IoT Devices Market Size and Share

IoT Devices Market (2026 - 2031)
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IoT Devices Market Analysis by ϲ

The IoT devices market size is expected to increase from USD 230.42 billion in 2025 to USD 273.63 billion in 2026 and reach USD 534.71 billion by 2031, growing at a CAGR of 14.34% over 2026-2031. Adoption is rising because enterprises now deploy interoperable device fleets that combine edge intelligence, low-power wide-area connectivity, and cloud orchestration. Federal and European reimbursement reforms for remote patient monitoring are stimulating medical hardware orders, while vehicle-to-everything regulations in North America, the European Union, and China are embedding connectivity into new vehicles at scale. Sovereign data-residency rules are also pushing machine-learning inference onto device silicon, lifting demand for microcontrollers that include neural engines. At the same time, spectrum alignment for LPWAN in Asia is cutting roaming fees and enabling logistics firms to track assets across borders. These shifts are translating into double-digit shipment growth across consumer, industrial, and infrastructure verticals.

Key Report Takeaways

  • By application, Connected and Smart Home held 30.82% of IoT devices market share in 2025, while Smart Agriculture is projected to expand at a 14.39% CAGR through 2031.
  • By device category, Smart Speakers and Displays captured 26.61% of IoT devices market share in 2025; Connected Consumer Appliances are forecast to grow at a 14.43% CAGR to 2031.
  • By connectivity technology, WPAN protocols accounted for 34.74% of the IoT devices market size in 2025, whereas Satellite IoT is set to advance at a 14.48% CAGR during 2026-2031.
  • By power source, Battery-powered units commanded 61.53% of the IoT devices market size in 2025, and Energy-harvested solutions are expected to post a 14.53% CAGR through 2031.
  • By geography, Asia-Pacific led with 41.72% of IoT devices market share in 2025, while North America is on track for a 14.62% CAGR during 2026-2031.

Note: Market size and forecast figures in this report are generated using ϲ’s proprietary estimation framework, updated with the latest available data and insights as of January 2026.

Segment Analysis

By Application: Smart Agriculture Outpaces Saturated Smart-Home Adoptin

Smart Agriculture is set to rise at a 14.39% CAGR during 2026-2031 on the back of precision irrigation and livestock-health monitors in water-stressed zones such as California’s Central Valley and India’s Punjab. The IoT devices market size for smart-home applications climbed to 30.82% share in 2025, but growth is slowing because household penetration now exceeds one-third in North America and Western Europe.  

Medical IoT accelerated after U.S. reimbursement reforms, taking 18% of the application pie in 2025. FDA approvals rose 40% year over year, shortening product launch cycles and making connected health gear a rising revenue source. Connected-car deployments track V2X deadlines yet still face long homologation cycles that defer revenue recognition. Industrial IoT remains the largest enterprise opportunity, as vibration and thermal sensors cut downtime by up to 30% in pilot plants.

IoT Devices Market: Market Share by Application
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By Device Category: Appliances Gain Momentum Under Energy Mandates

Smart Speakers and Displays delivered 26.61% of IoT devices market share in 2025, but replacement windows have extended to four years, slowing further gains. Connected Consumer Appliances are forecast to grow at 14.43% through 2031 because European and Californian rules now oblige refrigerators and thermostats to report real-time power use.  

Wearables sustain double-digit expansion as pulse-oximetry and atrial-fibrillation detection receive FDA clearance, positioning devices for health savings account reimbursement. Industrial sensors post the highest average selling price, reflecting ruggedized enclosures and explosion-proof certifications. GPS trackers for scooters and e-bikes are scaling after London and Paris mandated live-location feeds to enforce parking rules.

By Connectivity Technology: Satellite Links Extend Reach to Remote Assets

WPAN retained 34.74% share in 2025 thanks to Bluetooth and Zigbee dominance in homes and wearables, yet satellite IoT is projected to post a 14.48% CAGR as constellations provide global coverage without terrestrial gaps. Cellular RedCap modules shipped at prices 30% below 5G eMBB alternatives, opening mid-bandwidth markets such as retail kiosks and job-site cameras.  

