Global IoT Chips Market Size, Share & Trends Analysis Report By Hardware (Processor, Sensor, Connectivity IC, Memory Device, Logic Device and Others), By Vertical, By Regional Outlook and Forecast, 2024 - 2031

Global IoT Chips Market Size, Share & Trends Analysis Report By Hardware (Processor, Sensor, Connectivity IC, Memory Device, Logic Device and Others), By Vertical, By Regional Outlook and Forecast, 2024 - 2031


The Global IoT Chips Market size is expected to reach $1088.6 billion by 2031, rising at a market growth of 11.1% CAGR during the forecast period.

IoT chips play a crucial role in autonomous or self-driving vehicles by processing sensor data, running AI algorithms, and making real-time decisions to navigate the vehicle safely and efficiently. Consequently, the automotive segment would acquire nearly, 14% of the total market share by 2031. These chips power ADAS technologies that assist drivers in various aspects of vehicle operation, including lane-keeping assistance, adaptive cruise control, automatic emergency braking, and parking assistance.

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 April, 2024, Qualcomm Technologies unveiled new industrial and embedded AI platforms alongside a micro-power Wi-Fi SoC. The QCC730 Wi-Fi solution offers significant power savings for IoT products, while the RB3 Gen 2 Platform provides high-performance processing, on-device AI, and Wi-Fi 6E support for various applications like robots, drones, and connected cameras. The platform also integrates Qualcomm's AI Hub for optimized AI models. Moreover, in April, 2024, Infineon Technologies AG has unveiled its new PSOC Edge E8x MCU product family, designed to meet the highest certification level provided by the Platform Security Architecture (PSA) Certified program. The PSOC Edge E8x devices achieve PSA Certified Level 4 device certification by implementing an on-chip, hardware-isolated enclave for secured boot, key storage, and crypto operations. This robust embedded security certification ensures that IoT designers can develop edge applications with the highest levels of security, benefiting industries such as wearables, smart homes, printers, and payment terminals.

KBV Cardinal Matrix - IoT Chips Market Competition Analysis

Based on the Analysis presented in the KBV Cardinal matrix; Samsung Electronics Co., Ltd. is the forerunner in the Market. In June, 2021, Samsung Electronics unveiled a range of new chipsets, including the third-generation mmWave Radio Frequency Integrated Circuit (RFIC) chip, the second-generation 5G modem System-on-Chip (SoC), and the Digital Front End (DFE)-RFIC integrated chip. These chipsets, compliant with 3GPP Rel.16 standards, will power Samsung’s next-generation 5G solutions, such as the 5G Compact Macro, Massive MIMO radios, and baseband units. Companies such as Qualcomm Incorporated, STMicroelectronics N.V., MediaTek, Inc. are some of the key innovators in Market.

Market Growth Factors

The expansion of connected devices spans various industries and applications, including smart homes, smart cities, healthcare, manufacturing, agriculture, transportation, and retail. The rapid expansion of connected devices contributes to developing interconnected IoT ecosystems where devices, sensors, and platforms collaborate to gather and exchange data, automate processes, and enable intelligent decision-making. Therefore, the market is expanding significantly due to the rise in demand for connected devices.

Industry 4.0 fosters the adoption of smart manufacturing and automation technologies that leverage these chips to connect and control manufacturing equipment, robotics, and production systems. These chips embedded in sensors and connected devices enable continuous machine performance monitoring, detecting anomalies and deviations from normal operating conditions. Thus, because of the rapid expansion of Industry 4.0, the market is anticipated to increase significantly.

Market Restraining Factors

High deployment and maintenance costs can act as barriers to entry for SMEs looking to adopt IoT solutions. SMEs may lack the financial resources and expertise required to invest in costly IoT deployments, including hardware, software, integration, and ongoing maintenance. IoT solutions' total cost of ownership (TCO) encompasses deployment and maintenance costs and factors such as energy consumption, data storage, compliance, and scalability. Thus, high cost of deployment and maintenance can slow down the growth of the market.

