Industrial IoT Market Size & Trends
The size of the global industrial internet of things market was USD 483.16 billion in 2024 and is anticipated to expand at a CAGR of 23.3% during the period from 2025 to 2030. The increasing adoption of AI and ML into industrial internet of things (IIoT) systems is a key trend that is propelling market growth by facilitating predictive maintenance and operational optimization. Also, the emerging improvements in 5G networks are driving the growth of the Industrial IoT market. The ultra-low latency and high bandwidth capabilities of 5G support the fast, secure, and reliable connectivity needed for IIoT applications, especially in applications that require instant data processing, like autonomous cars and manufacturing and logistics real-time monitoring systems. These conditions are likely to offer additional profitable growth prospects for the industrial internet of things business growth.
Edge computing is profoundly fueling market growth by facilitating rapid, efficient processing of data where it is collected, as opposed to depending on remote cloud servers. This minimizes latency, enabling real-time decision-making as well as instant responses in mission-critical industrial use cases. Also, edge computing relieves bandwidth constraints, saves costs associated with data transmission, and boosts system reliability, making it a crucial technology to scale IIoT deployments in industries. The amplified need for real-time analysis, along with the increased complexity of interconnected industrial systems, is also driving the use of edge computing, powering the further growth of the industrial internet of things industry growth.
Furthermore, increasing interest in cybersecurity measures is speeding up the growth of the industrial internet of things. Protection of IIoT devices and networks from cyberattacks is a priority area for industries as they connect more systems. Enterprises are increasingly adopting advanced security solutions to safeguard information and the integrity of IIoT networks. The push towards cybersecurity is speeding up with the growing market and increasing numbers of connected devices. This, on its part, is expected to spur the industrial internet of things industry growth in the future.
The growing demand for data-driven decision-making is a key driver of the industrial internet of things industry growth. The real-time collection and analysis of data provided by IIoT systems enable organizations to make wise decisions that optimize processes and enhance product quality. Organizations are utilizing data to influence more intelligent and efficient decision-making, which is vital in today's competitive industrial market, further driving the usage of IIoT technologies.
Additionally, sustainability programs are an emerging trend fueling the use of IIoT solutions. With environmental issues being at the center, industries are using IIoT technologies to lower energy usage, maximize resource utilization, and minimize waste. IIoT platforms allow businesses to monitor energy consumption, monitor emissions, and adopt more efficient production processes, enabling both sustainability objectives and cost reduction, further fueling the industrial internet of things industry growth.
Report Coverage & Deliverables
- Competitive benchmarking
- Historical data & forecasts
- Company revenue shares
- Regional opportunities
- Latest trends & dynamics
Component Insights
The solution segment contributed the highest revenue share of more than 51% in 2024, led by growing demand for end-to-end solutions that enable seamless integration among machines, devices, and the cloud. With industries looking to enhance operational efficiency, minimize costs, and make better decisions, IIoT solutions that enable real-time data collection, predictive maintenance, and automation are becoming essential. The increasing demand for tailored solutions that meet specific industry needs and the use of AI and machine learning to augment analytics are among the major drivers propelling this segment's growth.
The service segment is expected to expand at the highest CAGR of more than 24% during 2025-2030 due to the mounting complexity of installing and maintaining IIoT systems. As companies deploy IIoT technologies into their operations, they need consulting services, system integration, and constant support to deliver smooth deployment and optimization. Also, the adoption of managed services, which guarantee constant monitoring and management of IIoT infrastructure, is contributing to growth since businesses are now depending more on external expertise in ensuring security, data privacy, and system performance.
Connectivity Insights
The wireless technology space held the highest market share in 2024 due to the increasing requirement for wireless connectivity, especially with the emergence of 5G and sophisticated Wi-Fi solutions. The technologies provide superior, more secure communication with reduced latency, which is vital for real-time data gathering and analysis. As industrial environments get more and more interconnected, wireless solutions are crucial for providing increased flexibility and scalability in IIoT implementations, which is likely to fuel the market growth in the next few years.
The wired technology market is anticipated to record a high CAGR during the period 2024-2030. The requirement for reliable, high-performance communication links in heavy machinery environments or long-distance device separation is fueling the demand for wired technologies like Ethernet, fiber optics, and power over Ethernet (PoE). Wired systems also offer more security and immunity to interference than wireless versions, which is why they are fundamental in industry applications where stability and integrity of data, as well as system, are extremely important.
