Global Industrial Internet of Things Market Size, Share, and COVID-19 Impact Analysis, By Component (Hardware, Software, Services), By Vertical (Manufacturing, Energy & Power, Oil & Gas, Retail, Healthcare, Transportation & Others), and by Region (North America, Europe, Asia-Pacific, South America, Middle East and Africa) Analysis and Forecast 2023-2030

KEY MARKET INSIGHTS

The Industrial Internet of Things Market was valued at US$ 124.54 Bn in 2022 and is projected to reach US$ 429.39 Bn by 2030, at a CAGR of 17.21%. Industrial IoT (IIoT) combines the Internet of Things with a variety of industrial operations, including as automation, optimization, monitoring, maintenance, and networking. The IIoT enables industries and companies to improve their efficiency and dependability in their operations by focusing on machine-to-machine (M2M) connectivity, big data, and machine learning. Industrial applications, such as robotics, medical devices, and software-defined manufacturing processes, are included in the IIoT.

The IIoT is critical to how cyber-physical systems and production processes are set to develop with the help of big data and analytics in the context of Industry 4.0. Industrial equipment and infrastructures use real-time data from sensors and other sources to make judgments and develop insights and particular actions.

COVID-19 ANALYSIS

The global industrial internet of things market is negatively impacted with the outbreak of COVID-19. The industrial industry is experiencing enormous hurdles as the pandemic continues to spread across North America and developing Asian countries. Since the third quarter of 2020, the US car industry, which is one of the largest in the world, has been stagnant. Various automobile businesses have scaled back their production operations across the region, rendering technologies like IoT, AI, and Blockchain that were formerly used in their factories obsolete. Mexico is a major beneficiary of North America's automotive sector. However, the Mexican automotive industry has suffered considerable losses as a result of the significantly reduced manufacturing of automobiles.

LATEST TREND

Prevalence of Blockchain Technologies in Different Verticals

The key driving factor for this market is the prevalence of blockchain technologies into different verticals are likely to propel the growth of the global industrial internet of things market. One of the most significant factor of internet technology is data management. Internet-connected gadgets amass massive amounts of data and information that must be processed. The internet of things standard security gateway, on the other hand, poses a slew of security and privacy concerns. The blockchain-based architecture enables basic and decentralized security solutions for connected devices.

DRIVING FACTORS

Surging Urbanization and Industrialization Around the World

Expanding urbanization and industrialization, as well as increased power generation capacity, are all driving expansion in this market. Rising urbanization and digitalization across emerging countries is creating demand of uninsulated conductor. High performance gigabit processing speeds at low voltages are required to enable mass amounts of data to be handled. Due to these factors, the global industrial internet of things market is growing.

Growing Adoption of IoT to Manufacture Mass Products

The rise of the connected enterprise is propelling the global industrial internet of things market. For improved production activities, efficient information exchange between different units in industries is critical. With the use of IoT and IP networks, it allows manufacturers to better comprehend the process of converting raw materials into completed commodities. IoT-enabled systems can be used to track field instruments, ensure appropriate raw material flow, keep track of inventory status, and report items as they move through the supply chain.

RESTRAINTS

Concerns Pertaining to High Maintenance Cost of Industrial Internet of Things May Hinder the Market Growth

The industrial control & factory automations are more expensive than traditional machines are anticipated to restrict the growth of the global industrial internet of things market during the forecast period. Industrial solutions have a higher manufacturing cost and require more upkeep which has resulted in increasing prices. Nonetheless, the demand for maintaining and updating industrial control and factory automation systems and solutions follows the initial capital investments. High capital re-investments are required to maintain and upgrade industrial control and factory automation systems and solutions. As a result, the necessity for large initial investments and maintenance re-investments limit the growth of the industrial control and factory automation market is limiting the growth of the global industrial internet of things market.

SEGMENTATION

The global industrial internet of things market is segmented by Component (Hardware, Software, Services), by Vertical (Manufacturing, Energy & Power, Oil & Gas, Retail, Healthcare, Transportation & Others) and region. Based on the component, the market is categorized into Hardware, Software, Services. Based on vertical, the market is categorized into manufacturing, energy & power, oil & gas, retail, healthcare, transportation & others. Based on the region, the market is categorized into North America, Europe, Asia-Pacific, South America, Middle East and Africa.

