IoT Operating Systems Market Size & Share, by Device Type (Industrial IoT Gateways, Smart Sensors, Wearables, Connected Vehicles, Smart Home Devices); Component, End Use; OS Type; Deployment - SWOT Analysis, Competitive Strategic Insights, Regional Trends 2025-2037

  • Report ID: 2438
  • Published Date: Jun 09, 2025
  • Report Format: PDF, PPT

Global IOT Operating System Market

1. Report Overview

1.1. Global IoT Operating Systems Market Overview

1.2. Why You Should Read This Report

1.3. How This Report Delivers

1.4. Key Questions Answered by This Analytical Report Include

1.5. Who is This Report For?

1.6. Methodology

1.6.1. Primary Research

1.6.2. Secondary Research

1.6.3. Market Evaluation & Forecasting Methodology

2. Introduction to the IoT Operating Systems Market

2.1. IoT Operating Systems Market Structure

2.2. IoT Operating Systems Market Definition

2.3. Global IoT Operating Systems Market Taxonomy

2.4. Global IoT Operating Systems Market Snapshot

2.5. Study on the Supporting Architecture of IoT Operating System

2.6. Assessment of Factors Influencing Adoption of IoT Operating Systems

Rising preference of connected services/devices

Benefits of IoT devices and OS

Digitalization and advanced product launches

2.7. Global IoT Operating Systems Market Dynamics

2.7.1. Global IoT Operating Systems Market: Drivers

Increasing deployment of advanced technology

Growing adoption of portable devices

Benefits associated with IoT operating systems

2.7.2. Global IoT Operating Systems Market: Restraints

Lack of industrial standards for the use of systems

Data theft and privacy

2.7.3. Global IoT Operating Systems Market: Trends

Adoption of IoT in SMEs

2.7.4. Global IoT Operating Systems Market: Opportunities

Cross platform based solutions

2.7.5. Stakeholders Analytics

Application Developers

API Integrators

IOT Operating Systems Provider:

Consultancy Firms & Advisory Firms

Third Party Integration Providers:

Government Authorities

Regulatory Agencies:

