IoT in Manufacturing Market Report: Size and Share Analysis, Trends, Forecasts (2024 - 2030)

Name: IoT in Manufacturing Market Size, Share and Growth Analysis
Creator: P&S Intelligence
License: https://www.psmarketresearch.com/privacy-policy

Get a Comprehensive Overview of the IoT in Manufacturing Market Report Prepared by P&S Intelligence, Segmented by (Component, Deployment, Application, End User), and Geographic Regions. This Report Provides Insights from 2019 to 2030.

Report Code: 11990
Pages: 260

Market Statistics

Study Period	2019 - 2030
2024 Market Size	USD 87.9 Billion
2025 Market Size	USD 99.7 Billion
2030 Forecast	USD 194.9 Billion
Growth Rate(CAGR)	14.2%
Largest Region	North America
Fastest Growing Region	Asia-Pacific
Nature of the Market	Fragmented

Growth Forecast

IoT in Manufacturing Market Size

Key Players

IoT in Manufacturing Market Players

Key Report Highlights

Value Chain Analysis
Regulatory Landscape
Pricing Analysis
Companies Recent Strategical Developments
Key Stakeholders
Voice of Industry Experts/KOLs
Future Opportunity

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IoT in Manufacturing Market Future Prospects

The global IoT in manufacturing market is estimated to have generated USD 87.9 billion revenue in 2024, and it is expected to grow at a CAGR of 14.2% during 2024–2030. This is attributed to the rapid industrial automation, improving inventory management technologies, and increasing need for higher production efficiency.

Moreover, the growth of the market is ascribed to the operational efficiency, supply chain management, asset tracking, and safety and security offered by IoT in manufacturing. Technological breakthroughs and innovations have played a vital role in driving the industry, enabling smooth connectivity of all devices and systems involved in a plant and ensuring an optimized operational process.

As IoT provides the foundation for automated data acquisition, manufacturers have been leaning toward integrating digitization in processes for bringing rapid improvements in their product lines as well as a consequential transformation in business models because of the fast and hassle-free production and maintenance of inventories.

For instance, according to WORLDMETRICS REPORT 2024, currently, around 72% of manufacturing companies are improving their operations with the help of IoT technology. Moreover, IoT will drive productivity in the manufacturing industry by around 30%. In addition, about 40% of global IoT platforms are developed for manufacturing use.

IoT in Manufacturing Market Trends & Growth Drivers

Adoption of Artificial Intelligence (AI) Is a Key Trend

The growing adoption of AI is one of the key trends being observed in the IoT in manufacturing market.
Manufacturing companies have started using AI in their industrial IoT solutions to make real-time decisions, by capturing a large amount of data from multiple sources.
Realizing the future and full potential of IoT devices will require a heavy investment in new technologies.
The merging of AI and IoT is redefining the way industries, businesses, and economies function.
AI-enabled IoT creates intelligent machines that simulate smart behavior and support decision-making with little or no human interference.

Rapid Industrial Automation and Rising Focus on Improved Inventory Management Drive the Market

One of the major factors driving the growth of the IoT in manufacturing market is the rapid industrial automation.
Because IoT plays a vital role in industrial automation, industries have started to explore and implement IoT concepts and technologies.
IoT helps streamline and create system architectures that are effective, affordable, and responsive.
IoT helps create new technologies to solve problems, enhance operations, and increase productivity.
The technology can be explained as a connection of inimitably identifiable electronic devices using internet ‘data plumbing’, including internet protocol (IP), , and web services.
Moreover, IoT-driven inventory management solutions help manufacturers automate inventory tracking and reporting and ensure constant visibility of the time between an inventory order and its delivery.
Due to these new enhancements, smart inventory management solutions are saving inventory costs.

High Implementation Cost Is a Challenge

The manufacturing industry is highly sensitive to cost, as manufacturing operation professionals grapple with the need to generate more usable data from machines.
Many machines are older and modifications (such as adding connectivity) void manufacturing warranties, so manufacturers need to find creative solutions to help capture data from machines to prevent unplanned maintenance downtime.
In this scenario, the manufacturers do not have the ability to completely “rip and replace” machines that could cost hundreds of thousands of dollars.
The high cost of deployment of IoT solutions adds to this burden. IoT initiatives incur many huge investments, including spending on hardware, connectivity, cloud storage, administrative labor, and technical support.
When companies decide they want to begin using IoT technology, they do not get as far into their projects as expected. Thus, high implementation costs are hampering the market growth.

IoT in Manufacturing Market Analysis

Component Insights

The solution category is estimated to have held a larger share, of 75%, in the market in 2024.
This is primarily because most manufacturing companies are deploying IoT solutions to improve their manufacturing processes and increase their business outputs.
Moreover, IoT solutions for manufacturing offer a multitude of benefits, such as reduced operational and infrastructure costs and control over the supply chain.
Moreover, solutions include software, which is generally more expensive than associated services.
With industrialists targeting Industry 4.0 practices, they are implementing IoT-driven device, data, network, and application management and smart surveillance solutions.