By Hardware Analysis

On the basis of hardware, the market is segmented into processor, sensor, connectivity IC, memory device, logic device, and others. The sensor segment covered a 23% revenue share in the market in 2023. Sensors serve as the primary data source in IoT ecosystems, capturing information about the physical environment, including temperature, humidity, pressure, motion, light, sound, etc. These sensors convert physical parameters into electrical signals that these chips can process and analyze, forming the foundation of data-driven decision-making and automation in IoT applications.

By Vertical Analysis

By vertical, the market is bifurcated into automotive, BFSI, retail, healthcare, consumer electronics, industrial, and others. The retail segment acquired a 13% revenue share in the market in 2023. These chips enable deploying smart retail solutions that leverage connected devices, sensors, and data analytics to optimize various aspects of the retail environment. For example, according to Invest India, the retail industry will reach $2 Trillion by 2032. These solutions include smart shelves, RFID tags, inventory management systems, smart checkout counters, and personalized shopping experiences enabled by IoT-enabled devices like beacons and digital signage.

By Regional Analysis

Region-wise, the market is analysed across North America, Europe, Asia Pacific, and LAMEA. In 2023, the North America region led the market by generating 34% revenue share. North America is a hub for technological innovation, with leading semiconductor companies and IoT solution providers driving advancements in IoT chip technology. The smart home in North America is growing rapidly, fueled by the increasing popularity of smart home devices and home automation systems. The manufacturing sector in North America is embracing IIoT technologies to improve operational efficiency, optimize supply chain management, and enable predictive maintenance.

Market Competition and Attributes

The competition in the market is intense, driven by factors like technological advancements, demand for connected devices, and the need for energy-efficient solutions. Key players such as Intel, Qualcomm and MediaTek compete by innovating in areas like processing power, connectivity options, and AI capabilities to capture market share and meet diverse industry needs.

Recent Strategies Deployed in the Market
  • Apr-2024: Microchip Technology extended its partnership with TSMC, a prominent semiconductor foundry, to enable specialized 40nm manufacturing capacity at Japan Advanced Semiconductor Manufacturing, Inc. (JASM), TSMC’s majority-owned manufacturing subsidiary in Kumamoto Prefecture, Japan. This strategic move aligns with Microchip's efforts to enhance resiliency in its supply chain.
  • Feb-2024: Samsung Electronics Co., Ltd. teamed up with Arm, a British semiconductor company, to deliver the next-gen Arm Cortex-X CPU optimized on Samsung Foundry's latest GAA process tech. This partnership aims to reinvent 2nm GAA for data centers and AI chiplet solutions, advancing mobile computing with cutting-edge performance and efficiency, driven by deep design-technology co-optimization.
  • Feb-2024: NXP Semiconductors launched two new lines of low-cost and low-power microcontroller units (MCUs) as part of its MCX portfolio. The MCX A14x and A15x are the first MCU families in NXP's new A-class series, designed for intelligent edge applications in industrial IoT, smart homes, and smart cities.The MCX A14x operates at up to 48 MHz, while the MCX A15x operates at up to 96 MHz. They feature support for low-power peripheral sets, BLDC/PMSM motor control, and integrated sensor interfaces like MIPI-I3C, I2C, and SPI.
  • Nov-2023: Infineon Technologies AG introduced the PSoC 4000T family of microcontrollers (MCUs), offering advanced low-power capacitive sensing solutions with exceptional signal-to-noise ratio, liquid tolerance, and multi-sense capabilities. This new MCU family expands the PSoC 4 product line with Arm Cortex-M0+ based MCUs, featuring Infineon’s fifth generation CAPSENSE capacitive sensing technology.
  • Apr-2023: Intel Foundry Services (IFS) and Arm, a British semiconductor company, announced collaboration on building low-power compute system-on-chips (SoCs) using Intel's advanced 18A process technology. This collaboration would target mobile SoC designs initially and would later expand into various sectors like automotive, Internet of Things (IoT), data centers, aerospace, and government applications. This collaboration aligned with Intel's IDM 2.0 strategy, focusing on expanding global manufacturing capacity to meet the increasing demand for chips and offering a more balanced supply chain for foundry customers.
List of Key Companies Profiled
  • Samsung Electronics Co., Ltd. (Samsung Group)
  • STMicroelectronics N.V.
  • Analog Devices, Inc.
  • NXP Semiconductors N.V.
  • Qualcomm Incorporated (Qualcomm Technologies, Inc.)
  • Intel Corporation
  • MediaTek, Inc.
  • Texas Instruments, Inc.
  • Infineon Technologies AG
  • Microchip Technology Incorporated
Global IoT Chips Market Report Segmentation

