Top 10 Digital Transformation Trends to Look for in 2021

Digital Transformation

Digital Transformation

Comparing with the past decade, digital transformation has expedited. With businesses expanding, and an increase in the demand for better customer satisfaction, technology is permeating in all sectors. Previous decade observed heavy investments and funding by big tech organizations in technology. Countries are also spending huge amount of money so that the desired output can be achieved. The global digital transformation market is predicted to grow from US$469.8 billion in 2020 to US$1009.8 billion by 2025, with a CAGR of 16.5% in the forecasting period.

It becomes imperative to observe the trends that have the potential to transform the world digitally. Analytics Insight has listed out Top 10 digital transformation trends that will revolutionize the world in the year 2021.

 

5G Network

Owing to the outbreak of COVID 19, the organizations opted to work remotely keeping in mind the norms of social distancing. To maintain the workflow, video-conferencing, webinars and zoom conferences added pressure in the existing telecom set-up to provide with better network and bandwidth. As the situation is unprecedented and will continue to remain so, most organizations are flagging remote work as the feasible option to maintain operations. That’s why this technology will be at the top for digital transformation in 2021. Companies and countries are already investing heavily on the research and development of 5G network. As per the report by Markets and Markets, the 5G market infrastructure is estimated to reach US$47,775 million by 2027, at a CAGR of 67.1%.

 

Internet of Things

This technology is already witnessed as a major disruptor to bring the industrial revolution 4.0. As it connects many devices at the same time, this technology will also act as a catalyst in the growth of 5G networks. Moreover, with this technology, multitasking is possible. Presently, diverse industries like oil and gas, healthcare, automotive, and supply-chain amongst others are heavily deploying this technology. A report by Accenture has predicted the market value of IoT to be US$15 trillion by the year 2030 in the industry. As IoT is known to make informed, data-driven decisions, this technology will be the next frontier in 2021.

 

Hybrid Computing

With the growing adoption of remote working due to the pandemic, organizations are already inclined towards cloud computing architecture to store data and privacy concerns. The tech organizations like Amazon and Google have already witnessed an exponential surge in their cloud revenue last quarter. Moreover, organizations are looking for efficient and feasible data storage options. With more organizations opting for hybrid computing this technology will be amongst the top digital transformation technologies in the year 2021. The hybrid cloud market is expected to grow from US$44.6 billion in 2018 to US$97.6 by 2023 at a CAGR of 17%.

 

Natural Language Processing

Natural Language Processing was already evolving in the pre-pandemic era, but as COVID 19 rattled the global economy, this technology has witnessed an accelerated adoption. In the COVID era, NLP is heavily deployed in BFSI, healthcare, manufacturing and automobiles sector to reduce the workload of employees, so that they can focus on urgent tasks. Moreover, with NLP, the privacy of the organizations will be scaled. In 2021, this technology has a promising outlook for transforming sectors. The market value for NLP is anticipated to increase from US$3,066 million in 2019 to US$8,319 million by 2025 with a CAGR of 18.10% between 2019-2024.

 

Cybersecurity

As the situation with COVID 19 remaining unprecedented, organizations are opting for remote work in the future, thus requiring vigilant cybersecurity. Even before the pandemic distorted the working set-up in organizations, cybersecurity was amongst the major concerns against hacking and frauds. The pandemic has already made this tech trend relevant and imperative. In 2021, this technology will play a key role in digital transformation. A report by Fortune Business Insights has forecasted the global cybersecurity is to reach US$281.74 billion by 2027, with a CAGR of 12.6% between 2020 and 2027.

 

Computer Vision

Experts are already cheering up for the computer vision to be one of the prime candidates next year. With various processes associated with it such as facial recognition, image recognition, and text recognition, this technology is emerging in various sectors. Moreover, sectors like BFSI are already researching about their applications and have a positive outlook so far. The computer vision market is expected to increase by US$16,794 million in 2025, compared to US$4,319 million in 2019 with a CAGR of 25.40% between 2019-2024.

 

Customer Data Platforms

As the plethora of data is generated every day, it becomes difficult to organize it. With organizations depending upon data for their operations, big data can be perilous. Customer Data Platforms (CDP) help in rectifying this problem by collecting data from all sources, organizing it, tagging it and marking it for utilization by organizations without any damages. With the growing dependency of insightful across industries, this technology is going to be amongst the frontiers of digital transformation in 2021. The global CDP is expected to grow from US$2.4billion in 2020 to US$10.3 billion by 2025, at a CAGR of 34% during the forecast period.

 

Over The Top Services

OTT platform has been in the market for a long period. With an assortment of options, they provide enhanced customer service. Moreover, with its easy accessibility, and multiple-language channel, this technology is used by everyone. It is redefining the experience of watching a movie or playing online games, by offering innovative content. Hence, OTT platform will continue to remain amongst the digital transformation technology in 2021. The Fortune Insights has forecasted the global OTT services market size to reach US$86.80 billion as compared to US$30.23 billion in 2018, with a CAGR of 14.3% during the forecast period.

 

Digital Payments Services

The pandemic has accelerated the pace of digital payments globally. In developing countries, which were heavily dependent on digital currencies, a surge is observed in digital payment services. Moreover, with its feasible and efficient transfer of funds, it will revolutionize operations in finance. That’s why this technology will continue to be on the list of digital transformation next year. The Fortune Insights has forecasted the global digital payment market size to reach at US$19.89 trillion by 2026, with a CAGR of 24.4% between 2018-2026.

 

Smart Wearables

With an increase in demand by customers for having the world-class experience to choose the products, smart wearables remain one of the technologies that will drive digital transformation. Moreover, as this technology offers an enhanced experience, it is utilized in various sectors such as healthcare, manufacturing, and marketing.

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