Industrial Internet of Things (IIoT) Market Size, Share, Trends, Growth and Forecast 2032

Industrial Internet of Things (IIoT) Market: Size

The global Industrial Internet of Things (IIoT) Market size was worth around USD 341.72 Billion in 2023 and is predicted to grow to around USD 607.42 Billion by 2032 with a compound annual growth rate (CAGR) of roughly 6.60% between 2024 and 2032.

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The report covers forecast and analysis for the industrial internet of things (IIoT) market on a global and regional level. The study provides historic data from 2018 to 2022 along with a forecast from 2024 to 2032 based on revenue (USD Billion). 

The study includes drivers and restraints for the industrial internet of things (IIoT) market along with the impact they have on the demand over the forecast period. Additionally, the report includes the study of opportunities available in the industrial internet of things (IIoT) market on a global level.

Industrial Internet of Things (IIoT) Market: Overview

The IIoT is a part of a bigger concept known as the internet of things (IoT). The IoT is a system of intelligent computers, gadgets, and objects that gather and share huge amounts of data. The gathered information is sent to a central cloud-based administration where it is accumulated with other information and then shared with end users in a helpful way. The IoT will increase automation in homes, schools, stores, and in numerous businesses. The application of the IoT to the manufacturing industry is called the IIoT. The IIoT will reform manufacturing by empowering the procurement and accessibility of far greater amounts of data, at far more prominent speeds, and much more effectively than before. Various innovative organizations have begun to execute the IIoT by leveraging intelligent, connected devices in their processing plants.

The Industrial Internet of Things (IIoT) integrates smart sensors, actuators, and devices to optimize manufacturing and industrial processes through data collection, exchange, and analysis. It spans sectors like manufacturing, energy management, utilities, and oil and gas. IIoT leverages intelligent machines and real-time analytics to enhance efficiency, quality control, sustainability, and supply chain traceability. It supports predictive maintenance, energy management, and asset tracking, benefiting industries worldwide. Technological advancements, operational efficiency focus, and collaborations drive market growth. The manufacturing sector dominates, while logistics and transportation show high growth potential. North America leads in adoption, with Asia Pacific exhibiting significant growth due to increasing factory automation and industry 4.0 initiatives.

Request Free SampleIn 2023, the manufacturing sector held the largest market share and is expected to maintain its dominance throughout the forecast period. The advent of Industry 4.0 has propelled the adoption of Industrial Internet of Things (IIoT) in both discrete and process manufacturing domains. This trend is driven by IIoT's ability to optimize operations, reduce downtime, improve efficiency, and facilitate data-driven decision-making, resulting in increased profit margins and reduced costs with rapid returns on investment in IoT adoption. Moreover, the rapid uptake of digital manufacturing technologies by manufacturing industries underscores the crucial role of IoT implementation in these advanced technologies, further fueling market growth.

On the other hand, the logistics and transportation segment is expected to witness the highest compound annual growth rate (CAGR) from 2024 to 2032. This growth is attributed to the significant emphasis placed by transportation companies on enhancing asset management, driving the adoption of smart transportation solutions. Additionally, modern alternatives such as Bluetooth Low Energy (BLE) tags are gaining traction, offering enhanced data tracking capabilities in confined spaces and facilitating operational management. This trend is anticipated to further propel Industrial Internet of Things (IIoT) market growth during the forecast period.

In order to give the users of this report a comprehensive view on the industrial internet of things (IIoT) market, we have included a detailed competitive scenario and product portfolio of key vendors. To understand the competitive landscape in the market, an analysis of Porter’s five forces model for the industrial internet of things (IIoT) market has also been included. The study encompasses a market attractiveness analysis, wherein all segments are benchmarked based on their market size, growth rate, and general attractiveness. 

Global Industrial Internet of Things (IIoT) Market: Growth Factors

Driving the growth of the IIoT market are significant technological advancements. Among these advancements, affordable processors and sensors capable of delivering real-time data stand out as pivotal. These components have become more accessible and cost-effective, enabling businesses of all sizes to adopt IIoT solutions. Affordable processors enable the development of robust computing devices capable of managing the vast volumes of data generated by industrial equipment and sensors. This capability allows for real-time data processing and analysis, furnishing insights crucial for improving operational efficiency, detecting potential issues, and making well-informed decisions.

