PUBLISHER: Stratistics Market Research Consulting | PRODUCT CODE: 1503296
PUBLISHER: Stratistics Market Research Consulting | PRODUCT CODE: 1503296
According to Stratistics MRC, the Global Industrial IoT (IIoT) Platform Market is accounted for $11.86 billion in 2024 and is expected to reach $34.01 billion by 2030 growing at a CAGR of 19.2% during the forecast period. An Industrial IoT (IIoT) platform is a specialized technology infrastructure that facilitates the deployment, management, and integration of IoT devices and data in industrial settings. Unlike consumer-oriented IoT, IIoT platforms are tailored for industrial environments such as manufacturing, energy, transportation, and healthcare. These platforms typically include features like device management, data collection, real-time analytics, and connectivity protocols optimized for industrial machinery and processes.
According to Google, only 4% of the devices in the world use IPv6 protocol at present, while 96% of the devices still use IPv4 protocol.
Rising demand for predictive maintenance
IIoT platforms integrate data from machinery, sensors, and other industrial devices to provide real-time insights into equipment performance and condition. Predictive maintenance utilizes advanced analytics and machine learning algorithms to forecast equipment failures before they occur, thereby reducing downtime and maintenance costs. This capability is increasingly valued across industries such as manufacturing, energy, transportation, and healthcare, where operational efficiency and asset reliability are critical. As businesses strive to optimize production processes and ensure uninterrupted operations, IIoT platforms equipped with predictive maintenance capabilities emerge as indispensable tools.
High cost of implementation
IIoT solutions typically require substantial investments in infrastructure, hardware, software, and skilled personnel to deploy and maintain. Industries often hesitate to adopt these technologies due to the initial capital outlay and ongoing operational expenses involved. The complexity of integrating IIoT platforms with existing systems further adds to the implementation costs. However, small to medium-sized enterprises (SMEs) particularly find these expenses daunting, limiting their ability to leverage IIoT's potential benefits such as improved operational efficiency, predictive maintenance, and real-time analytics.
Growing adoption of cloud computing
The growing adoption of cloud computing is substantially enhancing the Industrial IoT (IIoT) platform market by revolutionizing how industrial data is managed, analyzed, and utilized. Cloud platforms offer scalable and flexible solutions that cater to the diverse needs of industrial operations, allowing businesses to seamlessly integrate IIoT devices and applications across different locations and environments. This scalability enables enterprises to efficiently handle vast amounts of data generated by interconnected devices, facilitating real-time monitoring, predictive maintenance, and optimization of industrial processes. Moreover, cloud-based IIoT platforms provide robust security measures, ensuring the protection of sensitive data and compliance with industry regulations.
Data privacy
IIoT systems gather vast amounts of sensitive data from industrial machinery and processes, including operational metrics, maintenance schedules, and sometimes even employee information. With stringent data privacy regulations like GDPR and CCPA, companies must adhere to strict guidelines regarding data collection, storage, and processing, which can complicate the implementation of IIoT platforms. Ensuring data security across interconnected devices and networks becomes challenging, as any breach could lead to severe financial and reputational damages. As a result, organizations investing in IIoT technologies face increased scrutiny and must invest heavily in cybersecurity measures and compliance frameworks, which can slow down innovation and adoption.
The Covid-19 pandemic significantly impacted the Industrial IoT (IIoT) platform market by accelerating digital transformation across industries. As companies sought to maintain operations amidst lockdowns and supply chain disruptions, IIoT platforms became pivotal in enabling remote monitoring, predictive maintenance, and operational efficiency. The crisis underscored the need for resilient and agile manufacturing processes, driving increased adoption of IIoT solutions to optimize production and reduce downtime. The IIoT platform market is poised for continued growth as industries prioritize digital resilience and efficiency in the post-pandemic era.
The On Premises segment is expected to be the largest during the forecast period
On Premises segment is expected to be the largest during the forecast period as it caters to industries requiring stringent data security, low latency, and regulatory compliance. Unlike cloud-based solutions, On Premises IIoT platforms are deployed within a company's physical infrastructure, offering greater control over data governance and accessibility. This deployment model is favored by sectors such as manufacturing, energy, and healthcare, where real-time data processing and operational continuity are paramount. On Premises IIoT platforms integrate with existing IT systems seamlessly, allowing organizations to leverage their infrastructure investments while scaling IoT deployments according to specific operational needs.
The Healthcare segment is expected to have the highest CAGR during the forecast period
Healthcare segment is expected to have the highest CAGR during the forecast period, by integrating smart devices and sensors to enhance patient care, operational efficiency, and resource management. IIoT platforms in healthcare enable real-time monitoring of medical equipment, patient vital signs, and environmental conditions like temperature and humidity in healthcare facilities. These platforms facilitate predictive maintenance of medical devices, ensuring continuous functionality and reducing downtime. Moreover, IIoT enhances patient safety by enabling remote patient monitoring and alerts for critical conditions, allowing healthcare providers to deliver timely interventions. Data analytics capabilities within IIoT platforms enable healthcare institutions to derive actionable insights from vast amounts of patient and operational data, optimizing workflows and improving decision-making processes.
By fostering alliances between technology providers, industrial manufacturers, and service integrators, these collaborations facilitate the integration of diverse IIoT solutions, Asia Pacific region commanded the largest share of the market over the extrapolated period. This synergy not only enhances the interoperability of systems but also accelerates the development of tailored applications that meet specific industry needs. Moreover, partnerships enable shared research and development efforts, leveraging complementary expertise to address complex challenges such as cybersecurity and data analytics. The result is a more robust IIoT ecosystem capable of delivering scalable, efficient, and secure solutions across various sectors including manufacturing, energy, transportation, and healthcare.
Europe region is poised to hold profitable growth during the extrapolated period. By setting standards and frameworks that prioritize data security, interoperability, and sustainability, governments across the region are fostering a conducive environment for IIoT adoption. These regulations not only ensure that IIoT solutions adhere to stringent data protection laws such as GDPR but also encourage innovation by providing clear guidelines for companies to follow across the region. Furthermore, financial incentives and grants aimed at supporting IIoT development further amplify the market's growth potential. As a result, businesses are more inclined to invest in IIoT platforms that comply with these regulations, thereby driving the regional market forward.
Key players in the market
Some of the key players in Industrial IoT (IIoT) Platform market include Schneider Electric, Siemens AG, ABB Group, General Electric, Honeywell International, Inc, Rockwell Automation, International Business Machines Corporation, Microsoft Corporation, Amazon Web Services and Dell Technologies.
In February 2024, the commercial launch of the 5G edge computing industrial Internet of Things cellular router solution, Digi IX40, was announced by Digi International. The Digi IX40 is designed to meet the needs of Industry 4.0 applications, including smart manufacturing, industrial automation, predictive maintenance, advanced robotics, and asset tracking.
In September 2023, the Leading provider of IoT and imaging solutions worldwide, Lexmark, announced a new collaboration with HARMAN Digital Transformation Solutions. Under this agreement, HARMAN will use Lexmark's IoT technology on targeted projects for clients in a range of industries as part of its IoT products portfolio.
In April 2023, Modern IoT Solutions from Qualcomm are launched to Support the Growth of the IoT Ecosystem and Allow New Industrial Applications. Offering best-in-class performance, scalability, and user-friendliness, the solutions seek to further extend IoT ecosystems.