Application Insights
The predictive maintenance category had the highest market share in 2024 due to the fact that it helps in lowering downtime during operations, maximizing maintenance scheduling, and maximizing the life of key industrial assets. Predictive maintenance facilitates real-time monitoring of equipment and machines through the use of sensors and data analytics to pick up signs of imminent failure. This strategy enables sectors like manufacturing, energy, and transport to prevent expensive unplanned downtime, enhance productivity, and lower maintenance expenses. Consequently, predictive maintenance has emerged as a key application for sectors aiming to maximize asset use and minimize downtime, propelling its market supremacy.
The supply chain management industry is anticipated to achieve a considerable CAGR over 2025-2030, underpinned by growing demand for real-time visibility, better efficiency, and better decision-making in distribution and logistic processes. As sectors adopt IIoT technology, they are able to monitor commodities, hold inventory, and plan routes in real time through connected devices and data analysis. This helps in improved demand forecasting, shorter lead times, and more agile supply chains. Increased usage of IIoT solutions in this industry is also being supported by the development of e-commerce, globalization, and the enhanced complexity of supply chains.
End-use Insights
The manufacturing sector had the highest market share in 2024, as it was prompted by the necessity for more intelligent, more efficient production processes. IIoT solutions in manufacturing improve automation, predictive maintenance, and real-time monitoring of machines, lowering operating expenses and increasing uptime. The transition to Industry 4.0, with its focus on connected factories, is hastening the adoption of IIoT technologies, as manufacturers want to streamline workflows, enhance product quality, and boost overall productivity.
The transport & logistics segment is also expected to expand at the highest CAGR between 2025 and 2030 due to tremendous growth in supply chain management, fleet monitoring, and route planning. Live information from inter-connected sensors and GPS enables products in transit to be tracked and controlled more effectively, enabling organizations to eliminate delays, increase efficiency, and decrease operational expenses. The growth of intelligent transportation systems, such as autonomous cars and automated warehouses, is also driving the increasing momentum of IIoT in this industry, improving supply chain responsiveness and flexibility overall.
Deployment Insights
The on-premises category held the highest market share in 2024 due to its capability of providing increased control, security, and customization to industrial businesses. Industrial organizations tend to use on-premises solutions in their IIoT setups because they allow for direct control of sensitive information, enabling the creation of more secure, isolated environments. This is especially so in manufacturing, energy, and defense industries, where data privacy and regulatory compliance matter most. On-premises solutions also support quicker data processing, which guarantees low latency and high reliability, making them necessary for real-time decision-making in operational scenarios. All these factors are promoting segmental growth.
The cloud-based segment is projected to advance at the highest CAGR between 2025 and 2030 due to growing demands for scalability, flexibility, and lower infrastructure costs. Cloud-hosted IIoT solutions support companies in remotely storing, analyzing, and accessing vast amounts of data, underpinning higher-level analytics, machine learning, and AI functionality. Cloud-hosted solutions are especially appealing for organizations that seek to sidestep the considerable expense of housing on-premises infrastructure. Cloud platforms provide simpler collaboration for geographically disparate teams and better access to real-time insights, facilitating more data-driven and faster decision-making. With continuous digital evolution and increasing use of remote monitoring and control, cloud-based offerings are expected to expand at a fast pace in the IIoT market.
Regional Insights
North America industrial internet of things market held the highest market share of more than 31% in 2024 and is anticipated to continue its dominance over the forecast period. This is due to early adoption and usage of industrial IoT technology throughout the region. In addition, robust government backing for driving digitalization in the industrial sector, growth in the use of industrial IoT devices, and rising adoption of new technologies such as cloud computing and AI are anticipated to fuel the industrial IoT industry growth throughout the forecast period.
U.S. Industrial Internet Of Things Market Trends
The U.S. industrial IoT market is likely to register a CAGR of more than 18% during the period from 2025 to 2030, led by a robust technology infrastructure, high penetration of advanced manufacturing processes, and efforts to enhance operational efficiency and competitiveness.
