ID: MRFR/ICT/8889-HCR | February 2021 | Region: Global | 100 pages
Global 5G IoT Market size is expected to register an exponential CAGR during the forecast period.
The 5G IoT services are next-generation wireless connectivity services that provide a higher speed of data transfer and connectivity with lower latency than previous generations. 5G network capabilities enable production systems and machines to work seamlessly through wireless networking, thereby enhancing flexibility and efficiency. These services have wide scope across industry verticals, including consumer electronics, automotive, railways, mining, utilities, healthcare, agriculture, and manufacturing. The growth of the market is expected to be driven by factors such as the rising demand for Internet connectivity with high reliability and the growing use of Internet-connected devices. Furthermore, government initiatives for smart cities are accelerating market growth. However, this market growth is hampered by the aspects such as high cost associated with the implementation of 5G infrastructure. The demand for connectivity with low latency and higher download and upload speeds over the mobile network, as well as the rising adoption of cloud-based services, are opportunities that can further boost the growth of the 5G IoT market.
Global 5G IoT Market has been segmented based on Service, Technology, Type, Vertical, and Region.
By Service, the global 5G IoT market has been segmented into enhanced mobile broadband [eMBB], ultra-reliable low latency communications [URLLC], and massive machine-type communications [mMTC].
By Technology, the global 5G IoT market has been divided into 5G new radio [NR] standalone architecture and 5G new radio [NR] non-standalone architecture.
By Type, the global 5G IoT market is divided into short-range IoT devices and wide-range IoT devices.
Based on Vertical, the global 5G IoT market has been classified into consumer electronics, automotive, railway, mining, utilities, healthcare, agriculture, manufacturing, and others.
The 5G IoT market has been analyzed for four regions—North America, Europe, Asia-Pacific, the Middle East & Africa, and South America.
The Global 5G IoT Market is estimated to register an exponential CAGR over the forecast period. The geographic analysis of the global 5G IoT market has been conducted for North America, Europe, Asia-Pacific, the Middle East & Africa, and South America.
North America is expected to register the largest market share due to an increase in the demand for 5G IoT services across industry verticals in this region. The US is expected to lead the market in North America due to the rising demand for Internet connectivity with high reliability and the rapid adoption of Internet-connected devices. Additionally, the presence of major players such as AT&T (US), Verizon (US), T-Mobile USA, INC (US), and Qualcomm Technologies, Inc. (US) is contributing to the growth of the regional market. Moreover, these key players are investing heavily in the research & development of 5G technology, spectrum licenses, and essential infrastructure for network connectivity, further propelling the growth of the regional market.
Europe is expected to be the second-largest market during the study period due to the increasing adoption of IoT technologies in the manufacturing sector. Additionally, the rapid developments in the automotive sector regarding the trials being conducted for driverless vehicles are contributing to the growth of the 5G IoT market in Europe. Asia-Pacific is anticipated to be the fastest-growing market in the global 5G IoT market during the forecast period.
Global 5G IoT Market is witnessing high growth due to the government initiatives for smart cities. Major players have opted for partnerships, acquisitions, and product enhancement as their key organic growth strategies to enhance their positions in the market and cater to the demands of end users across verticals. Also, the industry players are competing over the early deployment while attracting individual and enterprise consumers. Additionally, the companies are expanding their network coverage to maximize their customer reach. Apart from all the aforementioned factors, the 5G network's benefits, such as faster download speeds and low latency, are expected to increase the adoption of 5G IoT compared to its predecessors.
Impact of COVID-19
The global telecom industry has reported major delays in the launch of fifth-generation mobile services due to the novel coronavirus outbreak worldwide. Additionally, the collective lag in regulatory timelines and delayed issuance of spectrum and auctions. Furthermore, the governments across the globe have postponed their expenditure plans for later. These all impacting pointers are expected to affect the consumers and business organizations due to limited or unavailability of network services. Additionally, lockdowns and movement restrictions have affected the business operations of equipment manufacturers leading to a shortage of components.
Global 5G IoT Market, 2018–2026 (USD Billion)
Source: MRFR Analysis
Frequently Asked Questions (FAQ) :
global 5G IoT market size can reach USD 7.9 billion by 2026.
global 5G IoT market can expand at 53% CAGR from 2018 to 2026.
Huge sales of internet enabled devices and demand for reliable fast Internet speeds can drive the global 5G IoT market.
North America can lead in the global 5G IoT market due to large adoption rate of smart devices.
Low latency and high data speeds are opportunities likely to catapult the growth of the global 5G IoT market.
T-Mobile USA, INC, Singtel, Telefonaktiebolaget LM Ericsson, Rogers Communications Inc., Telefónica S.A, Qualcomm Technologies, Inc., Telstra Group, Bell Canada, BT, Huawei Technologies Co., Ltd., AT&T, Vodafone Limited, Etisalat, Sierra Wireless, Nokia, and Verizon are prominent players.