LPWAN remains pivotal for metering and logistics, while hybrid modules that fuse cellular and LoRa cut design complexity and route traffic based on coverage. The Matter standard unifies WPAN and Wi-Fi at the application layer, easing multi-brand setups and spurring replacement purchases.

IoT Devices Market: Market Share by Connectivity Technology
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By Power Source: Energy Harvesting Squeezes Battery Dependence

Battery packs powered 61.53% of shipments in 2025, but energy-harvested nodes are forecast to grow 14.53% through 2031 as factories adopt vibration harvesters that end costly shutdowns for battery swaps. Photovoltaic cells already sustain parking sensors and outdoor air-quality monitors in sunny regions, while piezoelectric transducers feed accelerometers on rotating equipment.  

Mains-powered devices stay relevant in fixed locations, yet lithium primary cells now last five to ten years in low-duty-cycle gear like door sensors, narrowing the use-case gap. Standards for harvested power remain unsettled, forcing suppliers to craft bespoke interfaces and limiting scale.

Geography Analysis

North America is projected to grow at 14.62% between 2026 and 2031, outpacing other regions. U.S. Farm Bill grants worth USD 800 million fund sensor-driven irrigation, and V2X mandates compel automakers to add connectivity by 2027. Utilities in Texas and Ontario installed 12 million smart meters in 2025 to support time-of-use tariffs. Mexico’s factories are adding predictive-maintenance sensors to meet export quality standards, driving local demand for rugged industrial modules.  

Asia-Pacific held 41.72% share in 2025, fueled by China’s smart-city procurements, India’s metering mandates, and factory automation in ASEAN. Domestic suppliers shipped 450 million modules, giving the region strong local ecosystems. Japan and South Korea rolled out more than 50 enterprise 5G networks each to service semiconductor and automotive plants that need sub-millisecond latency.

Europe continues to scale IoT under the Green Deal, mandating connected thermostats, occupancy sensors, and smart chargers. Germany, France, and Italy are adding predictive-maintenance devices in heavy industries to curb downtime. The Middle East is using IoT in megaprojects such as NEOM, where autonomous vehicles and drone logistics are embedded from day one. Africa remains early stage, with pilot smart-meter and agriculture programs in South Africa and Nigeria. South America is expanding satellite IoT to monitor cattle and grain silos across remote farmland.

IoT Devices Market CAGR (%), Growth Rate by Region
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Competitive Landscape

Roughly 45% of 2025 revenue accrued to the top ten vendors, indicating moderate concentration. Consumer segments are price-competitive, with Amazon, Apple, Samsung, and Alphabet relying on ecosystem stickiness as hardware margins fall into single digits. Industrial and automotive domains have higher barriers because ISO 26262 and IEC 61508 certifications deter rapid supplier churn, favoring Siemens, Honeywell, Bosch, and NXP.  

Startups exploit open hardware and chiplet architectures to slash development cycles from a year to eight weeks, attracting mid-tier OEMs that lack RF design skills. Technology differentiation is moving toward edge AI and multiyear battery life. Patent filings in 2025 focused on wake-up radios and secure boot, with Qualcomm, Ericsson, and Huawei each adding more than 200 IoT patents. Participation in standards such as Matter and 5G RedCap lets contributors shape reference designs and win early silicon sockets.

IoT Devices Industry Leaders

  1. Apple Inc.

  2. Cisco Systems Inc

  3. Google Inc. (Alphabet)

  4. Samsung Electronics Co. Limited

  5. Huawei Technologies Co. Ltd.

  6. *Disclaimer: Major Players sorted in no particular order
IoT Devices Market
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Recent Industry Developments

  • January 2026: CMS broadened reimbursement to cover connected glucose monitors, blood-pressure cuffs, and oximeters, enlarging the U.S. remote-monitoring device market by USD 1.2 billion.
  • December 2025: Qualcomm crossed 4 million automotive C-V2X chipset shipments, supplying tier-one electronic control unit makers in three regions.
  • November 2025: Siemens won a USD 22 million project to install industrial IoT sensors across eight Indian auto plants, aiming to cut downtime by one-quarter.
  • October 2024: Amazon launched Matter-compatible Echo devices that double as Thread border routers, reducing smart-home setup friction.