Additionally, the evolution of sensors has been instrumental in capturing real-time data from diverse industrial assets and processes. Modern sensors possess the capability to measure a wide array of parameters including temperature, pressure, vibration, and humidity with exceptional accuracy and reliability. This real-time data facilitates predictive maintenance, asset monitoring, and the optimization of production processes. Moreover, advancements in connectivity technologies, such as wireless networks and the Internet, have streamlined communication between devices and systems within industrial environments. This enhanced connectivity enables remote monitoring and control of industrial assets, fostering more efficient operations and proactive maintenance approaches.

Development of new operating models to create a connected enterprise for merging operational and information departments by leading organizations across the globe primarily drive the growth of industrial internet of things (IIoT) market. For instance, Rockwell Automation developed a five-stage connected enterprise maturity model that incorporates measures and best practices necessary to ensure effective change in both technologies and organizational cultures. This transformation is anticipated to increase the overall productivity, enhance operational productivity, enhance visibility, and diminish the complexities of various processes in the industry. The progressive advantages in manufacturing processes on account of deployment of the industrial internet of things are another factor driving the industrial internet of things (IIoT) market. This is on the grounds that IIoT enhances operational effectiveness by methods for saddling data and acting in response to the data gathered from smart machines. Furthermore, increasing investments in smart technologies to improve operational efficiency by various industries is anticipated to propel the global industrial internet of things (IIoT) market. However, lack of a defined protocol or standardization and use of old equipment are restraining the growth of global industrial internet of things (IIoT) market.

Global Industrial Internet of Things (IIoT) Market: Segmentation

Industrial internet of things (IIoT) market is segmented based on component, software, vertical, and region.

The component segment included in this market are sensors, industrial robotics, a distributed control system (DCS), condition monitoring, camera systems, smart meters, and others. Camera system segment is expected to grow at highest CAGR in given forecasted period. This is mainly due to increasing use of camera systems for security purpose in various industries such as manufacturing and transportation.

Software segment includes product lifecycle management (PLM) systems, manufacturing execution system (MES), SCADA systems, distribution management system, and others. Among software segment, the demand for distribution system has increased over the period of time due to increasing use of distribution system in transportation and logistics industry. 

The vertical segment includes manufacturing, utilities, oil & gas, metals & mining, retail, healthcare, transportation & logistics, and others. The manufacturing sector is expected to witness moderate growth in the industrial internet of things (IIoT) market due to the adoption of advanced robotics and cloud robotics in manufacturing practices.

Industrial Internet of Things (IIoT) Market: Report Scope

Global Industrial Internet of Things (IIoT) Market: Regional Analysis

The regional segmentation includes the current and forecast demand for North America, Europe, Asia Pacific, Latin America and the Middle East and Africa with its further bifurcation into major countries including U.S., France, UK, Germany, China, India, Japan, and Brazil. 

North America has been leading the worldwide industrial internet of things (IIoT) market and is anticipated to continue on the dominant position in the years to come, states the industrial internet of things (IIoT) market study. High awareness pertaining to advantages of IIoT applications along with early acceptance of IoT in myriad sectors is the main factor behind the dominance of the North America industrial internet of things (IIoT) market. The majority of industry players being based in North America is yet another significant factor that is supporting the growth of this regional industrial internet of things (IIoT) market.

Some of the major players operating in the Industrial Internet of Things (IIoT) Market are:

The report covers detailed competitive outlook including company profiles of the key participants operating in the global industrial internet of things (IIoT) market. Key players profiled in this report include -

• ARM Ltd.
• Cisco Systems
• General Electric
• Intel Corporation
• Rockwell Automation
• ABB
• Texas Instruments Inc.
• Dassault Systems
• Honeywell International Inc.
• Huawei Technology Co.

The report segments industrial internet of things (IIoT) into:

Global Industrial Internet of Things (IIoT) Market: Component Segment Analysis

• Sensors
• Industrial Robotics
• Distributed Control System (DCS)
• Condition Monitoring
• Camera Systems
• Smart Meters
• Others

Global Industrial Internet of Things (IIoT) Market: Software Segment Analysis

• Product Lifecycle Management (PLM) Systems
• Manufacturing Execution System (MES)
• SCADA Systems
• Distribution Management System
• Others

Global Industrial Internet of Things (IIoT) Market: Vertical Segment Analysis

• Manufacturing
• Utilities
• Oil & Gas
• Metals & Mining
• Retail
• Healthcare
• Transportation & Logistics
• Others

Global Industrial Internet of Things (IIoT) Market: Regional Segment Analysis

• North America
  • The U.S.
• Europe
  • UK
  • France
  • Germany
• Asia Pacific
  • China
  • Japan
  • India
• Latin America
  • Brazil
• Middle East and Africa