• Cat-intel
  • MedIntelliX
  • Resources
  • About Us
  • Request Free Sample ×

    Kindly complete the form below to receive a free sample of this Report

    Leading companies partner with us for data-driven Insights

    clients tt-cursor
    Hero Background

    China Ai In Iot Market

    ID: MRFR/ICT/63691-HCR
    200 Pages
    Aarti Dhapte
    October 2025

    China AI in IoT Market Research Report By Component (Platforms, Software Solutions, Services), By Technologies (ML and Deep Learning, NLP), and By Vertical (Manufacturing, Energy and Utilities, Transportation and Mobility, BFSI, Government and Defense, Retail, Healthcare and Life Sciences, Telecom, Others)- Forecast to 2035

    Share:
    Download PDF ×

    We do not share your information with anyone. However, we may send you emails based on your report interest from time to time. You may contact us at any time to opt-out.

    China Ai In Iot Market Infographic

    China Ai In Iot Market Summary

    The China AI in IoT market is poised for substantial growth, projected to reach 22.8 USD billion by 2035 from a base of 1.3 USD billion in 2024.

    Key Market Trends & Highlights

    China AI in IoT Key Trends and Highlights

    • The market is expected to grow from 1.3 USD billion in 2024 to 22.8 USD billion by 2035.
    • A compound annual growth rate (CAGR) of 29.75 percent is anticipated from 2025 to 2035.
    • The rapid expansion of AI technologies in IoT applications is likely to drive market dynamics significantly.
    • Growing adoption of AI-driven solutions due to increasing demand for smart devices is a major market driver.

    Market Size & Forecast

    2024 Market Size 1.3 (USD Billion)
    2035 Market Size 22.8 (USD Billion)
    CAGR (2025-2035) 29.75%

    Major Players

    Kuaishou Technology, Haier, SenseTime, Alibaba Group, Xiaomi, ZTE Corporation, Huawei Technologies

    China Ai In Iot Market Trends

    Thanks to encouraging government regulations and technical breakthroughs, the China AI in IoT market is seeing notable industry trends. The Chinese government places a strong emphasis on innovation and has published strategic plans encouraging the integration of AI and IoT in a range of businesses.

    By improving operational efficiency and data-driven decision-making, this is creating a climate that is favorable for businesses to invest in AI-driven IoT solutions.Rapid urbanization and rising demand for smart city initiatives—which combine AI and IoT to enhance infrastructure and public services—are major market drivers. AI-powered smart gadgets have become increasingly popular in both the consumer and business sectors in recent years.

    AI in IoT is being used more and more by industries including manufacturing, transportation, and healthcare to streamline operations and enhance service quality. Businesses in China are compelled to embrace AI and IoT to improve connection and user experience due to the country's rapidly increasing internet penetration and mobile device usage.

    The expanding field of edge computing, which improves data processing power and lowers latency in Internet of Things applications, offers opportunities to be investigated. Businesses can concentrate on creating cutting-edge solutions that meet regional market demands, like environmental sustainability and energy efficiency.

    Additionally, research and development can be accelerated via partnerships between academic institutions and tech companies, resulting in more specialized AI in IoT applications designed for the Chinese market. All things considered, China's emphasis on becoming a worldwide leader in AI technology offers a wealth of potential prospects in the AI in IoT market.

    China AI in IoT

    Market Segment Insights

    China

    China AI in IoT Market Segment Insights

    AI in IoT

    AI in IoT Market Component Insights

    The Component segment of the China AI in IoT Market has emerged as a crucial area with significant potential for growth, driven by the increasing integration of artificial intelligence in various Internet of Things applications.As China continues to advance its technological capabilities, the demand for innovative platforms that enable seamless connectivity and data processing has become paramount. Platforms, acting as the backbone of AI in IoT, facilitate communication among devices and ensure efficient data management.

    Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

    Software solutions are equally vital as they offer specialized applications designed to analyze the vast amounts of data generated, thus delivering valuable insights that can drive decision-making processes across industries.Moreover, services related to AI integration, maintenance, and support are essential for ensuring the optimal performance of these technologies, creating a need for skilled professionals and strategic partnerships.

    The emphasis on smart cities, manufacturing automation, and industrial Internet applications within China propels the importance of these components even further. As industries increasingly rely on connected devices for real-time data collection and analysis, the efficiency brought by advanced software solutions cannot be understated, fostering improved operational capabilities and cost reductions.

    Furthermore, the ongoing initiatives by the Chinese government to boost technological advancements and promote digital transformation in key sectors provide a robust environment for the growth of these components.The dominance of cloud-based platforms signifies a shift in how IoT solutions are deployed, ensuring scalability and flexibility for businesses of all sizes. This transition supports the growing trend of data-driven decision-making as enterprises capitalize on real-time analytics to enhance customer experiences.

