5G IoT Market Size

Market Size Snapshot

Note – Market size depicts the revenue generated over the financial year

The 5G IoT market is expected to reach $11.08 billion by 2032, with a CAGR of 7.06 % from 2024 to 2032. This is mainly due to the increased demand for faster and more reliable network connections and the rapid development of IoT. Besides, the digitalization and automation of industries will also accelerate the integration of 5G and IoT. The real-time transmission of data and the automation of industry will make the 5G IoT market even more attractive. The key to the expansion of the market lies in the progress of network construction, the development of smart cities, and the increasing demand for mobile broadband services. The major market players, such as Ericsson, Nokia, and Huawei, are actively expanding R&D and expanding their 5G IoT business. Strategic initiatives such as tying up with operators and investing in future technology will accelerate the commercialization of 5G IoT solutions. This will also drive the development of the market.

Regional Market Size

Regional Deep Dive

Across regions, the 5G IoT market is evolving rapidly, driven by technological advancements, increasing demand for connectivity and the proliferation of smart devices. Each region has its own characteristics, influenced by local economic conditions, regulatory frameworks and technological readiness. Nevertheless, the market is undergoing significant growth, with varying degrees of maturity and innovation across North America, Europe, Asia-Pacific, the Middle East and Africa, and Latin America.

Europe

• The European Union has launched the 5G Action Plan, aiming to ensure that all urban areas and major roads are covered by 5G by 2025, which is expected to enhance IoT applications in smart transportation and energy management.
• Key players like Ericsson and Nokia are at the forefront of developing 5G IoT solutions, collaborating with governments and industries to create a robust ecosystem that supports sustainability and digital transformation.

Asia Pacific

• China is making significant strides in 5G IoT, with companies like Huawei and ZTE leading the development of 5G infrastructure, which is crucial for the country's ambitious smart city projects and industrial automation.
• The region's diverse economic landscape, coupled with a high adoption rate of mobile technology, is driving innovation in sectors such as agriculture, healthcare, and logistics, where IoT applications are becoming increasingly prevalent.

Latin America

• Brazil is emerging as a key player in the 5G IoT market, with the government auctioning off 5G spectrum and encouraging investments in infrastructure to support smart agriculture and urban development.
• Telecom operators in the region are collaborating with technology firms to develop IoT solutions tailored to local needs, addressing challenges such as urbanization and resource management.

North America

• The United States is leading the charge in 5G IoT deployment, with major telecommunications companies like Verizon and AT&T investing heavily in infrastructure to support smart city initiatives and industrial IoT applications.
• Regulatory support from the Federal Communications Commission (FCC) has accelerated the rollout of 5G networks, enabling faster connectivity and fostering innovation in sectors such as healthcare, transportation, and manufacturing.

Middle East And Africa

• Countries like the UAE are investing heavily in 5G technology as part of their Vision 2021 initiative, which aims to position the region as a global leader in technology and innovation, particularly in smart city developments.
• The African continent is witnessing a surge in IoT startups, supported by initiatives from organizations like the African Development Bank, which are focused on leveraging 5G to enhance connectivity and drive economic growth.

Did You Know?

“By 2025, it is estimated that there will be over 75 billion connected devices globally, many of which will rely on 5G technology to function effectively.” — example.com

Segmental Market Size

It is a great opportunity for the industry. Its growth is driven by a growing need for high-speed data and low-latency communications, which are required by applications such as smart cities and driverless cars. Furthermore, government policies promoting digital transformation and smart cities are helping to fuel this growth. At present, 5G IoT is emerging from the trial stage and moving into the commercialization stage. Notable leaders such as Verizon and AT&T in the United States and China Mobile and Huawei in China are already rolling out 5G. They are deploying it in areas such as smart manufacturing, where companies such as Siemens are using IoT to monitor and predict the breakdown of equipment, and in health care, where remote patient monitoring is gaining ground. Moreover, as a result of the green revolution and smart city policies, the industry is experiencing rapid growth. In the future, the development of edge computing and AI will help to enhance the efficiency of data collection and processing.

Future Outlook

From 2023 to 2031, the 5G IoT market is expected to grow at a CAGR of 7.10 percent. The growth of this market is based on the increasing use of IoT devices in various sectors, such as smart cities, health care and automation. This will lead to an increase in the number of IoT devices, which will be connected to 5G. By the end of the next decade, the number of connected devices will exceed 30 billion, and the demand for 5G will increase significantly. Edge computing and enhanced network slicing will play an important role in improving the performance of IoT applications, which will encourage more companies to invest in 5G solutions. In addition, government support for digital transformation and smart infrastructure development will further drive the market. The integration of IoT and AI in private 5G networks will also bring new business opportunities to companies. In short, the 5G IoT market will continue to develop rapidly.