By Hardware
  • Processor
  • Sensor
  • Connectivity IC
  • Memory Device
  • Logic Device
  • Others
By Vertical
  • Industrial
  • Consumer Electronics
  • Automotive
  • Healthcare
  • Retail
  • BFSI
  • Others
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
  • Australia
  • Malaysia
  • Rest of Asia Pacific
  • LAMEA
  • Brazil
  • Argentina
  • UAE
  • Saudi Arabia
  • South Africa
  • Nigeria
  • Rest of LAMEA


Chapter 1. Market Scope & Methodology
1.1 Market Definition
1.2 Objectives
1.3 Market Scope
1.4 Segmentation
1.4.1 Global IoT Chips Market, by Hardware
1.4.2 Global IoT Chips Market, by Vertical
1.4.3 Global IoT Chips Market, by Geography
1.5 Methodology for the research
Chapter 2. Market at a Glance
2.1 Key Highlights
Chapter 3. Market Overview
3.1 Introduction
3.1.1 Overview
3.1.1.1 Market Composition and Scenario
3.2 Key Factors Impacting the Market
3.2.1 Market Drivers
3.2.2 Market Restraints
3.2.3 Market Opportunities
3.2.4 Market Challenges
Chapter 4. Competition Analysis - Global
4.1 KBV Cardinal Matrix
4.2 Recent Industry Wide Strategic Developments
4.2.1 Partnerships, Collaborations and Agreements
4.2.2 Product Launches and Product Expansions
4.2.3 Acquisition and Mergers
4.3 Market Share Analysis, 2023
4.4 Top Winning Strategies
4.4.1 Key Leading Strategies: Percentage Distribution (2020-2024)
4.4.2 Key Strategic Move: (Product Launches and Product Expansions: 2021, Jun – 2024, Apr) Leading Players
4.5 Porter Five Forces Analysis
Chapter 5. Global IoT Chips Market by Hardware
5.1 Global Processor Market by Region
5.2 Global Sensor Market by Region
5.3 Global Connectivity IC Market by Region
5.4 Global Memory Device Market by Region
5.5 Global Logic Device Market by Region
5.6 Global Others Market by Region
Chapter 6. Global IoT Chips Market by Vertical
6.1 Global Industrial Market by Region
6.2 Global Consumer Electronics Market by Region
6.3 Global Automotive Market by Region
6.4 Global Healthcare Market by Region
6.5 Global Retail Market by Region
6.6 Global BFSI Market by Region
6.7 Global Others Market by Region
Chapter 7. Global IoT Chips Market by Region
7.1 North America IoT Chips Market
7.1.1 North America IoT Chips Market by Hardware
7.1.1.1 North America Processor Market by Country
7.1.1.2 North America Sensor Market by Country
7.1.1.3 North America Connectivity IC Market by Country
7.1.1.4 North America Memory Device Market by Country
7.1.1.5 North America Logic Device Market by Country
7.1.1.6 North America Others Market by Country
7.1.2 North America IoT Chips Market by Vertical
7.1.2.1 North America Industrial Market by Country
7.1.2.2 North America Consumer Electronics Market by Country
7.1.2.3 North America Automotive Market by Country
7.1.2.4 North America Healthcare Market by Country
7.1.2.5 North America Retail Market by Country
