Industrial Internet of Things (IIoT) Market - Forecast(2022 - 2027)

Report Code: ESR 0027 Report Format: PDF + Excel

Industrial Internet of Things (IIoT) Market Overview

Industrial Internet of Things (IIoT) market size was valued at US$ 123.89 billion in 2020, and it is estimated to grow at around CAGR 22.85% during 2021-2026. Increasing penetration of smart factories, smart utilities enabling high speed data transmission and data analytics for real-time control and monitoring is analyzed to drive the Internet of Things Market. Growing demand for edge computing and related digital age technologies such as Artificial Intelligence (AI), Machine Learning (ML) for industrial automation enabling convergence of IT and OT to provide unison among all associated systems and machines have contributed to the Industrial Internet of Things (IIoT) Market growth. Increasing integration of digitalization in operational processes and industrial control system including human machine interfaces (HMIs), supervisory control and data acquisition (SCADA) systems, distributed control systems (DCSs), and programmable logic controllers (PLCs) to optimize the processes leveraging smart sensors, remote access and control are contributing towards the growth of the market.

Report Coverage

The report: “Industrial Internet of Things (IIoT) Market Forecast (2021-2026)”, by IndustryARC, covers an in-depth analysis of the following segments of the Industrial Internet of Things (IIoT) Market.

By Offering: Hardware (Access points, Sensors, Actuators, Routers, Switches, Bridges, Clients, Controllers, Gateways, others), Software (Application Specific, Middleware & APIs, Data Analytics, Data Visualization, Cloud Platforms, Security, Others), Services (System Integration, IoT Data Management, Network Management Services, Device Management Services, Cyber Security Services, Others).
By Connectivity: Wired (Ethernet/IP, Modbus, Profinet, Others), Wireless (Zigbee, Bluetooth/Bluetooth Low Energy, Wi-Fi, GPS/GNSS, WLAN, WHART, others).
By application: Industrial automation (process automation, discrete automation), asset management, environmental monitoring, connected vehicle (Vehicle to vehicle, vehicle to pedestrian, vehicle to infrastructure, others), automated guided vehicles, connected healthcare (Fitness & heart rate monitor, Blood pressure monitor, blood glucose monitor, Pulse Oxymeter, smart pill dispenser, remote diagnosis/ surgery, others), others.
By Industry Vertical: Automotive, aerospace & defense, Healthcare, Food & beverages, Power, Utilities, Logistics & transportation, Oil & Gas, Electronics & semiconductor, Chemical, Agriculture, BFSI, Telecommunications, Others.
By Geography: North America(U.S., Canada and Mexico); Europe(U.K., Germany, Italy, France, Spain, Russia,Rest of Europe); APAC (China, Japan, South Korea, India, Australia,Rest of APAC); South America(Brazil, Argentina, Rest of Americas); RoW (Middle East & Africa).

Key Takeaways

  • Utility sector is estimated to account for the largest market share of 18% by 2026 due to the increasing convergence of digitalization with utility sector.
  • North America is estimated to dominate the market during 2021-2026 owing to early penetration of internet, high investments towards up-gradation of advanced technologies.
  • Increasing Penetration of smart manufacturing factories and increasing investments towards adoption of asset tracking sensors in logistics are analyzed to stimulate the market during forecast period 2021-2026.
  • Data Security issues is one of the challenges impeding the Industrial Internet of Things (IIoT) Market growth.


