The global 5G IoT market size accounted for USD 7.78 billion in 2024, grew to USD 11.69 billion in 2025 and is predicted to surpass around USD 455.67 billion by 2034, representing a healthy CAGR of 50.23% between 2024 and 2034.
The global 5G IoT market size is estimated at USD 7.78 billion in 2024 and is anticipated to reach around USD 455.67 billion by 2034, expanding at a CAGR of 50.23% from 2024 to 2034.
The Asia Pacific 5G IoT market size is evaluated at USD 3.03 billion in 2024 and is predicted to be worth around USD 179.99 billion by 2034, rising at a CAGR of 50.41% from 2024 to 2034.
The highest market share and dominant position in the 5G IoT market belongs to North America during the forecast period. This region includes U.S. and Canada. Growth of the market in this region is mainly attributed to strong industrial, logistics, and transportation sectors; growing need for faster connectivity; and technological innovations in the energy and telecommunication sectors. Also, increasing wireless 5G connections in the region is further projected to boost North America market. For instance, according to data from Omdia, North America accounted for a total of 44.6 million 5G connections by the end of second quarter of 2021, which is 67% quarter over quarter growth as compared to previous year.
In addition, this region is a home to leading 5G IoT industry leaders and has consequently witnessed comparatively higher R&D investment. This factor is expected to create lucrative growth opportunities for the 5G IoT market.
Asia-Pacific is considered as highest growing region in 5G IoT market. This region includes China, India, Japan, South Korea, and rest of the world. Ongoing investments in infrastructure in Asia-Pacific countries is boosting deployment trend of 4G and 5G networks. This has further led to the increased implementation of the 5G IoT services in the region. For instance, according to the data from the China Academy of Information and Communications Technology (CAICT), the country is expected to invest about $215 billion in the 5G network infrastructure by 2025. On the other hand, the number of 5G subscriptions are growing at rapid pace in this region. This is opportunistic for growth of Asia-pacific 5G IoT market. For instance, as per the Ericsson AB’s latest Mobility Report, Asia Pacific is anticipated to be the one of the fastest growing region with about 10% of all subscriptions being 5G in 2023.
Furthermore, reduced prices for powerful sensors and controllers, increased connectivity, increased internet penetration, government initiatives associated with smart cities, and increased government spending on 5G technology in the region is projected to boost 5G IoT market.
5G is seeing rapid applications in a number of industries such as manufacturing, energy & utilities, healthcare, automobile sector, transportation, and in agriculture sector among others to boost business profitability and efficiency. In current times, this technology is helping to enable more stable, faster, and significantly secured connectivity to ensure advancement across a number of applications such as self-driving vehicles, AI-enabled robots on factory floors, and smart grids for renewable energy among others. Moreover, it is rapidly progressing in terms of meeting the diverse IoT use cases and requirements. For instance, according to various reports, 5G is anticipated to be around 10 times faster as compared with present LTE networks. This high speed of 5G is projected to help IoT devices in considerably faster data sharing and communication.
A commercial success of IoT devices is linked with its performance. Hence, 5G IoT is projected to be an essential trend in global IoT industry to meet requirements associated with a performance of IoT devices. 5G is enabling end users to remotely control more IoT devices in applications where real-time network performance is very critical. Such applications include, remote surgery and remote control of heavy machinery in a harmful environment, thus improving worker safety. For instance, as per the recent survey by Ericsson, 73% of healthcare executives expect that the 5G IoT will enable them to implement new products and services to enhance quality of life for the worldwide public.
The development of Industry 4.0 is one of the major contributors to global 5G IoT market. Under this revolution, manufacturers are actively incorporating innovative technologies, such as IoT, AI & machine learning, and cloud computing & analytics into their production facilities and operations. This has created demand for low latency and higher speeds of 5G technology for effective usage of wearables, automatic robots, and virtual reality (VR) headsets. 5G has considerably accelerated the IoT and given an additional boost to the industrial revolution 4.0. For instance, according to the studies, about 35% of manufacturers in U.S. uses data from smart sensors within their set-ups. In addition, the number of IoT devices has become comparatively higher than the number of actual human users of the Internet. For instance, according to the Bosch, there will over 70 billion connected devices around the globe by 2025, most of them are projected to be in use in industrial applications. This growth of the IoT devices is boosting growth of the global 5G IoT market.
