IOT in Manufacturing Market Size, Share, Growth Analysis, By Component (Solution, Services), By Vertical (Process manufacturing, Discrete manufacturing), By Deployment mode (On-premises, Cloud), By Region - Industry Forecast 2024-2031

Global IOT In Manufacturing Market size was valued at USD 321 billion in 2022 and is poised to grow from USD 395.79 billion in 2023 to USD 2114.33 billion by 2031, growing at a CAGR of 23.30% during the forecast period (2024-2031).

The Internet of Things (IoT) in the manufacturing market aims to harness the power of connectivity and data analytics to enhance various facets of the manufacturing process. A major factor propelling the growth of IoT in this sector is the rising demand for process optimization and automation. By integrating IoT technologies, manufacturers can boost operational efficiency, minimize downtime, and increase productivity. IoT-enabled sensors, devices, and networks allow for the real-time collection and analysis of data, empowering manufacturers to make informed decisions, optimize resource use, and implement predictive maintenance strategies. The IoT in manufacturing offers substantial opportunities for innovation, enabling the development of smart factories and interconnected supply chains. These advancements allow for real-time monitoring, control, and optimization of manufacturing operations. IoT-driven automation and predictive analytics help streamline production, lower costs, and enhance product quality. The goal is to transform the manufacturing industry through the application of connectivity, data analytics, and automation, ultimately improving operations, productivity, and decision-making. However, challenges such as data security and interoperability must be addressed. Despite these obstacles, the IoT in manufacturing presents significant opportunities for manufacturers to revolutionize their operations, increase competitiveness, and foster innovation in the digital age.

Top-down and bottom-up approaches were used to estimate and validate the size of the Global IOT In Manufacturing market and to estimate the size of various other dependent submarkets. The research methodology used to estimate the market size includes the following details: The key players in the market were identified through secondary research, and their market shares in the respective regions were determined through primary and secondary research. This entire procedure includes the study of the annual and financial reports of the top market players and extensive interviews for key insights from industry leaders such as CEOs, VPs, directors, and marketing executives. All percentage shares split, and breakdowns were determined using secondary sources and verified through Primary sources. All possible parameters that affect the markets covered in this research study have been accounted for, viewed in extensive detail, verified through primary research, and analyzed to get the final quantitative and qualitative data.

Global IOT In Manufacturing Market Segmental Analysis

The global IOT in Manufacturing Market is segmented on the basis of component, solution, services, deployment mode, organisation size, application, vertical end-use, and region. Based on component, the market is segmented into solution, and services. Based on solution, Network management, Data management, Device management , Application management, Smart surveillance. Based on services market is segmented into, Managed services (Infrastructure management services, Security management services, Network management services, Data management services, Device management services), Professional services (lot consulting services {Technology consulting services, Business consulting services, Operational consulting services}, IoT infrastructure services {Network services, Deployment services, Cloud services}, System designing and integration services {Platform development and integration services, Mobile and web application development services}, Support and maintenance services, education and training services. Based on deployment mode market is segmented into, on premises and cloud. Based on organisation size market is segmented into, small, medium and large enterprises. Based on application, Predictive maintenance, Business process optimization, Asset tracking and management, Logistics and supply chain management, Real-time workforce tracking and management, Automation control and management, Emergency and incident management and business communication. Based on verticals market is segmented into, Process manufacturing, Discrete manufacturing. Based on region, the market is segmented into North America, Europe, Asia Pacific, Middle East and Africa, and Latin America.

Drivers of the Global IOT In Manufacturing Market

The rise of Industry 4.0 principles and technologies, including the Internet of Things (IoT), is a major catalyst for the IoT in the manufacturing market. Industry 4.0 seeks to develop intelligent, interconnected manufacturing environments that leverage real-time data analytics, automation, and smart decision-making. This shift is largely motivated by the growing need for greater productivity, efficiency, and flexibility within manufacturing processes. As manufacturers strive to optimize their operations, the adoption of IoT under Industry 4.0 becomes increasingly crucial, enabling more responsive, data-driven production systems.

Restraints in the Global IOT In Manufacturing Market

The widespread adoption of IoT devices in manufacturing brings with it the challenge of ensuring data security and privacy, especially given the large volumes of data being collected. Manufacturers must tackle issues such as data breaches, unauthorized access, and compliance with data privacy regulations. These concerns act as barriers to the broader implementation of IoT in the manufacturing sector, highlighting the need for robust security measures to protect sensitive information.

Market Trends of the Global IOT In Manufacturing Market

Edge computing, which focuses on processing data closer to the source rather than relying solely on cloud-based systems, is becoming increasingly popular in the manufacturing industry. As IoT devices generate massive amounts of data, edge computing allows for real-time analytics directly at the site of data generation. This approach not only reduces latency but also enhances decision-making capabilities on the factory floor. By enabling quicker responses to operational data, edge computing supports more efficient and timely production processes, making it an essential tool in modern manufacturing environments.