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Internet of Things (IoT) Market Size, Share & COVID-19 Impact Analysis, By Component (Platform, Solution & Services), By End-use Industry (BFSI, Retail, Government, Healthcare, Manufacturing, Agriculture, Sustainable Energy, Transportation, IT & Telecom, and Others), and Regional Forecast, 2023-2030

Report Format: PDF | Latest Update: Feb, 2024 | Published Date: Apr, 2023 | Report ID: FBI100307 | Status : Published

The Internet of Things (IoT) market size was valued at USD 544.38 billion in 2022 and is projected to grow from USD 662.21 billion in 2023 to USD 3,352.97 billion by 2030, exhibiting a CAGR of 26.1% during the forecast period.

IoT platforms and solutions & services provided by the players, such as AT&T, Inc., have been offering solutions such as deployment services, vehicle solutions, integrated solutions, smart cities, and others. Cisco Systems, Inc. provides network connectivity, data control and exchange, connectivity management, and edge computing. Siemens AG provides industrial edge, digital twin, and others solutions.

The Internet of Things technology functions as a global infrastructure for the information society, enabling advanced services to interconnect things based on existing and evolving communication technologies. Also, it offers interoperable information and the ability to communicate independently without human intervention.

As a result, the technology is expected to open up new revenue streams, drive business efficiencies, facilitate new business models, and improve the way existing services are delivered across many different sectors. For instance,

  • In July 2021, Oracle Japan and the Mishima City in Japan allied to work on several smart city initiatives. Such projects are projected to aid local communities and businesses by employing digital technology to address various societal challenges.


Increased Utilization of Internet of Things to Combat Coronavirus Creates New Opportunities for Market

The pandemic has forced governments, businesses, and people to reconsider their objectives, perspectives on socioeconomic problems, and methods of operation. While the world was battling the novel coronavirus outbreak in 2020, healthcare officials worked diligently. The aim was to deliver proper services to keep citizens from being exposed and cure those infected.

Like healthcare, the Internet of Things market presents a significant opportunity to improve the quality of life, with the possibility of having a far-reaching impact across society, particularly during COVID-19's new normal. The pandemic prompted organizations and governments to rethink their objectives and actions. On the other hand, these adjustments prove to be a driver for innovation and technology. For instance,

  • Singapore's government declared a 30% increase in digital transformation investment, from USD 2.7 billion in 2019 to USD 3.5 billion in 2020, to reinforce the economy and assist organizations in recovering from COVID-19 pandemic.


Blockchain Technologies to Shape the Future of the IoT

Data management is one of the most critical aspects of internet technology. Internet-connected devices accumulate an immense amount of data and information for processing. However, the internet of things standard security gateway raises numerous security and privacy difficulties. The blockchain-based architecture provides linked devices with minimal and decentralized security solutions. For instance,

  • Moving freight is a complicated process involving many parties with varying priorities in freight transportation applications. An IoT-enabled blockchain can record the arrival times, the status of shipping containers, temperatures, and position, when in a movable state.

  • Similarly, in the component tracking and compliance application, the Internet of Things data kept in shared blockchain ledgers allows all parties to track component provenance throughout the product life cycle.

Thus, blockchain could help improve connected technology's scalability and security concerns.


Rising Smart City Initiatives to Bolster Growth of Market

With increasing population and urbanization, many countries worldwide are initiating smart city projects and adopting smart city solutions to manage resources. Connected devices, including sensors, smart lights, and smart meters, help improve the functions and efficiency of infrastructure and related services.

The rising number of Industry 4.0, smart homes and buildings, smart manufacturing, and smart infrastructure projects are expected to create a huge transformation in business areas, thereby accelerating the internet of things (IoT) market growth. For instance,

  • According to White & Case LLP July 2021 report, Saudi Arabia is developing four smart cities, the Red Sea Project, Qiddiya, Amaala, and NEOM respectively with multibillion-dollar building agreements. The largest of these developments is NEOM, USD 500 billion smartcities that would be a hyper-connected zero-carbon city.

Additionally, smart city solutions, such as smart transportation, smart utility meters, smart waste management, smart air quality controllers, and smart grids are being adopted by consumers, thereby elevating the market potential of connected devices worldwide.


Limitations Associated with Security, Integrity, and Privacy of Data in Connected Devices to Inhibit Growth

Internet of things technology has numerous applications, ranging from gathering biometric data via wearable devices to controlling connected equipment via communication networks and cloud platforms. These devices have unique IP addresses that allow them to communicate and exchange information with other devices.

However, as the number of connected devices, smart devices, mobile devices, and platforms grow, so does the need for data protection and privacy. These devices and networks could include sensitive and personal data that attackers could use. Data exploitation may emerge as a result of the rising reliance on connected devices, reflecting design flows and the vulnerabilities of connected devices.


By Component Analysis

Rising Demand for Efficient Connected Devices Platform to Drive Market Growth

On the basis of component, the market is bifurcated into platforms and solutions & services.

