The Global Internet of Things (IoT) and Machine-to-Machine (M2M) Communications Market Size accounted for USD 70.1 Billion in 2023 and is estimated to achieve a market size of USD 127.4 Billion by 2032 growing at a CAGR of 6.9% from 2024 to 2032.

Internet of Things (IoT) and Machine-to-Machine (M2M) Communications Market Highlights

• The global internet of things (IoT) and machine-to-machine (M2M) communications industry is projected to reach USD 127.4 billion by 2032, growing at a CAGR of 6.9% from 2024 to 2032
• In 2023, North America's IoT and M2M communications market was valued at approximately USD 25.24 billion
• The Asia-Pacific IoT and M2M communications market is expected to expand at a CAGR of over 7.6% from 2024 to 2032
• The hardware segment accounted for 52% of the total market share in 2023 among all components
• Energy-efficient IoT solutions gaining traction is the internet of things (IoT) and machine-to-machine (M2M) communications market trend that fuels the industry demand

The internet of things (IoT) and machine-to-machine (M2M) communication provide a common solution, namely remote device access. However, the procedure of gaining remote device access distinguishes the two systems. For example, traditional M2M solutions rely on point-to-point communications via implanted hardware modules and either wired or cellular networks, whereas IoT solutions rely on IP-based networks to connect device data to a middleware or cloud platform. In addition, an Internet connection is not required for M2M communications. In contrast, IoT requires an Internet connection in most circumstances. In terms of integration choices, M2M communication has restricted integration options due to the necessity for relevant communication standards, but IoT provides unlimited integration opportunities, however, it requires a solution capable of managing all communications.

NtiPrit states that M2M/IoT is the next big global trend, with significant ongoing developments. It has the potential to bridge India's digital divide and enhance infrastructure projects. Applications in transport, power, utilities, logistics, health, shipping, and smart cities will drive continuous sustainable growth.

Global Internet of Things (IoT) and Machine-to-Machine (M2M) Communications Market Dynamics

Market Drivers

• Widespread adoption of smart technologies across industries
• Growth of 5G and LPWAN enhances connectivity
• Cost reductions in IoT hardware

Market Restraints

• Data security and privacy concerns
• High initial deployment costs
• Lack of universal standards hinders device communication

Market Opportunities

• IoT adoption in Asia-Pacific and Latin America offers untapped potential
• Integration with AI and analytics enhances decision-making and predictive insights
• Government investments drive urban IoT infrastructure

Internet of Things (IoT) and Machine-to-Machine (M2M) Communications Market Report Coverage

Internet of Things (IoT) and Machine-to-Machine (M2M) Communications Market Insights

The global need for IoT and M2M communications is increasing in tandem with the growth of wireless networks, cloud applications, and sensors. For instance, Wireless Infrastructure Association (WIA), states that by the end of 2022, more than 8.5 million households will use fixed wireless access as their primary means of in-home broadband connectivity. The top two wireless providers added an incredible 900,000 new U.S, subscribers in Q3 alone, with T-Mobile doubling its total number of internet customers in only six months. US cellular is doubling its FWA subscriber base every 18 months. These aspects rely heavily on increased connection as well as government backing. IoT and M2M communications are increasing the connection of devices and objects. This is due to the optimization of big data and cloud computing. These technology advances contribute to the backend processing and analytics required to manage communication strategies.

The adoption of IoT and M2M communications is being driven by numerous industry verticals due to the benefits provided by these technologies, such as identification and tracking, monitoring, business analysis, integral control, efficient process and service, and timely response. Furthermore, an intelligent communication network enables the seamless integration of data and information, hence accelerating the growth of the, IoT and M2M communications market. For example, the National Institute of Health (NIH) believes that the development of advanced 6G networks can considerably improve the speed, security, and quality of communication services, especially in difficult or hazardous conditions. By combining cutting-edge technology, 6G networks enable the seamless integration of data and information, boosting the growth of internet of things and machine-to-machine communications market by providing unparalleled performance and dependability for a wide range of applications. However, a lack of educated professionals, privacy and security concerns, the ultimate demise of 2G technology, and government regulations are just a few of the obstacles impeding the growth of the IoT and M2M communications market.