Others

3. Global IoT Operating Systems Market, By Organization Size, 2019-2027

3.1. Introduction

3.2. Global IoT Operating Systems Market Size and Forecast, By Organization Type

3.2.1. Small & Medium Enterprises Segment

3.2.2. Large Enterprises Segment

4. Global IoT Operating Systems Market, By Component Type, 2019-2027

4.1. Introduction

4.2. Global IoT Operating Systems Market Size and Forecast, By Component Type

4.2.1. Client Side Segment

4.2.2. Server Side Segment

5. Global IoT Operating Systems Market, By Services, 2019-2027

5.1. Introduction

5.2. Global IoT Operating Systems Market Size and Forecast, By Services

5.2.1. Professional Services Segment

5.2.2. Consulting Services Segment

5.2.3. Deployment & Integration Services Segment

5.2.4. Maintenance & Support Segment

6. Global IoT Operating Systems Market, By Application, 2019-2027

6.1. Introduction

6.2. Global IoT Operating Systems Market Size and Forecast, By Application

6.2.1. Capillary Networks Management Segment

6.2.2. Smart Building & Home Automation Segment

6.2.3. Smart Utilities Segment

6.2.4. Vehicle Telematics Segment

6.2.5. Smart Healthcare Segment

6.2.6. Industrial Manufacturing & Automation Segment

6.2.7. Others Application Segment

7. Global IoT Operating Systems Market, By Verticals, 2019-2027

7.1. Introduction

7.2. Global IoT Operating Systems Market Size and Forecast, By Verticals

7.2.1. Industrial Automation Segment

7.2.2. Consumer Electronics Segment

7.2.3. Transportation & Logistics Segment

7.2.4. Manufacturing Segment

7.2.5. Energy & Utilities Segment

7.2.6. Medical & Healthcare Segment

7.2.7. IT & Telecom Segment

7.2.8. Others Segment

8. Global IoT Operating Systems Market, By Region, 2019-2027

8.1. Introduction

8.2. Global IoT Operating Systems Market Size and Forecast, By Region

8.2.1. North America

8.2.2. Latin America

8.2.3. Europe

8.2.4. Asia Pacific

8.2.5. Middle East and Africa

9. North America IoT Operating Systems Market Analysis and Forecast, 2019-2027

9.1. Introduction

9.1.1. North America

9.2. North America IoT Operating Systems Market Forecast, By Country, 2019-2027

9.3. North America IoT Operating Systems Market Forecast, By Organization Size, 2019-2027

9.4. North America IoT Operating Systems Market Forecast, By Component Type, 2019-2027

9.5. North America IoT Operating Systems Market Forecast, By Services, 2019-2027

9.6. North America IoT Operating Systems Market Forecast, By Application, 2019-2027

9.7. North America IoT Operating Systems Market Forecast, By Verticals, 2019-2027

10. Latin America IoT Operating Systems Market Analysis and Forecast, 2019-2027

10.1. Introduction

10.1.1. Latin America

10.2. Latin America IoT Operating Systems Market Forecast, By Country, 2019-2027

10.3. Latin America IoT Operating Systems Market Forecast, By Organization Size, 2019-2027

10.4. Latin America IoT Operating Systems Market Forecast, By Component Type, 2019-2027

10.5. Latin America IoT Operating Systems Market Forecast, By Services, 2019-2027

10.6. Latin America IoT Operating Systems Market Forecast, By Application, 2019-2027

10.7. Latin America IoT Operating Systems Market Forecast, By Verticals, 2019-2027

11. Europe IoT Operating Systems Market Analysis and Forecast, 2019-2027

11.1. Introduction

11.1.1. Europe

11.2. Europe IoT Operating Systems Market Forecast, By Country, 2019-2027

11.3. Europe IoT Operating Systems Market Forecast, By Organization Size, 2019-2027

11.4. Europe IoT Operating Systems Market Forecast, By Component Type, 2019-2027

11.5. Europe IoT Operating Systems Market Forecast, By Services, 2019-2027

11.6. Europe IoT Operating Systems Market Forecast, By Application, 2019-2027

11.7. Europe IoT Operating Systems Market Forecast, By Verticals, 2019-2027

12. Asia Pacific IoT Operating Systems Market Analysis and Forecast, 2019-2027

12.1. Introduction

12.1.1. Asia Pacific

12.2. Asia Pacific IoT Operating Systems Market Forecast, By Country, 2019-2027

12.3. Europe IoT Operating Systems Market Forecast, By Organization Size, 2019-2027

12.4. Europe IoT Operating Systems Market Forecast, By Component Type, 2019-2027

12.5. Europe IoT Operating Systems Market Forecast, By Services, 2019-2027

12.6. Europe IoT Operating Systems Market Forecast, By Application, 2019-2027

12.7. Europe IoT Operating Systems Market Forecast, By Verticals, 2019-2027

13. Middle East & Africa IoT Operating Systems Market Analysis and Forecast, 2019-2027

13.1. Introduction

13.1.1. MEA

13.2. MEA IoT Operating Systems Market Forecast, By Country, 2019-2027

13.3. MEA IoT Operating Systems Market Forecast, By Organization Size, 2019-2027

13.4. MEA IoT Operating Systems Market Forecast, By Component Type, 2019-2027

13.5. MEA IoT Operating Systems Market Forecast, By Services, 2019-2027

13.6. MEA IoT Operating Systems Market Forecast, By Application, 2019-2027

13.7. MEA IoT Operating Systems Market Forecast, By Verticals, 2019-2027

14. Company Profile

14.1. Assessment of Key Product Offerings

Windows 10 For IoT

RIOT OS

WindRiver VxWorks

Google Brillo

ARM Mbed OS

Embedded Apple iOS And OS X

Nucleus RTOS

14.2. Company Profile

ARM LTD

BLACKBERRY LIMITED

CANONICAL LTD

ENEA AB

GOOGLE LLC (ALPHABET, INC.)

GREEN HILLS SOFTWARE

MENTOR GRAPHICS CORPORATION

MICROSOFT CORPORATION

SYSGO AG (KLEIN- WINTERNHEIM)

WIND RIVER

HUAWEI

15. Strategic Recommendations

Investment Opportunities in the Market

Geographical Opportunities

Lucrative Competitive Strategies

16. Acronyms

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

IoT Operating Systems Market size was valued at USD 4.3 billion in 2024 and is projected to reach USD 18.6 billion by the end of 2037, rising at a CAGR of 11.8% during the forecast period, i.e., 2025-2037. In 2025, the industry size of IoT operating systems is evaluated at USD 4.6 billion.

