Spending on blockchain solutions is forecast to reach $2.9 billion in 2019 from $1.5 billion in 2018, according to IDC.
IDC expects blockchain spending will grow at a 5-year compound annual growth rate of 76 percent over the 2018-2022 forecast period and total spending will be reaching $12.4 billion in 2022.
The report said blockchain spending in United States will be $1.1 billion in 2019. Western Europe’s blockchain spending will be $674 million. Blockchain spending in China will be $319 million.
James Wester, research director, Worldwide Blockchain Strategies at IDC, said blockchain spending will be led by the financial sector, where the banking, securities and investment services, and insurance industries will invest more than $1.1 billion in blockchain solutions this year.
The manufacturing and resources sector, driven by the discrete and process manufacturing industries, will be spending $653 million on blockchain.
Distribution and services sector, led by the retail and professional services industries, will make blockchain spending of $642 million this year.
The manufacturing and resources sector will see the fastest growth in blockchain spending over the 2018-2022 forecast with a five-year CAGR of 77.6 percent, followed closely by the distribution and services sector with a CAGR of 77.1 percent.
Manufacturing will focus much of its blockchain investment in lot lineage / provenance use cases and asset / good management use cases while identity management use cases will receive significant investments from the banking, government, and healthcare provider industries.
IT services and business services will account for 70 percent of all blockchain spending in 2019.
Blockchain platform software will be the largest segment of spending outside of the services category and the second fastest growing category overall with a five-year CAGR of 81.2 percent, following IT services with a CAGR of 82.8 percent.