Global Industrial Internet of Things (IIoT) Market Value (US$B), 2020-2026

For More Details on This Report - Request for Sample

Industrial Internet of Things (IIoT) Market Segment Analysis - By Application

By application, Industrial Internet of Things (IIoT) Market has been segmented into Industrial automation, asset management, environmental monitoring, connected vehicle automated guided vehicles, connected healthcare and others. Industrial automation dominated the market in 2020 acquiring a share of 27% and is estimated to hold the major Industrial Internet of Things (IIoT) Market share of 29% by 2026 growing at a CAGR 20.45% during 2021-2026 owing to increasing deployments of Industrial Internet of Things (IIoT) network bridging the gap between connected consumers and connected infrastructure. For instance, in June 2020, Fibocom launched Wi-Fi 6 module to enhance optimization of IoT wireless solutions with 5G. Smart utility is analyzed to be the fastest growing market with a CAGR 23.78% during 2021-2026 owing to rapid growth in smart meter manufacturing. Increasing adoption of Industrial Internet of Things (IIoT) for large-scale smart utility, smart city initiatives has simplified deployment of smart meters and street lights by offering actionable insights to manage and control efficiently. For instance, In January 2021, Semtech Corporation announced that Alpha Omega, an IoT utility metering solution provider has incorporated LoRAWAN protocol into smart meters. Such technological advancements are anticipated to stimulate the market during 2021-2026.

Industrial Internet of Things (IIoT) Market Segment Analysis - By Industry Vertical

By industry vertical, Industrial Internet of Things (IIoT) Market has been segmented into Automotive, aerospace & defense, Healthcare, Food & beverages, Power, Utilities, Logistics & transportation, Oil & Gas, electronics & semiconductor, Chemical, Agriculture, BFSI, Telecommunications and Others. Utility sector dominated the market in 2020 acquiring a share of 17% and is estimated to hold the major share by 2026 with a CAGR 21.34% during the forecast period 2021-2026 owing to the increasing convergence of utility sector with digitalization to deliver an intelligent digital grid management system. Rising adoption of Industrial Internet of Things (IIoT) for smart utility initiatives such as advanced metering infrastructure and distribution automation has significantly triggered the market growth. Deployment of Industrial Internet of Things (IIoT) in utility sector accelerates energy saving enhancing safety and reducing maintenance costs and such benefits are set to drive the market. The growing demand for digital twins in renewable energy sector to optimize the operational performance is also propelling the Internet of Things Market growth. For instance, in April 2021, Tata Power Delhi Distribution launched narrowband IoT technology based smart meters to offer real-time two way communication with optimized energy consumption based on low power wide area network technology and such developments are anticipated to boost the market. Logistics and Warehousing sector is analyzed to be the fastest growing market with a CAGR 25.67% during 2021-2026 owing to increasing penetration of intelligent warehousing and rising adoption of cobots (collaborative robots) in the sector. Massive penetration of asset tracking tags optimizing asset management is also augmenting the IoT Market.

Industrial Internet of Things (IIoT) Market Segment Analysis - By Geography

By Geography, Industrial Internet of Things (IIoT) Market has been segmented into North America, Europe, APAC, South America and RoW. North America dominated the Industrial Internet of Things (IIoT) market in 2020 acquiring a share of 31% and is estimated to hold the major share with a CAGR 19.56% during 2021-2026 owing to early penetration of internet, presence of higher number of smart cities and high investments towards up-gradation towards latest technology in this region. In March 2021, Alps Alpine, a US based leading manufacturer of electronic components announced its partnership with Skyhook, a location technology provider to receive accurate and precise location positioning from their IoT device and services and such partnerships are analyzed to boost the Industrial Internet of Things (IIoT) Market in this region. APAC is estimated to be the fastest growing market with a CAGR 24.67% during the forecast period 2021-2026 owing to rapid urbanization and shift towards digitalization. Indian Government has launched “Digital India” and “Make in India” program to establish multiple industries and setup a robust digital infrastructure across the country and such government initiatives are anticipated to drive the IoT Technology market in this region.

