The Internet of Things (IoT) has revolutionized industries worldwide, connecting billions of devices and generating vast amounts of data. IoT platforms play a critical role in managing and harnessing this data, enabling seamless integration and unlocking valuable insights.
Looking ahead to 2024, it is essential to conduct an IoT platform market analysis, identify the IoT platform market trends and understand their impact on businesses and consumers.
Current Market Overview: IoT Platform Market Growth
In the summer of 2021, IoT Analytics released a detailed market report noting the rapid IoT platform market growth. At the beginning of 2016, IoT Analytics experts predicted an average annual growth rate of this market of 35%, and the market size in 2020 was seen by them as equal to $1.3 billion. However, in fact, the market grew by an average of 48% annually, reaching $5 billion as a result.
The explanation for this growth rate is, among other things, that the IoT platform market has undergone significant changes over the specified period. First, the IoT platform’s very definition has become broader.
It includes not just a consideration of application support platforms but four types of platforms according to the modern classification. But even if we use the “old” classification, the market size in 2020 amounted to $2.1 billion, which is 60% higher than the IoT platform market forecast from 2016.
5 Key Trends in the IoT Platform Market for 2024
The five key IoT platform market trends are as follows:
- Increased Adoption of Edge Computing in IoT Platforms
- Growth of White-label IoT Platforms Popularity
- Integration of Artificial Intelligence and Machine Learning
- Expansion of IoT Platforms in Industrial Applications
- Rise of 5G Connectivity in Enabling IoT Platforms
Trend 1: Increased Adoption of Edge Computing in IoT Platforms
Edge computing has gained prominence in the IoT landscape, and in 2024, we can expect its widespread adoption in IoT platforms. Edge computing brings computational capabilities closer to IoT devices, reducing latency and improving real-time decision-making.
This trend enables faster data processing, local analytics, and enhanced device management. For example, edge-based anomaly detection in manufacturing plants and real-time video analytics for smart surveillance systems can benefit from edge computing capabilities.
Trend 2: Growth of White-label IoT Platforms Popularity
White-label IoT platforms have emerged as a notable trend in developing the Internet of Things (IoT) market. A white-label IoT platform refers to a ready-made platform created by a provider.
Other companies can customize and rebrand it to offer IoT solutions under their brand name. As the IoT market expands, white-label platforms provide a viable solution for companies looking to enter the IoT space or enhance their existing IoT offerings quickly and effectively.
Trend 3: Integration of Artificial Intelligence and Machine Learning
The convergence of IoT and artificial intelligence (AI)/machine learning (ML) technologies will shape IoT platforms in 2024. AI and ML algorithms will empower platforms to extract actionable insights from vast amounts of IoT data.
This integration will enable predictive maintenance, intelligent anomaly detection, and proactive decision-making. IoT platforms will increasingly incorporate AI/ML capabilities, allowing automation, optimization, and intelligent resource allocation.
Trend 4: Expansion of IoT Platforms in Industrial Applications
Industrial IoT (IIoT) will be a key driver of the global IoT platform market growth in 2024. IIoT platforms enhance operational efficiency, reduce costs, and enable predictive maintenance across sectors such as manufacturing, energy, and logistics.
These platforms will provide robust connectivity, real-time monitoring, and tailored analytics capabilities to meet industrial requirements. The use of IIoT platforms will unlock immense value across the supply chain and facilitate the digital transformation of industries.
Trend 5: Rise of 5G Connectivity in Enabling IoT Platforms
The deployment of 5G networks will significantly impact the future of IoT platforms. 5G’s ultra-low latency, high bandwidth, and massive device connectivity will enable seamless data transfer and real-time communication.
In 2024, IoT platforms will leverage 5G connectivity to deliver enhanced performance, enabling applications such as autonomous vehicles, remote surgery, and smart infrastructure management.
IoT Platform Market Forecast
As a result of the IoT platform market analysis, we can conclude that it is poised for significant growth in the coming years, and the forecasts are promising. As the Internet of Things continues to proliferate across industries and drive digital transformation, the demand for robust and scalable IoT platforms is set to soar.
Market forecasts indicate that the IoT platform market will experience substantial expansion, fueled by advancements in technology, increasing adoption of IoT solutions, and the need for efficient data management and analysis.
One of the driving factors behind the positive outlook for the IoT platform market is the rapid adoption of IoT solutions across industries. Manufacturing, healthcare, transportation, energy, and agriculture are some of the sectors leveraging IoT platforms to enhance operational efficiency, improve decision-making, and drive innovation.
With the growing acceptance and implementation of IoT technologies, the demand for comprehensive and scalable platforms to manage IoT deployments will continue to rise, propelling the IoT platform market growth.
The IoT platform market forecast is highly promising, with significant growth expected in the coming years. The market is driven by the increasing adoption of IoT solutions across industries, coupled with technological advancements that enable more sophisticated and efficient IoT platforms.
As organizations embrace the transformative power of IoT and seek to harness the full potential of connected devices and data, the demand for comprehensive, secure, and scalable IoT platforms will continue to surge, paving the way for a thriving market landscape.
Connected Future
The IoT platform market is on the cusp of significant transformations in 2024. Edge computing, AI/ML integration, IIoT applications, and 5G connectivity will reshape IoT platforms and fuel advancements across industries.
To harness the full potential of IoT, businesses must stay updated on these trends, adapt their strategies, and embrace the opportunities presented by IoT platforms. By leveraging the power of IoT platforms, we can create a connected future and unlock the immense possibilities that lie ahead.
