The Development Potential of Sensors in the IoT Era

　　The Internet of Things (IoT) is one of the global trends in the information industry and also a key development direction outlined in China’s “12th Five-Year Plan.” Currently, the country is vigorously promoting the IoT industry. From 2010 to 2015, the IoT will be in its introduction phase, achieving device-to-device connectivity in leading sectors. From 2015 to 2020, the IoT will enter a growth phase, with devices becoming semi-intelligent. After 2020, the IoT will enter a full-development phase, achieving comprehensive intelligence. By 2015, the market size had already exceeded 200 billion yuan, and it is projected to reach 750 billion yuan by 2025, with an annual growth rate exceeding 30%. The IoT market’s prospects will surpass those of markets such as computers, the internet, and mobile communications.

　　The architecture of the Internet of Things comprises three layers: The first is the perception network, which relies primarily on QR codes, RFID, and sensors to enable the identification of “things”; the second is the transmission network, which leverages existing Internet, broadband networks, communication networks, or next-generation Internet technologies to facilitate data transmission and computation; and the third is the application network, encompassing various application services—including input/output control terminals and mobile devices.

　　The perception layer is the foundation for realizing comprehensive IoT sensing, encompassing technologies such as QR code tags and readers, RFID tags and readers, cameras, GPS, sensors and M2M terminals, sensor networks, and sensor gateways. The key challenge to be addressed is the perception and identification of objects, as well as the collection and capture of information. The direction for breakthroughs lies in developing more sensitive and comprehensive sensing capabilities, while also overcoming challenges related to low power consumption, miniaturization, and cost reduction.

　　The application fields of sensors encompass mechanical manufacturing, industrial process control, automotive electronics, communications, consumer electronics, and specialized equipment. Globally, the fastest-growing segment of the sensor market is the automotive sector; the second-fastest-growing segment is the process control market, while the communications market holds particularly promising prospects.

　　In the future, once the Internet of Things becomes widely adopted, countless objects will need to be equipped with smaller and smarter sensors. The number of sensors, electronic tags, and associated interface devices required for animals, plants, machines, and other objects will far exceed the current number of mobile phones. Taking consumer electronics sensors alone as an example, while their average market price currently stands at $1, it is expected to drop to $0.5 within the next 10 years. With a projected demand of 7 trillion units, this represents a market opportunity worth over one trillion dollars.