Industrial Internet of Things (IIoT) Market Drivers

Increasing penetration of Industry 4.0 is augmenting the growth of the market

Increasing adoption of industrial IoTs for bridging IT and OT to optimize real time applications across various industry verticals is driving the Internet of Things Market. Massive and quick adoption of connected factories enabling interoperable, ubiquitous communication among smart connected devices to monitor and control real-time data for machine-to-machine (M2M) communications optimizing production yield, efficiency and quality have contributed to the Industrial Internet of Things (IIoT) Market growth. Increasing investments towards digital transformations in business organizations to generate new business outcomes utilizing artificial intelligence, machine learning platform is steering the Industrial Internet of Things (IIoT) Market. For instance, In May 2019, Cisco partnered with Linus Tech Tips and developed some new Meraki WiFi6 compatible access points and such new developments are augmenting the Internet of Things Market.

Increasing adoption of asset tracking sensors in logistics is driving the market

Rising adoption of asset tracking sensors to ensure complete integrity and quality during transportation is bolstering the demand for industrial internet of things (IIoT) market in supply chain. The growth in adoption of SCADA, hand-held scanners, bar codes and RFID tags and other data monitoring and data acquisition systems in freight operation, warehousing and last mile delivery to get real-time visibility on movement of goods is augmenting the market. Containers and packages being transported from one place to another can be tracked in real-time and hence real-time alerts can be sent for them if any unusual activity is noticed. Industrial Internet of Things (IIoTs) has helped to reduce pilferage i.e. sensor identifies and alerts stakeholders of fuel theft and unusual usage patterns. Delivery, scheduling and placement are being automated using Industrial IoT in transportation and logistics. For instance, Tech Mahindra and Honeywell collaborated to build “factories for the future” leveraging industrial internet of things (IIoT) to scale-up autonomous factories faster. Such collaborations are set to drive the market between 2021 and 2026. 

Industrial Internet of Things (IIoT) Market Challenges

Data Security issues is hampering the growth of the market

According to FBI report, financial losses caused by internet crime accumulated a total of US$ 4.2 Billion in US and the most common cyber-crimes were phishing, non-payment/non-delivery scams and extortion, with 28,500 complaints associated with COVID-19 fraud and thus adoption of robust security infrastructure has been inevitable. Enterprises that adopt Industrial Internet of Things (IIoT) face security and privacy issues. Enterprises hold sensitive and confidential data, which needs to be protected to avoid data breaches and cyber-attacks. Alarming growth in number of cyber-attacks, data leakage, false data injection in various industry verticals is hampering the adoption. However, with significant investments on cyber security is set to offset this challenge and promote healthy growth during the later stages of the forecast period 2021-2026.

Industrial Internet of Things (IIoT) Market Landscape

Product launches, Acquisitions, Collaboration, and R&D activities are key strategies adopted by players in the Industrial Internet of Things (IIoT) market. In 2020, the market of Industrial Internet of Things (IIoT) industry outlook has been fragmented by several companies. Industrial Internet of Things (IIoT) top 10 companies include:

  1. Cisco systems Inc.
  2. Hewlett Packard Enterprises
  3. General Electric Company
  4. Siemens AG
  5. Semtech Corporation
  6. Intel Corporation
  7. Texas Instruments
  8. IBM Corporation
  9. Microsoft Corporation
  10. Amazon Web Services

Acquisitions/Product Launches 

  • In February 2021, Siemens collaborated with IBM to expand its industrial IoT, edge computing platform. Through the joint initiative, Siemens Digital Industries Software will apply IBM's open hybrid cloud approach, built on Red Hat OpenShift, to extend the deployment flexibility of MindSphere®, the industrial IoT as a service solution from Siemens. This will enable customers to run MindSphere on-premise, unlocking speed and agility in factory and plant operations, as well as through the cloud for seamless product support, updates and enterprise connectivity.
  • In August 2020, Semtech expanded it’s collaboration with Helium to provide LoRa technology based IoT devices with wireless wide area network infrastructure.Network grows to more than 1,000 cities across North America and Europe, offering connectivity for up to hundreds of millions of LoRa based devices

Relevant Report Titles:

