Deloitte unveils TMT Predictions 2022 in Luxembourg

Luxembourg, 26 January 2022—Deloitte Luxembourg presented the Global Technology, Media & Telecommunications (TMT) Predictions 2022 report at its annual TMT Conference on Tuesday 25 January 2022. The Deloitte Global report forecasts TMT trends that may disrupt and transform business and consumer ecosystems worldwide, driven by the economic and societal shifts of the global pandemic.

“Over the past 2 years, the COVID-19 crisis has been a global and local catalyst for technology adoption,” says David Osville, Technology, Media & Telecommunications Industry Leader at Deloitte Luxembourg. “This trend continues to accelerate across a myriad of areas. From day-to-day devices to smart homes and vehicles, products are increasingly digitally connected. We also see substantial development in AI and health care, one of Luxembourg’s priorities.”

Strong demand in healthcare wearable technology

Advances in sensors and artificial intelligence (AI) are helping millions detect and manage chronic health conditions and mitigate serious illnesses. Now small enough to be worn on a wrist or as a penny-sized patch, these technologies are seeing rapid growth. Deloitte Global predicts that 320 million consumer health and wellness wearable devices will ship worldwide in 2022 and that by 2024, that figure could reach 440 million units.

AI regulation is heating up

Deloitte Global predicts that 2022 will see spirited discussion around regulating AI more systematically. While several proposals are already tabled, including one from the European Commission, actual enforced regulations are not likely until 2023 at the earliest. Some jurisdictions even intend to ban entire subfields of AI, such as facial recognition in public spaces, social scoring and subliminal techniques.

Women in the tech industry are gaining ground

Large global technology firms, on average, are predicted to reach nearly 33% overall female representation in their workforces in 2022, up slightly more than 2 percentage points from 2019.
According to the report, lessons of the pandemic—like the remote-work-first model—could dramatically expand the diverse talent pool, leading to better business outcomes.

Venture capital investment in chip companies reaches new highs

Venture capital (VC) firms globally are predicted to invest more than US$6 billion in semiconductor startup companies in 2022, according to the Deloitte Global report. While representing only 2% of the US$300 billion-plus of overall VC investment expected in 2022, this is still more than three times larger than every year between 2000 and 2016.

Streaming wars go global

As leading streaming providers expand globally and national media companies spin up their own domestic streaming services, the amplified competition is creating abundant consumer choice—with churn accelerating as a result. Deloitte Global predicts that, in 2022, at least 150 million paid subscriptions to streaming video-on-demand services (SVOD) will be canceled worldwide, with churn rates of up to 30% per market.

Smartphones and environmental, social and governance (ESG)

Deloitte Global predicts that smartphones—with an expected installed base of 4.5 billion in 2022—will generate 146 million tons of CO2 or equivalent emissions (CO2e) in the same year. While less than half a percent of the 34 gigatons of total CO2e emitted globally in 2021, this could still be curtailed. The bulk of these emissions (83%) will be from the manufacturing, shipping and first-year usage of smartphones. Therefore, the biggest factor in reducing emissions may be extending their expected lifetime, including a higher resilience to falls and water exposure.

“Many of this year’s predictions include positive changes for a more inclusive, interconnected and sustainable world. TMT market players must take these accelerated trends and shifts into account to stay ahead and keep current. We are here to support and accompany them in their journey,” concludes David Osville.

The findings of the annual TMT Predictions report were presented by Paul Lee, Deloitte Partner and TMT Global Head of Research, at the virtual TMT conference in Luxembourg. It was accompanied by a panel discussion on green tech with Evie Roos, Chief Human Resources Officer at SES Satellites, Brian Buchwald, Chief Strategic Officer at Talkwalker and Paul Lee, and moderated by Francesca Messini, Deloitte Luxembourg’s Sustainability leader.

For more information and further insight on the 2022 TMT Predictions, visit our dedicated webpage at: https://www2.deloitte.com/lu/tmt-predictions.