Europe Industrial Internet Of Things Market Trends
Europe industrial internet of things market is likely to record a CAGR of more than 23% during the forecast period from 2025 to 2030. The increasing demand for virtualized environments as well as AI, ML, cloud, analytics, security, digitization, connected devices, and networking is likely to drive industrial IoT adoption in the European region. European nations see extensive use of health-specific individual wellness, such as wearable heart rate, blood pressure, and glucose level monitors, and telehealth systems, which transfer medical information among medical personnel, locations, and patients. The increased adoption of industrial IoT in other industries, like retail and government, will be able to support regional growth.
The UK industrial IoT market is anticipated to expand at an impressive CAGR over the next few years. The UK industrial IoT market is growing as a result of a strong manufacturing base, government support for Industry 4.0, and a drive towards digitalization to improve productivity and innovation.
The German industrial IoT market is influenced by Industry 4.0 strategies, a highly educated workforce, and a culture of engineering excellence. These are reasons why industrial IoT is growing rapidly in the country. Moreover, Germany's emphasis on energy efficiency and sustainability is driving the need for IIoT technologies to optimize energy usage, minimize waste, and enhance the efficiency of industrial systems. All these, along with government support and investment in digital infrastructure, are spurring the IIoT market growth in Germany.
Asia Pacific Industrial Internet Of Things Market Trends
Asia Pacific industrial internet of things market is projected to expand at the highest CAGR of more than 26% during the period between 2025 and 2030. The use of sophisticated factory automation systems is gaining popularity in the region, particularly in China and Japan. The size of the South Korea industrial IoT market is increasing exponentially after the technology adoption of 5G and industry 4.0 and smart factory trends in the nation. Manufacturing sectors within the region are beginning to understand the advantages of employing robot arm technology. Key nations in the region are also heavily investing in Industry 4.0 as they aim to be self-sufficient in the areas of manufacturing and production. This, in turn, is likely to boost the industrial IoT market growth in the region.
The industrial IoT market in China is growing fast due to its role as a manufacturing hub for the world, active government support, and an ambition to pursue technology development and automation to increase competitiveness. Governmental policies, like the "Made in China 2025" plan, promote upgrading industrial facilities through automation, AI, and IoT integration to encourage widespread IIoT deployment across industries like automotive, energy, and electronics.
Japan's industrial IoT market is picking up pace, driven by efforts like Society 5.0, which seeks to implement advanced technologies across industries, mainly manufacturing, for sustainable growth. The government's focus on "Society 5.0," a notion that encourages the adoption of digital technologies in industries, is driving the use of smart factories and IoT-based solutions. Moreover, Japan's labor shortages in the wake of its aging population are compelling manufacturers to implement IIoT systems to automate operations, track equipment in real time, and facilitate predictive maintenance, which is fueling strong demand for IIoT technologies.
Key Industrial Internet Of Things Company Insights
Some of the major players in the market include Johnson Controls Inc. and SPX Corporation.
Cisco Systems is a worldwide networking and cybersecurity solution player, specializing in making industries connected and intelligent. In the Industrial Internet of Things (IIoT) space, the company offers industrial networking solutions that converge IT and operational technologies to improve productivity, security, and efficiency. Company's products comprise sophisticated sensors, edge computing hardware, and IoT platforms, designed to make industrial operations more optimal.
Honeywell International Inc. is a global conglomerate with a portfolio of varied business in automation, aerospace, building technologies, and performance materials. In the IIoT industry, Honeywell is distinguished by its high-tech industrial solutions that utilize connected devices, cloud-based platforms, and artificial intelligence to enhance operating performance and minimize downtime. The Honeywell Forge platform of the company provides data-driven insights on asset management, predictive maintenance, and process optimization to industries including oil and gas, chemicals, and manufacturing.
Arm Holding Plc and Atmel Corporation are among the participants in emerging markets in the market for industrial cooling systems.
ARM Holding Plc, a SoftBank Group subsidiary, is engaged in the design of semiconductors, with a focus on low-power, high-performance processors used across many applications, including those for the IIoT market. ARM's microprocessors and system-on-chips (SoCs) are used extensively across the world in embedded devices, sensors, and edge computing systems in multiple industries. With its power-efficient architecture, ARM facilitates scalable, cost-efficient IoT deployments essential for smart factories, logistics, and infrastructure.
Atmel Corporation, which is now a Microchip Technology subsidiary, is a major player in the innovation of semiconductor solutions for embedded systems and IoT applications. Atmel's specialization in microcontrollers, sensors, and wireless connectivity modules has established it as a prominent stakeholder in the IIoT market. Its solutions power a broad array of industrial devices, facilitating real-time data gathering, remote monitoring, and automation.
