Global Cellular IoT Market Size, Share & Trends Analysis Report By End Use, By Component (Hardware and Software), By Technology (4G, 5G, 3G, and 2G), By Regional Outlook and Forecast, 2024 - 2031

Global Cellular IoT Market Size, Share & Trends Analysis Report By End Use, By Component (Hardware and Software), By Technology (4G, 5G, 3G, and 2G), By Regional Outlook and Forecast, 2024 - 2031

The Global Cellular IoT Market size is expected to reach $32.56 billion by 2031, rising at a market growth of 25.1% CAGR during the forecast period.

The Europe region witnessed 34% revenue share in the market in 2023. Europe has been a key player in adopting and implementing IoT technologies, driven by advancements in sectors such as automotive, healthcare, energy, and smart cities. The region’s commitment to sustainable development and regulatory frameworks supporting digital innovation has bolstered the growth of IoT solutions. Additionally, the deployment of 5G networks and the European Union’s initiatives to enhance digital connectivity have fuelled the demand for these technologies in the region.

The major strategies followed by the market participants are Product Launches as the key developmental strategy to keep pace with the changing demands of end users. For instance, In December, 2024, Vodafone Group Plc Unveiled an AI-powered anomaly detection tool that uses machine learning to identify service issues in near real-time. This proactive tool enhances IoT service reliability, improving network availability and reducing fault detection time. Moreover, In November, 2024, AT&T Inc. and Simetric unveiled the IoT Console Single Pane of Glass, a cloud-based service that simplifies managing IoT devices across global carriers. It integrates data from multiple platforms, offering a unified view, real-time monitoring, and automation to optimize operations, reduce costs, and enhance device management for businesses worldwide.

KBV Cardinal Matrix - Cellular IoT Market Competition Analysis

Based on the Analysis presented in the KBV Cardinal matrix; Microsoft Corporation is the forerunner in the Cellular IoT Market. Companies such as AT&T Inc., Huawei Technologies Co., Ltd., and Samsung Electronics Co., Ltd. are some of the key innovators in Cellular IoT Market. In October, 2024, AT&T Inc. Unveiled an industry-first integrated gateway combining fiber and 5G networks in a single device, offering seamless failover between fiber and wireless in case of an outage. Available to new AT&T Business Fiber customers with 1 Gbps or higher speeds, the solution ensures continuous, reliable connectivity for businesses.

Market Growth Factors

The deployment of 5G networks is a major catalyst for the growth of this market. Unlike 4G, 5G provides ultra-low latency, high data transfer speeds, and the ability to connect many devices simultaneously. This advancement in connectivity infrastructure allows for seamless communication between IoT devices, which is critical for industries like healthcare, transportation, and manufacturing. Thus, the expansion of 5G networks, which enables faster IoT deployments, is driving the market's growth.

Additionally, The demand for connected devices is one of the most powerful drivers of this market. As industries across the board—healthcare, agriculture, retail, or logistics—adopt IoT technologies, the need for reliable cellular connectivity increases. For instance, IoT-powered precision farming technologies enable farmers to monitor soil moisture, track weather patterns, and optimize crop yields in agriculture. In conclusion, rising demand for connected devices across industries propels the market's growth.

Market Restraining Factors

However, One of the major barriers to the widespread adoption of these technologies is the high cost associated with infrastructure deployment. Setting up the required network infrastructure, such as base stations, cell towers, and backhaul networks, is capital-intensive. In addition, cellular IoT devices often require specialized hardware and software, which increases the cost of deployment for businesses looking to implement IoT solutions. In conclusion, the high costs of cellular IoT infrastructure and deployment are hampering the market's growth.

The leading players in the market are competing with diverse innovative offerings to remain competitive in the market. The above illustration shows the percentage of revenue shared by some of the leading companies in the market. The leading players of the market are adopting various strategies in order to cater demand coming from the different industries. The key developmental strategies in the market are Product Launches and Product Expansions.

End Use Outlook

Based on end use, this market is categorized into agriculture, automotive & transportation, consumer electronics, energy, environment monitoring, healthcare, retail, smart cities, and others. In 2023, the healthcare segment registered 17% revenue share in this market. The adoption of connected healthcare devices, such as remote patient monitoring systems, wearable health trackers, and IoT-based diagnostic tools, has transformed patient care delivery. These technologies enable real-time health data collection, predictive analytics, and improved decision-making, which are critical in managing chronic diseases and emergency care.

