The enterprise IoT market is expected to grow at a compound annual growth rate (CAGR) of 13% from 2023 to 2033 and surpass $2021.19 billion by 2033, according to a report from Future Market Insights. The market is expected to be worth $595.42 billion in 2023.
According to the report, the enterprise IoT market is driven by several factors including the increasing adoption of IoT in various industries to improve operational efficiency and reduce costs. The increasing focus on digital transformation across various industries is also driving the growth of the enterprise IoT market. The rising demand for IoT in emerging technologies such as AI, ML, and big data is expected to contribute to the market growth.
“The growing trend of Industry 4.0 and the increasing need for automation in various industries are also propelling the growth of the market,” the report stated.
In terms of market segments, the hardware sector accounted for more than 45% of total revenue in 2022 and is expected to dominate the market over the forecast period. The software and solutions category is predicted to grow at the quickest rate with a CAGR of 15%. The small and medium-sized firm held the biggest share of 68% in 2022 and is expected to lead the market from 2023 to 2033.
In terms of geographical segments, the enterprise IoT industry in the United States is expected to grow at a CAGR of more than 15% between 2023 and 2033. Meanwhile, the enterprise IoT industry in China is expected to grow at a CAGR of more than 16% in the same period.
The report also highlighted the competitive landscape in the enterprise IoT market, which is highly competitive with a few major players holding a significant market share. “The market has a high entry barrier, making it difficult for small and medium players to enter. Technological advancements play a major role in driving the market, creating a differentiating factor between new entrants and established players,” the report stated.
Leading companies such as Cisco Systems, Siemens AG, and PTC have developed IoT solutions for use in industrial contexts, while companies such as Cisco Systems and Bosch have created security solutions for protecting IoT devices and networks from cyber-attacks.