The global supply chain for Internet of Things Operating systems incorporates integrated semiconductor procurement, electronics manufacturing, and software licensing cycles. The Bureau of Labor Statistics in the United States registered a 6.8% rise in the producer price index in 2024, for computer and electronic product manufacturing. The reason for the increase in PPI is surging cost of raw material and a crisis for labor across manufacturing hubs in Asia-Pacific. Additionally, BLS stated that the consumer price index for communication commodities rose by 3.5% in 2024, influencing the pricing of IoT-enabled devices. This is indirectly impacting licensing demand for the embedded operating systems. In 2024, data published by the U.S. Census Bureau, the imports of software and semiconductor-based hardware from South Korea and Taiwan witnessed a YoY rise of 12.3%. It also stated that the export of U.S.-based embedded software platforms rose by 8.4%, signifying a rising dependence on cross-border trade for OS software deployment.

The investment in establishing a robust technological infrastructure remains a high priority. According to the National Science Foundation, Science & Engineering Indicators 2024, the funding for research and development allocated to advanced manufacturing and embedded systems rose by 9.5%. Global assembly lines are adopting automation, and countries such as Germany, South Korea, and the United States are excelling in this transformation. This transition is prominently propelling the production capacity.

oT Operating Systems Market Size
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IoT Operating Systems Market: Growth Drivers and Challenges

Growth Drivers

  • Rising need for secure embedded systems: Increasing cybersecurity risks in IoT systems are compelling to include stringent measures in the operating systems. OS developers are adhering to the key standards like the National Institute of Standards and Technology Cybersecurity and the European Union Agency for Cybersecurity. For example, Microsoft Azure RTOS utilizes NIST-approved devices and encryption verification to meet these standards. Various market players are willing to integrate lightweight secure kernels and modular updates for compliance and scalability.
  • Growth of edge computing and real-time processing: Fast and responsive OS designs need decentralized and real time processing of data. For example, VxWorks, an RTOS (real-time operating systems), assures a response time under 5 milliseconds. This ensures that the robots can perform high-speed tasks without any delays that could disrupt the production cycle. Asia Pacific is leading in manufacturing automation with 41% of worldwide IoT edge deployment. Companies are optimizing their OS platforms for deterministic execution of tasks.
  • Increasing adoption of low-power and cost-efficient devices: There has been a humongous deployment of microcontrollers in wearables and smart homes is increasing the demand for operating systems with minimal power draw. For instance, Zyphyr OS is optimized for power efficiency with tickles Kernel design and dynamic power management. Research Nester found out that by 2030, low-power IoT OS shipments will reach 2.58 billion units.

Technological Advancements Reshaping the IoT Operating Systems Landscape

The IoT operating systems market is observing a rapid transformation due to a surge in the integration of advanced technologies that enable secure, intelligent, and real-time decision making. With the advent of Industry 4, IoT OS platforms are optimized to incorporate advanced frameworks such as Artificial Intelligence, edge computing, and cybersecurity. For example, autonomous systems and predictive maintenance depend heavily on a lightweight embedded operating systems to adequately handle time-critical tasks. The healthcare industry shows rising adoption of AI-based solutions for the monitoring of patients. Similarly, in telecom sector is leveraging Low Power Wide Area Network and 5G capabilities to deploy low-latency IoT-based devices. Other than this, financial organizations are adopting IoT OS supported by blockchain for secure transactions.

Statistical Trends in IoT OS Technology Adoption by Sector (2024)

Trend

Sector

Technology Adoption (%)

Prominent Example

OTA OS Updates

Automotive

58.9%

OS updates by Tesla via cellular networks

Edge AI Integration

Manufacturing

46.5%

MindSphere has been used by Siemens OS for analytics

5G & LPWAN Enablement

Telecom

61.2%

Ericsson NB- Rollout of IoT in EU

Blockchain for Device Security

Finance

32.5%

HSBC blockchain for IoT device validation

AI-driven Monitoring Systems

Healthcare

49.8%

OS enabled AI from GE Healthcare

AI & Machine Learning: Transforming the IoT Operating Systems Market

The amalgamation of AI and ML is upgrading the performance and functionality of IoT OS worldwide. The advent of novel technologies is expediting the development cycles and unravelling real-time decision making at the edge. AI/ML capabilities in IoT OS platforms facilitate smart automation and prompt processing of the contextual data, which is significant for healthcare, smart cities, and manufacturing. Key market players include Artificial Intelligence to support dynamic resource allocation and enhance device coordination. These features have allowed market players to enhance customer experience and cut costs. For instance, in the electronics production lines, AI-driven quality control has bolstered the defect detection accuracy.

