South America Location of Things Market Research Report By Location Type (Indoor, Outdoor) and By Regional (Brazil, Mexico, Argentina, Rest of South America)- Forecast to 2035

South America Location of Things Market Overview

As per MRFR analysis, the South America Location of Things Market Size was estimated at 251.94 (USD Million) in 2023.The South America Location of Things Market Industry is expected to grow from 327.6(USD Million) in 2024 to 5,889.79 (USD Million) by 2035. The South America Location of Things Market CAGR (growth rate) is expected to be around 30.038% during the forecast period (2025 - 2035).

Key South America Location of Things Market Trends Highlighted

In South America, the Location of Things market is increasingly shaped by a few key market drivers, chiefly the rising demand for smart city initiatives. Governments across nations like Brazil, Argentina, and Colombia are actively investing in infrastructure that supports internet of things (IoT) technologies. This investment is central to enhancing communication systems, transportation networks, and energy management. As urban populations continue to swell, there is a pressing need for effective data utilization, driving adoption across various sectors, from agriculture to logistics. 

Additionally, opportunities to be explored include the expanding use of location-based services in mobile apps and transportation solutions.With the burgeoning smartphone penetration in countries like Chile and Peru, businesses are encouraged to develop innovative applications that leverage precise geolocation. The emphasis on improving customer experiences and operational efficiencies presents fertile ground for growth in this niche. Recent trends indicate a heightened focus on integration with renewable energy sources and sustainability initiatives. 

Countries in South America are increasingly aware of environmental impacts and are leveraging location data to optimize energy consumption and reduce carbon footprints. Furthermore, advancements in satellite technology and the proliferation of 5G networks are fostering the environment for real-time data sharing and analytics, which enhances location-based applications significantly.This wave of technological innovation is further propelling the South America Location of Things market, making it an area to watch as it evolves in line with global and local demands.

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

South America Location of Things Market Drivers

Increasing Adoption of Internet of Things Technologies

One of the main factors propelling the South American Location of Things Market Industry is the spread of Internet of Things (IoT) technologies in the region. It is anticipated that IoT usage would increase significantly in a number of industries, including urban planning, agriculture, and transportation. For example, according to the Inter-American Development Bank, IoT can increase South American agricultural production by up to 35%, which is critical for a continent whose economy is mostly dependent on agriculture.

Major organizations, such as IBM and Cisco, are investing heavily in IoT infrastructure in Latin America, aiming to bridge the technology gap. The integration of smart devices and location-based services enables businesses to optimize operations and improve customer engagement. Furthermore, the South American governments are increasingly supporting digital transformation initiatives, with Brazil's digital strategy focusing on enhancing connectivity and data usage, thereby further boosting the Location of Things market growth trajectory.

Government Initiatives and Investments in Smart Cities

Governments in South America are increasingly investing in the development of smart cities as part of their urban planning initiatives, which is a crucial driver for the South America Location of Things Market Industry. Countries such as Colombia and Chile have launched initiatives aimed at leveraging technology to improve urban living conditions. According to the Ministry of Information and Communication Technologies of Colombia, the government plans to allocate over USD 2 billion for smart city projects in the next five years.

Such government backing encourages private sector participation and innovation in location-based technologies, enabling real-time data utilization and efficiency improvements in public services. This growth in smart city projects correlates with an increase in demand for advanced positioning and tracking solutions, further contributing to market growth.

Rising Demand for Enhanced Supply Chain Management Solutions

The surge in e-commerce and logistics in South America has led to an increased demand for enhanced supply chain management solutions, driving the growth of the South America Location of Things Market Industry. According to the Latin American and Caribbean group of the World Bank, e-commerce in the region grew by 36% between 2019 and 2021, prompting companies to adopt more sophisticated inventory and distribution management systems. 

As businesses strive to optimize their supply chain operations, leveraging location-based technologies becomes essential for tracking shipments, managing inventory, and delivering a seamless customer experience.Key players such as DHL and FedEx are incorporating advanced location analytics to improve their logistics operations, reflecting a broader industry trend towards adopting Location of Things solutions to remain competitive.

South America Location of Things Market Segment Insights

Location of Things Market Location Type Insights

The South America Location of Things Market is witnessing substantial growth, particularly within the Location Type segment, which is predominantly categorized into Indoor and Outdoor categories. The rising need for precise tracking and management solutions in various industries, including retail, logistics, and healthcare, is a significant driver of this market. Indoor location services are becoming increasingly critical as businesses seek to enhance operational efficiency, optimize space utilization, and provide a personalized customer experience.

The functionalities of these systems, such as indoor navigation, inventory tracking, and environmental monitoring, illustrate their importance in transforming how organizations operate. Meanwhile, the outdoor segment caters to applications in broader areas like transportation, tourism, and smart city initiatives, where outdoor tracking contributes to better asset management, navigation, and safety. Additionally, the growing integration of IoT devices in both segments is set to further accelerate the need for advanced location-based services. Alongside this expansion, challenges such as data privacy concerns and the need for standardized protocols persist, but they also open up opportunities for innovation and development in location technologies.

In South America, the increasing adoption of smart devices and the expansion of digital infrastructure are enhancing the potential for growth within both the Indoor and Outdoor segments, positioning the region as a significant player in the global Location of Things Market landscape. The integration of advanced analytics and artificial intelligence is already being explored to further enhance the capabilities of these location services, illustrating a clear trajectory towards smarter and more integrated solutions in the near future.

