Industrial Internet of Things (IIoT) Market Report 2026

The industrial internet of things (iiot) market size has grown rapidly in recent years. It will grow from $277.35 billion in 2025 to $317.09 billion in 2026 at a compound annual growth rate (CAGR) of 14.3%. The growth in the historic period can be attributed to growth in industrial automation adoption, expansion of smart manufacturing facilities, rising demand for operational efficiency, increase in sensor deployment, adoption of cloud industrial platforms.

The industrial internet of things (iiot) market size is expected to see rapid growth in the next few years. It will grow to $537.39 billion in 2030 at a compound annual growth rate (CAGR) of 14.1%. The growth in the forecast period can be attributed to integration of AI-based industrial analytics, expansion of 5G-enabled factories, adoption of autonomous production systems, growth in industrial cybersecurity solutions, rising investment in smart infrastructure. Major trends in the forecast period include real-time industrial monitoring, predictive maintenance integration, connected factory ecosystems, edge computing deployment, remote asset management.

The growing implementation of automation is anticipated to drive the expansion of the industrial internet of things (IIoT) market in the coming years. Automation refers to the utilization of technology to carry out tasks with minimal human input. It involves deploying control systems, software, and machinery to manage equipment, processes, or systems in a manner that improves efficiency, precision, and consistency. The adoption of automation continues to rise as it enables businesses to save time and cut operational expenses by reducing manual labor. IIoT supports industries by providing real-time data collection and analysis, which helps optimize processes and minimize downtime. It boosts efficiency, enables predictive maintenance, and supports better decision-making through interconnected devices and automation technologies. For example, in April 2024, the International Federation of Robotics, a non-governmental organization based in Germany, reported 44,303 industrial robot installations in 2023, marking a 12% increase from the previous year. Thus, the growing adoption of automation is a key factor fueling the growth of the IIoT market.

Major companies in the industrial internet of things market are focusing on introducing technological advancements such as 6-in-1 plug-and-play IIoT sensor platforms for predictive maintenance to meet the rising demand for reduced downtime, improved asset reliability, and better energy efficiency. A 6-in-1 IIoT sensor platform combines multiple measurements, including 3D vibration, magnetic flux, acoustic emissions, temperature, humidity, and RPM into a single compact unit, enabling continuous, real-time monitoring of equipment health instead of relying on traditional single-parameter sensors or periodic manual checks. For example, in June 2024, Henkel Adhesive Technologies, a Germany-based specialty chemicals and MRO company, introduced its Loctite Pulse Smart Rotating Equipment Monitoring solution, a plug-and-play sensor that monitors six key parameters simultaneously, transmits data wirelessly to the Loctite Pulse app without requiring complex IT integration, and uses AI-based analytics to forecast asset degradation in rotating machinery such as motors, gearboxes, and pumps. This solution enables industrial customers to detect early signs of wear, prioritize maintenance efforts, and avoid unplanned downtime, while integrating with Henkel’s MRO repair products for rapid corrective action.

In July 2023, Honeywell International Inc., a U.S.-based technology company specializing in aerospace and automotive manufacturing, acquired SCADAfence for an undisclosed amount. This acquisition aims to bolster Honeywell’s cybersecurity capabilities by integrating SCADAfence’s advanced technologies into its existing cybersecurity portfolio. By merging SCADAfence’s operational technology (OT) security solutions with Honeywell’s current offerings, the objective is to strengthen protection for OT environments and shield customers from potential disruptions. SCADAfence is a U.S.-based provider of robust cybersecurity solutions tailored specifically for industrial internet of things (IIoT) systems.

Major companies operating in the industrial internet of things (iiot) market are Samsung Electronics Co. Ltd., Microsoft Corporation, Amazon Web Services Inc., Bosch Global Software Technologies GmbH, Huawei Technologies Co. Ltd., Hitachi Ltd., Siemens AG, Lenovo Group Limited, Intel Corporation, Accenture plc, International Business Machines Corporation, Panasonic Holdings Corporation, Cisco Systems Inc., Oracle Corporation, Mitsubishi Electric Corporation, Honeywell International Inc., SAP SE, Johnson Controls International plc, Alibaba Cloud, Toshiba Corporation, ARM Holdings.

North America was the largest region in the industrial internet of things (IIoT) market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the industrial internet of things (iiot) market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the industrial internet of things (iiot) market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Tariffs have impacted the IIoT market by increasing the cost of imported sensors, industrial controllers, networking devices, and embedded systems used in connected factories. These impacts are most significant in manufacturing-heavy regions such as Asia-Pacific and North America. Higher hardware prices have increased deployment costs and slowed large-scale industrial modernization projects. However, tariffs are encouraging localized production of industrial hardware and accelerating adoption of cloud-based IIoT platforms, improving long-term supply chain resilience and digital transformation.

The industrial internet of things (iiot) market research report is one of a series of new reports that provides industrial internet of things (iiot) market statistics, including industrial internet of things (iiot) industry global market size, regional shares, competitors with a industrial internet of things (iiot) market share, detailed industrial internet of things (iiot) market segments, market trends and opportunities, and any further data you may need to thrive in the industrial internet of things (iiot) industry. This industrial internet of things (iiot) market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The Industrial Internet of Things (IIoT) involves the integration of connected sensors, instruments, and devices within industrial systems. It facilitates real-time data gathering, analysis, and communication across machines and infrastructure, aiming to improve operational efficiency, automation, and decision-making within industrial settings.

The core elements of IIoT include hardware, software, and services. Hardware encompasses the physical tools and equipment used to gather, transmit, and sometimes process data in industrial contexts. Deployment options include cloud-based, on-premise, and hybrid models, with connectivity options spanning both wired and wireless networks. IIoT serves a wide range of end-users, including sectors such as information technology and telecommunications, manufacturing, healthcare, retail, oil and gas, energy and power, automotive, and others.

The industrial internet of things (IIoT) market consists of revenues earned by entities providing services such as predictive maintenance, remote monitoring, supply chain and inventory management, and asset tracking and management. The market value includes the value of related goods sold by the service provider or included within the service offering. The industrial internet of things market also includes sales of products such as internet of things (IoT) sensors and devices, connectivity devices, edge computing devices, industrial controllers, and robots and automated systems. Values in this market are ‘factory gate’ values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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