Report Code: ESR 0205

Report Code: ITR 37031

For more Information and Communications Technology Market reports, please click here

1. Industrial Internet of Things (IIoT) Market Overview
    1.1 Definitions and Scope
2. Industrial Internet of Things (IIoT) Market - Executive Summary
    2.1 Market Revenue, Market Size and Key Trends by Company
    2.2 Key trends By Product Type
    2.3 Key trends segmented by Geography
3. Industrial Internet of Things (IIoT) Market – Market Landscape
    3.1 Comparative Analysis
        3.1.1 Product/Company Benchmarking-Top 5 Companies
        3.1.2 Top 5 Financial Analysis
        3.1.3 Market Value Split by Top 5 Companies
        3.1.4 Patent Analysis
        3.1.5 Pricing Analysis (Comparison of General Price Offerings in the Market)
4. Industrial Internet of Things (IIoT) Market – Industry Market Entry Scenario Premium (Premium)
    4.1 Regulatory Scenario
5. Industrial Internet of Things (IIoT) Market – Startup Company Scenario (Premium)
    5.1 Venture Capital and Funding Scenario
    5.2 Startup Company Analysis
6. Industrial Internet of Things (IIoT) Market Analysis (Enterprise License)
    6.1 Ease of Doing Business Index
    6.2 Case Studies
    6.3 Customer Analysis
    6.4 Market Share By Product Type
    6.5 Market Share By Sales Channel
    6.6 Market Share By Vehicle Type
    6.7 Market Share By Country
    6.8 Competition Matrix
7. Industrial Internet of Things (IIoT) Market - Market Forces
    7.1 Market Drivers
    7.2 Market Constraints
    7.3 Porters five force model
        7.3.1 Bargaining power of suppliers
        7.3.2 Bargaining powers of customers
        7.3.3 Threat of new entrants
        7.3.4 Rivalry among existing players
        7.3.5 Threat of substitutes
8. Industrial Internet of Things (IIoT) Market – By Strategic Analysis (Market Size -$Million/Billion)
    8.1 Value Chain Analysis
    8.2 Opportunities Analysis
    8.3 Product Life Cycle/Market Life Cycle Analysis
    8.4 Suppliers and Distributors
9. Industrial Internet of Things (IIoT) Market – By offering (Market Size -$Million/Billion)
    9.1 Hardware
        9.1.1 Access point
        9.1.2 Sensors
        9.1.3 Actuators
        9.1.4 Routers
        9.1.5 Switches
        9.1.6 Bridges
        9.1.7 Clients
        9.1.8 Controllers
        9.1.9 Gateways
        9.1.10 others
    9.2 Software
        9.2.1 Application Specific
        9.2.2 Middleware & APIs
        9.2.3 Data Analytics
        9.2.4 Data Visualization
        9.2.5 Cloud Platforms
        9.2.6 Security
        9.2.7 Others
    9.3 Services
        9.3.1 System Integration
        9.3.2 IoT Data Management
        9.3.3 Network Management Services
        9.3.4 Device Management Services
        9.3.5 Cyber Security Services
        9.3.6 Others
10. Industrial Internet of Things (IIoT) Market – By Connectivity (Market Size -$Million/Billion)
    10.1 Wired
        10.1.1 Ethernet/IP
        10.1.2 Modbus
