IoT Gateways Market Research Report- Global Forecast 2027

Global IoT Gateways Market Information: by Type (Lightly Rugged), Component (MCU, FPGA), Connectivity (Wi-Fi, Bluetooth), Application (Wearable Devices, Healthcare), Node (Smartwatch, Actuator), and Region – Global Forecast Till 2027

ID: MRFR/ICT/2170-CR | October 2018 | Region: Global | 135 pages

Please note that the assessment period of report has been updated from 2018-2023 to 2020-2027. Cordially fill the sample form for updated data.

Market Synopsis

The global IoT gateways market is predicted to exhibit a 16.9% CAGR from 2018 to 2023 (forecast period) owing to the rise in number of connected devices worldwide. Internet of things (IoT) is a connected ecosystem which disseminated the transfer of data rapidly within local area networks (LANs) and wide area networks (WANs). Miniaturization of processors coupled with its effect on production cost and energy efficiency have paved the way for hardware and software manufacturers.

The rise witnessed in number of connected devices and advacnes in networking topologies are factors likely to augur market growth over the forecast period. The impending need for big data analytics and endpoints to support a complex network architecture in healthcare and other industry verticals are likely to induce the demand for IoT gateways in the forthcoming years. The increasing use of wireless sensors in industrial and commercial applications is predicted to bode well for the IoT gateways market.

Report Overview

The report provides an accurate overview of the market by correlating the historical data with key market dynamics. Our analysts make astute predictions regarding the scope of the market and its future prospects. MRFR’s report includes a thorough analysis of the global IoT gateways market segmented according to gateway type, component, connectivity, application, node, and region. Numerous growth strategies undertaken by companies as well as the latest trends driving the market are outlined in the report. The market share of all prominent players and their current position in the market is discussed in minute detail. It analyzes new revenue sources for players and emphasize on the various strategies implemented by players.

Segment Overview

Types of IoT gateways include lightly rugged, rugged, compact, and ultra-compact. Components in the IoT gateways market include field programmable gate array (FPGA), microcontroller units (MCU), sensor, memory card, and others.

By connectivity, the market is segmented into Bluetooth, Wi-Fi, ZigBee, Ethernet, cellular, and others. Major applications include consumer electronics, building automation, automotive and transportation, wearable devices, healthcare, industrial, and others. ‘Others’ comprise oil & gas, aerospace & defense, education, agriculture, BFSI, government, and utilities.

Nodes supported by IoT gateways include smart watch, smart TV, actuator, camera, RADAR, thermostat, and others.

The segments covered in the IoT gateways market report are analyzed with respect to four main regions – North America, Europe, Asia Pacific (APAC), and the Rest-of-the-World (RoW), with respective country-level market sizing. The report discusses in detail the various players residing in these regions and their respective strategies to climb up the market ladder.

Competitive Landscape

Notable players in the IoT gateways market include Siemens AG (Germany), Huawei Technologies Co. Ltd. (China), Fujitsu Ltd. (Japan), Sierra Wireless, Inc. (Canada), Eurotech SPA (Italy), Cisco Systems, Inc., (U.S.), Hewlett Packard Enterprises Company (U.S.), NEC Corporation (Japan), Mitsubishi Electric Corporation (Japan), Toshiba Corporation (Japan), Dell Technologies (U.S.), Lantronix Inc. (U.S.), and Robert Bosch GmbH (Germany).

The report offers comprehensive profiles on these market players and assesses their current standing in the market. Company history coupled with annual turnover, profit margins, segmental share, SWOT analysis, growth strategies, expansion techniques, and latest R&D initiatives are discussed in minute detail.

Research Methodology

At MRFR, our research analysts conduct a thorough objective analysis of the market while creating market reports by adhering to a rigorous set of standards which allow a truly comprehensive view of the market. Use of primary research strategies such as interviews with top executives of prominent beverage manufacturing companies. Secondary research entails a thorough analysis of past and present trends in a forward-looking manner.

In addition, market size estimation and validation use both top-down & bottom-up approaches to obtain data from the value and supply chain. The balanced number of buyers and suppliers will result in a negligible demand-supply gap. Credible resources are accessed and verified by analysts to understand the nuances of market factors with consistency. Competent data analysts use strong analytical tools to ascertain accurate analysis of very relevant parameters in an effort to provide clients with a conclusive and dependable view of the future.