Component Insights

Based on the component segment, the global industrial internet of things market is categorized into hardware, software and services. The software segment accounted largest market share in 2020 due to the increasing adoption of solutions among the enterprises. Solution providers are putting a heavy emphasis on the launch of novel information systems for various sectors and industrial verticals. They're also concentrating on integrating sensors and other systems into critical equipment in order to track real-time data and improve operating efficiency. Manufacturing companies should be able to automate their complicated manufacturing processes while maintaining effective monitoring with the use of such technologies.

The services segment is anticipated to register a significant growth rate over the forecast period owing to significant increase in the number of connected gadgets that generate massive amounts of data. At the moment, IIoT applications rely on centralized cloud services to manage overall processes and data flow. Edge computing will also change the industry by providing real-time analytical mechanisms and solutions for decentralizing transactions and storage across the network.

Vertical Insights

Based on the vertical segment, the global industrial internet of things market is categorized into manufacturing, energy & power, oil & gas, retail, healthcare, transportation & others. The manufacturing segment accounted largest market share in 2020 due to the rapidly adopting digital manufacturing technologies, and the Internet of Things (IIoT) plays a critical role in these cutting-edge technologies. The market is expected to develop significantly in the near future, owing to the strategic partnerships and alliances that stakeholders are forming, as well as the growing demand for a linked supply chain to provide flexibility, operational efficacy, and regulatory compliance.

The transportation segment is anticipated to register a significant growth rate over the forecast period owing to strong focus over logistics and transportation businesses as they are placing different improving asset management and, as a result, on the implementation of smart transportation, can be linked to the rise. Traditionally, the logistics industry has relied on RFID tags, which are being phased out in favour of internet-connected trackers that can support a wide range of functions. Modern alternatives, such as Bluetooth tags and beacons, are also becoming more widely adopted. These types of solutions allow data to be tracked in smaller, more constrained regions, but they can also help to improve operational management.

REGIONAL INSIGHTS

The global industrial internet of things market is categorized into North America, Europe, Asia-Pacific, Latin America, Middle East and Africa. North America is expected to dominate the market share of global industrial internet of things market owing to the early adopter of IIoT and has evolved into an innovation hotspot. Canada has also seen tremendous development, owing to government attempts to stimulate the adoption of IIoT solutions in the country. Increasing integration of multiple connected smart devices, fast digitalization across the IoT industry's verticals, and technological breakthroughs have all contributed to the IoT industry's growing demand in the North American region.

However, Asia Pacific is anticipated to emerge as the fastest-growing region over the forecast period. Advanced factory automation systems are becoming increasingly popular in the region, particularly in Japan, China, and Taiwan. Manufacturing companies all around the region are gradually seeing the advantages of implementing robot arm technology. China is on track to become a precision manufacturing hub by 2027, thanks to government policies like "Made in China 2025," which prioritise the development of advanced automation technology in the region. Simultaneously, numerous venture capitalists around the region are supporting IIoT-based companies in order to promote technological advancements in industrial IoT. SwitchOn, an AI-powered IIoT platform developed by India's The Abee Research Labs Pvt. Ltd., received a USD 1 million investment from venture capitalist pi Ventures in June 2019.

LIST OF KEY COMPANIES PROFILED:

· Schneider Electric

· IBM Corporation

· Cisco

· Siemens

· GE

· Microsoft

· Intel Corporation

· Rockwell Automation, Inc.

· ABB

· Texas Instruments Inc.

· Dassault Systèmes

· Honeywell International Inc.

· Huawei Technology Co., Ltd.

· Others

KEY INDUSTRY DEVELOPMENTS:

April 2021- Intel has made a strategic move by getting partnered with John Deere by offering AI technology to develop an integrated, end-to-end system of hardware and software that can generate insights in real time at the edge, at levels beyond the human sense’s capability. When using a neural network-based inference engine.

February 2021- Cisco has partnered with Newark to provide IIoT network solutions for harsh and non-carpeted environments to customers across North America.

SEGMENTATION

By Component

• Hardware
• Software
• Services

By Vertical

• Manufacturing
• Energy & Power
• Oil & Gas
• Retail
• Healthcare
• Transportation
• Others

By Region

• North America- U.S., Mexico, Canada
• Europe- UK, France, Germany, Italy
• Asia-Pacific- China, Japan, India
• Latin America- Brazil, Argentina, Colombia
• The Middle East and Africa- United Arab Emirates, Saudi Arabia