The 5G industrial IOT market size was valued at USD 0.8 Bn in 2021 and is projected to reach USD 18.8 Bn by 2030, expanding at a CAGR of around 28% during the forecast period, 2022 – 2030. The growth of the market is attributed to rising demand for networks with high reliability and low latency in manufacturing industries.
The term "Industrial Internet of Things" (IIoT) refers to applications in the industrial sector. Technologies including machine-to-machine communication, big data, machine learning, and industrial IoT are advancing and giving enterprises better operational efficiencies and dependability.
Industrial IoT enables manufacturers to automate their processes, reduce production and mistake rates, and enhance safety. The integration of a 5G network to industrial IoT offers advantages such as optimization and security. All of these factors have prompted businesses in the manufacturing sector to start embracing the 5G industrial IoT market.
Every industry, including the private, public, and industrial sectors, has experienced severe disruption as a result of the COVID-19 pandemic. Launch of vaccines to combat the Covid-19 pandemic is expected to contribute to the market growth over the forecast period.
Manufacturing organizations were forced to use remote working options in order to ensure business continuity due to the COVID-19 pandemic. A fast network, like 5G, is required for remote working across several regions in order to experience increased connectivity and better performance.
5G Industrial IOT Market Trends, Drivers, Restraints, and Opportunities
- Rising demand for networks with high dependability and low latency in manufacturing industries is projected to drive the market.
- 5G networks have 50 times less latency than 4G networks, which is anticipated to boost the market in the coming years.
- Lack of huge capital investment is estimated to hinder the market growth.
- Increasing demand for private 5G networks across manufacturing sectors is expected to create lucrative opportunities for the market players during the forecast period.
Scope of 5G Industrial IOT Market Report
The report on the global 5G industrial IOT market includes an assessment of the market, trends, segments, and regional markets. Overview and dynamics have also been included in the report.
5G industrial IOT Market - Global Industry Analysis, Growth, Share, Size, Trends, and Forecast
2022 – 2030
Components (Services, Solutions, and Hardware), Applications (Emergency & Incident Management, & Business Communication, Automation Control and Management, Real-Time Workforce Tracking & Management, Logistics & Supply Chain Management, Asset Tracking & Management, Business Process Optimization, and Predictive Maintenance), Organization Size (Large Enterprises and SMEs), End-users (Discrete Industries and Process Industries)
Asia Pacific, North America, Latin America, Europe, and Middle East & Africa
Company Share, Market Analysis and Size, Competitive Landscape, Growth Factors, and Trends, and Revenue Forecast
Key Players Covered in the Report
Qualcomm Technologies, Inc.; Verizon; Cisco Systems; Ericsson; Nokia; Huawei; Cisco; AT&T; IBM Corporation; Microsoft; Seimens; Verizon; Intel Corporation; Intel Corporation; Microsoft Corporation; Huawei Technologies Co., Ltd.; Siemens AG; and Honeywell International Inc.
5G Industrial IOT Market Segment Insights
Components Segment Analysis
Based on components, the market is segregated into services, solutions, and hardware. The hardware segment is projected to hold a major market share during the forecast period. The 5G IoT module is one of the key elements in the hardware segment due to the increasing demand for 5G industrial IoT.
Both component and module manufacturers are spending money on R&D while also taking into account chipsets for specialized uses in the production processes. Suppliers are working on various other advancements in addition to creating 5G modules, including changes that reduce device size and methods for module integration.
Applications Segment Analysis
On the basis of applications, the market is fragmented into emergency & incident management, & business communication, automation control and management, real-time workforce tracking & management, logistics & supply chain management, asset tracking & management, business process optimization, and predictive maintenance.
The real-time workforce tracking & management segment is anticipated to expand at a high CAGR during the forecast period. The identification, deployment, and validation of individuals as well as the management and real-time communication with them are all possible through real-time workforce tracking and management for manufacturing companies.
5G technology has the ability to bring transformation with regard to workforce management and the workplace. Workplaces might become more effective, transparent, secure, and productive with the help of 5G and an IoT-enabled connected worker solution.
Organization Size Segment Analysis
In terms of organization size, the market is divided into large enterprises and SMEs. The large enterprise segment is expected to grow at a rapid pace during the forecast period. Large businesses are increasingly in need of 5G industrial IoT solutions and services to effectively manage their numerous assets deployed across numerous locations.
Compared to SMEs, the adoption of 5G industrial IoT solutions and services is substantially higher in large organizations. Growth of the segment is attributed to low cost and high economies of scale, which allow them to use 5G industrial products and services.
End-Users Segment Analysis
Based on end-users, the market is bifurcated into discrete industries and process industries. The discrete industries segment accounted for a key market share. Discrete industries as associated with the production and manufacturing of customized items such as airplanes, smartphones, toys, furniture, and furniture.
Smart linked goods with IoT capabilities offer a method to improve product functioning and produce more value for consumers in discrete sectors. Discrete manufacturers can boost their production due to the 5G technology's increased total bandwidth and ability to connect a large number of IoT devices.
On the basis of regions, the market is classified as Asia Pacific, North America, Latin America, Europe, and Middle East & Africa. Asia Pacific is anticipated to dominate the global 5G industrial IOT market. It is a diverse region with many different nations undergoing digital change.
The Asia Pacific is expected to dominate blockchain, edge computing, 5G, and 5G core technologies due to its size, culture, and strategic initiative taken by nations like South Korea, Singapore, Japan, Australia, and China.
The global 5G industrial IOT market has been segmented on the basis of
- Emergency & Incident Management, and Business Communication
- Automation Control & Management
- Real-Time Workforce Tracking & Management
- Logistics & Supply Chain Management
- Asset Tracking & Management
- Business Process Optimization
- Predictive Maintenance
- Discrete Industries
- Process Industries
- Asia Pacific
- North America
- Latin America
- Middle East & Africa
- Qualcomm Technologies, Inc.
- Cisco Systems
- IBM Corporation
- Intel Corporation
- Intel Corporation
- Microsoft Corporation
- Huawei Technologies Co., Ltd.
- Siemens AG
- Honeywell International Inc.
Key players competing in the 5G industrial IOT market include Qualcomm Technologies, Inc.; Verizon; Cisco Systems; Ericsson; Nokia; Huawei; Cisco; AT&T; IBM Corporation; Microsoft; Seimens; Verizon; Intel Corporation; Intel Corporation; Microsoft Corporation; Huawei Technologies Co., Ltd.; Siemens AG; and Honeywell International Inc.
Some of these players are using several market strategies such as acquisitions, mergers, collaborations, partnerships, capacity expansion, and product launches to enhance their market shares.
- In February 2020, Cisco made improvements to its IoT portfolio, enabling its service provider partners to offer improved management of cellular IoT environments and fresh 5G use cases.
- In January 2020, Ericsson and Ooredoo Group entered into a five-year strategic 5G agreement, in order to provide 5G radio, core, and transport equipment and solutions as well as related implementation and integration services.