Industrial Internet Of Things Market Size, Share & Trends Analysis Report By Component (Solution, Services, Platform), By Deployment, By Connectivity, By Application, By End-use (Manufacturing, Logistics & Transport), By Region, And Segment Forecasts, 2025 - 2030

Industrial IoT Market Size & Trends

The global industrial internet of things market size was valued at USD 483.16 billion in 2024 and is expected to grow at a CAGR of 23.3% from 2025 to 2030. The growing integration of AI and ML into industrial internet of things (IIoT) systems is a major trend driving market growth by enabling predictive maintenance and operational optimization. Additionally, the growing advancements in 5G networks are fueling the expansion of the Industrial IoT industry. 5G's ultra-low latency and high bandwidth capabilities provide the fast, reliable, and secure connectivity required for IIoT applications, particularly in scenarios that demand immediate data processing, such as autonomous vehicles and real-time monitoring systems in manufacturing and logistics. These factors are expected to present further lucrative growth opportunities for the industrial internet of things industry expansion.

Edge computing is significantly driving the market growth by enabling faster, more efficient data processing at the source of collection, rather than relying on distant cloud servers. This reduces latency, allowing for real-time decision-making and immediate responses in critical industrial applications. Additionally, edge computing alleviates bandwidth limitations, reduces data transmission costs, and improves system reliability, making it an essential technology for scaling IIoT deployments across industries. The increased demand for real-time analytics, coupled with the growing complexity of connected industrial systems, is accelerating the adoption of edge computing, fueling the continued expansion of the industrial internet of things industry expansion.

Additionally, the growing focus on cybersecurity measures is accelerating the industrial internet of things industry growth. Securing IIoT devices and networks against cyber threats is a major concern for industries as they integrate more connected systems. Companies are increasingly investing in advanced security technologies to protect data and ensure the integrity of IIoT networks. The emphasis on cybersecurity is accelerating as the market expands and the number of connected devices increases. This, in turn, is anticipated to boost the industrial internet of things industry growth in the coming years.

The increasing need for data-driven decision-making is a major factor propelling the industrial internet of things industry growth. Real-time data collection and analysis offered by IIoT systems allow companies to make informed decisions that optimize operational processes and improve product quality. Companies are leveraging data to drive smarter, more efficient decision-making, which is crucial in today’s competitive industrial landscape, pushing further the adoption of IIoT technologies.

Moreover, sustainability initiatives are a growing trend driving the adoption of IIoT solutions. With environmental concerns at the forefront, industries are leveraging IIoT technologies to reduce energy consumption, optimize resource use, and minimize waste. IIoT platforms enable companies to track energy usage, monitor emissions, and implement more efficient manufacturing processes, supporting both sustainability goals and cost savings, further contributing to the industrial internet of things industry expansion.

Component Insights

The solution segment accounted for the largest revenue share of over 51% in 2024, driven by the increasing demand for end-to-end solutions that offer seamless integration between machines, devices, and the cloud. As industries seek to improve operational efficiency, reduce costs, and enhance decision-making, IIoT solutions that provide real-time data collection, predictive maintenance, and automation are becoming indispensable. The growing need for customized solutions that align with specific industry requirements and the adoption of AI and machine learning to enhance analytics are key factors accelerating this segment’s growth.

The service segment is projected to grow at the fastest CAGR of over 24% from 2025 to 2030, attributed to the increasing complexity of implementing and maintaining IIoT systems. As organizations integrate IIoT technologies into their operations, they require services such as consulting, system integration, and ongoing support to ensure seamless deployment and optimization. Furthermore, the rise of managed services, which provide continuous monitoring and management of IIoT infrastructure, is driving growth, as companies increasingly rely on external expertise to maintain security, data privacy, and system performance.

Connectivity Insights

The wireless technology segment accounted for the largest market share in 2024, owing to the growing demand for wireless connectivity, particularly with the advent of 5G and advanced Wi-Fi solutions. These technologies offer faster, more reliable communication with lower latency, which is critical for real-time data collection and analysis. As industrial environments become increasingly connected, wireless solutions are essential for enabling greater flexibility and scalability in IIoT deployments, which is expected to drive the market growth in the coming years.

