Industrial Internet of Things (IIoT) Market Size, Share, Trends, Industry Analysis Report: By Deployment (On-Premises and Cloud), Component, End Use, Software, Connectivity Technology, Device and Technology, and Region (North America, Europe, Asia Pacific, Latin America, and Middle East & Africa) – Market Forecast, 2025–2034
- Published Date:Feb-2025
- Pages: 128
- Format: PDF
- Report ID: PM1092
- Base Year: 2024
- Historical Data: 2020-2023
Industrial Internet of Things (IIoT) Market Overview
The Industrial IoT market size was valued at USD 386.11 billion in 2024. The market is projected to grow from USD 475.18 billion in 2025 to USD 3,179.26 billion by 2034, exhibiting a CAGR of 23.5% during the forecast period.
The Industrial Internet of Things (IIoT) refers to the integration of connected sensors, devices, and systems to enhance industrial processes through real-time data collection, analysis, and automation. The IIoT market demand is attributed to the availability of cost-effective processors and sensors, enabling real-time data access and enhancing operational efficiency. This growth is further supported by the collaboration between digital and human workforces, creating new opportunities for productivity and innovation. Advancements in wireless technologies and the rise of smart cities accelerate IoT adoption across various sectors, whereas integrating machine learning (ML) and artificial intelligence (AI) enhances decision-making and operational efficiency through predictive analytics. In October 2024, Qualcomm introduced a new industrial IoT portfolio to support edge AI solutions. The Qualcomm IoT Solutions Framework offers tailored platforms with chipsets, software, and reference designs. The new industrial-grade chipsets provide high-performance, power-efficient computing and connectivity in demanding environments with built-in safety features. Additionally, the adoption of edge computing allows for independent data analysis at the device level, ensuring rapid response times and driving continued the IIoT market development.
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Industrial Internet of Things Market Dynamics
Increasing Adoption in Cloud Computing
The increasing adoption of cloud computing enables scalable data storage and advanced analytics for connected devices. Cloud platforms provide IIoT systems with the ability to process vast amounts of data in real time, improving decision-making and operational efficiency. Cloud computing supports the seamless integration of IoT devices across industries by offering centralized management and remote monitoring capabilities. In November 2024, Canonical partnered with Microsoft to test Azure IoT Operations on Ubuntu Core and Kubernetes. The solution improves data capture, edge processing, and cloud ingress, supporting Azure’s adaptive cloud approach for scalable automation across hybrid, multi-cloud, and IoT environments. Additionally, the flexibility and cost-effectiveness of cloud services allow businesses to scale their IIoT operations without significant infrastructure investment. Hence, the rising adoption of cloud computing across industries propels the Industrial Internet of Things (IIoT) market growth.
Rising Integration of IoT Technology in Industrial Application
Industries seek to enhance operational efficiency, reduce downtime, and optimize resource management. IoT devices and sensors enable real-time monitoring and data collection, while the need for predictive maintenance, automation, and advanced analytics further fuels this demand. The growing adoption of smart devices across sectors such as manufacturing, energy, and logistics continues to expand the IIoT ecosystem. In September 2023, the US Department of Energy (DOE) announced USD 22 million in funding to 12 state programs to accelerate smart manufacturing in small- and medium-sized facilities. This initiative aims to improve efficiency, reduce costs, and support sustainable manufacturing. Additionally, the rise in connected devices and networked systems creates opportunities for innovation and scalability in industrial applications. Therefore, the increasing demand for IoT in industries boosts the Industrial IoT market development.
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Industrial Internet of Things Market Segment Analysis
Industrial IoT Market Assessment by Component Outlook
The global Industrial Internet of Things (IIoT) market segmentation, based on component, includes services, solution, and platform. In 2024, the solution segment dominated the IIoT market share due to the increasing demand for comprehensive, integrated solutions that combine hardware, software, and analytics. These solutions enable industries to efficiently collect, process, and analyze data from connected devices, facilitating real-time decision-making and operational optimization. Turnkey solutions that offer end-to-end IoT deployment, including cloud computing, AI-driven analytics, and automation, are gaining popularity as industries seek to enhance productivity and reduce costs. Furthermore, the growing adoption of smart manufacturing and predictive maintenance strategies has accelerated the need for advanced IIoT solutions, making this segment the largest contributor to Industrial IoT market growth in 2024.
Industrial IoT Market Evaluation by End Use Outlook
The global Industrial Internet of Things market segmentation, based on end use, includes chemical, metal & mining, oil & gas, energy & power, manufacturing, healthcare, agriculture, logistics & transport, and others. The logistics & transport segment is expected to witness the fastest growth during the forecast period due to the increasing need for real-time tracking, fleet management, and route optimization. IoT-enabled devices such as sensors and GPS trackers are transforming how goods are monitored, stored, and transported, improving efficiency and reducing costs. The rising demand for automation in supply chains and the growing e-commerce sector further drive the adoption of connected technologies in logistics. Additionally, the integration of advanced analytics and AI helps in predictive maintenance and enhanced decision-making, further accelerating growth in this segment.