Key Industrial Internet of Things Companies
The following are the leading companies in the industrial internet of things (IIoT) market. These companies collectively hold the largest market share and dictate industry trends.
- ABB Ltd.
- ARM Holding Plc
- Atmel Corporation
- Cisco Systems, Inc.
- General Electric Company (GE)
- Honeywell International Inc.
- Intel Corporation
- International Business Machines (IBM) Corporation
- Microsoft Corporation
- Rockwell Automation, Inc.
- Schneider Electric SE
- Siemens AG
Recent Developments
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In February 2025, Cisco Systems, Inc. was declared the Industrial IoT Company of the Year by IoT Breakthrough for its success in industrial networking, security, and IT-OT convergence. The honor underscores Cisco's contribution in helping energy, manufacturing, and transport industries use AI/ML technologies to further automation, operational productivity, and predictive maintenance.
In October 2024, Google Cloud and Honeywell International, Inc. partnered to bring AI agents to Honeywell's industrial operations with the purpose of improving autonomy, productivity, and workforce efficiency.
Honeywell in July 2023 acquired SCADAfence, a cybersecurity solution company that focuses on delivering cybersecurity solutions for monitoring large-scale operational technology (OT) Internet of Things (IoT) networks. This acquisition is strategic towards Honeywell's focus on digitalization, sustainability, and OT cyber security SaaS solutions.
Industrial Internet Of Things Market Report Scope
|
Report Attribute |
Details |
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Market size value in 2025 |
USD 593.75 billion |
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Revenue forecast in 2030 |
USD 1,693.44 billion |
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Growth rate |
CAGR of 23.3% from 2025 to 2030 |
|
Base year for estimation |
2024 |
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Historical data |
2018 - 2023 |
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Forecast period |
2025 - 2030 |
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Quantitative units |
Revenue in USD million/billion, and CAGR from 2025 to 2030 |
|
Report coverage |
Revenue forecast, company ranking, competitive landscape, growth factors, and trends |
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Segments covered |
Component, deployment, connectivity, application, end-use, region |
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Country scope |
U.S.; Canada; UK; Germany; Benelux; Nordic Countries; China; Australia; Japan; India; South Korea; Brazil; Mexico; South Africa; Saudi Arabia; UAE |
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Key companies profiled |
ABB Ltd.; ARM Holding Plc; Atmel Corporation; Cisco Systems, Inc.; General Electric Company (GE); Honeywell International Inc.; Intel Corporation; International Business Machines (IBM) Corporation; Microsoft Corporation; Rockwell Automation, Inc.; Schneider Electric SE; Siemens AG. |
|
Customization scope |
Free report customization (equivalent to up to 8 analyst’s working days) with purchase. Addition or alteration to country, regional & segment scope. |
|
Pricing and purchase options |
Avail customized purchase options to meet your exact research needs. Explore purchase options |
Global Industrial Internet Of Things Market Report Segmentation
Component Outlook (Revenue, USD Million, 2018 - 2030)
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Solution
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Remote Monitoring
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Data Management
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Analytics
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Security Solutions
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Others
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Services
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Professional
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Managed
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Platform
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Connectivity Management
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Application Management
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Device Management
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Deployment Outlook (Revenue, USD Million, 2018 - 2030)
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On-premises
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Cloud-based
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Connectivity Outlook (Revenue, USD Million, 2018 - 2030)
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Wired Technology
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Wireless Technology
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Application Outlook (Revenue, USD Million, 2018 - 2030)
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Predictive Maintenance
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Asset Tracking & Management
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Remote Monitoring
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Process Optimization
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Safety & Security
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Supply Chain & Management
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End Use Outlook (Revenue, USD Million, 2018 - 2030)
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Metal & Mining
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Chemical
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Manufacturing
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Energy & Power
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Oil & Gas
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Healthcare
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Logistics & Transport
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Agriculture
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Others
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Regional Outlook (Revenue, USD Million, 2018 - 2030)
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North America
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U.S.
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Canada
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Europe
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Germany
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UK
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Benelux
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Nordic Countries
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Asia Pacific
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China
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Japan
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India
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South Korea
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Australia
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Latin America
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Brazil
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Mexico
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Chile
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Peru
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Middle East & Africa (MEA)
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UAE
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Saudi Arabia
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South Africa
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