The wired technology segment is expected to register a significant CAGR from 2024 to 2030. The need for stable, high-performance communication links in environments with heavy machinery or long distances between devices is driving the demand for wired technologies such as Ethernet, fiber optics, and power over Ethernet (PoE). Wired systems also provide greater security and are less susceptible to interference compared to wireless alternatives, making them crucial in industrial applications where data integrity and system stability are paramount.

Application Insights

The predictive maintenance segment accounted for the largest market share in 2024, owing to its ability to reduce operational downtime, optimize maintenance schedules, and extend the lifespan of critical industrial equipment. With the integration of IIoT technologies, predictive maintenance enables real-time monitoring of machinery and equipment using sensors and data analytics to detect potential failures before they occur. This approach allows industries such as manufacturing, energy, and transportation to avoid costly unplanned outages, improve efficiency, and reduce maintenance costs. As a result, predictive maintenance has become a critical application for industries focused on maximizing asset utilization and minimizing operational disruptions, driving its dominance in the market.

The supply chain management segment is expected to register a significant CAGR from 2025 to 2030, driven by the increasing demand for real-time visibility, improved efficiency, and enhanced decision-making in logistics and distribution processes. As industries embrace IIoT technologies, they can track goods, manage inventory, and optimize routes in real-time using connected devices and data analytics. This enables better demand forecasting, reduced lead times, and more responsive supply chains. The rise of e-commerce, globalization, and the growing complexity of supply chains are further contributing to the increased adoption of IIoT solutions in this sector.

End-use Insights

The manufacturing segment accounted for the largest market share in 2024, driven by the need for smarter, more efficient production processes. IIoT applications in manufacturing enhance automation, predictive maintenance, and real-time monitoring of equipment, reducing operational costs and improving uptime. The shift toward Industry 4.0, with its emphasis on connected factories, is accelerating the adoption of IIoT technologies, as manufacturers seek to optimize workflows, improve product quality, and increase overall productivity.

The logistics & transport segment is anticipated to grow at the fastest CAGR from 2025 to 2030, driven by significant advancements in supply chain management, fleet tracking, and route optimization. Real-time data from connected sensors and GPS devices allows for better visibility and control over goods in transit, helping companies reduce delays, improve efficiency, and lower operational costs. The rise of smart transportation solutions, including autonomous vehicles and automated warehouses, is also contributing to the rapid growth of IIoT in this sector, enhancing overall supply chain responsiveness and agility.

Deployment Insights

The on-premises segment accounted for the largest market share in 2024, owing to its ability to offer enhanced control, security, and customization for industrial organizations. Many industries prefer on-premises solutions for their IIoT systems as they provide direct control over sensitive data, allowing for more secure, isolated environments. This is particularly important in industries such as manufacturing, energy, and defense, where regulatory compliance and data privacy are critical. On-premises solutions also allow for faster processing of data, ensuring low latency and high reliability, which is essential for real-time decision-making in operational environments. These factors are driving segmental growth.

The cloud-based segment is expected to grow at the highest CAGR from 2025 to 2030, owing to the increasing demand for scalability, flexibility, and reduced infrastructure costs. Cloud-based IIoT solutions enable businesses to store, analyze, and access large volumes of data remotely, supporting advanced analytics, machine learning, and AI capabilities. These solutions are particularly attractive for companies looking to avoid the high costs of maintaining on-premises infrastructure. Cloud platforms also allow for easier collaboration across geographically dispersed teams and provide access to real-time insights, driving more agile and data-driven decision-making. With ongoing digital transformation and the growing adoption of remote monitoring and control, cloud-based solutions are anticipated to grow rapidly in the IIoT market.