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Industrial Internet of Things (IIoT) Market Regional Analysis
By region, the study provides IIoT market insights into North America, Europe, Asia Pacific, Latin America, and the Middle East & Africa. Asia Pacific dominated the Industrial IoT market revenue share in 2024 due to rapid industrialization, urbanization, and increased adoption of advanced technologies across major sectors. The region's manufacturing industry, in particular, is adopting automation and IoT solutions to enhance operational efficiency and productivity. Additionally, government initiatives and investments in smart city projects are driving IIoT demand. In January 2024, MeitY launched two programs in Kochi, Kerala, the Centre of Excellence (CoE) in Intelligent IoT Sensors and India's first graphene center, the India Innovation Centre for Graphene (IICG). The CoE aims to develop intelligent IoT sensors for various applications, while the IICG focuses on R&D and innovation in graphene and 2D materials, with support from Tata Steel. These centers, located at Maker Village, will support research, incubation, and capacity building in these fields. Countries such as China, Japan, and South Korea are leading the charge in IIoT integration, leveraging their strong manufacturing capabilities, technological advancements, and large-scale infrastructure projects. These factors contribute to Asia Pacific's dominant position in the IIoT market.
The North America Industrial Internet of Things market is expected to witness the fastest growth during the forecast period due to advancements in industrial automation, increased adoption of AI and machine learning, and a strong focus on digital transformation. The region’s well-established infrastructure, coupled with high investment in smart manufacturing, is driving the integration of IoT solutions across sectors such as manufacturing, energy, and healthcare. Additionally, the presence of major market players and significant government support for IoT initiatives further accelerates growth. For instance, the Internet of Things Cybersecurity Improvement Act of 2020, enacted to set minimum security standards for IoT devices used by the federal government, gives the Chief Information Officer (CIO) the authority to prohibit agencies from procuring or using devices that fail to meet NIST standards. Waivers can be granted only for national security, research purposes, or if the device is secured using alternative methods. North America’s emphasis on innovation and sustainability also contributes to its leadership in IIoT adoption.
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Industrial Internet of Things Market – Key Players and Competitive Analysis
The competitive landscape of the Industrial IoT market features global leaders and regional players competing to capture market share through innovation, strategic partnerships, and regional expansion. Global companies such as Siemens, General Electric, Cisco Systems, and others leverage strong R&D capabilities and extensive distribution networks to deliver advanced IIoT solutions, including smart sensors, edge computing devices, and cloud-based analytics platforms. Market trends indicate rising demand for solutions such as AI-driven predictive maintenance, digital twins, and industrial cybersecurity, reflecting advancements in automation and connectivity. According to market insights, the IIoT market is projected to grow significantly, driven by the increasing adoption of smart manufacturing, energy efficiency initiatives, and industrial automation. Competitive strategies include mergers and acquisitions, collaborations with industry leaders, and the development of innovative technologies to meet the growing demand for enhanced operational efficiency and real-time data insights. These trends emphasize the importance of technological innovation, market responsiveness, and regional investments in driving the Industrial IoT market expansion. A few key major market players are ABB; Microchip Technology Inc.; Arm Limited; Cisco Systems, Inc.; IBM; GE Vernova; Intel Corporation; Siemens; Microsoft; and Rockwell Automation.
Cisco Systems, Inc. is a global technology leader specializing in networking hardware, software, and telecommunications equipment. Founded in 1984 and headquartered in San Jose, California, Cisco is renowned for its innovation in developing solutions that enable connectivity and digital transformation across various industries. The company’s core products and services include networking infrastructure, cybersecurity solutions, collaboration tools, and data center technologies. Cisco’s networking portfolio encompasses routers, switches, and wireless systems that form the backbone of modern Internet and enterprise networks. In addition to hardware, Cisco offers a range of software solutions for network management, security, and cloud computing. Their cybersecurity offerings are designed to protect against evolving threats, ensuring the integrity and privacy of data across networks. Cisco is also a key player in the realm of collaboration technology, providing tools such as WebEx for video conferencing and teleconsultation, which are integral to remote work and virtual meetings. Cisco Systems, Inc. offers a comprehensive Industrial Internet of Things (IIoT) product suite, including secure networking solutions, edge computing, IoT connectivity, and data analytics platforms, designed to optimize industrial operations and enhance efficiency.
Intel Corporation, an American multinational technology company, is engaged in the design and manufacturing of computer processors, chipsets, and various semiconductor components. Intel produces various products and services, including microprocessors, system-on-chip (SoC) products, chipsets, and memory and storage solutions. The company's processors are used in multiple devices, from personal computers and laptops to servers and data centers. Intel's chipsets connect processors and other components, while its memory and storage solutions include solid-state drives (SSDs) and other storage devices. Intel Corporation provides Industrial Internet of Things (IIoT) solutions, including advanced processors, edge computing, AI technologies, and connectivity platforms, enabling smart factories, real-time data analysis, and optimized industrial automation.
