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2024 Bluetooth® Market Update: Expanded Capabilities for Greater Possibilities

Telink Staff

April 24, 2024

Standards

Man in cafe with laptop, smart watch, and wireless earbuds writing in a journal

Get ready for another round of wireless technology enhancements in the latest Bluetooth® Market Update.

Arguably the foundation of all modern technology, Bluetooth® has reinvented how we interact with devices, stream data, and orchestrate our digital lives — and the latest Bluetooth® Market Update shows that the technology will continue to reshape the landscape of connectivity and communication in the years to come.

According to ABI Research, projections indicate that a staggering 7.5 billion Bluetooth-enabled devices will be shipped annually by 2028 — an 8% compound annual growth rate (CAGR) over the next five years. While this surge is largely driven by the growth of peripherals harnessing single-mode Bluetooth® Low Energy (LE) technology, the trajectory of the Bluetooth market is one of remarkable expansion and diversification.

Bar graph showing projected annual Bluetooth device shipments

Reflecting on Past Bluetooth® Advancements

The Bluetooth Special Interest Group (SIG) — a collaborative community of over 40,000 organizations in the technology space — unveiled several crowning achievements in last year’s last market update, which included enhancements to existing capabilities such as Periodic Advertising with Responses (PAwR), a feature of BLE that enables bi-directional communication in one-to-many device topologies, distance measurement, high data throughput.

Last year’s update also covered novel and growing use cases, such as:

  • Bluetooth® AuracastTM Broadcast Audio: Uses a Low Complexity Communication Codec (LC3) to make public audio sharing more accessible and integrated.
  • Digital Keys: Allows users to access vehicles, buildings, door locks, and other connected devices with a handheld mobile device.
  • Networked Lighting Control: Enables users to control lighting devices from their Bluetooth-enabled device.
  • Electronic Shelf Labels (ESLs): Automatically updates and presents real-time pricing and inventory data for retail items on digital labels.
  • Ambient IoT: Relies on Bluetooth tags to support more autonomous and responsive smart device environments.

As exciting as these developments are, they demonstrate just a fragment of what’s in store for consumers and developers around the world.

Next-Generation Applications

As we navigate the evolving landscape of Bluetooth technology, familiar use cases offer fresh avenues for integration and implementation in the near future.

Audio Streaming

Perhaps the most popular use of Bluetooth since its introduction into the tech market, audio streaming is expected to become more integrated and immersive. Currently, Bluetooth audio technology supports high-quality audio transmission in wireless headsets and speakers, with features like multipoint connectivity to support seamless switching between devices. Many in-car systems also utilize Bluetooth technology to stream music, carry out hands-free phone calls, and play navigation instructions to enhance the driver experience. Recently, Bluetooth-enabled hearing devices have helped advance assistive listening technology, providing users with discreet and customizable solutions to navigate the audio world around them.

But according to the Bluetooth SIG, changes are coming. With AuracastTM gaining traction, scalability for assistive listening applications is expected to widen. Bluetooth® LE Audio will also function at a lower power to meet performance demands, and the wide adoption of Bluetooth LE is starting to standardize hearing aid technology — a first in the industry.

Data Transfer

Fitness trackers, mobile health monitors, smart watches — consumer demand for wearables continues to rise, with as many as 648 million devices expected to ship in 2028. With wearables, Bluetooth technology helps facilitate seamless data transfer of fitness data to companion apps, allowing users to monitor their health progress and set goals. PC peripherals and accessories are also seeing a boom, thanks to a large number of work-from-home and hybrid-working employees.

In the near future, wearable technology (specifically smartwatches) will continue to dominate the data transfer market. A jump in augmented reality and virtual reality devices is also expected, particularly for smart glasses, gaming headsets, and training simulators, leaving developers creative room to break new ground in captivating technology.

Location Services

High-accuracy location services provided by Bluetooth® connectivity are finding relevance in many areas. For example, from asset tracking tags that help locate products in a retail store to personal item tracking devices that guide travelers to their luggage, Bluetooth is capable of improving indoor positioning solutions to offer the scalability and flexibility that today’s users need. Bluetooth access control systems that use smartphones to secure and unlock homes, office buildings, rooms, and vehicles are introducing consumers to the convenience and security of digital keys, which are expected to become more widely adopted in a variety of settings.

In terms of future advancements, the Bluetooth SIG predicts this growth trend for asset-tracking devices to continue as warehouse managers and supply chain leaders demand more visibility into their logistical chains. Bluetooth SIG is also planning on refining location services with the addition of secure fine ranging — a capability that will enhance locational precision for users.

Device Networks

Bluetooth networks are what connect us to the devices that help run our world. For example, in smart homes, Bluetooth allows for smooth communication between various devices, such as smart speakers, thermostats, and lighting systems, enabling users to control and automate their home environment with ease. With Bluetooth® Networked Lighting Control (NLC), users can enjoy energy savings paired with more control over lighting conditions. And in industrial settings, Bluetooth-enabled wireless sensors and ESLs grant complete transparency into real-time data like product pricing, temperature, humidity, and more for quality control and streamlined productivity.

In the next five years, these device networks will continue to mold as more and more consumers imbue Bluetooth technology into their everyday lives — for work, for home, and for play.

Upcoming Bluetooth® Capabilities

Several enhancements to Bluetooth technology are currently underway to address evolving market needs and improve performance, including:

  • Channel Sounding: A new specification to bolster the accuracy and security of location systems and fine ranging between devices.
  • High Data Throughput: An initiative that seeks to address the growing demand for bandwidth-intensive applications by supporting data rates of up to 8 Mbps.
  • Higher Frequency Bands for Bluetooth® LE: A specification project is also in the works to define Bluetooth LE in unlicensed spectrums with mid-band frequencies, like 6 GHz, to better support growing smart ecosystems.

These updates are set to usher in a new era of connectivity, precision, and efficiency, ensuring that Bluetooth remains at the forefront of wireless communication and continues to meet the evolving demands of our modern world.

Make the Most of Bluetooth® with Telink

Unlock the boundless possibilities of Bluetooth innovation with Telink as your trusted partner. Telink provides developers and manufacturers with comprehensive solutions and resources to unleash the full potential of Bluetooth technology. Whether through our state-of-the-art SoCs, development tools, and expert support, Telink empowers the creation of differentiated products that redefine connectivity and pioneer the future of wireless technology.

Visit our wiki to learn more, or ask us a question through our Technical Forum or by contacting us directly today.