Components covered in the report include:

Solution (Larger and Faster-Growing Category)
Service

Deployment Insights

The cloud category is expected to witness faster growth in the market during the forecast period, advancing at a CAGR of 14.7%.
This will primarily be due to the quick implementation of the cloud and less investment required by it.
Moreover, cloud-based IoT platforms and services offer more flexibility to limit the storage requirements or scale down the number of IoT-enabled devices.

IoT in Manufacturing Market Segments

The deployment types are included in the report:

On-Premises (Larger Category)
Cloud (Faster-Growing Category)

Application Insights

The predictive maintenance category holds the largest market share and it is also expected to witness the fastest growth in the coming years.
This is because predictive maintenance enables companies to anticipate and address possible safety risks and predict potential issues before they impact workers.
Additionally, IoT-based predictive maintenance enables companies to monitor, maintain, and optimize assets for better availability, utilization, and performance.

The following applications are covered in the report:

Predictive Maintenance (Largest and Fastest-Growing Category)
Business Process Optimization
Asset Tracking and Management
Logistics and Supply Chain Marketing
Real-Time Workforce Tracking and Management
Automation Control and Management
Emergency and Incident Management

End User Insights

The medical device category is expected to witness the fastest growth in the IoT in manufacturing market during the forecast period.
This will be due to the increasing demand for IoT-enabled medical devices, such as respiratory care devices, vital sign monitors, ventilators, fetal & maternal monitors, imaging systems, and patient monitors.

End users covered in the report include:

Automotive (Largest Category)
Chemical and Material Equipment
Medical Device (Fastest-Growing Category)
Electronics and Communication Equipment
Food and Agriculture Equipment
Industrial Equipment
Others

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Regional Analysis

North America Is the Largest Market

North America is estimated to have held the largest revenue share, of 35%, in 2024 in the market, due to the rapid implementation of IoT solutions by small, medium, and large enterprises in their manufacturing plants.
Moreover, this is due to the developed IT infrastructure, high technology investments, and surging penetration of the 5G technology, which are driving IoT adoption in the region.
In addition, the ongoing developments in the field of Industry 4.0 also aid in driving the automation of industries in North America as most of the manufacturing plants are implementing IoT to optimize their production.
Further, the region is technologically developed, and the larger players here are focusing on collaborating with factories to develop smart machines equipped with IoT platforms.
Whereas, the Asia-Pacific (APAC) market is expected to witness the fastest growth during the forecast period.
This can be ascribed to the increasing demand for IoT solutions for smart automation in the manufacturing industry.
Manufacturing is one of the most significant contributors to the APAC economy, and it is undergoing rapid transformation with the usage of IoT solutions.
Moreover, the European market holds a significant share. This is due to the increasing industrial and manufacturing expansion activities in countries such as Germany, France, and the U.K.
Further, the emergence of 5G is expected to advance the use of connected devices in the manufacturing industry that is already pushing toward the industrial revolution 4.0.

IoT in Manufacturing Market Regional Analysis

Further, regions and countries analyzed for this report include:

North America (Largest Regional Market)
- U.S. (Larger and Faster-Growing Country Market)
- Canada
Europe
- Germany (Largest Country Market)
- U.K.
- France
- Italy (Fastest-Growing Country Market)
- Spain
- Rest of Europe
Asia-Pacific (APAC) (Fastest-Growing Regional Market)
- China (Largest and Fastest-Growing Country Market)
- Japan
- India
- South Korea
- Australia
- Rest of APAC
Latin America (LATAM)
- Brazil (Largest and Fastest-Growing Country Market)
- Mexico
- Rest of LATAM
Middle East and Africa (MEA)
- Saudi Arabia (Largest Country Market)
- South Africa
- U.A.E. (Fastest-Growing Country Market)
- Rest of MEA

IoT in Manufacturing Market Share

Market Nature – Medium Fragmented

The global IoT in manufacturing market is medium fragmented in nature with the presence of several key players. In recent years, many have been involved in product launches and mergers and acquisitions in order to attain a significant position in the industry.

IoT in Manufacturing Companies:

General Electric Company
Cisco Systems Inc.
International Business Machines (IBM) Corporation
Microsoft Corporation
PTC Inc.
Siemens AG
Robert Bosch GmbH
Huawei Technology Co. Ltd.
Atos SE
HCL Technology Ltd.
Oracle Corporation
SAP SE

IoT in Manufacturing Market News

In April 2024, Qt Group and Qualcomm announced their partnership to assure software quality and streamline the expansion of advanced graphical user interfaces (GUIs) for industrial IoT systems.
In April 2024, Rockwell Automation and NVIDIA collaborated with each other to harness omniverse cloud APIs and industrial-scale digital twins.
Scanbot SDK and Cypher Robotics collaborated with each other to automate wearying warehouse inventory processes.
In February 2024, Nokia declared the addition of 5 new third-party IoT applications for its MX Industrial Edge platform, improving industrial IoT capabilities in areas such as positioning, asset tracking, worker safety, and indoor navigation.