        10.1.3 Profinet
        10.1.4 Others
    10.2 Wireless
        10.2.1 Zigbee
        10.2.2 Bluetooth/Bluetooth Low Energy
        10.2.3 Wi-Fi
        10.2.4 GPS/GNSS
        10.2.5 WLAN
        10.2.6 WHART
        10.2.7 others
11. Industrial Internet of Things (IIoT) Market – By Application (Market Size -$Million/Billion)
    11.1 Industrial automation
        11.1.1 Process automation
        11.1.2 Discrete automation
    11.2 Asset management
    11.3 Environmental monitoring
    11.4 Connected vehicle
        11.4.1 Vehicle to vehicle
        11.4.2 vehicle to pedestrian
        11.4.3 vehicle to infrastructure
        11.4.4 others
    11.5 Automated guided vehicle
    11.6 Connected healthcare
        11.6.1 Fitness & heart rate monitor
        11.6.2 Blood pressure monitor
        11.6.3 blood glucose monitor
        11.6.4 Pulse Oxymeter
        11.6.5 smart pill dispenser
        11.6.6 remote diagnosis/ surgery
        11.6.7 others
    11.7 Others
12. Industrial Internet of Things (IIoT) Market – By Industry Vertical
    12.1 Automotive
    12.2 aerospace & defense
    12.3 Healthcare
    12.4 Food & beverages
    12.5 Power
    12.6 Utilities
    12.7 Logistics & transportation
    12.8 Oil & Gas
    12.9 Electronics & semiconductor
    12.10 Chemical
    12.11 Agriculture
    12.12 BFSI
    12.13 Telecommunications
    12.14 Others
13. Industrial Internet of Things (IIoT) Market - By Geography (Market Size -$Million/Billion)
    13.1 North America
        13.1.1 U.S
        13.1.2 Canada
        13.1.3 Mexico
    13.2 South America
        13.2.1 Brazil
        13.2.2 Argentina
        13.2.3 Chile
        13.2.4 Colombia
        13.2.5 Others
    13.3 Europe
        13.3.1 Germany
        13.3.2 France
        13.3.3 UK
        13.3.4 Italy
        13.3.5 Spain
        13.3.6 Russia
        13.3.7 Netherlands
        13.3.8 Others
    13.4 APAC
        13.4.1 China
        13.4.2 Japan
        13.4.3 South Korea
        13.4.4 India
        13.4.5 Australia
        13.4.6 Indonesia
        13.4.7 Malaysia
        13.4.8 Others
    13.5 RoW
        13.5.1 Middle East
        13.5.2 Africa
14. Industrial Internet of Things (IIoT) Market - Market Entropy
    14.1 New product launches
    14.2 M&A's, collaborations, JVs and partnerships
15. Industrial Internet of Things (IIoT) Market – Industry Competition Landscape (Premium)
    15.1 Market Share Global
    15.2 Market Share – Top Regions
16. Industrial Internet of Things (IIoT) Market – Key Company List by Country Premium (Premium)
17. Industrial Internet of Things (IIoT) Market - Company Analysis
    17.1 Cisco System Inc.
    17.2 Honeywell Corporation
    17.3 Siemens AG
    17.4 Intel Corporation
    17.5 Texas Instruments
    17.6 Company 6
    17.7 Company 7
    17.8 Company 8
    17.9 Company 9
    17.10 Company 10
"*Financials would be provided on a best-efforts basis for private companies"
List of Tables