Table of Contents for IoT Devices Industry Report

1. INTRODUCTION

  • 1.1 Study Assumptions and Market Definition
  • 1.2 Scope of the Study

2. RESEARCH METHODOLOGY

3. EXECUTIVE SUMMARY

4. MARKET LANDSCAPE

  • 4.1 Market Overview
  • 4.2 Market Drivers
    • 4.2.1 5G and LPWAN Roll-Outs Accelerating Massive-IoT Shipments
    • 4.2.2 Edge-AI Silicon Cost Decline Expanding Vision-Enabled Industrial IoT
    • 4.2.3 Reimbursement Policies Boosting Remote-Patient Monitoring Devices
    • 4.2.4 V2X Regulations Catalyzing Connected-Car Hardware Installations
    • 4.2.5 Ai-Native Chiplets Enabling Sub-UDS1 Secure Micro-Controllers
    • 4.2.6 Smart-Meter Mandates Driving Connected-Energy Devices
  • 4.3 Market Restraints
    • 4.3.1 Fragmented Firmware-Update Ecosystems Creating Cyber-Risk
    • 4.3.2 Semiconductor Supply Volatility For Ultra-Low-Power MCUs
    • 4.3.3 Absence Of Energy-Harvesting Standards Hindering Battery-Less Sensors
    • 4.3.4 Grey-Market LPWAN Modules Undermining Type-Approval Compliance
  • 4.4 Value Chain Analysis
  • 4.5 Regulatory Outlook
  • 4.6 Technological Outlook
  • 4.7 Porter's Five Forces
    • 4.7.1 Bargaining Power of Suppliers
    • 4.7.2 Bargaining Power of Buyers
    • 4.7.3 Threat of New Entrants
    • 4.7.4 Threat of Substitutes
    • 4.7.5 Intensity of Competitive Rivalry
  • 4.8 Technology Snapshot
    • 4.8.1 Evolution of IoT
    • 4.8.2 Disruptive Technologies Enabling Adoption
    • 4.8.3 Major IoT Device Components
  • 4.9 Investment Analysis

5. MARKET SIZE AND GROWTH FORECASTS (VALUE)

  • 5.1 By Application
    • 5.1.1 Connected and Smart Home
    • 5.1.2 Medical IoT
    • 5.1.3 Connected Car
    • 5.1.4 Smart Cities
    • 5.1.5 Industrial IoT
    • 5.1.6 Personal IoT
    • 5.1.7 Smart Agriculture
    • 5.1.8 Other Applications
  • 5.2 By Device Category
    • 5.2.1 Smart Speakers and Displays
    • 5.2.2 Wearables (Watches, Bands, Hearables)
    • 5.2.3 Connected Consumer Appliances
    • 5.2.4 Smart Energy and Utility Devices (Meters, Thermostats)
    • 5.2.5 Industrial Sensors and Actuators
    • 5.2.6 Connected Cameras and Security Devices
    • 5.2.7 Micro-mobility Trackers
    • 5.2.8 Self-powered Environmental Sensors
  • 5.3 By Connectivity Technology
    • 5.3.1 WPAN (Bluetooth, Zigbee, Z-Wave)
    • 5.3.2 WLAN (Wi-Fi 4/5/6/6E/7)
    • 5.3.3 LPWAN (NB-IoT, LTE-M, LoRa, Sigfox)
    • 5.3.4 Cellular (4G, 5G, C-V2X)
    • 5.3.5 Satellite IoT
    • 5.3.6 Hybrid Multi-band Modules
  • 5.4 By Power Source
    • 5.4.1 Battery-powered
    • 5.4.2 Energy-harvested
    • 5.4.3 Mains-powered
  • 5.5 By Geography
    • 5.5.1 North America
    • 5.5.1.1 United States
    • 5.5.1.2 Canada
    • 5.5.1.3 Mexico
    • 5.5.2 South America
    • 5.5.2.1 Brazil
    • 5.5.2.2 Argentina
    • 5.5.2.3 Rest of South America
    • 5.5.3 Europe
    • 5.5.3.1 Germany
    • 5.5.3.2 United Kingdom
    • 5.5.3.3 France
    • 5.5.3.4 Italy
    • 5.5.3.5 Rest of Europe
    • 5.5.4 Asia Pacific
    • 5.5.4.1 China
    • 5.5.4.2 Japan
    • 5.5.4.3 India
    • 5.5.4.4 South Korea
    • 5.5.4.5 Rest of Asia Pacific
    • 5.5.5 Middle East
    • 5.5.5.1 Saudi Arabia
    • 5.5.5.2 United Arab Emirates
    • 5.5.5.3 Rest of Middle East
    • 5.5.6 Africa
    • 5.5.6.1 South Africa
    • 5.5.6.2 Nigeria
    • 5.5.6.3 Rest of Africa