7.1.2.6 North America BFSI Market by Country
7.1.2.7 North America Others Market by Country
7.1.3 North America IoT Chips Market by Country
7.1.3.1 US IoT Chips Market
7.1.3.1.1 US IoT Chips Market by Hardware
7.1.3.1.2 US IoT Chips Market by Vertical
7.1.3.2 Canada IoT Chips Market
7.1.3.2.1 Canada IoT Chips Market by Hardware
7.1.3.2.2 Canada IoT Chips Market by Vertical
7.1.3.3 Mexico IoT Chips Market
7.1.3.3.1 Mexico IoT Chips Market by Hardware
7.1.3.3.2 Mexico IoT Chips Market by Vertical
7.1.3.4 Rest of North America IoT Chips Market
7.1.3.4.1 Rest of North America IoT Chips Market by Hardware
7.1.3.4.2 Rest of North America IoT Chips Market by Vertical
7.2 Europe IoT Chips Market
7.2.1 Europe IoT Chips Market by Hardware
7.2.1.1 Europe Processor Market by Country
7.2.1.2 Europe Sensor Market by Country
7.2.1.3 Europe Connectivity IC Market by Country
7.2.1.4 Europe Memory Device Market by Country
7.2.1.5 Europe Logic Device Market by Country
7.2.1.6 Europe Others Market by Country
7.2.2 Europe IoT Chips Market by Vertical
7.2.2.1 Europe Industrial Market by Country
7.2.2.2 Europe Consumer Electronics Market by Country
7.2.2.3 Europe Automotive Market by Country
7.2.2.4 Europe Healthcare Market by Country
7.2.2.5 Europe Retail Market by Country
7.2.2.6 Europe BFSI Market by Country
7.2.2.7 Europe Others Market by Country
7.2.3 Europe IoT Chips Market by Country
7.2.3.1 Germany IoT Chips Market
7.2.3.1.1 Germany IoT Chips Market by Hardware
7.2.3.1.2 Germany IoT Chips Market by Vertical
7.2.3.2 UK IoT Chips Market
7.2.3.2.1 UK IoT Chips Market by Hardware
7.2.3.2.2 UK IoT Chips Market by Vertical
7.2.3.3 France IoT Chips Market
7.2.3.3.1 France IoT Chips Market by Hardware
7.2.3.3.2 France IoT Chips Market by Vertical
7.2.3.4 Russia IoT Chips Market
7.2.3.4.1 Russia IoT Chips Market by Hardware
7.2.3.4.2 Russia IoT Chips Market by Vertical
7.2.3.5 Spain IoT Chips Market
7.2.3.5.1 Spain IoT Chips Market by Hardware
7.2.3.5.2 Spain IoT Chips Market by Vertical
7.2.3.6 Italy IoT Chips Market
7.2.3.6.1 Italy IoT Chips Market by Hardware
7.2.3.6.2 Italy IoT Chips Market by Vertical
7.2.3.7 Rest of Europe IoT Chips Market
7.2.3.7.1 Rest of Europe IoT Chips Market by Hardware
7.2.3.7.2 Rest of Europe IoT Chips Market by Vertical
7.3 Asia Pacific IoT Chips Market
7.3.1 Asia Pacific IoT Chips Market by Hardware
7.3.1.1 Asia Pacific Processor Market by Country
7.3.1.2 Asia Pacific Sensor Market by Country
7.3.1.3 Asia Pacific Connectivity IC Market by Country
7.3.1.4 Asia Pacific Memory Device Market by Country
7.3.1.5 Asia Pacific Logic Device Market by Country
7.3.1.6 Asia Pacific Others Market by Country
7.3.2 Asia Pacific IoT Chips Market by Vertical
7.3.2.1 Asia Pacific Industrial Market by Country
7.3.2.2 Asia Pacific Consumer Electronics Market by Country
7.3.2.3 Asia Pacific Automotive Market by Country
