July 22, 2024
IoT Devices Market
Ict

Rapid digitalization across various industries to augment adoption of IoT devices

The global IoT Devices Market is estimated to be valued at US$ 120.25 Mn in 2023 and is expected to exhibit a CAGR of 22% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market Overview:

IoT devices refer to physical objects that are embedded with sensors, processing ability, software and other technologies for connecting and exchanging data with other devices and systems over the internet or other communications networks. Some common IoT devices include consumer electronics such as smartphones, wearable devices, smart home appliances and connected vehicles. IoT devices collect data from various sources and analyze the information to transmit insights and enable remote monitoring and control. They help in optimizing processes, reducing costs and enhancing customer experience across industries.

Market key trends:

Growing digitization and emergence of technologies such as AI, analytics, cloud computing and 5G are expanding application areas for IoT across industries. Adoption of IoT solutions in healthcare, manufacturing, transportation and utilities is increasing workflow efficiencies. Furthermore, demand for wearable devices and smart home automation products from consumers is also driving the need for IoT devices. However, concerns around data privacy and security continue to hamper the IoT adoption to some extent. Ongoing innovation to enhance capabilities and convergence of technologies will unlock new opportunities for players in the IoT devices market over the coming years.

Porter’s Analysis

Threat of new entrants: The threat of new entrants is moderate as the IoT devices market requires high investment in R&D for developing new technological devices and establishing brand awareness. However, declining prices of hardware components are lowering the entry barriers.
Bargaining power of buyers: The bargaining power of buyers is moderate to high due to the presence of a large number of vendors providing differentiated IoT devices. Buyers can leverage this competition to negotiate better prices and quality.
Bargaining power of suppliers: The bargaining power of suppliers is low to moderate as there are numerous component manufacturers. However, the integration of hardware, software, and connectivity increases suppliers’ bargaining power.
Threat of new substitutes: The threat of substitutes is moderate as other connected technologies can replace certain IoT devices. However, the convergence of various technologies makes IoT devices irreplaceable.
Competitive rivalry: The competitive rivalry is high due to the presence of technology giants competing on new product development and partnerships.

Key Takeaways

The Global Iot Devices Market Size is expected to witness high growth, exhibiting a CAGR of 22% over the forecast period, due to increasing connectivity of physical devices, vehicles, home appliances, and other items embedded with electronics.

Regional analysis: North America dominates the global IoT devices market currently, followed by Europe and Asia Pacific. However, Asia Pacific is expected to grow at the highest CAGR during the forecast period with China, Japan, and India being the major markets. This can be attributed to the rising adoption of IoT devices across various sectors and supporting government initiatives for smart infrastructure development.

Key players operating in the IoT devices market are Robert Bosch GmbH, Apple Inc., Amazon Inc., ABB Limited, Sony Corporation, Cisco Systems Inc., Vuzix Corporation, Google Inc. (Alphabet), Siemens AG, Samsung Electronics Co. Limited, and LG Electronics. Major players are focused on new product launches and partnerships to strengthen their market position. For instance, in 2022, Siemens partnered with Dell to advance IoT solutions for manufacturing and industrial customers.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it