Industrial IoT Market Size & Share, by Component; End use; Software; Connectivity Technology; Device and Technology - Global Supply & Demand Analysis, Growth Forecasts, Statistics Report 2025-2037

  • Report ID: 2145
  • Published Date: Nov 26, 2024
  • Report Format: PDF, PPT

Global Market Size, Forecast, and Trend Highlights Over 2025-2037

Industrial IoT Market size was over USD 487.7 billion in 2024 and is estimated to reach USD 6260.2 billion by the end of 2037, expanding at a CAGR of 23.5% during the forecast timeline, i.e., 2025-2037. In 2025, the industry size of industrial IoT is evaluated at USD 603.2 billion. Key factors fueling this expansion include advancements in technologies such as 5G, AI, edge computing, and digital twins, which enable real-time data analysis.

For instance, in February 2024, Digi International Inc. launched Digi IX40, a 5G edge computing industrial IoT cellular router solution. Digi IX40 is purpose-built for Industry 4.0 use cases such as advanced robotics, predictive maintenance, and asset monitoring. The growth of autonomous systems and robotics also drives adoption, addressing labor shortages and increasing operational accuracy. Increasing investments in IoT-enabled cybersecurity solutions help mitigate risks, build trust, and accelerate industrial IoT market growth.


Industrial IoT Market Overview
Get more information on this report: Request Free Sample PDF

Industrial IoT Sector: Growth Drivers and Challenges

Growth Drivers

  • Advancements in Connectivity and Technologies: the rapid development of technologies such as 5G, edge computing, AI, and machine learning is a key driver for the industrial IoT market. High-speed and low-latency networks enable real-time data transfer, while AI-powered analytics enhance decision-making and predictive maintenance. Edge computing reduces dependence on centralized systems, allowing for faster data processing and improved operational efficiency. These advancements are making industrial IoT solutions more reliable, scalable, and accessible to industries across the globe. For instance, in July 2024, Cisco and Rockwell Automation collaborated to boost the digital transformation of the Asia Pacific industrial IoT market, including Japan and the Greater China region. 
  • Increasing focus on automation and smart manufacturing: The global shift toward Industry 4.0 and smart manufacturing is another major growth driver. Industries are leveraging IIoT to automate processes, optimize supply chains, and improve production efficiency. The demand for predictive maintenance, energy management, and real-time monitoring systems is growing as companies aim to reduce operational costs and enhance productivity. For instance, in November 2021, ABB launched ABB AbilitySmart Melt Shop, the first smart factory digital application of its kind for the metals industry, to enhance productivity, save energy, and improve employee safety. 

Challenges

  • Data privacy concerns: It is one of the biggest challenges in the global industrial IoT market. As IIoT systems involve extensive connectivity between devices, sensors, and networks, they become more vulnerable to cyberattacks, data breaches, and ransomware. The lack of standardized security protocols across industries exacerbates the issue, leaving critical infrastructure at risk. Additionally, compliance with global data privacy regulations, such as GDPR and industry-specific laws, further complicates security implementation, creating barriers to wider industrial IoT adoption.
  • Interoperability and standardization issues: This remains a significant challenge due to the diverse range of devices, platforms, and communication protocols used in IIoT ecosystems. Manufacturers often adopt proprietary systems that are not compatible with others, leading to fragmented ecosystems and inefficient operations. This lack of standardization hinders scalability and the seamless exchange of data, limiting the ability of industries to fully leverage the benefits of industrial IoT technologies.

Industrial IoT Market: Key Insights

Base Year

2024

Forecast Year

2025-2037

CAGR

23.5%

Base Year Market Size (2024)

USD 487.7 billion

Forecast Year Market Size (2037)

USD 6260.2 billion

Regional Scope

  • North America (U.S., and Canada)
  • Asia Pacific (Japan, China, India, Indonesia, Malaysia, Australia, South Korea, Rest of Asia Pacific)
  • Europe (UK, Germany, France, Italy, Spain, Russia, NORDIC, Rest of Europe)
  • Latin America (Mexico, Argentina, Brazil, Rest of Latin America)
  • Middle East and Africa (Israel, GCC North Africa, South Africa, Rest of the Middle East and Africa)

Get more information on this report: Request Free Sample PDF

Industrial IoT Segmentation

 Component (Solution, Hardware, Services, Platform)

Based on component, the solution segment is poised to account for industrial IoT market share of more than 56.1% by the end of 2037. Solutions offer integrated platforms that combine hardware, software, and analytics to deliver end-to-end functionality. It further encompasses predictive maintenance systems, digital twins, and real-time monitoring platforms that optimize industrial processes. Moreover, the increasing focus on interoperability and seamless connectivity has made solutions more attractive, as they provide comprehensive frameworks for managing IoT ecosystems. For instance, in April 2024, ABB, Capgemini, Microsoft, Rockwell Automation, Schneider Electric, and Siemens announced a collaboration for a new initiative to deliver interoperability for Industrial IoT ecosystems.