    Additionally, as businesses prioritize cybersecurity measures to protect sensitive data, the demand for comprehensive services outweighs conventional approaches, creating opportunities for service providers to deliver innovative solutions that address these challenges.Exploration into emerging sectors, such as healthcare, transportation, and energy, further highlights the significance of the Component segment within the China AI in IoT Market.

    AI in IoT

    AI in IoT Market Technologies Insights

    The Technologies segment of the China AI in IoT Market plays a pivotal role in shaping the future of various industries, leveraging advanced capabilities to enhance efficiency and decision-making processes. Machine Learning and Deep Learning represent significant components of this segment, driving innovations that optimize data processing and automate complex tasks.

    These technologies are essential in developing smart applications, enabling devices to learn from user behavior and adapt accordingly, which further enhances user experience. Natural Language Processing (NLP), another crucial area, facilitates seamless human-machine interactions and communication, allowing for the extraction of valuable insights from unstructured data.

    This fosters improved customer service and engagement across sectors such as finance, healthcare, and retail. As China's commitment to becoming a global AI leader continues to grow, these technologies not only boost operational efficiencies but also contribute to market competitiveness, creating a robust ecosystem for innovation in the AI in IoT landscape.The collective advancement in these areas underscores an opportunity for enterprises to harness AI capabilities effectively, ensuring sustained growth and improved market dynamics as the country advances towards smart city initiatives and an intelligent economy.

    AI in IoT

    AI in IoT Market Vertical Insights

    The China AI in IoT Market, particularly within the Vertical segment, is showcasing significant growth as industries increasingly adopt smart technologies to enhance operational efficiency. Manufacturing stands out as a key area, where AI-driven IoT solutions improve automation and predictive maintenance, tapping into China’s robust industrial base.

    In the Energy and Utilities sector, integrating AI with IoT enables optimized energy management and resource allocation, essential for meeting the nation's energy demands. The Transportation and Mobility sector leverages AI to enhance logistics, traffic management, and autonomous vehicle technologies, reflecting China's commitment to modernizing its infrastructure.

    Moreover, the BFSI sector utilizes AI in IoT for improved fraud detection and customer engagement, signaling a shift towards digitization in financial services. Government and Defense are incorporating AI to support surveillance and national security, emphasizing the strategic importance of technological advancements.

    Get more detailed insights about China Ai In Iot Market

    Key Players and Competitive Insights

    The China AI in IoT market has become one of the most dynamic and competitive landscapes in recent years, driven by rapid technological advancements and a growing demand for intelligent connectivity across various sectors. Companies are increasingly investing in artificial intelligence to enhance the functionality of IoT devices, leading to improved efficiency and a stronger consumer experience.The competition is marked by innovations in machine learning, data analytics, and smart device integration, which are all fundamental to the evolution of smart cities, home automation, and industrial applications.

    This increasing interconnectedness has resulted in a rich ecosystem of players, with both established tech giants and emerging startups vying for market share and technological leadership, fostering an environment ripe for collaboration, partnerships, and competitive strategies.

    Kuaishou Technology stands out in the China AI in IoT market due to its unique approach to content-sharing and social networking. The company's strengths lie in its ability to integrate advanced AI algorithms into its platform, optimizing user experiences by targeting content to the right audience and creating more engaging interactions.

    Kuaishou's extensive reach within the Chinese market, particularly among younger demographics, provides a robust user base that facilitates the gathering of valuable data, which in turn enhances its AI capabilities.

    The company's focus on localized content and innovative features, such as augmented reality filters and advanced video personalization, positions Kuaishou Technology favorably within the competitive landscape, allowing it to capitalize on the growing demand for smart connectivity in daily life.Haier has established itself as a formidable player in the China AI in IoT market by offering a diverse range of smart home appliances and solutions that leverage artificial intelligence for enhanced usability and efficiency.

    The company is known for its innovative products, including smart refrigerators, washing machines, and air conditioning units that can be controlled remotely via IoT technology. Haier's strengths include a strong brand reputation, a commitment to R&D, and extensive distribution networks across China, which enable it to maintain a significant market presence.The company's strategic mergers and acquisitions have further bolstered its capabilities, allowing it to integrate cutting-edge IoT technologies into its product lines.

    Additionally, Haier’s investments in AI-driven smart home ecosystems position it favorably to meet the evolving needs of consumers who seek convenience and connectivity in their household devices, solidifying its standing in the competitive landscape of China's AI in IoT market.

    Key Companies in the China Ai In Iot Market market include

    Industry Developments

    Kuaishou introduced Kling AI 2.0, a sophisticated video generating model, in April 2025. The model represented a major breakthrough in AI-driven video production, outperforming OpenAI's Sora in domains like semantic responsiveness and visual quality.Kuaishou released Kling AI 2.1 in May 2025, increasing video resolution to 1080p. The goal of this improvement was to more successfully compete with international AI video platforms.With the use of AI-powered technologies, Kuaishou's Q2 revenue climbed 13.1% year over year to RMB 35 billion in July 2025, resulting in a record 16% profit margin.Revenue from overseas increased by 32.7%.

