Internet Of Things (IoT) Platform Market Size (2024 - 2029)

The IoT platform market is experiencing significant growth, driven by the increasing number of connected devices and the rising demand for data storage and analytics. These platforms, essential for integrating IoT-compatible hardware and enabling communication between devices, are becoming crucial in managing the vast amounts of data generated within IoT ecosystems. The market's expansion is further supported by trends such as the consolidation of platforms to enhance functionality and the growing need for cloud-based data solutions. Additionally, the COVID-19 pandemic has accelerated IoT investments, particularly in healthcare, as organizations seek to optimize resources and maintain safety protocols.

Market Size of Internet Of Things (IoT) Platform Industry

Internet Of Things (IoT) Platform Market Summary
Study Period 2019 - 2029
Market Size (2024) USD 8.23 Billion
Market Size (2029) USD 17.31 Billion
CAGR (2024 - 2029) 16.41 %
Fastest Growing Market Asia Pacific
Largest Market North America
Market Concentration Low

Major Players

Internet Of Things (IoT) Platform Market Major Players

*Disclaimer: Major Players sorted in no particular order

Internet of Things (IoT) Platform Market Analysis

The Internet Of Things Platform Market size is estimated at USD 8.23 billion in 2024, and is expected to reach USD 17.31 billion by 2029, growing at a CAGR of 16.41% during the forecast period (2024-2029).

IoT platforms consist of development boards that are designed particularly for IoT applications. These platforms play an important role in helping various designers of IoT devices to connect their projects to the internet. IoT platform provides connectivity to various IoT-compatible hardware devices such as laptops, mobiles, wearable fitness devices, industrial control systems, automotive telematics units, etc.

  • IoT platforms, also called application enablement platforms or AEPs, are defined as a form of middleware that lies between the layers of IoT devices and gateways and applications, which it enables to build. A typical IoT platform consists of essential components that include a processing unit, a memory unit, and a connectivity module. They allow easy integration of existing commercial sensors and actuators.
  • IoT platforms are the main component of IoT architecture that connects the virtual world and the real world and enables communication between objects while managing data flows. They also support application development and provide basic analytics for connected IoT devices.
  • IoT platforms are designed specifically for IoT applications and consist of various development boards that play a crucial role in helping multiple designers of IoT-compatible hardware devices such as mobiles, laptops, industrial control systems (ICS), wearable fitness devices, and automotive telematics units to connect their project to the internet. Consistent collaborations are broadening market positions as consolidations of platforms have become the trend, with an emphasis on increasing functionality while minimizing the number of applications required to access them. For instance, the previous year, the IoT Carrier 1NCE and Amazon Web Services (AWS) collaborated to boost the expansion of the 1NCEs IoT platform, dispersing its cloud-native IoT offering closer to customers worldwide. Its unique software offering is built on AWS to enable quick integration of cellular IoT connectivity into solutions developed by IoT developers with plug-and-play functionalities.
  • The market has been witnessing an increasing number of connected devices in an IoT ecosystem. Because of this, the need for transferring, downloading, and uploading large volumes of data, mostly in enterprise data centers, has become essential. These centers are deploying IoT platforms to enhance their capabilities in terms of expertise, speed, and agility to manage IoT data resources. As the amount of data grows owing to an increasing number of connected IoT devices, big data is another field that is expected to complement the studied market.
  • Factors such as increasing demand for data storage over the cloud and growing demand for data analytics are expected to boost the market for enterprise IoT platforms over the forecast period. Increased data traffic has been the main underlying factor responsible for the demand for cloud data storage. With an increase in IoT adoption across the world, connectivity among devices is also growing. Hence, there is an accumulation of vast piles of data.
  • The increased efforts to minimize contact amid the pandemic drive healthcare organizations to deploy IoT solutions that help preserve PPE. Five US hospitals have jumped to test Medtronic's first-of-its-kind ventilator that can be monitored and adjusted remotely. Medtronics' ventilator, which was created in response to COVID-19, is helping to reduce hospital use of PPE by allowing practitioners to remotely monitor and adjust the ventilator via a laptop computer from anywhere. According to Microsoft's IoT Signals report from prior to last year, COVID-19 resulted in unexpected benefits for organizations and their IoT strategies, with nearly 44% of all surveyed industry professionals expected to accelerate their IoT investments as a result of the COVID-19 pandemic.