Regional Insights

North America industrial internet of things market accounted for the largest market share of over 31% in 2024 and is expected to retain its dominance during the forecast period. This is attributed to the early adoption and implementation of industrial IoT technology across the region. Moreover, strong government support for promoting digitalization across the industrial sector, an increase in the usage of industrial IoT devices, and increasing adoption of innovative technologies like cloud computing and AI are expected to drive the industrial IoT industry growth during the forecast period.

U.S. Industrial Internet Of Things Market Trends

The U.S. industrial IoT industry is expected to grow at a CAGR of over 18% from 2025 to 2030, driven by a strong technology infrastructure, widespread adoption of advanced manufacturing processes, and a focus on improving operational efficiency and competitiveness.

Europe Industrial Internet Of Things Market Trends

Europe industrial internet of things industry is expected to witness a CAGR of over 23% from 2025 to 2030. The growing need for virtualized environments along with AI, ML, cloud, analytics, security, digitization, connected devices, and networking is expected to drive the adoption of industrial IoT in the European region. European countries witness a wide-scale application of health-specific individual wellness, including wearable heart rate, blood pressure, and glucose level monitors, and telehealth systems, which exchange medical data between medical professionals, sites, and patients. The surge in adoption of industrial IoT in other sectors, such as retail and government, is expected to contribute to regional growth.

The UK industrial IoT marketis expected to grow at a significant CAGR in the coming years. The UK's industrial IoT market is expanding due to a robust manufacturing sector, government initiatives supporting Industry 4.0, and a push towards digital transformation to enhance productivity and innovation.

The industrial IoT market in Germany is driven by Industry 4.0 initiatives, a highly skilled workforce, and a tradition of engineering excellence. These factors contribute to the rapid growth of industrial IoT in the country. Additionally, Germany’s focus on energy efficiency and sustainability is fueling the demand for IIoT technologies that help optimize energy consumption, reduce waste, and improve the overall performance of industrial systems. These factors, combined with strong government support and investment in digital infrastructure, are driving the growth of the IIoT market in Germany.

Asia Pacific Industrial Internet Of Things Market Trends

Asia Pacific industrial internet of things industry is expected to grow at the fastest CAGR of over 26% from 2025 to 2030. The popularity of advanced factory automation systems is rising across the region, especially in China and Japan. The South Korea industrial IoT market size is growing exponentially following the technological adoptions such as 5G and industry 4.0, along with smart factory trends in the country. Manufacturing industries in the region are starting to recognize the benefits of using robot arm technology. Prominent countries in the region are also investing heavily in Industry 4.0 as they want to be independent in terms of production and manufacturing. This, in turn, is expected to fuel the industrial IoT market growth across the region.

The China industrial IoT market is rapidly expanding, owing to its status as a global manufacturing hub, significant government support, and a drive towards technological advancement and automation to enhance competitiveness. Government policies, such as the "Made in China 2025" initiative, aim to upgrade industrial infrastructure through automation, AI, and IoT integration, fostering widespread IIoT adoption across sectors like automotive, energy, and electronics.

The industrial IoT market in Japan is gaining traction, fueled by initiatives such as Society 5.0, which aims to integrate cutting-edge technologies into various industries, primarily manufacturing, for sustainable development. The government’s emphasis on "Society 5.0," a concept that promotes the integration of digital technologies in industries, is fueling the adoption of smart factories and IoT-enabled solutions. Additionally, Japan’s labor shortages due to its aging population are pushing manufacturers to adopt IIoT systems to automate processes, monitor equipment in real-time, and enable predictive maintenance, driving significant demand for IIoT technologies.

Key Industrial Internet Of Things Company Insights

Some of the key players operating in the market are Johnson Controls Inc. and SPX Corporation.

• Cisco Systems is a global player in networking and cybersecurity solutions, specializing in enabling connectivity and smart technologies across industries. In the Industrial Internet of Things (IIoT) market, company provides industrial networking solutions that integrate IT and operational technologies to enhance productivity, security, and efficiency. The company's offerings include advanced sensors, edge computing devices, and IoT platforms, designed to optimize industrial operations.

