PUBLISHER: The Business Research Company | PRODUCT CODE: 1650512
PUBLISHER: The Business Research Company | PRODUCT CODE: 1650512
IoT engineering services encompass the design, development, and deployment of various IoT devices aimed at assessing and enhancing business performance. These services serve as a communication medium across different business departments, automating repetitive tasks to improve operational efficiency and productivity. Organizations employ IoT engineering services to reduce operational and maintenance costs and enhance data security.
The key services within IoT engineering include product engineering, cloud engineering, experience engineering, analytics services, maintenance services, security engineering, and various other service types. Product engineering involves the automation of production processes to improve efficiency, reduce product development costs, minimize human error, and encompasses aspects such as device design, configuration, and hardware component selection. IoT technology is utilized in product engineering to provide operational insights, enhancing product features. These services cater to various types of organizations, including small enterprises, mid-size enterprises, and large enterprises. Additionally, IoT engineering services find applications across diverse end-user industries such as healthcare, automotive, information technology & telecom, building automation, agriculture, public utilities, retail, and other sectors.
The IoT engineering services market research report is one of a series of new reports from The Business Research Company that provides IoT engineering services market statistics, including IoT engineering services industry global market size, regional shares, competitors with a IoT engineering services market share, detailed IoT engineering services market segments, market trends and opportunities, and any further data you may need to thrive in the IoT engineering services industry. This IoT engineering services market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The IoT engineering services market size has grown exponentially in recent years. It will grow from $37.74 billion in 2024 to $46.32 billion in 2025 at a compound annual growth rate (CAGR) of 22.7%. The growth in the historic period can be attributed to proliferation of IoT devices and sensors, growing demand for interconnected systems, need for data analytics and insights from IoT devices, increasing complexity in IoT solution development, rise in industry-specific IoT applications.
The IoT engineering services market size is expected to see exponential growth in the next few years. It will grow to $112.46 billion in 2029 at a compound annual growth rate (CAGR) of 24.8%. The growth in the forecast period can be attributed to integration of 5g networks for IoT connectivity, expansion of edge computing in IoT architectures, demand for ai and machine learning in IoT solutions, emphasis on IoT security and privacy measures, continued growth in industrial IoT (iIoT) adoption. Major trends in the forecast period include focus on low-power IoT device design and optimization, development of modular and scalable IoT platforms, convergence of IoT with blockchain technology, rise of digital twin technology in IoT engineering, increasing adoption of robotics in IoT applications.
The increasing demand for IoT solutions in smart manufacturing is projected to significantly boost the growth of the IoT engineering services market in the coming years. Smart manufacturing encompasses a wide range of manufacturing operations that leverage computer-integrated programs for design, development, monitoring, and efficient supply chain functions. IoT solutions play a crucial role in smart manufacturing by automating tasks, enabling asset monitoring, managing production activities, and providing valuable insights into business operations. For instance, in August 2022, the Health Sector Cybersecurity Coordination Center (HC3), part of the U.S. Department of Health and Human Services' Cybersecurity Program, reported that approximately 7 billion devices were connected via the Internet of Things (IoT) in 2022. Projections indicate substantial growth, with an estimated 20 billion additional devices expected to utilize IoT technology by 2025. Thus, the rising demand for IoT solutions in smart manufacturing is a key driver for the growth of the IoT engineering services market.
The growing adoption of IoT in healthcare is anticipated to drive the expansion of the IoT engineering services market in the future. Healthcare providers increasingly need customized IoT solutions to meet demands for patient monitoring, data analysis, and treatment. IoT engineering services play a crucial role in developing these tailored solutions, enabling remote patient monitoring, managing and securing large volumes of patient data, integrating IoT devices with existing healthcare infrastructure, and ensuring compliance with strict healthcare regulations. These services are essential for enhancing healthcare delivery, improving diagnosis and treatment, and fostering innovation within the healthcare sector. For example, in June 2024, the National Health Statistics Report from the Centers for Disease Control and Prevention, a US-based federal agency, noted that telemedicine usage increased with age, rising from 29.4% among adults aged 18-29 to 43.3% among those aged 65 and older in 2021, while in 2022, it was higher among adults aged 30 and older compared to younger adults. Thus, the increasing adoption of IoT in healthcare is driving growth in the IoT engineering services market.
A notable trend in the IoT engineering services market is technological advancement. Leading market players are investing efforts in innovative technologies such as LoRaWAN, incorporating features like Downlink Queue Management and Network Analyzer to enhance their market position. Amazon. com Inc., a US-based technology company, introduced LoRaWAN technology in January 2022, featuring real-time information and Downlink Queue Management, allowing simultaneous joining of multiple IoT devices and effective communication monitoring.
Major companies in the IoT engineering services market are focused on developing new on-device connectivity software solutions to gain a competitive advantage. On-device connectivity software solutions enable devices to establish and manage network connections, facilitating communication and data exchange without relying solely on external servers. Eseye, a UK-based IoT solutions company, launched AnyNet SMARTconnect in January 2023, an on-device connectivity software solution that reduces development time, improves resilience, and cuts engineering costs. It integrates intelligent global IoT connectivity directly into devices, accelerating time-to-market by up to nine months.
In March 2023, Cognizant, a US-based information technology consulting and business process outsourcing company, acquired Mobica for an undisclosed amount. This acquisition aims to strengthen Cognizant's IoT embedded software engineering capabilities and provide comprehensive support for digital transformation projects. By leveraging Mobica's expertise in edge systems, artificial intelligence, and machine learning, Cognizant seeks to enhance its services for its Global 2000 clients across key industries, including technology and automotive. Mobica is a UK-based software services firm specializing in IoT engineering services.
Major companies operating in the IoT engineering services market include Tata Consultancy Services Limited, Infosys Limited, Cognizant Technology Solutions Corporation, Happiest Minds Technologies Limited, Capgemini SE, Microsoft Corporation, Amazon Web Services Inc., IBM Corporation, Cisco Systems Inc., General Electric Company, Oracle Corporation, Salesforce. com Inc., Google Inc., Innowise Group, Integra Sources LLC, Softeq Development Corporation, Advantech Co. Ltd., Telefonica SA, Accenture plc, Wipro Limited, HCL Technologies Limited, Tech Mahindra Limited, Mindtree Limited, Virtusa Corporation, Vodafone Global plc, NTT Data Corporation, Luxoft Holding Inc., EPAM Systems Inc., Coforge Limited, Lochbridge Inc., Dell Technologies Inc., Rogers Communication Inc.
North America was the largest region in the IoT engineering services market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the iot engineering services market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa
The countries covered in the iot engineering services market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Italy, Canada, Spain.
The IoT engineering services market includes revenues earned by entities by providing services such as Cloud Architecture, Embedded Platform Engineering, Platform migration, Middleware development, Testing and Validation. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
IoT Engineering Services Global Market Report 2025 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on iot engineering services market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for iot engineering services ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The iot engineering services market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The forecasts are made after considering the major factors currently impacting the market. These include the Russia-Ukraine war, rising inflation, higher interest rates, and the legacy of the COVID-19 pandemic.