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

Location of Things Market Regional Insights

The South America Location of Things Market is experiencing notable growth across its diverse regional segments, reflecting an evolving landscape driven by technological advancements and increasing connectivity. Brazil stands out as a key player, benefiting from its robust urban infrastructure and high demand for smart solutions in transportation and logistics. 

Meanwhile, Mexico's strategic location serves as a significant hub for manufacturing and trade, promoting the adoption of location-based services to enhance supply chain efficiency and customer engagement.Argentina is also making strides, with growing government support for digital transformation initiatives fueling interest in location-based technologies for various applications. 

The Rest of South America further contributes to the market with specific needs in sectors such as agriculture and public safety, where location data can optimize resources and improve safety measures. These dynamics highlight the significant opportunities and challenges present in the South America Location of Things Market, supported by government initiatives and a shift towards digitalization in various economic aspects.

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

South America Location of Things Market Key Players and Competitive Insights

The South America Location of Things Market is witnessing a dynamic transformation influenced by the rise in IoT applications and increasing demand for real-time location data across various industries. As enterprises and governments explore innovative solutions for efficiency, cost reduction, and enhanced service delivery, competition in the market has intensified. Various players are leveraging advanced technologies such as GPS, RFID, and Bluetooth, thus creating a more connected ecosystem that can provide significant value across logistics, healthcare, retail, and smart urban infrastructure. 

The unique socio-economic landscape of South America presents a tailored regional space for companies focusing on location services that meet the specific needs and challenges faced by businesses in this area.Zebra Technologies has established a growing presence in the South America Location of Things Market, capitalizing on its robust suite of solutions tailored for this region. With a focus on providing advanced tracking and visibility solutions, Zebra Technologies addresses significant challenges within sectors such as retail and logistics. 

The company has strengthened its competitive advantage through its innovative real-time location services, which enhance inventory management and asset tracking capabilities. Their ability to offer customized solutions that cater to local market needs has solidified their footprint in the region, promoting enhanced operational efficiency for numerous enterprises. Zebra Technologies’ well-regarded reputation for reliable performance and technological excellence has further solidified its leadership position within the South American landscape.

Cisco Systems has made notable strides within the South America Location of Things Market, notably through its extensive portfolio of connectivity and networking solutions. The company is celebrated for its comprehensive service offerings, including IoT-enabled devices, networking infrastructure, and security solutions, which are crucial for organizations seeking to harness the potential of location-based services. Cisco Systems has built a strong market presence through strategic partnerships aimed at enhancing its service capabilities and expanding its regional reach. 

Recent mergers and acquisitions have further strengthened their technological prowess, allowing them to offer advanced technologies such as edge computing and analytics. Cisco Systems stands out for its focus on developing secure and scalable solutions, ensuring that businesses in South America can efficiently adopt location services while also addressing security concerns inherent in connected technologies. The combination of tailored offerings, local partnerships, and strong brand recognition has positioned Cisco Systems as a key player in the South American market landscape.

Key Companies in the South America Location of Things Market Include:

• Zebra Technologies
• Cisco Systems
• Oracle
• AT&T
• IBM
• Google
• Amazon
• SAP
• Huawei
• Intel
• Vodafone
• Microsoft
• Siemens
• GE Digital

South America Location of Things Market Industry Developments

In recent developments, the South America Location of Things Market has seen significant advancements, particularly in the adoption of Internet of Things (IoT) technologies, which are integrating with various sectors such as transportation, logistics, and smart cities. Companies like Zebra Technologies and Cisco Systems are expanding their offerings, enabling businesses to leverage location-based data for optimizing operations. 

In October 2023, IBM announced a partnership with local governments in Brazil to enhance urban planning through location analytics. Meanwhile, Amazon has been increasing its presence in Argentina with cloud-based solutions that support data-driven decision making for enterprises. Mergers and acquisitions have also been notable; for instance, Oracle announced its acquisition of a local logistics firm in September 2023 to bolster its IoT capabilities in the region. 

Growth in this market has been propelled by the escalating demand for real-time tracking and analytics among businesses, further emphasized by government initiatives in countries like Colombia, which aims to increase smart device utilization by 25% by 2025. With innovation and investment continuing to rise, the South America Location of Things Market is poised for robust expansion in the coming years.

South America Location of Things Market Segmentation Insights

Location of Things Market Location Type Outlook

• Indoor
• Outdoor

Location of Things Market Regional Outlook

• Brazil
• Mexico
• Argentina
• Rest of South America

 

Report Attribute/Metric Source:	Details
MARKET SIZE 2023	251.94(USD Million)
MARKET SIZE 2024	327.6(USD Million)
MARKET SIZE 2035	5889.79(USD Million)
COMPOUND ANNUAL GROWTH RATE (CAGR)	30.038% (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 Million
KEY COMPANIES PROFILED	Zebra Technologies, Cisco Systems, Oracle, AT&T, IBM, Google, Amazon, SAP, Huawei, Intel, Vodafone, Microsoft, Siemens, GE Digital
SEGMENTS COVERED	Location Type, Regional
KEY MARKET OPPORTUNITIES	Smart city infrastructure development, Logistics and supply chain optimization, Enhanced location-based services, Growing smartphone penetration, Increasing demand for IoT solutions
KEY MARKET DYNAMICS	growing adoption of IoT technologies, increasing demand for real-time tracking, expanding infrastructure for connectivity, rising investments in smart cities, regulatory support for location data
COUNTRIES COVERED	Brazil, Mexico, Argentina, Rest of South America