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US 5G IoT Market

ID: MRFR/ICT/17143-HCR
100 Pages
MRFR Team
October 2025

US 5G IoT Market Research Report Information By Service (Enhanced Mobile Broadband, Ultra-Reliable Low Latency Communications and Massive Machine Type Communications (MMTC)), Technology (5G New Radio Standalone Architecture and 5G New Radio (NR) Non-Standalone Architecture), Type (Short-Range IoT Devices and Wide-Range IoT Devices), Vertical (Consumer Electronics, Automotive, Railway, Mining, Utilities, Healthcare, Agriculture, and Manufacturing), And By Regions -Forecast Till 2035.

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US 5G IoT Market Summary

As per MRFR analysis, the US 5G IoT Market Size was estimated at 1100.0 USD Million in 2024. The US 5g iot market is projected to grow from 1176.23 USD Million in 2025 to 2300.0 USD Million by 2035, exhibiting a compound annual growth rate (CAGR) of 6.93% during the forecast period 2025 - 2035.

Key Market Trends & Highlights

The US 5G IoT Market is poised for substantial growth driven by technological advancements and increasing demand for smart solutions.

  • The largest segment in the US 5G IoT Market is the smart devices sector, which is experiencing rapid adoption across various industries.
  • The fastest-growing segment is anticipated to be industrial automation, reflecting a shift towards more efficient operational processes.
  • Expansion of 5G infrastructure is facilitating enhanced connectivity solutions, thereby supporting the proliferation of smart devices.
  • Key market drivers include government initiatives and support, alongside rising demand for smart city solutions, which are shaping the market landscape.

Market Size & Forecast

2024 Market Size 1100.0 (USD Million)
2035 Market Size 2300.0 (USD Million)
CAGR (2025 - 2035) 6.93%

Major Players

Qualcomm (US), Huawei (CN), Ericsson (SE), Nokia (FI), Samsung (KR), Cisco (US), Intel (US), ZTE (CN), AT&T (US)

US 5G IoT Market Trends

The 5G IoT Market is currently experiencing a transformative phase, driven by advancements in connectivity and the increasing demand for smart devices. As industries adopt IoT solutions, the integration of 5g technology enhances data transmission speeds and reduces latency, which is crucial for applications such as autonomous vehicles, smart cities, and industrial automation. The proliferation of connected devices is expected to create a robust ecosystem, fostering innovation and efficiency across various sectors. Furthermore, government initiatives aimed at expanding 5g infrastructure are likely to bolster market growth, as they facilitate the deployment of IoT solutions in urban and rural areas alike. In addition, the 5g iot market is witnessing a surge in investment from both public and private sectors. This influx of capital is directed towards research and development, enabling the creation of new applications and services that leverage the capabilities of 5g technology. As businesses recognize the potential of IoT to optimize operations and enhance customer experiences, the market is poised for sustained growth. The convergence of 5g and IoT is not merely a technological upgrade; it represents a paradigm shift that could redefine how industries operate and interact with consumers, ultimately leading to a more connected and efficient future.

Increased Adoption of Smart Devices

The trend towards greater adoption of smart devices is evident, as consumers and businesses alike seek to leverage the benefits of connectivity. This shift is likely to drive demand for IoT solutions that utilize 5g technology, enabling seamless communication and data exchange.

Expansion of 5g Infrastructure

The ongoing expansion of 5g infrastructure is crucial for the growth of the market. Government initiatives and private investments are focused on enhancing network coverage, which is expected to facilitate the deployment of IoT applications across various sectors.

Focus on Security and Privacy

As the 5g iot market evolves, there is an increasing emphasis on security and privacy. Stakeholders are prioritizing the development of robust security measures to protect sensitive data and ensure the integrity of connected devices.

US 5G IoT Market Drivers

Enhanced Connectivity Solutions

The 5G IoT Market is experiencing a surge in demand for enhanced connectivity solutions. As industries increasingly rely on interconnected devices, the need for reliable and high-speed communication becomes paramount. The deployment of 5g technology facilitates real-time data transmission, which is crucial for applications such as autonomous vehicles and smart manufacturing. In the US, the market for connected devices is projected to reach approximately $1 trillion by 2025, indicating a robust growth trajectory. This demand for seamless connectivity is driving investments in 5g infrastructure, thereby propelling the 5g iot market forward. Enhanced connectivity not only improves operational efficiency but also enables innovative applications that were previously unattainable, thus expanding the market's potential.