Internet of Things (IoT) Platform Industry Segmentation

IoT platforms are the central element in the Internet of Things architecture that helps to connect the real and the virtual worlds in order to enable communication between objects, support application development, manage the data flows, and provide basic analytics for connected IoT devices. It works on a multi-layer technology that handles, processes and transfers information to and from connected devices with the help of the Internet.

The Internet of Things platform market is segmented by deployment (on-premise and cloud/saas), by type of platform (application enablement, device management, advanced analytics, cloud storage/IaaS, and connectivity), by end-user industry (industrial, connected buildings, smart home, mobility, medical, and other end-user applications), and geography (North America, Europe, Asia Pacific and the Rest of the World). The Market Sizes and Forecasts are Provided in Terms of Value (USD) for all the Above Segments.

By Deployment
On-premise
Cloud/Saas
By Type of Platform
Application Enablement
Device Management
Advanced Analytics
Cloud Storage/IaaS
Connectivity
By End-user Industry
Industrial
Connected Building
Smart Home
Mobility
Medical
Other End-user Applications
By Geography***
North America
Europe
Asia
Australia and New Zealand
Latin America
Middle East and Africa
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Internet Of Things (IoT) Platform Market Size Summary

The Internet of Things (IoT) Platform Market is poised for significant growth, driven by the increasing integration of IoT technologies across various sectors. These platforms, often referred to as application enablement platforms, serve as crucial middleware, facilitating connectivity and communication between IoT devices and applications. They are integral to the IoT architecture, enabling data flow management and supporting application development with basic analytics. The market is characterized by a surge in connected devices, necessitating robust data transfer capabilities, particularly in enterprise data centers. This demand is further fueled by the growing need for cloud-based data storage and analytics, as organizations seek to harness the vast amounts of data generated by IoT devices. Collaborations and strategic partnerships, such as those between 1NCE and Amazon Web Services, are enhancing the functionality and reach of IoT platforms, making them more accessible and efficient for global users.

The market landscape is highly competitive and fragmented, with numerous players, including tech giants like IBM, Microsoft, and SAP, vying for market share through product innovation and strategic mergers and acquisitions. The healthcare sector, in particular, is witnessing a transformative impact from IoT technologies, with connected medical devices expected to play a significant role in enhancing patient care and operational efficiency. The pandemic has accelerated IoT adoption in healthcare, as organizations seek to minimize contact and optimize resource management. Additionally, the manufacturing sector in developed regions like the United States is leveraging IoT to address labor shortages and enhance production efficiency. The introduction of smart city and smart building solutions further exemplifies the expanding applications of IoT platforms. As the market continues to evolve, advancements in connectivity technologies, such as 5G, are expected to drive further innovations and adoption across various industries.

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Internet Of Things (IoT) Platform Market Size - Table of Contents

  1. 1. MARKET INSIGHTS

    1. 1.1 Market Overview

    2. 1.2 Industry Attractiveness - Porter's Five Forces Analysis

      1. 1.2.1 Threat of New Entrants

      2. 1.2.2 Bargaining Power of Buyers

      3. 1.2.3 Bargaining Power of Suppliers

      4. 1.2.4 Threat of Substitute Products

      5. 1.2.5 Intensity of Competitive Rivalry

  2. 2. MARKET SEGMENTATION

    1. 2.1 By Deployment

      1. 2.1.1 On-premise

      2. 2.1.2 Cloud/Saas

    2. 2.2 By Type of Platform

      1. 2.2.1 Application Enablement

      2. 2.2.2 Device Management

      3. 2.2.3 Advanced Analytics

      4. 2.2.4 Cloud Storage/IaaS

      5. 2.2.5 Connectivity

    3. 2.3 By End-user Industry

      1. 2.3.1 Industrial

      2. 2.3.2 Connected Building

      3. 2.3.3 Smart Home

      4. 2.3.4 Mobility

      5. 2.3.5 Medical

      6. 2.3.6 Other End-user Applications

    4. 2.4 By Geography***

      1. 2.4.1 North America

      2. 2.4.2 Europe

      3. 2.4.3 Asia

      4. 2.4.4 Australia and New Zealand

      5. 2.4.5 Latin America

      6. 2.4.6 Middle East and Africa

Internet Of Things (IoT) Platform Market Size FAQs

The Internet Of Things Platform Market size is expected to reach USD 8.23 billion in 2024 and grow at a CAGR of 16.41% to reach USD 17.31 billion by 2029.

In 2024, the Internet Of Things Platform Market size is expected to reach USD 8.23 billion.

IoT Platform Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)