Table 1 Industrial Internet of Things Market – Major Features
Table 2 Differences Between Wireless and Wired Networks
Table 3 IoT Standards and Protocols
Table 4 Real Time Comparison of Various Real- Time Technologies
Table 5 Power Classes of Bluetooth Transmitters
Table 6 Industrial Internet of Things Market: 20 Best Data Analytics Software Systems
Table 7 Primary Sources: Industrial Internet of Things Market (Partial List)
Table 8 Secondary Sources: Industrial Internet of Things Market (Partial List)

List of Figure

Figure 1 GEOGRAPHY – MARKET DATA
Figure 2 BY INDUSTRY VERTICAL – MARKET DATA
Figure 3 Industrial Internet of Things Revenue Share, By Company, 2018 (%)
Figure 4 Industrial Internet of Things Platform Revenue Share, By Company, 2018 (%)
Figure 5 Industrial Internet of Things Communication Revenue Share, By Company, 2018 (%)
Figure 6 Industrial Internet of Things Market, Number of Patents, 2014–2018*
Figure 7 Industrial Internet of Things Market, Number of Patents, By Country, 2014–2018*
Figure 8 Siemens Company
Figure 9 ABB Group
Figure 10 Schneider Electric
Figure 11 General Electric 
Figure 12 Rockwell Automation Inc.
Figure 13 EPS, By Company, 2015–2018 ($/Share)
Figure 14 Global Investments on Clean Energy, 2010 – 2018 ($Bn)
Figure 15 Optimize Return on Investment (ROI) from Disparate Sources of Value.
Figure 16 Global, Industrial Digitalization Solutions, By End User Industry, 2018 (%) 
Figure 17 Global IoT Connected Devices Installed Base, 2015-2018, (Billion Units) 
Figure 18 The Declining Price Trend of IoT Sensors, 2013–2019 ($) 
Figure 19 Number of Cyber Security Incidents in India 2014–2018
Figure 20 IIoT Challenges, 2018 (%)
Figure 21 Industrial Internet of Things (IIoT) Value Chain 
Figure 22 Global Industrial Fog Computing Market, 2018-2022 ($m)
Figure 23 Industrial Internet Of Things Market Growth Rate- By COMPONENT, 2021-2026 (%)
Figure 24 Sensors & Actuators Market Revenue 2018, ($M)
Figure 25 Sensors & Actuators, By Types Market Revenue 2018, ($M)
Figure 26 Display & Monitors Market Revenue 2018, ($M)
Figure 27 Others: By Component Market Revenue 2018, ($M)
Figure 28 Industrial Internet of Things Market Growth Rate- By Connectivity, 2018–2023 (%)
Figure 29CC-Link IE Communication Programming
Figure 30 Industrial Internet of Things Market, Growth Rate - By Software, 2018–2023 (%)
Figure 31 Industrial Internet of Things Market: Asset Performance Management (APM) 
Figure 32 Industrial Internet of Things Market: Middleware Services
Figure 33 Industrial Internet of Things Market: 10 Best Data Visualization Software
Figure 34 Industrial Internet of Things Market: Three Points of Cloud Platform for IaaS
Figure 35 Industrial Internet of Things Market: Six Principles of IoT Cyber Security
Figure 36 Industrial Internet of Things Market Growth Rate- By Services, 2021-2026 (%)
Figure 37 IIoT Market Growth Rate- By Application, 2021-2026 (%)
Figure 38 Benefits of IIoT – The Industrial Internet of Things Drivers
Figure 39 Most IoT Adopted Industry, Revenue (%)
Figure 40 Line Performance Optimization
Figure 41 Manufacturers Deploying IoT Tech
Figure 42 Organizations deploying IoT in operation for monitoring, smart metering, renewable plants supervision, and inventory intelligence
Figure 43 Failure mode or asset/machine/ component needs prognostics and health management
Figure 44 Typical maintenance budget divisions in the manufacturing industry 
Figure 45 Estimated spending on Connected Logistics Solution (2015–2018), USD (Billions)
Figure 46 Investments, Oil and Gas Industry, 2015-2018 ($Bn)
Figure 47 Midstream Activities
Figure 48 Downstream Activities
Figure 49 Global Share of IIoT Projects in Agriculture(%)
Figure 50 PRECISION FARMING REVENUE SHARE, 2018 (%)
Figure 51 Chemicals Industry, Revenue, By Country, 2018 (%)
Figure 52 Projected Europe IoT's GDP Impact by sector, 2025 
Figure 53 Revenue Generated, IoTs, In m (2018)
Figure 54 Top 10 IoT segments, 2018
Figure 55 IIOT Market CAGR, By Europe, 2021-2026 (%)
Figure 56 IoT Spending Forecast, By Industry, 2019
Figure 57 Chemical Market Size Breakdown
Figure 58 Breakdown of Primary Interviews, By Designation, %
Figure 59 Breakdown of Primary Interviews, By Region, %