AI & ML Integration in the Global IoT Operating Systems Market (2024)

Company

Integration of AI and ML

Outcome

Siemens

Edge-based AI with MindSphere OS for conducting predictive maintenance

25.5% surge in equipment uptime

GE Aviation

AI-driven simulations for aircraft systems development

20.4% reduction in product development time

Amazon

Integration of Machine Learning in AWS IoT for Smart Warehouse Automation

30.5% improvement in logistics throughout

Foxconn

AI-powered visual inspection for electronics manufacturing

18.8% reduction in defect rates

Bosch

AI-enabled microcontrollers in automotive OS platforms

15.6% cost saving in electronic control unit systems

Challenges

  • Strict data protection laws: It has been estimated that 35.6% of the companies reported delays in getting market entry due to issues in compliance. New Indian data protection laws delayed the launch of the product in the US by 6 months for several US-based companies.
  • High cybersecurity costs: Small healthcare providers in the United States adhere to HIPAA. In the country, investment in cybersecurity registers 13-15.5% of IT budgets for SMEs and further limiting the IoT OS adoption. 

Report Attribute Details

Base Year

2024

Forecast Year

2025-2037

CAGR

11.8%

Base Year Market Size (2024)

USD 4.3 billion

Forecast Year Market Size (2037)

USD 18.6 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)

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IoT Operating Systems Segmentation

Device Type (Industrial IoT Gateways, Smart Sensors, Wearables, Connected Vehicles, Smart Home Devices)

The Industrial IoT Gateway segment is expected to garner 28.4% revenue IoT operating systems market share by 2037, owing to a surge in the development of smart factories. The International Society of Automation reported a surge in investment in predictive maintenance. Also, there is a rise in the integration of legacy systems as numerous industries possess legacy automation systems that need inclusion with the modern IoT communication protocols. Governments all across the globe are also investing in establishing robust digital infrastructure and smart manufacturing. For example, the U.S. Department of Energy has highlighted the potential of IIoT technologies in manufacturing to lessen the operational costs by 15.6%.

End-use Industry (Manufacturing & Industrial Automation, Healthcare, Smart Cities, Automotive, Consumer Electronics)

The manufacturing and industrial automation segment of IoT operating systems market is projected to register 35.6% of the revenue share between 2025-2037. There has been a surge in investment in automation from the global governments. For instance, data published by the U.S. Department of Energy in 2023 granted USD 3.2 billion in smart manufacturing. The inclusion of edge computing demand in factories reduces the dependency on the cloud. The sub-segment is also expected to thrive with the rising need for compliance with various mandates such as NIST IoT guidelines and EU Cyber Resilience Act.

Our in-depth analysis of the global IoT operating systems market includes the following segments:

Device Type

 

  • Industrial IoT Gateway
  • Smart Sensors
  • Wearables
  • Connected Vehicles
  • Smart Home Devices

Component

 

  • Middleware & Connectivity Stack
  • Security Solutions
  • Device Management
  • Application Enablement

End-Use Industry

 

  • Manufacturing & Industrial Automation 
  • Healthcare
  • Smart Cities
  • Automotive
  • Consumer Electronics

OS Type

 

  • Real-Time Operating Systems
  • Linux-Based OS
  • TinyOS
  • Contiki
  • Android Things

Deployment

  • Cloud-Based IoT OS
  • On-Premise
  • Hybrid

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IoT Operating Systems Industry - Regional Synopsis

North America Market Overview

The IoT operating systems market in North America, dominated by Canada and the U.S., is anticipated to garner a 35% revenue share by 2037, owing to a surge in government investment in smart infrastructure, broadband, and industrial digitalization. For instance, data published by the Department of Energy in the U.S. stated in 2023 that 2.13 million homes embraced IoT energy management systems. Additionally, the U.S. market is driven by robust backing from the federal government for digital transformation. Also, in 2021, the National Telecommunication and Information Administration spent over USD 48.5 billion has been allocated for edge and broadband connectivity. 