According to the Press Information Bureau (PIB), the Department of Telecommunications (DoT) has expanded M2M and WPAN/WLAN registration to include all organizations operating in these activities. Companies, government organizations, institutions, and other entities that offer M2M services or WPAN/WLAN connectivity are encouraged to register through the SaralSanchar website. This decision will simplify the regulatory procedure, promoting more participation in the M2M and IoT sectors and, eventually, boosting the growth of the IoT and M2M communications market by allowing for greater connection and service availability.

Internet of Things (IoT) and Machine-to-Machine (M2M) Communications Market Segmentation

The worldwide market for internet of things (IoT) and machine-to-machine (M2M) communications containers is split based on component, connectivity technology, deployment mode, application, and geography.

Internet of Things (IoT) and Machine-to-Machine (M2M) Communications Market By Component

·         Hardware

o   Sensors

o   Actuators

o   Gateways

o   RFID Tags

o   Wearables

·         Software

o   IoT Platforms

o   Middleware

o   Network Management

·         Services

o   Professional Services

o   Managed Services

According to the internet of things and machine-to-machine communications market forecast, hardware components are rapidly developing, notably sensors and gateways, which are critical for gathering and sending data from devices. Sensors provide real-time monitoring, whereas gateways facilitate connection between devices and networks. However, software solutions such as IoT platforms and network management are fast expanding in internet of things and machine to machine communications market, and services are gaining appeal as businesses seek more efficient administration.

Internet of Things (IoT) and Machine-to-Machine (M2M) Communications Market By Connectivity Technology

·         Cellular

o   2G

o   3G

o   4G LTE

o   5G

·         LPWAN

o   NB-IoT

o   LoRa

o   Sigfox

o   LTE-M

·         Wireless

o   Wi-Fi

o   Bluetooth/BLE

o   Zigbee

o   Z-Wave

·         Wired

o   Ethernet

o   Industrial Protocols

·         Satellite Communication

According to the internet of things and machine-to-machine communications market forecast, cellular technologies, particularly 4G LTE and 5G, dominate the IoT and M2M communication sectors due to their widespread coverage, high-speed data transfer, and dependability. Because of their low power consumption and long-range capabilities, LPWAN technologies like NB-IoT and LTE-M are rapidly gaining popularity in industrial and smart city applications. Short-range IoT applications, such as smart homes and wearables, rely largely on wireless technologies like WiFi and Bluetooth. Wired. Wired solutions like as Ethernet and industrial protocols provide consistent, high-speed connectivity in factories, whereas satellite communication allows IoT coverage in remote areas where other networks are unavailable.

Internet of Things (IoT) and Machine-to-Machine (M2M) Communications Market By Deployment Mode

·         On-Premises

·         Cloud-Based

·         Hybrid

According to the internet of things (iot) and machine-to-machine (M2M) communications industry analysis, cloud-based deployments are likely to rise significantly because to their scalability, remote accessibility, and ability to manage massive amounts of real-time data. For example, an Oliver Wyman and NASSCOM analysis predicts that cloud technology would account for 8% of India's GDP by 2026. It has the potential to increase the country's GDP by $310-380 billion by 2026, while also creating 14 million jobs. A concerted all-around effort can result in a steady 25-30% increase in cloud investment over the next five years (2022 onwards) to US$ 18.5 billion, supporting India in realizing the full potential of the cloud market. While on-premises and hybrid deployments are still essential for enterprises that want improved security, compliance, and management over sensitive data.