7.3.2.4 Asia Pacific Healthcare Market by Country
7.3.2.5 Asia Pacific Retail Market by Country
7.3.2.6 Asia Pacific BFSI Market by Country
7.3.2.7 Asia Pacific Others Market by Country
7.3.3 Asia Pacific IoT Chips Market by Country
7.3.3.1 China IoT Chips Market
7.3.3.1.1 China IoT Chips Market by Hardware
7.3.3.1.2 China IoT Chips Market by Vertical
7.3.3.2 Japan IoT Chips Market
7.3.3.2.1 Japan IoT Chips Market by Hardware
7.3.3.2.2 Japan IoT Chips Market by Vertical
7.3.3.3 India IoT Chips Market
7.3.3.3.1 India IoT Chips Market by Hardware
7.3.3.3.2 India IoT Chips Market by Vertical
7.3.3.4 South Korea IoT Chips Market
7.3.3.4.1 South Korea IoT Chips Market by Hardware
7.3.3.4.2 South Korea IoT Chips Market by Vertical
7.3.3.5 Australia IoT Chips Market
7.3.3.5.1 Australia IoT Chips Market by Hardware
7.3.3.5.2 Australia IoT Chips Market by Vertical
7.3.3.6 Malaysia IoT Chips Market
7.3.3.6.1 Malaysia IoT Chips Market by Hardware
7.3.3.6.2 Malaysia IoT Chips Market by Vertical
7.3.3.7 Rest of Asia Pacific IoT Chips Market
7.3.3.7.1 Rest of Asia Pacific IoT Chips Market by Hardware
7.3.3.7.2 Rest of Asia Pacific IoT Chips Market by Vertical
7.4 LAMEA IoT Chips Market
7.4.1 LAMEA IoT Chips Market by Hardware
7.4.1.1 LAMEA Processor Market by Country
7.4.1.2 LAMEA Sensor Market by Country
7.4.1.3 LAMEA Connectivity IC Market by Country
7.4.1.4 LAMEA Memory Device Market by Country
7.4.1.5 LAMEA Logic Device Market by Country
7.4.1.6 LAMEA Others Market by Country
7.4.2 LAMEA IoT Chips Market by Vertical
7.4.2.1 LAMEA Industrial Market by Country
7.4.2.2 LAMEA Consumer Electronics Market by Country
7.4.2.3 LAMEA Automotive Market by Country
7.4.2.4 LAMEA Healthcare Market by Country
7.4.2.5 LAMEA Retail Market by Country
7.4.2.6 LAMEA BFSI Market by Country
7.4.2.7 LAMEA Others Market by Country
7.4.3 LAMEA IoT Chips Market by Country
7.4.3.1 Brazil IoT Chips Market
7.4.3.1.1 Brazil IoT Chips Market by Hardware
7.4.3.1.2 Brazil IoT Chips Market by Vertical
7.4.3.2 Argentina IoT Chips Market
7.4.3.2.1 Argentina IoT Chips Market by Hardware
7.4.3.2.2 Argentina IoT Chips Market by Vertical
7.4.3.3 UAE IoT Chips Market
7.4.3.3.1 UAE IoT Chips Market by Hardware
7.4.3.3.2 UAE IoT Chips Market by Vertical
7.4.3.4 Saudi Arabia IoT Chips Market
7.4.3.4.1 Saudi Arabia IoT Chips Market by Hardware
7.4.3.4.2 Saudi Arabia IoT Chips Market by Vertical
7.4.3.5 South Africa IoT Chips Market
7.4.3.5.1 South Africa IoT Chips Market by Hardware
7.4.3.5.2 South Africa IoT Chips Market by Vertical
7.4.3.6 Nigeria IoT Chips Market
7.4.3.6.1 Nigeria IoT Chips Market by Hardware
7.4.3.6.2 Nigeria IoT Chips Market by Vertical
7.4.3.7 Rest of LAMEA IoT Chips Market
7.4.3.7.1 Rest of LAMEA IoT Chips Market by Hardware
7.4.3.7.2 Rest of LAMEA IoT Chips Market by Vertical
Chapter 8. Company Profiles