Asia Pacific IoT Market Overview

The IoT operating systems market in Asia Pacific is witnessing significant growth due to significant IoT adoption across numerous industries, such as smart cities and manufacturing. The government in the region is actively supporting the IoT development via funding and making favorable policies. China has remained the market leader in the region owing to robust backing from the government and the presence of tech giants such as Alibaba. “Made in China 2025” mandate is also fueling the market growth, promoting smart manufacturing.

Other than this, in Japan, there has been increased focus on establishing industrial IIoT and smart robotics. For instance, the “Society 5.0” initiative of amalgamating IoT and AI for making a smart society is acting as a catalyst for the market growth. Additionally, the Ministry of Economy, Trade and Industry in Japan actively gives funding to various startups and research & development in operating systems such as T Kernel. In South Korea, there has been a strong 5G infrastructure, which is accelerating the deployment of IoT systems. According to “Digital New Deal,” a whopping USD 44.4 billion has been invested in AI and IoT.

oT Operating Systems Market Share
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Companies Dominating the IoT Operating Systems Landscape

    The competitive landscape of the IoT operating systems market is rapidly evolving as established key players, IT giants, and new entrants are investing in novel technologies. Key players in the market are focused on developing products that cater to the stringent regulatory norms and consumer demand.  These key players are adopting several strategies such as mergers and acquisitions, joint ventures, partnerships, and novel product launches to enhance their product base and strengthen their market position. Here are some key players operating in the global market:

    Top 15 Global IoT Operating Systems Market

    Company Name

    Country of Origin

    Market Share (%)

    Microsoft Corporation

    USA

    18.5

    Google (Alphabet Inc.)

    USA

    15.2

    Amazon Web Services (AWS)

    USA

    12.4

    Siemens AG

    Germany

    7.3

    Bosch Software Innovations

    Germany

    5.8

    Samsung Electronics

    South Korea

    xx

    NTT Data Corporation

    Japan

    xx

    Arm Holdings

    UK (Europe)

    xx

    Infosys Limited

    India

    xx

    Cisco Systems

    USA

    xx

    Telstra Corporation

    Australia

    xx

    Huawei Technologies

    China (Note: Asia)

    xx

    Hitachi Ltd.

    Japan

    xx

    Dialog Semiconductor

    UK (Europe)

    xx

    Axiata Group Berhad

    Malaysia

    xx

    Here are a few areas of focus covered in the competitive landscape of the IoT operating systems market:

    • Company Overview
    • Business Strategy
    • Key Product Offerings
    • Financial Performance
    • Key Performance Indicators
    • Risk Analysis
    • Recent Development
    • Regional Presence
    • SWOT Analysis

In the News

  • In March 2024, Google released Android Things 12 to target the embedded IoT devices with enhanced security protocols. The adoption increased by 18.2% within 6 months, especially in smart homes and industrial IoT. The release strengthened the market position and expanded its user base by over 1.5 million new devices.
  • In January 2024, Microsoft Azure launched Azure IoT OS, with updated features such as enhanced edge computing capabilities. The upgrade resulted in a 22.2% surge in IoT device connectivity and contributed to 15.5% revenue growth.

Author Credits:  Abhishek Verma


  • Report ID: 2438
  • Published Date: Jun 09, 2025
  • Report Format: PDF, PPT

Frequently Asked Questions (FAQ)

Currently in 2025, the industry revenue of IoT operating systems is evaluated at USD 4.6 billion.

The global IoT operating systems market is set to rise from USD 4.3 billion in 2024 to USD 18.6 billion by 2037, witnessing a CAGR of more than 11.8% throughout the forecast period, between 2025 and 2037.

The IoT operating systems market in North America, dominated by Canada and the U.S., is anticipated to garner a 35% revenue share by 2037.

The major players in the market include Microsoft Corporation, Google (Alphabet Inc.), Amazon Web Services (AWS), Siemens AG, Bosch Software Innovations, Samsung Electronics, NTT Data Corporation, Arm Holdings, Infosys Limited, Cisco Systems, Telstra Corporation, Huawei Technologies, Hitachi Ltd., Dialog Semiconductor, Axiata Group Berhad.
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