Analysis Period

  • Base Year - 2017

  • Projection Period - From 2018 to 2023

  • Market Denomination - USD Billion

  • Conversion Rate - Considered as per the respective financial years

Intended Audience

  • Raw Material and Manufacturing Equipment Suppliers

  • Semiconductor Wafer Vendors

  • Fabless Players

  • Electronic Design Automation (EDA) and Intellectual Property (IP) Core Vendors

  • Foundry Players

  • Original Equipment Manufacturers (OEMs)

  • Original Design Manufacturers (ODMs) and OEM Technology Solution Providers

  • Distributors and Retailers

  • Research Organizations

  • Technology Standard Organizations, Forums, Alliances, and Associations

  • Technology Investors

  • Operating System (OS) Vendors

  • Content Providers

For the scope of research, the report offers a comprehensive analysis of the global IoT gateways market.


  • Lightly Rugged

  • Rugged

  • Compact

  • Ultra-compact


  • MCU

  • FPGA

  • Sensor

  • Memory Card

  • Others


  • Bluetooth

  • Ethernet

  • Cellular

  • ZigBee

  • Wi-Fi

  • Others


  • Wearable Devices

  • Building Automation

  • Automotive and Transportation

  • Consumer Electronics

  • Industrial

  • Healthcare

  • Others


  • Smartwatch

  • Camera


  • Thermostat

  • Actuator

  • Smart TV

  • Others


  • North America

    • The U.S.

    • Canada

    • Mexico

  • Europe

    • Germany

    • France

    • Italy

    • U.K.

    • Rest of Europe

  • Asia Pacific

    • Japan

    • China

    • India

    • South Korea

    • Rest of Asia Pacific

  • Rest-of-the-World

    • Latin America

    • The Middle East & Africa

Frequently Asked Questions (FAQ) :

Between 2018 and 2023, the global market of IoT gateways can thrive at 16.9% CAGR.

Hewlett Packard Enterprises Company (U.S.), Mitsubishi Electric Corporation (Japan), and NEC Corporation (Japan) are some notable players of IoT gateways market.

Bluetooth, Ethernet, c Wi-Fi, ZigBee, and cellular connectivity are deployed in IoT gateways.

The growing inclination towards wireless technologies can drive the global IoT gateways market expansion.

North America boasting of its technical infrastructure can cause the regional IoT gateways market gain high revenue in study period.

Top-notch companies of the market and their dynamics, growth scope, and potential threats are major discussions mentioned in the report.

Key players adopting strategies that can serve them long-term goals can make significant contribution to the IoT gateways market expansion.

Global IoT Gateways Market – Summary

The global IoT gateways market can anticipate an exponential growth with 16.9% CAGR and reach a market valuation of USD 15.59 billion during the forecast period (2018-2023). Fast transforming industrial scenario requires faster connectivity. This gives rise to a demand for an interface that would connect all devices in a network and enable better communication. Hence, the need for Internet of things (IoT) which helps users with access to control of multiple functions such as scalability, fault tolerance, and power consumption of nodes & transceivers for smooth data flow. With IoT’s turning intelligent by getting embedded controls, it has started reducing the complexity and cost of endpoints, which has cemented its place in healthcare and other industry verticals.

Connected devices have infiltrated sectors such as business organizations and lifestyle profoundly. Its impact is so high that the ecosystem around these sectors is now thriving at an unprecedented rate. Integration of IoT gateways in smart buildings is increasing significantly and sectors such as automotive, healthcare and utilities can expect better leverage.

Wireless technology is gaining singular momentum across industrial verticals. Facilitating seamless integration of networks is IoT’s forte. Governments have realized its potential, and now IoT is getting much-valued attention which further simplifies its percolation into diverse sectors. Moreover, emerging economies are playing a crucial role in lending the IoT gateways market a supportive hand.

Efficient working of IoT gateways requires integration of heterogeneous networks such as Zigbee Ad-hoc network, wireless LAN, cable network, and others. Its applications in environmental monitoring, intelligent transportation, medical care, smart home, industry control, safety, defense for high data-rate, end-to-end connectivity, and higher bandwidth of multi-hop networks need high implementational cost which can cripple the expected growth rate for the considerable period.

Segmentation Analysis:

By type, the IoT gateways segment can be segmented into lightly rugged, rugged, compact, and ultra-compact. Compact segment has the largest market share with a current worth of USD 2,281.4 million, and during the forecast period, it could go up to USD 6,035.3 million with the highest CAGR of 18.1%. Rugged follows next, both in terms of market value and CAGR where it can reach USD 5,004.7 million with 17.1% growth rate.