End use (Manufacturing, Metal & Mining, Smart Grids, Energy & Power)

Based on end use, the manufacturing segment is projected to register considerable growth in the industrial IoT market by 2037. The segment’s early adoption of advanced technologies such as smart factories and industry 4.0, supported by government initiatives ensures that manufacturing remains at the forefront of IIoT innovation. In June 2023, ABB Measurement & Analytics China Technology Center and E Surfing IoT announced a collaboration to unveil a joint digitalization and industrial IoT lab. It is intended to support manufacturing industries with end-to-end industrial IoT solutions that help with real-time, data-driven decisions for safer, smarter, and more sustainable operations.

Our in-depth analysis of the market includes the following segments:

Component

  • Hardware
  • Solution
    • Remote Monitoring
    • Data Management
    • Analytics
    • Security Solutions
    • Others
  • Services
    • Professional
    • Managed
  • Platform
    • Connectivity Management
    • Application Management
    • Device Management

End Use

  • Aviation
  • Metal & Mining
  • Chemical
  • Manufacturing
  • Energy & Power
  • Smart Grids
  • Oil & Gas
  • Healthcare
  • Logistics & Transport
    • Intelligent Signaling System
    • Video Analytics
    • Incident Detection System
    • Route Scheduling Guidance System
  • Agriculture
    • Precision Farming
    • Livestock Monitoring
    • Smart Greenhouses
    • Fish Farming
  • Retail
    • Point of Sales
    • Interactive Kiosks
    • Self-Checkout Systems
  • Others

Software

  • Product Lifecycle Management
  • Manufacturing Execution Systems
  • SCADA
  • Outage Management Systems
  • Distribution Management Systems
  • Remote Patent Monitoring
  • Retail Management Software
  • Visualization Software
  • Transit Management Systems
  • Farm Management Systems

Connectivity Technology

  • Wired Technology
  • Ethernet
  • Modbus
  • Profinet
  • CC-Link
  • Foundation Fieldbus
  • Wireless Technology
  • Wi-Fi
  • Bluetooth
  • Cellular Technologies
  • 4G/LTE
  • 5G
  • Satellite Technologies

Device and Technology

  • Sensors
  • Radio Frequency Identification (RFID)
  • Industrial Robotics
  • Distributed Control Systems
  • Condition Monitoring
  • Smart Meters
  • Electronic Shelf Labels
  • Cameras
  • Smart Beacons
  • Interface Boards
  • Yield Monitors
  • Guidance & Steering
  • GPS/GNSS
  • Flow & Application Control Devices
  • Networking Technology 

Want to customize this research report as per your requirements? Our research team will cover the information you require to help you take effective business decisions.

Customize this Report

Industrial IoT Industry - Regional Synopsis

North America Market Analysis

North America in industrial IoT market is expected to capture around 36.7% revenue share by the end of 2037. Industries such as manufacturing, oil and gas, and automotive leverage industrial IoT for efficiency, predictive maintenance, and sustainability. An established industrial base and significant investments in innovation also drive the market significantly. In February 2022, Lantronix Inc. launched its application-specific industrial IoT solutions to address concerns in Industry 4.0, Security, and Transport markets with its G520 Series Smart cellular IoT devices and services.

U.S. dominates the North America industrial IoT market owing to early adoption of cutting-edge technologies. Industries such as aerospace, automotive, and manufacturing utilize industrial IoT for real-time monitoring, automation, and operational optimization. Additionally, the strong presence of global technology leaders and an innovation-driven economy make the U.S. a hub for IIoT advancements.