Increased Focus on Data Analytics

The increased focus on data analytics is shaping the landscape of the 5G IoT Market. Organizations are recognizing the value of data generated by connected devices and are investing in advanced analytics tools to derive actionable insights. The ability to process large volumes of data in real-time, facilitated by 5g technology, allows businesses to make informed decisions and enhance operational efficiency. In the US, the market for data analytics in IoT applications is anticipated to grow significantly, with projections indicating a value of over $50 billion by 2025. This emphasis on data-driven strategies is likely to drive demand for 5g connectivity, as organizations seek to leverage the full potential of their IoT ecosystems.

Government Initiatives and Support

Government initiatives play a pivotal role in shaping the 5G IoT Market. In the US, federal and state governments are actively promoting the adoption of 5g technology through various programs and funding opportunities. These initiatives aim to enhance digital infrastructure, particularly in rural and underserved areas, thereby ensuring equitable access to advanced technologies. The Federal Communications Commission (FCC) has allocated significant resources to facilitate the rollout of 5g networks, which is expected to bolster the 5g iot market. Furthermore, public-private partnerships are emerging to accelerate the development of smart city projects, which rely heavily on 5g connectivity. Such government support not only fosters innovation but also creates a conducive environment for businesses to thrive in the 5g iot market.

Advancements in Industrial Automation

Advancements in industrial automation are a key driver of the 5G IoT Market. The manufacturing sector in the US is increasingly adopting IoT technologies to enhance productivity and reduce operational costs. The integration of 5g networks enables faster data processing and communication between machines, which is essential for real-time monitoring and control. This shift towards automation is projected to contribute to a market growth rate of approximately 25% annually in the 5g iot market. As industries seek to optimize their operations and embrace Industry 4.0 principles, the demand for 5g-enabled automation solutions is expected to rise, further propelling the market forward.

Rising Demand for Smart City Solutions

The 5G IoT Market is significantly influenced by the rising demand for smart city solutions. Urban areas in the US are increasingly adopting technologies that enhance the quality of life for residents, such as smart traffic management, waste management, and energy-efficient systems. The integration of 5g technology into these solutions allows for real-time data collection and analysis, leading to improved decision-making and resource allocation. According to estimates, investments in smart city initiatives in the US are expected to exceed $100 billion by 2025, highlighting the potential for growth in the 5g iot market. As cities strive to become more sustainable and efficient, the demand for 5g-enabled applications will likely continue to rise, driving further market expansion.

Market Segment Insights

By Service: Ultra-Reliable Low Latency Communications (Largest) vs. Massive Machine Type Communications (Fastest-Growing)

In the US 5g iot market, Ultra-Reliable Low Latency Communications (URLLC) dominates the service segment due to its critical importance in applications that require real-time responses, such as smart manufacturing and autonomous vehicles. With robust reliability and low latency, URLLC captures the largest market share, reflecting its foundational role in enabling advanced IoT solutions. Conversely, Massive Machine Type Communications (MMTC) is the fastest-growing segment, driven by the increasing adoption of IoT devices across various industries. The rise of smart cities, agricultural IoT, and telehealth solutions further propels MMTC's growth, highlighting the demand for scalable connectivity solutions that can support a vast number of devices simultaneously.

Technology: URLLC (Dominant) vs. MMTC (Emerging)

Ultra-Reliable Low Latency Communications (URLLC) is at the forefront of the service segment, characterized by its ability to support mission-critical applications requiring ultra-reliable data transmission with minimal delay. This service meets the stringent requirements of sectors such as healthcare, automotive, and industrial automation. On the other hand, Massive Machine Type Communications (MMTC) is rapidly emerging as a vital solution for connecting a large volume of IoT devices, essential for applications such as smart metering, wearables, and environmental monitoring. While URLLC focuses on delivering high-impact reliability, MMTC provides cost-effective, wide-reaching connectivity, catering to a growing array of connected devices.

By Technology: 5G NR Standalone Architecture (Largest) vs. 5G NR Non-Standalone Architecture (Fastest-Growing)

In the US 5g iot market, 5G New Radio (NR) Standalone Architecture holds the largest market share, significantly outperforming its counterpart. This segment benefits from an early adoption trend among key industries, leading to increased deployments that solidify its position. Conversely, the 5G New Radio (NR) Non-Standalone Architecture is witnessing rapid growth attributed to its flexibility and compatibility with existing systems, appealing to enterprises looking to enhance IoT capabilities without overhauling current infrastructure. The growth trends within this segment reflect a strategic transition toward more advanced networking solutions. The push for improved IoT connectivity fuels the demand for standalone architectures, as companies recognize the potential for enhanced performance and reduced latency. Additionally, the demand for faster and more reliable communication technologies is propelling the non-standalone architecture, making it an attractive option for organizations aiming to leverage 5G benefits without extensive upgrades.