8.1 Analog Devices, Inc.
8.1.1 Company Overview
8.1.2 Financial Analysis
8.1.3 Regional Analysis
8.1.4 Research & Development Expenses
8.1.5 Recent strategies and developments:
8.1.5.1 Product Launches and Product Expansions:
8.1.6 SWOT Analysis
8.2 Qualcomm Incorporated (Qualcomm Technologies, Inc.)
8.2.1 Company Overview
8.2.2 Financial Analysis
8.2.3 Segmental and Regional Analysis
8.2.4 Research & Development Expense
8.2.5 Recent strategies and developments:
8.2.5.1 Product Launches and Product Expansions:
8.2.6 SWOT Analysis
8.3 NXP Semiconductors N.V.
8.3.1 Company Overview
8.3.2 Financial Analysis
8.3.3 Regional Analysis
8.3.4 Research & Development Expenses
8.3.5 Recent strategies and developments:
8.3.5.1 Product Launches and Product Expansions:
8.3.6 SWOT Analysis
8.4 Texas Instruments, Inc.
8.4.1 Company Overview
8.4.2 Financial Analysis
8.4.3 Segmental and Regional Analysis
8.4.4 Research & Development Expense
8.4.5 SWOT Analysis
8.5 Microchip Technology Incorporated
8.5.1 Company Overview
8.5.2 Financial Analysis
8.5.3 Segmental and Regional Analysis
8.5.4 Research & Development Expenses
8.5.5 Recent strategies and developments:
8.5.5.1 Partnerships, Collaborations, and Agreements:
8.5.6 SWOT Analysis
8.6 Infineon Technologies AG
8.6.1 Company Overview
8.6.2 Financial Analysis
8.6.3 Segmental and Regional Analysis
8.6.4 Research & Development Expense
8.6.5 Recent strategies and developments:
8.6.5.1 Product Launches and Product Expansions:
8.6.6 SWOT Analysis
8.7 Intel Corporation
8.7.1 Company Overview
8.7.2 Financial Analysis
8.7.3 Segmental and Regional Analysis
8.7.4 Research & Development Expenses
8.7.5 Recent strategies and developments:
8.7.5.1 Partnerships, Collaborations, and Agreements:
8.7.5.2 Product Launches and Product Expansions:
8.7.6 SWOT Analysis
8.8 STMicroelectronics N.V.
8.8.1 Company Overview
8.8.2 Financial Analysis
8.8.3 Segmental and Regional Analysis
8.8.4 Research & Development Expenses
8.8.5 Recent strategies and developments:
8.8.5.1 Partnerships, Collaborations, and Agreements:
8.8.5.2 Product Launches and Product Expansions:
8.8.5.3 Acquisition and Mergers:
8.8.6 SWOT Analysis
8.9 Samsung Electronics Co., Ltd. (Samsung Group)
8.9.1 Company Overview
8.9.2 Financial Analysis
8.9.3 Segmental and Regional Analysis
8.9.4 Research & Development Expenses
8.9.5 Recent strategies and developments:
8.9.5.1 Partnerships, Collaborations, and Agreements:
8.9.5.2 Product Launches and Product Expansions:
8.9.6 SWOT Analysis
8.10. MediaTek, Inc.
8.10.1 Company Overview
8.10.2 Financial Analysis
8.10.3 Regional Analysis
8.10.4 Research & Development Expenses
8.10.5 Recent strategies and developments:
8.10.5.1 Product Launches and Product Expansions:
8.10.6 SWOT Analysis
Chapter 9. Winning Imperatives for IoT Chips Market

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