6. COMPETITIVE LANDSCAPE

  • 6.1 Market Concentration
  • 6.2 Strategic Moves
  • 6.3 Market Share Analysis
  • 6.4 Company Profiles (includes Global level Overview, Market level overview, Core Segments, Financials as available, Strategic Information, Market Rank/Share for key companies, Products and Services, and Recent Developments)
    • 6.4.1 Apple Inc.
    • 6.4.2 Samsung Electronics Co. Ltd.
    • 6.4.3 Amazon.com Inc.
    • 6.4.4 Alphabet Inc. (Google)
    • 6.4.5 Xiaomi Corp.
    • 6.4.6 Cisco Systems Inc.
    • 6.4.7 Huawei Technologies Co. Ltd.
    • 6.4.8 Microsoft Corp.
    • 6.4.9 Intel Corp.
    • 6.4.10 Honeywell International Inc.
    • 6.4.11 Siemens AG
    • 6.4.12 LG Electronics Inc.
    • 6.4.13 Sony Group Corp.
    • 6.4.14 Robert Bosch GmbH
    • 6.4.15 Schneider Electric SE
    • 6.4.16 Signify N.V. (Philips)
    • 6.4.17 Arm Ltd.
    • 6.4.18 Qualcomm Inc.
    • 6.4.19 NXP Semiconductors N.V.
    • 6.4.20 Dell Technologies Inc.
    • 6.4.21 Ericsson AB
    • 6.4.22 Quectel Wireless Solutions Co. Ltd.
    • 6.4.23 Telit Cinterion
    • 6.4.24 Particle Industries Inc.

7. MARKET OPPORTUNITIES AND FUTURE OUTLOOK

  • 7.1 White-space and Unmet-Need Assessment
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Global IoT Devices Market Report Scope

IoT is a network of internet-connected objects. These objects collect and exchange data using sensors embedded within them. IoT systems connect specialized devices designed for specific purposes with limited programmability and customizability. Moreover, IoT systems also store and process data in a distributed manner.

The IoT Devices Market Report is Segmented by Application (Connected and Smart Home, Medical IoT, Connected Car, Smart Cities, Industrial IoT, Personal IoT, Smart Agriculture, Other Applications), Device Category (Smart Speakers and Displays, Wearables, Connected Consumer Appliances, Smart Energy and Utility Devices, Industrial Sensors and Actuators, Connected Cameras and Security Devices, Micro-mobility Trackers, Self-powered Environmental Sensors), Connectivity Technology (WPAN, WLAN, LPWAN, Cellular, Satellite IoT, Hybrid Multi-band Modules), Power Source (Battery-powered, Energy-harvested, Mains-powered), and Geography (North America, South America, Europe, Asia-Pacific, Middle East, Africa). The Market Forecasts are Provided in Terms of Value (USD).