Technology: 5G NR Standalone Architecture (Dominant) vs. 5G NR Non-Standalone Architecture (Emerging)

5G NR Standalone Architecture serves as the dominant technology in the US 5g iot market, establishing a robust framework that facilitates a range of innovative IoT applications. This architecture operates independently of existing networks, providing a dedicated infrastructure that supports high-speed communication and low latency, essential for critical real-time applications. On the other hand, the 5G NR Non-Standalone Architecture is emerging but rapidly gaining traction, particularly favored by organizations for its cost-effectiveness and easier integration with legacy systems. As businesses move towards digital transformation, the adaptability of non-standalone solutions is driving adoption among various sectors, further enhancing the overall market landscape.

By Type: Enhanced Short-Range IoT Devices (Largest) vs. Wide-Range IoT Devices (Fastest-Growing)

In the US 5g iot market, the distribution of market share between Enhanced Short-Range IoT Devices and Wide-Range IoT Devices illustrates a clear preference for the former, which currently holds a majority stake. Enhanced Short-Range IoT Devices benefit from their ability to provide high-speed connectivity and low latency, making them preferable for applications such as smart home devices and industrial automation. This segment is well-established, while Wide-Range IoT Devices are gaining traction and slowly carving out their own niche in various sectors. The growth trends indicate that while Enhanced Short-Range IoT Devices remain dominant, the Wide-Range IoT Devices segment is experiencing rapid growth, driven by increased demand for long-distance connectivity and expansion into remote monitoring applications. The advancements in 5G technology significantly enhance the capabilities of both segments, leading to innovation and new use cases. Factors such as the rising adoption of IoT devices across different industries and escalating investments in smart infrastructure contribute to the favorable outlook for these segments.

Enhanced Short-Range IoT Devices (Dominant) vs. Wide-Range IoT Devices (Emerging)

Enhanced Short-Range IoT Devices are characterized by their ability to connect numerous devices within close proximity, ensuring high throughput and minimal delays. They are heavily utilized in environments requiring real-time data processing, making them essential in smart home technologies and industrial applications. These devices dominate the market due to their reliability and efficiency. In contrast, Wide-Range IoT Devices are emerging as critical players, designed for extensive coverage and capable of communication over large distances. These devices cater to sectors demanding extensive monitoring capabilities, like agriculture and logistics, where connectivity can be challenging. The advancement of 5G technology is pivotal in enhancing the performance and utility of both segments, leading to their increasing relevance in the IoT ecosystem.

By Vertical: Healthcare (Largest) vs. Automotive (Fastest-Growing)

The market share distribution among various verticals in the US 5g iot market reveals that the healthcare sector holds the largest segment, driven by the increasing adoption of connected health devices and telemedicine solutions. Automotive also showcases a significant presence, but its share is rapidly growing due to advancements in connected vehicle technology and smart transportation systems. Growth trends in the US 5g iot market are significantly influenced by the rising demand for real-time data processing and improved connectivity. The healthcare industry's push towards digital health solutions and the automotive sector's innovation in autonomous driving are key drivers. Additionally, industries like agriculture and utilities are enhancing their operations through IoT, indicating a broad trend of digital transformation across various sectors.

Healthcare (Dominant) vs. Automotive (Emerging)

Healthcare stands out as the dominant vertical in the US 5g iot market, characterized by its increasing reliance on real-time monitoring systems, remote patient care, and enhanced data analytics. This sector benefits from a variety of applications such as wearable health tech and telehealth services that significantly boost patient engagement and operational efficiency. Conversely, automotive is emerging as a vital area poised for rapid growth, with the integration of IoT enabling innovations such as connected vehicles and smart traffic management systems. The automotive sector's transformation is being spearheaded by the shift towards electric vehicles and the implementation of advanced driver-assistance systems (ADAS), illustrating a significant evolution in mobility solutions within the market.

