June 13, 2024

The Industrial Internet of Things Market is Estimated to Witness High Growth Owing to Advancements in Machine Learning and Edge Computing Technologies

The Industrial Internet of Things (IIoT) enables industries to connect and collect data from various machines, analytic systems, sensors and people across complex industrial processes. It allows industries to measure and analyze machine, fleet, production line and operational performance more accurately to optimize processes, productivity and efficiency. IIoT integration helps predictive maintenance by remotely monitoring assets to predict and prevent downtime. The data collected via IIoT also helps improve product quality and reduce waste.

The Global Industrial IoT Market is estimated to be valued at US$ 140.84 Billion in 2024 and is expected to exhibit a CAGR of 16% over the forecast period 2024 to 2031.

Key Takeaways

Key players operating in the Industrial IoT Market Size are Aviation Industry Corporation of China, Clearpath Robotics, General Atomics Aeronautical Systems, Hi-Tech Robotic Systemz, Softbank Robotics, SMP Robotics, and Aethon.
The key opportunities in the Industrial IoT market include optimized utilization of assets and resources through remote monitoring; reduced operational costs through predictive maintenance; and improved productivity, efficiency, and real-time decision making through data analytics. Advancements in machine learning and edge computing technologies are enabling IIoT systems to autonomously perform complex tasks with reduced human intervention.

Market drivers
The growing need for efficiency and productivity optimization across manufacturing, utilities, and processing industries is a major driver for the Industrial IoT market. Demand for remote asset performance monitoring and predictive maintenance to minimize downtime is also propelling market growth. Increasing connectivity of machines via technologies like RFID, Wi-Fi, Bluetooth, and 5G allowing real-time data collection is expected to further boost IIoT adoption. Government initiatives and investments to support digital transformation of industries will also favor market expansion over the forecast period.

Current Challenges in Industrial IoT Market

The Industrial IoT market is still in nascent stages of development and facing multiple challenges to gain widespread adoption. Integrating legacy machinery and systems with new IoT technologies requires significant investment of time and resources. Lack of common communication protocols and interoperability standards poses integration challenges. Cyber security risks associated with collecting and transmitting industrial data over networks needs to be adequately addressed. Skill shortage of professionals with expertise in both operational technology and information technology domains is an impediment. Maintaining high reliability and uptime requirements of industrial processes demands robust IoT solutions capable of handling harsh plant environments. High initial deployment costs discourage many organizations, particularly SMEs, from embracing Industrial IoT at a larger scale.

SWOT Analysis
Strength: Ability to enable real-time condition monitoring, predictive maintenance, and remote management can optimize production processes.

Weakness: Upgradation of aging infrastructure and integration with existing systems requires huge capital expenditure.

Opportunity: Scope for developing smart interconnected devices, systems and platforms tailored for specific industries.

Threats: Data security vulnerabilities may disrupt operations and damage brand reputations. Growing concerns around IoT devices being exploited for cyber-attacks.

Geographical Regions

The United States currently holds the largest share of the global industrial IoT market in terms of value, owing to substantial investments by manufacturing companies in advanced technologies. China is expected to emerge as the fastest growing regional market over the coming years supported by Made in China 2025 initiative and growing domestic demand for smart manufacturing solutions.

Fastest Growing Geographical Region
Asia Pacific region is poised to witness the highest growth in the Industrial IoT market during the forecast period. This is attributed to rapid industrialization initiatives underway in various countries including ‘Make in India’ and ‘Smart Factory’ projects of the Chinese government promoting automated plants. Manufacturers are actively deploying Industrial IoT to enhance productivity and compete more effectively in global markets.

*Note:
1.Source: Coherent Market Insights, Public sources, Desk research
2.We have leveraged AI tools to mine information and compile it