Intel invests heavily in R&D to develop new technologies and improve its products. The company has also been at the forefront of several key technological advances in the industry, including developing the first microprocessor and introducing the x86 architecture, which has become the standard for most personal computers. It has also significantly contributed to advancing artificial intelligence and machine learning. The company has developed several specialized processors specifically designed for AI applications, such as the Intel Movidius Neural Compute Stick and the Intel Nervana Neural Network Processor. Intel has also invested in AI startups and has collaborated with universities and research institutions to advance the field of AI.
List of Key Companies in Industrial Internet of Things (IIoT) Market
- ABB
- Arm Limited
- Cisco Systems, Inc.
- GE Vernova
- IBM
- Intel Corporation
- Microchip Technology Inc.
- Microsoft
- Rockwell Automation
- Siemens
Industrial Internet of Things Industry Development
In December 2024, Mavenir and TSI conducted live NB-IoT data sessions via the Echostar T1 satellite, validating key functions and 24-hour connectivity using commercial IoT modules and confirming readiness for deployment.
In December 2024, The EIB provided USD 32.7 million to support Sateliot's satellite network rollout, enabling 5G-NB-IoT connectivity for over 8 million devices in remote and low-coverage areas.
Industrial IoT Market Segmentation
By Deployment Outlook (Revenue, USD Billion, 2020–2034)
- On-Premises
- Cloud
By Component Outlook (Revenue, USD Billion, 2020–2034)
- Services
- Managed
- Professional
- Solution
- Data Management
- Security Solutions
- Remote Monitoring
- Analytics
- Others
- Platform
- Application Management
- Device Management
- Connectivity Management
By End Use Outlook (Revenue, USD Billion, 2020–2034)
- Chemical
- Metal & Mining
- Oil & Gas
- Energy & Power
- Manufacturing
- Healthcare
- Agriculture
- Logistics & Transport
- Others
By Software Outlook (Revenue, USD Billion, 2020–2034)
- 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
By Connectivity Technology Outlook (Revenue, USD Billion, 2020–2034)
- Wired
- Ethernet
- Foundation Fieldbus (FF)
- Wireless Technologies
- Wi-Fi
- Bluetooth
- Cellular Technologies
- Satellite Technologies
By Device and Technology Outlook (Revenue, USD Billion, 2020–2034)
- 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
By Regional Outlook (Revenue, USD Billion, 2020–2034)
- North America
- US
- Canada
- Europe
- Germany
- France
- UK
- Italy
- Spain
- Netherlands
- Russia
- Rest of Europe
- Asia Pacific
- China
- Japan
- India
- Malaysia
- South Korea
- Indonesia
- Australia
- Vietnam
- Rest of Asia Pacific
- Middle East & Africa
- Saudi Arabia
- UAE
- Israel
- South Africa
- Rest of Middle East & Africa
- Latin America
- Mexico
- Brazil
- Argentina
- Rest of Latin America
Industrial Internet of Things (IIoT) Market Report Scope
|
Report Attributes |
Details |
|
Market Size Value in 2024 |
USD 386.11 billion |
|
Market Size Value in 2025 |
USD 475.18 billion |
|
Revenue Forecast by 2034 |
USD 3,179.26 billion |
|
CAGR |
23.5% from 2025 to 2034 |
|
Base Year |
2024 |
|
Historical Data |
2020–2023 |
|
Forecast Period |
2025–2034 |
|
Quantitative Units |
Revenue in USD billion and CAGR from 2025 to 2034 |
|
Report Coverage |
Revenue Forecast, Market Competitive Landscape, Growth Factors, and Trends |
|
Segments Covered |
|
|
Regional Scope |
|
|
Competitive Landscape |
|
|
Report Format |
|
|
Customization |
Report customization as per your requirements with respect to countries, regions, and segmentation. |
FAQ's
• The global IIoT market size was valued at USD 386.11 billion in 2024 and is projected to grow to USD 3,179.26 billion by 2034.
• The global market is projected to register a CAGR of 23.5% during the forecast period.
• Asia Pacific dominated the market in 2024 due to rapid industrialization, urbanization, and increased adoption of advanced technologies across major sectors.
• A few key players in the market are ABB; Microchip Technology Inc.; Arm Limited; Cisco Systems, Inc.; IBM; GE Vernova; Intel Corporation; Siemens; Microsoft; and Rockwell Automation.
• In 2024, the solution segment dominated the market due to the increasing demand for comprehensive, integrated solutions that combine hardware, software, and analytics.
• The logistics & transport segment is expected to witness the fastest growth in the market during the forecast period.
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