The global industrial internet of things market size is expected to reach USD 949.42 billion by 2025, according to a new report by Grand View Research, Inc. It is projected to expand at a CAGR of 29.4% during the forecast period. Rising demand for machine-to-machine systems, the need to contextualize the Operation Technology (OT) data, and preference for predictive maintenance are the factors anticipated to drive the Industrial IoT market growth.
Having realized that IIoT can help in drastically improving functional efficacies, several companies across the globe are implementing predictive maintenance techniques based on smart sensors and compatible software. Predictive maintenance can particularly aid in limiting the equipment downtime and improving the safety factor.
The plummeting prices of sensors and data analytics software are also encouraging enterprises to adopt IIoT. As such, growing focus on investing in digital literacy rather than in infrastructure and the subsequent growth in investments in the adoption of advanced analytics tools is turning out to be another emerging trend among manufacturing entities.
The IIoT market continues to evolve in line with the rising preference for cloud integration coupled with the continued adoption of state-of-the-art data analytics tools and smart sensors for facility and inventory management and optimization of logistics and supply chain using smart metering. The IIoT market for agriculture end use is expected to witness considerable growth as the use of IIoT for applications, such as managing of water and soil, operating drones for field monitoring, livestock monitoring, precision farming, and managing smart greenhouses, gains tractions. However, concerns over security, technology integration, and asset-level visibility are some of the factors expected to the restraint the market growth over the forecast period.
Further key findings from the report suggest:
- Businesses are increasingly leveraging the benefits of IIoT solutions to control costs, improve the overall quality, and gain economies of scale by enhancing their data analytics using predictive maintenance
- Managed IIoT services segment is projected to witness significant growth over the forecast period as the implementation of IoT technology needs an amalgamation of managed IIoT services at every layer of the IIoT ecosystem
- Asia Pacific is expected to outgrow North America industrial IoT market and emerge as the highest revenue-generating region owing to the government investments and initiatives to encourage the implementation of IIoT in the region
- Companies involved in manufacturing and industrial operations are seeking to connect their SCADA, HMI, and control networks to higher-level enterprise systems, which is expected to increase the adoption of IIoT solutions among these companies