The Global Cellular IoT Gateway Market – 6th Edition

The Global Cellular IoT Gateway Market – 6th Edition

The Global Cellular IoT Gateway Market analyses the latest developments on the cellular router, gateway and modem market. This strategic research report from Berg Insight provides you with more than 115 pages of unique business intelligence including 5-year industry forecasts and expert commentary on which to base your business decisions.

The Global Cellular IoT Gateway Market – 6th Edition

Cellular IoT gateways are standalone devices that provide primary or backup cellular connectivityto devices in a local network. For the purpose of this report, Berg Insight defines cellular IoTgateways as general-purpose cellular routers, gateways and modems that are enclosed in achassis with external power supply, no display and at least one input/output port. The productcategory has evolved over the past decades from simple networking devices to aggregationpoints for devices, implementing advanced functionality for security and edge computing.

The cellular IoT gateway market is driven by the growing need to connect assets and work forcesin remote and temporary locations as enterprises digitalise their operations. Annual shipmentsamounted to 4.5 million units in 2021, generating annual revenues of US$ 1.1 billion, an increaseof 14 percent from the previous year. The Americas is the largest regional market, accountingfor about US$ 582 million. The average selling price in the region is significantly higher comparedto other markets, primarily due to a higher share of feature-rich, high-speed 4G LTE and 5Gdevices in the product mix. The market value of the European and Asia-Pacific regions accountedfor US$ 309 million and US$ 222 million respectively. Berg Insight forecasts that the market willgrow at a CAGR of 13.6 percent in the next five years to reach US$ 2.2 billion in 2026.

Berg Insight ranks US-based Cradlepoint as the market leader with an estimated US$ 290 million in annual revenues from IoT gateway sales (adjusted for comparability due to the company’s subscription model). Teltonika Networks is the second largest provider with US$ 95 million in annual revenues. Top players further include Cisco, Sierra Wireless and Digi International, which generated an estimated US$ 90 million, US$ 85 million and US$ 65 million respectively. The top five vendors held a combined market share of about 54 percent.

Other vendors with significant presence on the cellular IoT gateway market are InHand Networks, Peplink, Hongdian, HMS Networks and Robustel. All of the top ten cellular IoT gateway vendors shipped more than 100,000 devices in the year. Notable vendors further include MultiTech, Lantronix, Systech, Casa Systems in North America; Advantech, Four-Faith, Milesight and Moxa in the Asia-Pacific region; and NetModule, Matrix Electrónica, Westermo, RAD, Eurotech, Thales and Option in the EMEA region.

Though many distributed enterprises are already taking advantage of the fast deployment time and ease of use of cellular solutions, Berg Insight believes that the trend will accelerate in the 5G era. As the cost per GB decreases, 5G connectivity will become an increasingly attractive alternative to fixed broadband and over time reach a level in which the monthly fee is comparable to a fixed broadband subscription, thereby expanding the market for cellular routers, gateways and modems.