The Internet of Things payments market will grow an average of 75% annually over the next five years, reaching $410 billion by 2023, according to a new forecast by Juniper Research.
This is an increase from $25 billion this year, with the largest growth coming from in-vehicle payments.
The automotive sector will become the most lucrative IoT platform by 2021, accounting for $63 billion in transactions, according to Juniper. It will account for 55% of the overall market, compared to about $50 billion for connected home devices, which include smart speakers and TVs.
Car-based payments will be mostly for fuel and tolls, according to the forecast.
Smart speaker or voice commerce transactions are projected to reach $51 billion annually by 2023, with goods purchased via the smart speakers accounting for 12% of connected home transactions based on volume over the next five years.
The majority of purchases are projected to be for digital content, typically coming through connected TVs.