SINGAPORE (June 16): The Internet of Things (IoT) market in Singapore is seen to be worth €507 million ($772 million) come 2020.

And nearly half of that, or 45%, will come from businesses that link up their equipment with processes and people. This according to a study by Machina Research and Nokia.

The next biggest segments will be mobility (20%) and followed by Smart City (10%) and retail and services (9%).

Although certain market segments such as home automation can be described as “low hanging fruits”, there are other more complicated IoT uses involving different industries and regulators that will need more time to deliver.

“The biggest problem is how to break the silos and create the partner ecosystem,” says Danial Mausoof, Nokia’s head of marketing and corporate affairs for Asia Pacific and Japan.

One such area is Smart City where the IoT can play a big part. “We have been ready for smart cities since the launch of traffic lights,” says Mausoof.

In the case of Singapore, “we are certainly having the right conversations with the right people”, he adds.

IoT projects are often underpinned by communications infrastructure consisting of both fixed line broadband and mobile networks, the latter of which Nokia provides.

Once the market leader for mobile handsets, all that remains now is the company’s mobile networking equipment business which has been further boosted by the recent acquisition of Alcatel-Lucent, on top of a similar deal done with Siemens earlier.

Nokia says it now provides the equipment behind 7 of the 10 largest LTE networks in Asia Pacific. Within Singapore, both StarHub and M1 are Nokia network’s customers.

Zoltan Losteiner, Nokia’s market solutions head for Asia Pacific and Japan, believes that IoT is already a reality, especially from a technology perspective. However, in order to win over more customers, Nokia has to change the way it works.

Previously, the company just had to focus on the mobile operators. However, for IoT projects, there is a need to engage a wider range of customers, users, industry partners, and also regulators.

To this end, Nokia has a formal collaboration with consultancy Accenture, to jointly push for IoT projects, as the latter has deep experience working with various public sector organisations in IT and business-related projects.

“The overall business case will change,” says Losteiner.