The platform is sub-segmented into network management, cloud platform, and device management. The solution is categorized into real-time streaming analytics, security, data management, remote monitoring, and network band management.

The platform is expected to grow at the highest CAGR owing to the rising demand for effective platforms for downstream data servers and enterprise application connectivity.

However, solutions and services are expected to dominate the market with the highest market share. Several industries are implementing intelligent solutions to improve their present systems. For instance, healthcare facilities deploy connected devices to improve medical outcomes.

Further, network management is expected to hold a significant market share during the forecast period due to businesses' growing demand for remote monitoring systems and internet-ready devices. The network management solution is device-independent and provides an easy approach to integrating cross-vendor hardware models and data structures into the workflow.

By End-use Industry Analysis

Manufacturing Industry to Lead Backed by Huge Spending on Advanced Technologies

Based on the end-use industry, the market has been segmented into agriculture, BFSI, healthcare, government, retail, manufacturing, sustainable energy, transportation, IT & telecom, and others.

The agriculture segment is predicted to grow at the fastest CAGR owing to the rising demand for field-based sensors and equipment. Some major applications of the technology in the agricultural sector are smart farming, smart greenhouse, smart agriculture, precision farming, and smart drones, among others. The benefits of implementing the IoT for farmers are two-fold. It has assisted them in lowering expenses while increasing yields by boosting farmer decision-making with precise data. For example, smart farming enhances the entire agricultural system by monitoring the farm in real time and allowing farmers to produce food efficiently.

Healthcare and manufacturing are projected to have the highest market share during the forecast period. Industry 4.0 technologies, including the industrial internet of things (IIoT), machine learning, and big data, are enabling the manufacturing industry to shift its focus to digital transformation to increase productivity and quality, reduce downtime, and assist in supply chain management. For example, by providing a digital footprint of products, digital twin, in collaboration with other industry 4.0 technologies, might keep production facilities at the cutting edge of productivity. Since it could help manufacturing plants discover physical imperfections sooner, forecast outcomes more precisely, and design better products.


The market has been analyzed across five major regions: North America, Asia Pacific, Europe, the Middle East & Africa, and South America.

The North America Internet of Things Market size was valued at USD 179.71 Billion in 2022 and is growing at a CAGR of 25.1% from 2023 to 2030. North America dominated the global market with a share of 33.01% in 2022. There is significant growth in the healthcare, industrial, and automotive sectors owing to a growing customer base for cloud-based platforms. Additionally, cloud platforms are witnessing wide adoption in the region due to the expansion of IoT-enabled devices, rising R&D investments in the technology, and the presence of key market players, such as Google, Amazon Web Services (AWS), Microsoft, Cisco, and IBM.

  • According to the GSMA Intelligence Report October 2021 in North America, the total number of IoT connections is projected to reach 5.1 billion by 2025. The total number of connected devices in the region reached 2.9 billion in 2020.

Europe is expected to dominate the market in the near future by overtaking North America with the maximum Internet of Things market share. Since healthcare is predicted to hold a substantial market share in Europe, the industry is becoming increasingly linked to big databases. The Internet of Things, in conjunction with big data analytics, can provide various insights, such as diagnostic analytics, descriptive analytics, predictive analytics, and prescriptive analytics. Connected devices combined with big data are expected to gain traction in Europe.

Further, the demand for this technology is increasing among enterprises in Germany, the U.K., France, Italy, Spain, and the Netherlands, thus enhancing the region's market growth. Similarly, Eastern Europe and Nordic countries show a significant adoption rate of advanced technology. According to a March 2021 report by the CBI Ministry of Foreign Affairs, several European organizations are beginning to see the value of industry 4.0 and its advantages.

Asia Pacific is likely to show the highest CAGR during the projection period due to increasing smart city projects and rising initiatives, such as Smart Wellington (New Zealand), Intelligent Disease Prediction Project (China), and cloud spending in the region.

Also, the region's communication service providers and manufacturers, such as Taiwan Mobile and Samsung Electronics Co., Ltd., are expanding their portfolios to capitalize on smart device opportunities by developing information collection systems and combining advanced analytics capabilities into current systems.

The Middle East and Africa are expected to witness significant growth during the forecast period. Middle Eastern countries, such as Saudi Arabia and UAE, have been actively engaged in building smart cities, preferring to build and create them from scratch rather than integrating technology into existing ecosystems.

Similarly, South America is expected to show steady growth during the projection period due to rising internet access services and regional users. According to March 2021 Internet World Stats, the South American region has 78.8% internet penetration, whereas the world's penetration was estimated at around 65.6%.


Established Players Invest in Core Technologies and Startups to Stay Competitive in the Market

Major key players such as Intel Corporation, Microsoft Corporation, Cisco Systems, Inc., Amazon Web Services, Inc., Siemens AG, and PTC Inc., among others, are making substantial investments in advanced technologies such as AI, cloud computing, and others. Established market players are making substantial investments in startups and midscale companies to offer efficient solutions to the end-use verticals such as healthcare, manufacturing, retail, and others.