Moreover, 5G technology has become a critical factor for the competitiveness among enterprises. Hence, there is an emerging need for large enterprise and well as SMEs to have access to 5G technology in support of their growth and ability to scale rapidly. This has led to the increased investment in this technology bu global organizations a greater speed in the transmissions, a lower latency, the possibility of implementing virtual networks (network slicing), greater capacity of remote execution, and a greater number of connected devices.
On the other hand, 5G IoT trend in healthcare sector is expected to create lucrative growth opportunities for the global market. There is an emerging usage of artificial intelligence (AI) and health-related IoT devices to monitor patients and making the recommendations related to the treatment of disease. Also, in past few years, healthcare sector is seeing an upsurge in use of wearable technologies including health trackers and other portable health monitoring devices. Such technologies are helping in predictive diagnostics, emergency health preparedness, and telemedicine. Furthermore, healthcare organizations are actively moving towards 5G and IoT technologies under their digital transformation plans. For instance, in January 2022, Proximie, is a global health technology platform focused on digitization of operating & diagnostic rooms partnered with Vodafone for 5G and IoT powered healthcare. Under this partnership, Vodafone is expected to help Proximie in acceleration of its expansion plans to provide 5G, IoT, and edge computing infrastructure.
| Report Coverage | Details |
| Market Size in 2024 | USD 7.78 Billion |
| Market Size by 2034 | USD 455.67 Billion |
| Growth Rate from 2024 to 2034 | CAGR of 50.23% |
| Base Year | 2023 |
| Forecast Period | 2024 to 2034 |
| Segments Covered | Components, Enterprise Size, Network Type, End User, and Geography |
Depending upon the component, the hardware segment is the dominant player and is anticipated to have the biggest impact on 5G IoT market. This segment includes 5G modules, sensors, gateways, and chips associated with the 5G IoT infrastructure. The integration of 5G technology with IoT hardware enables wireless network of IoT hardware to achieve high bandwidth, low latency, and faster data transmission. Hence, ongoing demand for 5G IoT and associated 5G IoT modules is primarily boosting growth of this segment.
Both of the module and components providers in global market are investing in research and development (R&D) and introducing innovative hardware solutions. This factor is opportunistic for growth of the hardware segment. For instance, in October 2021, Arm, the UK-based company specialized in designing of the architecture, announced the introduction of novel chip design offerings across the internet of things (IoT), 5G, and virtual hardware sectors. This launch includes, Arm Total Solutions for IoT which is projected to considerably accelerate development and return-on-investment (ROI) for IoT chip products.
Depending upon the end user, the manufacturing segment has dominated the 5G IoT market in 2023. In manufacturing sector, conjunction of 5G and IoT has provided manufacturers with an enhanced agility and flexibility in their digital transformation journey. Also, it has helped them accomplish their Industry 4.0 vision and ensure a superior customer satisfaction coupled with an increased ROI. Therefore, growing adoption of 5G IoT in global manufacturing industry is boosting growth of this segment.
Digitization and advancement of manufacturing ecosystem and processes with the help of 5G IoT is anticipated to create more efficient, flexible, and sustainable production lines. This has led to the development of smart factories. Such factories are aimed at creating a fully connected experience, enabling a number of manufacturing companies to realize benefits such as performance improvements, increased safety, and operational efficiencies.
Furthermore, introduction of various initiatives aimed at implementation of 5G IoT across the manufacturing industry is opportunistic for growth of the market. For instance, in January 2022, GSMA and 5G Alliance for Connected Industries and Automation (5G-ACIA) signed a MoU for collaboration on industrial manufacturing needs as well as service requirements. Under this agreement, GSMA and 5G-ACIA are projected to promote, collaborate, and advance an understanding of industrial 5G deployment considerations, such as networks, infrastructure options, devices, applications, and deployment models.
By Components
By Enterprise Size
By Network Type
By End User
By Geography
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