Canada industrial IoT market is growing steadily with several collaborative approaches, including public-private partnerships, ensuring a robust IIoT adoption across key sectors. Government programs, including the Innovation Superclusters program, draw funding and foster collaboration to boost industries' digital transformation. As per Budget 2022,  USD 750 million was earmarked for Canada's Global Innovation Clusters, for over five years. So far, the local government has invested USD 2 billion in the Global Innovation Clusters to strengthen their ecosystems and position Canada for global markets.

APAC Market Statistics

APAC industrial IoT market is anticipated to grow at the fastest rate during the forecast period. The market is majorly driven by rapid industrialization, urbanization, and digital transformation. Governments in the region actively promote initiatives such as smart factories and digital economies, further accelerating IIoT adoption. In March 2024, Rockwell Automation announced the launch of the Customer Experience Centre (CEC) in Singapore, intending to help the region’s manufacturing, mining, and heavy industry sectors embrace digital transformation. 

China is a leader in the industrial IoT market supported by the Made in China 2025 initiative which emphasizes smart manufacturing and technological self-reliance. The country’s manufacturing dominance and robust investments in AI, robotics, and 5G connectivity drive the adoption of IIoT across industries. As a global hub for innovation and manufacturing, the country’s market continues to expand rapidly, shaping the region’s technological landscape.

India industrial IoT market is gaining momentum, fueled by the government’s Digital India, and Make in India initiatives. Rising investments in smart factories and automation, coupled with the deployment of 5G, are key growth drivers. Additionally, the push for sustainability and energy efficiency is prompting industries to adopt industrial IoT technologies, making India a rapidly emerging player in the global market.

Research Nester
Industrial IoT Market share
Get more information on this report: Request Free Sample PDF

Companies Dominating the Industrial IoT Landscape

    Companies in the industrial IoT market are emphasizing customization and scalability to cater to diverse industry needs. Many focus on strategic partnerships and collaborations, and geographical expansion to accelerate adoption and expand market presence. For instance, in December 2018, General Electric (GE) established a new, independent company for Industrial Internet of Things (IIoT) software with USD 1.2 billion in annual software revenue and an existing global industrial customer base. Some of the prominent market players are:

    • ABB Ltd.
      • Company Overview
      • Business Strategy
      • Key Product Offerings
      • Financial Performance
      • Key Performance Indicators
      • Risk Analysis
      • Recent Development
      • Regional Presence
      • SWOT Analysis
    • ARM Holding Plc
    • Atmel Corporation
    • General Electric Company (GE)
    • Honeywell International Inc.
    • International Business Machines (IBM) Corporation
    • Microsoft Corporation
    • Rockwell Automation, Inc.
    • Schneider Electric SE
    • Intel Corporation
    • Qualcomm

In the News

  • In October 2024, Qualcomm Technologies, Inc. a new product portfolio for the IoT, the Qualcomm IQ series, at Embedded World North America, developed for the most challenging safety-grade operating environments that extreme industrial applications with wide temperature ranges and integrated safety features demand.
  • In March 2023, Rockwell Automation launched FactoryTalk Optix which is a modern, cloud-enabled HMI platform, allowing users to design, test, and deploy applications directly from a web browser anywhere, anytime.
  • In February 2021, Siemens, IBM, and Red Hat announced a collaboration intending to use a hybrid cloud that is designed to bring an open, flexible, and secure solution for manufacturers and plant operators to drive real-time value from operational data.

Author Credits:  Abhishek Verma


  • Report ID: 2145
  • Published Date: Nov 26, 2024
  • Report Format: PDF, PPT

Frequently Asked Questions (FAQ)

In the year 2024, the industry size of the industrial IoT market was over USD 487.7 billion.

The market size for the industrial IoT market is projected to reach USD 6260.2 billion by the end of 2037 expanding at a CAGR of 23.5% during the forecast period i.e., between 2025-2037.

The major players in the market are Honeywell International Inc., International Business Machines (IBM) Corporation, Microsoft Corporation, Rockwell Automation, Inc., and others.

In terms of component segment, the solution segment is anticipated to garner the largest market share by 2037 and display lucrative growth opportunities during 2025-2037.

The market in North America is projected to hold the largest market share of 36.7% by the end of 2037 and provide more business opportunities in the future.
Industrial IoT Market Report Scope
logo
  GET A FREE SAMPLE

FREE Sample Copy includes market overview, growth trends, statistical charts & tables, forecast estimates, and much more.

 Request Free Sample Copy

Have questions before ordering this report?

Inquiry Before Buying
Inquiry Before Buying Request Free Sample