director for customer insights and analysis, Jessica Goepfert, said:

Banking customers are increasingly reliant on their mobile devices for managing all aspects of their lives and are demanding innovative and secure mobile experiences from their financial institutions. Discrete manufacturers are under constant pressure to improve margins – and mobile technologies can help make workers more productive and effective. Lastly, mobile solutions among professional services firms are viewed as a critical means to help manage the industries inherent volatility by bringing a disparate and on-the-go workforce access to information and applications while they are at the office, at a client’s site, at a hotel, at home, or anywhere in between.

Regionally, Asia/Pacific (excluding Japan), led by strong investments in China, will be the largest overall mobility market in terms of revenues, which are forecast to exceed $500 billion in 2018. The United States represents the second largest region, followed by Western Europe. Latin America is forecast to deliver the fastest revenue growth (4.1% CAGR) while Asia/Pacific (excluding Japan) and the Middle East and Africa (MEA) will also see revenue growth greater than the overall market.

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