Component Outlook

Based on component, this market is divided into hardware and software. The software segment held 43% revenue share in this market in 2023. Software solutions are key in managing, analyzing, and optimizing data transmitted through these devices. These include application platforms, network management tools, and security software that enable real-time data processing, device monitoring, and data analytics.

Technology Outlook

On the basis of technology, this market is segmented into 2G, 3G, 4G, and 5G. In 2023, the 5G segment attained 20% revenue share in this market. The introduction of 5G technology offers significant improvements over previous generations, such as ultra-low latency, faster data speeds, and the ability to support a higher density of connected devices. These capabilities are particularly beneficial for IoT applications requiring real-time data transmission, such as autonomous vehicles, healthcare monitoring, and industrial automation.

Regional Outlook

Region-wise, the market is analyzed across North America, Europe, Asia Pacific, and LAMEA. The North America region generated 31% revenue share in the market in 2023. North America’s strong technological infrastructure, widespread internet connectivity, and high rate of IoT adoption in industries such as transportation, healthcare, and energy have contributed to its significant share. The region benefits from a favorable business environment and continuous investment in IoT solutions, including smart devices and network connectivity, reinforcing its position as a cellular IoT market leader.

Market Competition and Attributes

The competition in the Cellular IoT market remains dynamic with numerous regional and niche companies driving innovation. These smaller firms focus on specialized applications, cost-effective solutions, and emerging markets. Competition is fueled by technological advancements, regulatory compliance, and partnerships with telecom providers. Differentiation through tailored IoT solutions and industry-specific applications is crucial for market positioning.

Recent Strategies Deployed in the Market

• Nov-2024: Cisco Systems, Inc. teamed up with NTT DATA, an information technology company to provide simplified, secure 5G connectivity for global enterprises. By leveraging Cisco's eSIM technology and NTT DATA’s Transatel LTE-5G network, businesses can activate and manage mobile branches worldwide, ensuring seamless connectivity across 180 countries. This collaboration enhances enterprise digital services, offering industries like retail, finance, and manufacturing flexible, cost-effective, and resilient connectivity solutions.
• Nov-2024: Cisco Systems, Inc. teamed up with Tele2, a mobile network provider, to enhance IoT connectivity management. They focused on the Cisco IoT Control Center, a platform that simplifies device onboarding, provisioning, and management. Their collaboration spans industries like transportation, cold chain management, and environmental monitoring, including groundbreaking solutions such as the autonomous electric ferry in Stockholm and innovations to monitor honeybees.
• Nov-2024: AT&T Inc. teamed up with Voltpost, an electrical equipment supplier to provide IoT connectivity to lampposts in Michigan, enhancing EV charging infrastructure. This collaboration aims to improve charger performance and ensure reliable access for drivers.
• Nov-2024: Vodafone Group Plc teamed up with Oracle Corporation to integrate global IoT connectivity into Oracle's Enterprise Communications Platform (ECP). This collaboration provides customers with secure, real-time communications and compliance with local regulations in over 180 countries, enhancing IoT device management and enabling industry-specific applications across various sectors.
• Oct-2024: Huawei Technologies Co., Ltd. Unveiled its 5G-AA solutions, designed to support the Mobile AI era. These solutions enhance network capabilities through advanced radio, site digitalization, and L4 network autonomy.

List of Key Companies Profiled

• Cisco Systems, Inc.
• Semtech Corporation
• Microsoft Corporation
• Huawei Technologies Co., Ltd. (Huawei Investment & Holding Co., Ltd.)
• AT&T Inc.
• Ericsson AB
• Qualcomm Incorporated (Qualcomm Technologies, Inc.)
• Vodafone Group Plc
• PTC Inc.
• Samsung Electronics Co., Ltd. (Samsung Group)

Global Cellular IoT Market Report Segmentation

By End Use

• Automotive & Transportation
• Healthcare
• Agriculture
• Consumer Electronics
• Energy
• Smart Cities
• Environment Monitoring
• Retail
• Other End Use

By Component

• Hardware
• Software

By Technology

• 4G
• 5G
• 3G
• 2G

By Geography

• North America
• US
• Canada
• Mexico
• Rest of North America
• Europe
• Germany
• UK
• France
• Russia
• Spain
• Italy
• Rest of Europe
• Asia Pacific
• China
• Japan
• India
• South Korea
• Singapore
• Malaysia
• Rest of Asia Pacific
• LAMEA
• Brazil
• Argentina
• UAE
• Saudi Arabia
• South Africa
• Nigeria
• Rest of LAMEA