Component-wise, the IoT gateways market can be segmented into microcontroller unit (MCU), Field Programmable Gate Array (FPGA), sensor, memory cards, and others. Sensor market would dominate forthcoming years with a CAGR of 18.2% and reach a valuation of USD 5,232.5 million from the previous estimation of USD 1,971 million. FPGA, with a projected 17% CAGR could reach a market valuation of USD 4,326.6 million and retain its second spot.

Based on connectivity, the IoT gateways market can be segmented into Bluetooth, wi-fi, ZigBee, ethernet, cellular, and others. Bluetooth will take over the current lead of wi-fi by a considerable margin. Its expected CAGR of 18.4% would take it from USD 1,458.2 million to USD 3,922.9 million. However, highest CAGR during the forecast period will be of ZigBee where it can fetch a CAGR of 18.7%.

Application-wise, the IoT gateways market can be segmented into wearable devices, healthcare, automotive & transportation, building automation, industrial, consumer electronics and others. Automotive & transportation would take over the lead from industrial with an expected market valuation of USD 3,474.1 million. However, wearable devices would lead the market with the maximum CAGR of 19.9% during the review period. Automotive & transportation can have the second best CAGR of 19.1% during the forecast period.

By node, the IoT gateways market includes smartwatch, camera, radio detection & ranging (RADAR), thermostat, actuator, smart TV, and others.

Regional Analysis:

Geographically, the IoT gateways market spans across regions namely North America, Europe, Asia Pacific (APAC), and Rest-of-the-World (RoW).

North America, currently leads the market with an estimated value of USD 2,397.8 million and the scenario is expected to remain so with the regions anticipated climb to a valuation of USD 5,522.5 million. Its state-of-the-art infrastructure can take the credit of its superior positioning. Various industries are implementing the technology and investing substantially in hope to gain much. At the same time, people in the region, are prone to adapt a superior lifestyle which gives the region further boost and the CAGR during the review period could go up to 15.4%.

Europe’s status in the market based on features is almost similar to that of North America and with a CAGR of 16.8%, the regional market could escalate to USD 3,882.1 million valuation. However, the APAC is anticipated to register the maximum CAGR of 19%, considerably higher than its peers. This can be attributed to a burgeoning industrial sector that is witnessing exclusive growth and could help compete with North America neck-to-neck. By 2023, the APAC could climb up to USD 5,471.7 million valuation.

Competitive Market Analysis:

The intensely competitive market banks on strategic implementations such as merger, collaboration, acquisition, new product launch, and others. These tactics have kept players engaged. Hewlett Packard Enterprises Company’s collaboration with ABB Ltd. and Tata Communications can give the company further market penetration. On the other hand, Bosch Rexroth, a subsidiary of Robert Bosch acquired Hytec Holdings (Pty.)  Ltd, to extend their business to Africa.

Prominent players in the IoT gateways market include Eurotech SPA (Italy), NEC Corporation (Japan), Mitsubishi Electric Corporation (Japan), Siemens AG (Germany), Sierra Wireless, Inc. (Canada), Cisco Systems, Inc., (U.S.), Lantronix Inc. (U.S.), Robert Bosch GmbH (Germany), Huawei Technologies Co. Ltd. (China), Hewlett Packard Enterprises Company (U.S.), Dell Technologies (U.S.), Fujitsu Ltd. (Japan), Toshiba Corporation (Japan), and others.

Growing market of connected devices and increasing use of wireless sensors is driving the burglar alarm market creating a highly competitive landscape

Technological advancements in the IoT gateways have encouraged many small players to enter in the market. These small players possess a major threat to large players prevailing in the IoT gateway market. Hence, the large players are focusing on acquisitions and partnerships to maintain their market positions. Also, the companies compete on the basis of characteristics such as cost of the product, features, and compatibility of these products in the long run.

The growth of IoT gateway market is fueled by the increasing use of connected devices and wireless networks by organizations. Nonetheless, the growth of manufacturers depends upon market conditions, government support, and industry development. Thus, the manufacturers should focus on improving efficiency and compatibility of their product to expand their market reach. Cisco Systems, Inc., Huawei Technologies Co. Ltd, Dell Technologies, Hewlett Packard Enterprise Company, and Siemens AG are the major companies in the market, which compete in terms of customization, quality, price, and technology. They primarily focus on the compatibility of IoT gateways for faster and secure transmission of data. It has also been forecasted that improvement of the global economic scenario combined with technological advancement in the emerging economies is fueling the market growth, thereby making it an ideal time for active players to launch advance IoT gateway devices and increase the global market share.