    AI-powered Haier's COSMOPlat platform dramatically decreased manufacturing failures and downtime in March 2025, improving global competitiveness.At the Shanghai Ecosystem Conference in March 2025, Haier presented their AI-powered smart home strategy, which included the Sanyiniao platform, which now has over 10 million users.

    A significant advancement in AI integration for household appliances was made in July 2024 when Haier's HomeGPT was granted the China Academy of Information and Communications Technology's highest Level 4 certification.The generative AI segment of SenseTime reported a 72.7% growth in revenue to 1.82 billion yuan in August 2025, accounting for 77% of overall sales.

    Xiaomi released MiDashengLM-7B, an open-source AI speech model, in August 2025 with the goal of improving electric cars and smart homes.ZTE demonstrated AI-native intelligent networks, applications in fields including healthcare and education, and advancements in green technologies at MWC Shanghai in June 2025.

    China AI in IoT

    Market Segmentation

    AI in IoT Market Vertical Outlook

    • Manufacturing
    • Energy and Utilities
    • Transportation and Mobility
    • BFSI
    • Government and Defense
    • Retail
    • Healthcare and Life Sciences
    • Telecom
    • Others

    AI in IoT Market Component Outlook

    • Platforms
    • Software Solutions
    • Services

    AI in IoT Market Technologies Outlook

    • ML and Deep Learning
    • NLP

    Report Scope

     

    Report Attribute/Metric Source: Details
    MARKET SIZE 2023 1.02(USD Billion)
    MARKET SIZE 2024 1.3(USD Billion)
    MARKET SIZE 2035 22.81(USD Billion)
    COMPOUND ANNUAL GROWTH RATE (CAGR) 29.719% (2025 - 2035)
    REPORT COVERAGE Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
    BASE YEAR 2024
    MARKET FORECAST PERIOD 2025 - 2035
    HISTORICAL DATA 2019 - 2024
    MARKET FORECAST UNITS USD Billion
    KEY COMPANIES PROFILED Kuaishou Technology, Haier, SenseTime, Nuomi, Alibaba Group, Sogou, Xiaomi, ZTE Corporation, Huawei Technologies, Tencent Holdings, iFLYTEK, Megvii Technology, Pinduoduo, Baidu, JD.com
    SEGMENTS COVERED Component, Technologies, Vertical
    KEY MARKET OPPORTUNITIES Smart city development projects, Industrial automation enhancements, Healthcare IoT integration, Agriculture precision management, Energy consumption optimization
    KEY MARKET DYNAMICS Rapid urbanization and smart cities, Increasing government support and funding, Growing demand for automation, Advancements in machine learning technologies, Expansion of 5G connectivity
    COUNTRIES COVERED China

    Leave a Comment

    FAQs

    What is the projected market size of the China AI in IoT Market in 2024?

    The projected market size of the China AI in IoT Market in 2024 is expected to be 1.3 billion USD.

    What is the expected market size of the China AI in IoT Market by 2035?

    By 2035, the China AI in IoT Market is expected to reach a size of 22.81 billion USD.

    What is the expected compound annual growth rate (CAGR) for the China AI in IoT Market from 2025 to 2035?

    The expected compound annual growth rate for the China AI in IoT Market is 29.719 percent from 2025 to 2035.

    Who are the key players in the China AI in IoT Market?

    Key players in the China AI in IoT Market include Kuaishou Technology, Haier, SenseTime, and Alibaba Group among others.

    What is the market value of platforms within the China AI in IoT Market in 2024?

    The market value of platforms within the China AI in IoT Market is projected to be 0.45 billion USD in 2024.

    What is the expected market value of software solutions in the China AI in IoT Market by 2035?

    The expected market value of software solutions in the China AI in IoT Market is projected to be 6.49 billion USD by 2035.

    What value are services expected to represent in the China AI in IoT Market by 2035?

    Services are expected to represent a market value of 8.91 billion USD in the China AI in IoT Market by 2035.

    What growth opportunities exist in the China AI in IoT Market?

    Significant growth opportunities in the China AI in IoT Market stem from the increasing adoption of AI technologies across various sectors.

    What challenges are currently faced by the China AI in IoT Market?

    The China AI in IoT Market currently faces challenges such as regulatory hurdles and integration complexities with existing systems.

    What are the major applications of AI in the IoT context within China?

    Major applications of AI in the IoT context within China include smart home devices, industrial automation, and healthcare technology.

    Download Free Sample

    Kindly complete the form below to receive a free sample of this Report

    Case Study
    Chemicals and Materials

    Compare Licence

    ×
    Features License Type
    Single User Multiuser License Enterprise User
    Price $4,950 $5,950 $7,250
    Maximum User Access Limit 1 User Upto 10 Users Unrestricted Access Throughout the Organization
    Free Customization
    Direct Access to Analyst
    Deliverable Format
    Platform Access
    Discount on Next Purchase 10% 15% 15%
    Printable Versions