List of the Key Companies Profiled:


  • January 2023 - Intel introduced the Intel Core mobile processor, 13th Gen. The advancement is powered by Intel's hybrid architecture and has 32 mobile processors. Intel's Core H-, P-, and U- range mobile processors are power-driven with light and thin laptops and Internet of Things devices. 

  • December 2022 - AWS and Slalom expanded their strategic partnership to provide innovative, high-tech, and industry-precise solutions to the expanded customer base. The two firms collaborate to launch AWS|Shalom Launch Centers to help organizations modernize IT services and accelerate business renovations. These centres enable customers to access the AWS professional service with cloud solutions and Slalom expertise in software mechanics, analytical capabilities, and business transformation.

  • December 2022 - Deloitte announced the launch of Olympus with AWS (Amazon Web Services). Olympus is a worldwide investment fund for building industry cloud solutions along with advanced technologies such as IoT, AI, machine learning, 5G, quantum computing, and AR/VR, everything on the cloud. The initiative aims to solve the issues related to food waste, clean energy, financial product access, and many such problems.

  • November 2022 - AWS IoT Core launched a new location service in collaboration with LoRa Edge. The partnership simplifies the development of asset tracking and connects LoRa Edge devices to AWS. The low-power, scalable, and cost-effective technology is suited for several applications such as building, industrial, home, agriculture, transportation, and logistics sector.

  • February 2022 - Siemens upgraded its NX Software in the Xcelerator portfolio with intelligence-based design features. This upgrade allows the application to leverage advanced simulation technologies and AI, delivering proficient insights to the users.


The market research study highlights leading regions around the world to provide the consumer with a better insight. Additionally, the research focuses on the most recent market growth patterns and examines technologies that are being deployed at a quick speed on a global scale. It also provides some drivers and restraints, allowing the reader to obtain a thorough understanding of the market.




Study Period


Base Year


Estimated Year


Forecast Period


Historical Period


Growth Rate

CAGR of 26.1% from 2023 to 2030


Value (USD Billion)


Component; End-use Industry; and Region

By Component

  • Platform

    • Device Management 

    • Cloud Platform

    • Network Management

  • Solution & Services

    • Solution

      • Real-Time Streaming Analytics

      • Security

      • Data Management

      • Remote Monitoring

      • Network Band Management

    • Services

By End-use Industry

  • Banking, Financial Services and Insurance (BFSI)

  • Retail

  • Government

  • Healthcare

  • Manufacturing

  • Agriculture

  • Sustainable Energy

  • Transportation

  • IT & Telecom

  • Others

By Region

  • North America (By Component; End-use Industry; and Country)

    • U.S. (By End Use Industry)

    • Canada (By End Use Industry)

    • Mexico (By End Use Industry)

  • Europe (By Component; End-use Industry; and Country)

    • Germany (By End Use Industry)

    • France (By End Use Industry)

    • U.K. (By End Use Industry)

    • Italy (By End Use Industry)

    • Spain (By End Use Industry)

    • Russia (By End Use Industry)

    • Benelux (By End Use Industry)

    • Nordics (By End Use Industry)

    • Rest of Europe

  • Asia Pacific (By Component; End-use Industry; and Country)

    • China (By End Use Industry)

    • Japan (By End Use Industry)

    • India (By End Use Industry)

    • South Korea (By End Use Industry)

    • ASEAN (By End Use Industry)

    • Oceania (By End Use Industry)

    • Rest of Asia Pacific

  • The Middle East & Africa (By Component; End-use Industry; and Country)

    • Turkey (By End Use Industry)

    • Israel (By End Use Industry)

    • GCC (By End Use Industry)

    • North Africa (By End Use Industry)

    • South Africa (By End Use Industry)

    • Rest of the Middle East & Africa

  • South America (By Component; End-use Industry; and Country)

    • Brazil (By End Use Industry)

    • Argentina (By End Use Industry)

    • Rest of South America

Frequently Asked Questions

How much will the IoT market be worth in 2030?

According to Fortune Business Insights, the global market size is expected to reach USD 3,352.97 billion by 2030.

What was the value of the global IoT market in 2022?

In 2022, the market value stood at USD 544.38 billion.

At what CAGR is the market projected to grow in the forecast period (2023-2030)?

The market is projected to grow at a CAGR of 26.1% during the forecast period.

Which is the leading segment among components in the market?

The solution and services segment is the leading segment in the market.

Which is the key factor driving market growth?

Smart city initiatives are expected to drive market growth.

Which region is expected to hold the highest market share?

North America is expected to hold the highest market share.

Which region is expected to grow at the highest CAGR?

Asia Pacific is expected to grow at the highest CAGR.

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