Cisco Systems, Inc. is dominating the IoT gateway market with a major focus on strategic partnerships with large as well as small businesses to expand their market reach in developing geographies. The strong research and development capabilities have led Cisco Systems, Inc. to design and implement LoRaWAN gateways and gain a competitive advantage in the IoT gateway market.

On the other hand, Huawei Technologies Co. Ltd, Dell Technologies, Hewlett Packard Enterprise Company, and Siemens AG are constantly trying to compete with each other as well as Cisco Systems, Inc. to procure most of the market with their IoT gateway devices. Huawei Technologies Co. Ltd focuses on providing rugged and versatile IoT gateway devices for various industrial applications. These gateway devices integrate routing, switching, and computing functions for connecting across various verticals thereby, supporting local intelligence.

Dell Technologies engages in the provision of IoT gateway devices to facilitate secure transmission of data across edge devices and the cloud. To attain efficiency, Dell Technologies partnered with Microsoft to help customers deploy end-to-end IoT solutions from edge to the cloud. This partnership has benefited users to streamline management, monitoring and security solutions from gateway devices to the cloud.

The diversified market reach of Hewlett Packard Enterprise Company’s IoT gateway devices in industries including manufacturing, smart cities, oil and gas, among others has led the company to become one of the major players in the IoT gateway market. The major differential element in Hewlett Packard Enterprise Company’s IoT gateway devices is that it enables companies to process data in real-time before the data is stored for additional analysis. Thus, it provides Hewlett Packard Enterprise Company with a major competitive advantage in the IoT gateway market.

Siemens AG stands fifth in the IoT gateway market and is majorly focusing on partnerships and collaborations with large industries to innovate IoT devices that will leverage their customers with advanced and effective product portfolio. Siemens AG collaborated with Tata Consultancy Services to provide customers data insights and analytics from a cloud-based open IoT operating system, MindSphere. Using analytical services such as predictive maintenance and energy monitoring, the solution is expected to benefit customers across manufacturing, energy, building technology, healthcare and railway industries.

Although these players dominate the IoT gateway market, players including Fujitsu Ltd, Sierra Wireless, Inc., NEC Corporation, Toshiba Corporation, Mitsubishi Electric Corporation, Robert Bosch GmbH, Eurotech SPA, Lantronix Inc., and others also have a strong market presence. These players focus on collaborating with businesses with strong market presence to expand their market reach thereby, enhancing their product portfolio.

Apart from the above-mentioned players, ODM vendors also have a prominent presence in the IoT gateway market. With the rapid growth of the Internet of Things (IoT), ODM vendors are putting full efforts into the developments of new business, including the fields of wearable devices, smart homes, auto electronics, servers, industrial PCs and others. ODM vendors such as HonHai, Compal, Quanta, Wistron, Flextronics and others have a significant market share in the IoT gateway market.

Quanta Computer's white-box server subsidiary is planning to establish new branches in Hangzhou and Shenzhen, China. These new branches are expected to strengthen their partnerships with China-based Internet players Alibaba and Tencent, whereas Wistron has cooperated with industrial PC (IPC) player Arbor Technology to seek Internet of Things (IoT) business opportunities. Wistron Corporation has launched a USD 20 million venture capital fund with the US. Silicon Valley-based Fenox Venture Capital is expected to access and work with the top technology companies from around the world. This partnership with Fenox VC would provide an access for Wistron to the top technology startup companies through the global network of Fenox VC.

Compal showcases a prominent presence in the market, it has ventured into the development of home gateway platform and has also developed new products and business lines by cultivating wireless technology and sensor network technologies, integrating background cloud computing services and focusing on smart energy saving, smarter safety, and smart home care. In the future, Compal is also expected to rely on its core capabilities to gradually expand its product range and depth in different domains of IoT in order to locate corresponding niche markets to expand the product coverage.

In June 2017, Xped Limited signed a Memorandum of Understanding with Compal Electronics Inc. The companies are expected to collaboratively engage to develop a binding agreement to license several Xped technologies, and collaboratively market to Compal’s customer base.