As one of the technologies driving Industry 4.0, along with artificial intelligence, big data, robotics, and automation, the Internet of Things (IoT) has entered almost every market over the past years, providing seamless communication between people, processes, and devices.
Although the global semiconductor shortage has slowed the market growth compared to pre-pandemic levels, the global demand for IoT solutions continues rising.
According to data presented by Stocklytics.com, the global Internet of Things market is expected to see another year of double-digit growth, with revenue rising by 18% to $1,38-trillion in 2024.
The main purpose of IoT is to create a self-reporting network of connected devices that can communicate with each other and users in real time.
This intelligent digital technology has taken automation, monitoring and control, and analytics to a whole new level and has become an essential part of Industry 4.0.
The many advantages of the Internet of Things have helped the technology to enter almost every market imaginable, driving impressive revenue growth.
According to Statista Market Insights, in 2019, the global IoT market grossed nearly $510-billion in revenue. A year later, this figure rose to $544-billion.
However, the market gained real momentum in 2021, with revenue surging by almost 40% that year alone and reaching $773-billion. Although the annual growth rate started slowing down after that peak, market revenue continued growing by an average of $200-billion annually. In 2022, global IoT revenues hit over $970-billion, increasing by 27% year-over-year.
Although the annual growth rate slipped to 21% last year, the market still hit a massive new milestone and became a trillion-dollar industry. Statista expects IoT revenues to grow by a further $200-billion in 2024 and reach $1,38-trillion. This figure is forecasted to jump by 60% and hit a whopping $2,2-trillion by 2028.
A few industries have been transformed by IoT technology like car manufacturing. IoT connectivity enables the car’s electronic control units and software-reliant components to be updated wirelessly. The widespread use of the technology in the automotive industry has made it the largest and fastest-growing segment of the IoT market.
According to Statista, more than one-third of total IoT revenue in 2024, or $494-billion, will come from the automotive industry. This also represents a considerable 25% increase compared to last year, when the sector generated $397 billion in revenue.
As the second-largest segment of the market, the industrial IoT is forecasted to grow by 18% year-over-year and hit $325-billion in revenue in 2024. Consumer IoT and smart finance follow with $192-billion and $132-billion in revenue and 5% and 17% growth rates, respectively.
Statista also expects the total number of IoT connections to increase by 19% and 21,3-billion in 2024. By 2028, this figure will jump to over 38-billion.