Internet of Things (IoT) and Machine-to-Machine (M2M) Communications Market By Device Type

·         Consumer IoT Devices (e.g., smartwatches, fitness trackers)

·         Industrial IoT Devices

·         Wearables

·         Edge Devices

According to the internet of things (IoT) and machine-to-machine (M2M) communications industry analysis, the industrial IoT device segment has seen extensive acceptance in manufacturing, logistics, and smart infrastructure. These technologies improve automation, predictive maintenance, and real-time monitoring, lowering operational costs while increasing efficiency. The increasing integration of AI, cloud computing, and 5G drives segment’s growth. Consumer IoT devices, such as smartwatches and fitness trackers, are fast expanding to meet rising demand for health and lifestyle monitoring. Wearables and edge devices are also gaining popularity, providing real-time data processing.

Internet of Things (IoT) and Machine-to-Machine (M2M) Communications Market By Application

·         Industrial IoT (IIoT)

·         Smart Cities

·         Smart Homes

·         Healthcare

·         Agriculture

·         Retail

·         Automotive

·         Others

According to the internet of things (IoT) and machine-to-machine (M2M) communications market forecast, industrial IoT (IIoT) contain transformative impact on manufacturing, energy, and logistics. IIoT enables real-time monitoring, automation, and predictive maintenance, leading to increased efficiency, reduced downtime, and cost savings. The integration of AI, edge computing, and 5G further enhances IIoT adoption, making it a cornerstone of Industry 4.0 and smart manufacturing. Other applications like smart cities, smart homes, healthcare, agriculture, retail, and automotive also contribute significantly, enhancing urban living, healthcare monitoring, precision farming, and connected vehicle ecosystems.

Internet of Things (IoT) and Machine-to-Machine (M2M) Communications Market Regional Outlook

North America

·         U.S.

·         Canada

Europe

·         U.K.

·         Germany

·         France

·         Spain

·         Rest of Europe

Asia-Pacific

·         India

·         Japan

·         China

·         Australia

·         South Korea

·         Rest of Asia-Pacific

Latin America

·         Brazil

·         Mexico

·         Rest of LATAM

The Middle East & Africa

·         South Africa

·         GCC Countries

·         Rest of the Middle East & Africa (ME&A)

 

Internet of Things (IoT) and Machine-to-Machine (M2M) Communications Market Regional Analysis

For several reasons, the IoT and M2M communications market is witnessing growth owing to the rising spending on IoT worldwide. North America’s market for IoT and M2M communications is the largest share holder of the total geographical market owing to the rapid adoption of IoT in developed countries of North America and increasing technological developments in the region. For example, in June 2024, Cisco Systems, Inc. launched an Intelligent Industrial IoT Network to serve as the foundation for Artificial Intelligence (AI) and Machine Learning (ML). This network enhances many aspects of industrial processes, such as uptime, yield, security, and income generation and enhance internet of things and machine to machine communications market growth.

The Asia-Pacific IoT and M2M communications market is expected to grow more quickly than other regions in the coming years. The Indian Institute of Technology, Delhi (IITD) and the Centre for Development of Telematics (C-DOT), the country's leading telecom R&D facility, signed a Memorandum of Understanding (MoU) in September 2022 to collaborate on IoT/M2M, AI/ML, cyber security, and 5G and beyond technologies. C-DOT has conducted various advanced R&D projects, resulting in the creation of a diverse range of solutions that incorporate a variety of technologies in optical, switching, wireless, security, network management, and cutting-edge telecom software applications. C-DOT has worked closely with local enterprises, academia, and entrepreneurs to develop domestic 4G and 5G systems. This need is heavily affected by increasing technological usage and vast prospects across numerous business verticals in Asia-Pacific countries, particularly Japan, India, and China.

Internet of Things (IoT) and Machine-to-Machine (M2M) Communications Market Players

Some of the top internet of things (IoT) and machine-to-machine (M2M) communications companies offered in our report include Google, Inc, Alcatel-Lucent S.A, AT&T Inc., Intel Corporation, IBM Corporation, Qualcomm Incorporated, Gemalto NV, Huawei Technologies Co. Ltd., Cisco Systems, Inc., and NXP Semiconductors NV.

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