GLOBAL MARKET RESEARCH · 2026 EDITION
Internet of Things (IoT) Market From pilots to production: sizing a USD 7.54 trillion connected economy by 2035
Market size 2025
Forecast 2035
CAGR 2026–2035
New $ opportunity
USD trillion, global
>4× expansion
Forecast period
Absolute, 2026–2035
$1.86T
$7.54T
13.43%
$5.12T
Executive Summary Production-scale demand: enterprises are moving connected-asset fleets beyond pilots — the single largest growth driver (+2.8% CAGR impact). Asia-Pacific leads twice: ~35% revenue share (USD 0.65T) in 2025 and the fastest regional CAGR
of 17.1%. Value shifting to software & security: Digital Twin Software (20.3%) and IoT Security Services (19.3%) outpace the market. Fragmented field: 20 profiled players across cloud, industrial and telecom archetypes; no company holds a majority share. L E A D I N G SH A R E S, 2 0 2 5
78%
62%
58%
24%
Network Access of connectivity
Endpoint Hardware of hardware
Enterprise buyers of revenue
Manufacturing of end-use demand
Copyright © Next Move Strategy Consulting
Source: NMSC IoT Market Report · 01
MARKET LANDSCAPE
A fourfold expansion: USD 1.86T to USD 7.54T Global IoT revenue forecast (USD trillion)
CAGR 13.43% · 2026–2035
7.54
5.78 5.10 4.49
1.86
2025
2.11
2026
2.39
2027
2.71
2028
3.08
2029
3.49
2030
3.96
2031
2032
2033
2034
2035
Industry ecosystem — value flows from device to decision 01
Devices & Sensors
02
03
Cellular, LPWAN, 5G
Device mgmt, data
Connectivity
IoT Platforms
04
Software & Apps
05
Services Integration, managed
Analytics, digital twin
Endpoint, edge hardware
Segment leaders vs. fastest growers Segment
Largest sub-segment (2025 share)
Fastest growth (CAGR 26–35)
Hardware
IoT Endpoint Hardware · 62%
IoT Edge Hardware · 17.2%
Connectivity
Network Access · 78%
Connectivity Mgmt · 17.9%
Software
IoT Platform Software · 24%
Digital Twin · 20.3%
Services
Implementation Services · 28%
IoT Security Services · 19.3%
End-user
Manufacturing · 24%
Agriculture · 19.0%
Buyer type
Enterprise · 58%
Government & Public · 17.4%
Channel
Direct Sales · 47%
Marketplace · 22.4%
Shares are within each segment. GSMA Intelligence projects 38.7 billion global IoT connections by 2030.
Copyright © Next Move Strategy Consulting
Source: NMSC IoT Market Report · 02
GROWTH DRIVERS & OPPORTUNITIES
Scaling beyond pilots unlocks a USD 5.12T prize Demand drivers & restraints — impact on CAGR
percentage points
+2.8
Enterprise asset deployments scaling past pilots +2.4
AI-enabled edge analytics & digital twins +2.1
Private 5G & industrial connectivity investment
+1.9
Rising IoT security spending
+1.7
Government smart-infrastructure programs
+1.5
Ambient IoT & low-power connectivity (2028+)
−1.3
Fragmented connectivity standards −1.0
Data privacy & cross-border regulation
−0.8
Legacy OT integration cost
High-growth segments vs. 13.43% market CAGR
22.4%
20.3%
19.3%
19.0%
Marketplace sales channel
Digital Twin Software
IoT Security Services
Agriculture end-use
17.9%
17.4%
17.2%
13.43%
Connectivity Management
Government & Public buyers
IoT Edge Hardware
Overall market (benchmark)
Regional opportunity map HIGHEST PRIORITY
North America
Europe
Asia-Pacific
U.S. leads all countries at
Private 5G driver; privacy and
35% · 17.1%
~USD 0.49T; private 5G and
legacy-OT costs temper pace.
edge build-outs.
share 2025 · CAGR 2026–35
USD 0.65T in 2025. India is the fastest-growing country at 19.6% CAGR; manufacturing digitalization and government programs anchor
demand. Copyright © Next Move Strategy Consulting
Middle East & Africa
Global whitespace
Smart-infrastructure and
Edge computing, managed
modernization programs (+1.7
security, public-sector
pp).
contracts.
Source: NMSC IoT Market Report · 03
COMPETITIVE SCENARIO
A fragmented race won on platform breadth & domain depth
INDUSTRIAL DOMAIN DEPTH →
Competitive positioning matrix — 20 profiled players Industrial automation specialists
Integrated industrial leaders
Domain expertise embedded in equipment & software
Broad portfolios spanning OT, IT & digital twins
Connectivity & device players
Cloud & technology platforms
Managed connectivity, devices & fleet operations
Horizontal IoT platforms on cloud scale
HORIZONTAL PLATFORM BREADTH → STRUCTURE
Fragmented; no player holds majority share
Indicative placement based on NMSC competitive archetypes
FIVE FORCES
High rivalry & buyer power; moderate entry threat
INNOVATION FOCUS
AI edge analytics, digital twins, private 5G
Key strategies in play (2026) E X P A N S IO N
PARTNERSHIPS
PLATFORM & M&A
Edge platform launches
Ecosystem integration
Consolidation & scale
Aug 2026 · Emerson PACEdge
Jun 2026 · ABB Ability
May 2026 · AWS IoT Core adds
3.0 brings AI/ML to industrial
BuildingPro × Samsung
edge devices. Jun 2026 · Rockwell FactoryTalk
SmartThings Pro; pilots in DE,
direct point-to-point messaging. FY26 Q3 · Samsara ARR USD
ResilientEdge unifies edge & cloud intelligence. Investor read: IoT Edge
NL, DK. Jun 2026 · Huawei 5G-A IoT
1.75B, +29% revenue, first GAAP-
strategy targets chip-to-app
selective.
Hardware grows at 17.2%
ecosystem. Investor read: certified
CAGR, rewarding edge-first
interoperability is becoming a
vendors.
contract-winning
profitable quarter; M&A remains Investor read: capital is concentrating in AI-enabled platform providers.
requirement.
Copyright © Next Move Strategy Consulting
Source: NMSC IoT Market Report · 04
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