• Honeywell International Inc. is a multinational conglomerate known for its diverse portfolio in automation, aerospace, building technologies, and performance materials. In the IIoT market, the company is recognized for its advanced industrial solutions that leverage connected devices, cloud platforms, and AI to improve operational performance and reduce downtime. The company’s Honeywell Forge platform offers data-driven insights for asset management, predictive maintenance, and process optimization, serving industries such as oil and gas, chemicals, and manufacturing.

Arm Holding Plc and Atmel Corporation are some of the emerging market participants in the industrial cooling systems market.

• ARM Holding Plc, a subsidiary of SoftBank Group, specializes in semiconductor design, specializing in low-power, high-performance processors used in a wide range of devices, including those for the IIoT market. ARM’s microprocessors and system-on-chips (SoCs) are widely used in embedded devices, sensors, and edge computing systems across various industries. With its energy-efficient architecture, ARM enables scalable, cost-effective IoT deployments that are crucial for smart factories, logistics, and infrastructure.

• Atmel Corporation, now a part of Microchip Technology, is a key player in the development of semiconductor solutions for embedded systems and IoT applications. Atmel's expertise in microcontrollers, sensors, and wireless connectivity modules has made it a significant contributor to the IIoT market. Its products power a wide range of industrial devices, enabling real-time data collection, remote monitoring, and automation.

Recent Developments

• ​In February 2025, Cisco Systems, Inc. was named the Industrial IoT Company of the Year by IoT Breakthrough, recognizing its achievements in industrial networking, cybersecurity, and IT-OT convergence. The award highlights Cisco’s role in enabling industries like energy, manufacturing, and transportation to leverage AI/ML technologies for enhanced automation, operational efficiency, and predictive maintenance.

• In October 2024, Honeywell International, Inc. and Google Cloud announced a collaboration to integrate AI agents into Honeywell's industrial operations, aiming to enhance autonomy, productivity, and workforce efficiency.

• In July 2023, Honeywell acquired SCADAfence, a company that specializes in providing cybersecurity solutions for monitoring extensive operational technology (OT) Internet of Things (IoT) networks. This strategic move aligns with Honeywell’s emphasis on digitalization, sustainability, and OT cyber security SaaS solutions.

Industrial Internet Of Things Market Report Scope

Global Industrial Internet Of Things Market Report Segmentation

This report forecasts revenue growth at the global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2018 to 2030. For this study, Grand View Research has segmented the global industrial internet of things market report based on component, deployment, connectivity, application, end-use, and region:

• Component Outlook (Revenue, USD Million, 2018 - 2030)

  • Solution

    • Remote Monitoring

    • Data Management

    • Analytics

    • Security Solutions

    • Others

  • Services

    • Professional

    • Managed

  • Platform

    • Connectivity Management

    • Application Management

    • Device Management

• Deployment Outlook (Revenue, USD Million, 2018 - 2030)

  • On-premises

  • Cloud-based

• Connectivity Outlook (Revenue, USD Million, 2018 - 2030)

  • Wired Technology

  • Wireless Technology

• Application Outlook (Revenue, USD Million, 2018 - 2030)

  • Predictive Maintenance

  • Asset Tracking & Management

  • Remote Monitoring

  • Process Optimization

  • Safety & Security

  • Supply Chain & Management

• End Use Outlook (Revenue, USD Million, 2018 - 2030)

  • Metal & Mining

  • Chemical

  • Manufacturing

  • Energy & Power

  • Oil & Gas

  • Healthcare

  • Logistics & Transport

  • Agriculture

  • Others

• Regional Outlook (Revenue, USD Million, 2018 - 2030)

  • North America

    • U.S.

    • Canada

  • Europe

    • Germany

    • UK

    • Benelux

    • Nordic Countries

  • Asia Pacific

    • China

    • Japan

    • India

    • South Korea

    • Australia

  • Latin America

    • Brazil

    • Mexico

    • Chile

    • Peru

  • Middle East & Africa (MEA)

    • UAE

    • Saudi Arabia

    • South Africa