By Application
Connected and Smart Home
Medical IoT
Connected Car
Smart Cities
Industrial IoT
Personal IoT
Smart Agriculture
Other Applications
By Device Category
Smart Speakers and Displays
Wearables (Watches, Bands, Hearables)
Connected Consumer Appliances
Smart Energy and Utility Devices (Meters, Thermostats)
Industrial Sensors and Actuators
Connected Cameras and Security Devices
Micro-mobility Trackers
Self-powered Environmental Sensors
By Connectivity Technology
WPAN (Bluetooth, Zigbee, Z-Wave)
WLAN (Wi-Fi 4/5/6/6E/7)
LPWAN (NB-IoT, LTE-M, LoRa, Sigfox)
Cellular (4G, 5G, C-V2X)
Satellite IoT
Hybrid Multi-band Modules
By Power Source
Battery-powered
Energy-harvested
Mains-powered
By Geography
North AmericaUnited States
Canada
Mexico
South AmericaBrazil
Argentina
Rest of South America
EuropeGermany
United Kingdom
France
Italy
Rest of Europe
Asia PacificChina
Japan
India
South Korea
Rest of Asia Pacific
Middle EastSaudi Arabia
United Arab Emirates
Rest of Middle East
AfricaSouth Africa
Nigeria
Rest of Africa
By ApplicationConnected and Smart Home
Medical IoT
Connected Car
Smart Cities
Industrial IoT
Personal IoT
Smart Agriculture
Other Applications
By Device CategorySmart Speakers and Displays
Wearables (Watches, Bands, Hearables)
Connected Consumer Appliances
Smart Energy and Utility Devices (Meters, Thermostats)
Industrial Sensors and Actuators
Connected Cameras and Security Devices
Micro-mobility Trackers
Self-powered Environmental Sensors
By Connectivity TechnologyWPAN (Bluetooth, Zigbee, Z-Wave)
WLAN (Wi-Fi 4/5/6/6E/7)
LPWAN (NB-IoT, LTE-M, LoRa, Sigfox)
Cellular (4G, 5G, C-V2X)
Satellite IoT
Hybrid Multi-band Modules
By Power SourceBattery-powered
Energy-harvested
Mains-powered
By GeographyNorth AmericaUnited States
Canada
Mexico
South AmericaBrazil
Argentina
Rest of South America
EuropeGermany
United Kingdom
France
Italy
Rest of Europe
Asia PacificChina
Japan
India
South Korea
Rest of Asia Pacific
Middle EastSaudi Arabia
United Arab Emirates
Rest of Middle East
AfricaSouth Africa
Nigeria
Rest of Africa
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Key Questions Answered in the Report

What is the projected value of the IoT devices market by 2031?

The IoT devices market size is expected to increase from USD 230.42 billion in 2025 to USD 273.63 billion in 2026 and reach USD 534.71 billion by 2031, growing at a CAGR of 14.34% over 2026-2031.

Which device category is gaining most from energy-efficiency mandates?

Connected consumer appliances, especially networked refrigerators and thermostats, are forecast to grow at a 14.43% CAGR because new rules require real-time power reporting.

What share did Asia-Pacific hold in 2025?

Asia-Pacific accounted for 41.72% of the IoT devices market share, driven by large smart-city and metering programs.

How are 5G RedCap modules changing connectivity economics?

RedCap chips ship at prices about 30% lower than traditional 5G modules, making cellular viable for mid-bandwidth sensors and retail terminals.

What is the primary cyber-risk facing industrial IoT fleets today?

Fragmented firmware-update mechanisms leave 40% of fielded devices unpatched, raising ransomware exposure and increasing insurance premiums.

When will new mature-node semiconductor fabs ease MCU shortages?

Government-backed fabs will not reach volume production until at least 2028, so supply tightness is expected to persist for several more years.

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