Get more detailed insights about US 5G IoT Market

Key Players and Competitive Insights

The 5G IoT market is currently characterized by intense competition and rapid technological advancements, driven by the increasing demand for connectivity and automation across various sectors. Major players such as Qualcomm (US), Ericsson (SE), and AT&T (US) are strategically positioning themselves through innovation and partnerships to capture market share. Qualcomm (US) focuses on developing advanced chipsets that enhance IoT device performance, while Ericsson (SE) emphasizes its role in providing robust network infrastructure solutions. AT&T (US) is leveraging its extensive telecommunications network to offer integrated IoT solutions, thereby enhancing its competitive edge in the market.

The competitive structure of the 5G IoT market appears moderately fragmented, with several key players influencing market dynamics. Companies are adopting various business tactics, such as localizing manufacturing and optimizing supply chains, to enhance operational efficiency and reduce costs. This collective approach not only strengthens their market presence but also fosters innovation, as companies strive to differentiate their offerings in a crowded marketplace.

In October 2025, Qualcomm (US) announced a strategic partnership with a leading automotive manufacturer to develop next-generation connected vehicle technologies. This collaboration is expected to enhance vehicle-to-everything (V2X) communication, thereby improving safety and efficiency on the roads. The significance of this move lies in Qualcomm's commitment to expanding its footprint in the automotive sector, which is increasingly reliant on IoT solutions for enhanced connectivity.

In September 2025, Ericsson (SE) unveiled its new IoT Accelerator platform, designed to streamline the deployment of IoT solutions across various industries. This platform aims to simplify the integration of devices and applications, thereby accelerating time-to-market for businesses. The strategic importance of this initiative is underscored by the growing need for seamless connectivity in an increasingly digital world, positioning Ericsson as a leader in IoT infrastructure.

In August 2025, AT&T (US) launched a new suite of IoT solutions tailored for smart cities, focusing on enhancing urban infrastructure through advanced connectivity. This initiative reflects AT&T's strategic focus on urban development and sustainability, as cities seek to leverage IoT technologies for improved efficiency and quality of life. The launch is indicative of a broader trend towards smart city solutions, which are becoming essential in urban planning and development.

As of November 2025, current trends in the 5G IoT market include a strong emphasis on digitalization, sustainability, and the integration of artificial intelligence (AI) into IoT solutions. Strategic alliances among key players are shaping the competitive landscape, fostering innovation and collaboration. Looking ahead, it is likely that competitive differentiation will increasingly hinge on technological advancements and supply chain reliability, rather than solely on price. This shift suggests a future where innovation and quality will be paramount in determining market leadership.

Key Companies in the US 5G IoT Market market include

Future Outlook

US 5G IoT Market Future Outlook

The 5G IoT Market is projected to grow at a 6.93% CAGR from 2024 to 2035, driven by advancements in connectivity, automation, and data analytics.

New opportunities lie in:

  • Development of smart agriculture solutions leveraging IoT sensors and 5G connectivity.
  • Implementation of real-time asset tracking systems for logistics and supply chain optimization.
  • Creation of advanced telemedicine platforms utilizing 5G for remote patient monitoring.

By 2035, the 5G IoT market is expected to be robust, driven by innovative applications and increased adoption.

Market Segmentation

US 5G IoT Market Type Outlook

  • Enhanced Short-Range IoT Devices
  • Wide-Range IoT Devices

US 5G IoT Market Service Outlook

  • Ultra-Reliable Low Latency Communications (URLLC)
  • Enhanced Mobile Broadband (EMBB)
  • Massive Machine Type Communications (MMTC)

US 5G IoT Market Vertical Outlook

  • Consumer Electronics
  • Automotive
  • Railway
  • Mining
  • Utilities
  • Healthcare
  • Agriculture
  • Manufacturing

US 5G IoT Market Technology Outlook

  • 5G New Radio (NR) Standalone Architecture
  • 5G New Radio (NR) Non-Standalone Architecture

Report Scope

MARKET SIZE 2024 1100.0(USD Million)
MARKET SIZE 2025 1176.23(USD Million)
MARKET SIZE 2035 2300.0(USD Million)
COMPOUND ANNUAL GROWTH RATE (CAGR) 6.93% (2024 - 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 Qualcomm (US), Huawei (CN), Ericsson (SE), Nokia (FI), Samsung (KR), Cisco (US), Intel (US), ZTE (CN), AT&T (US)
Segments Covered Service, Technology, Type, Vertical
Key Market Opportunities Expansion of smart city initiatives drives demand in the 5g iot market.
Key Market Dynamics Rapid technological advancements drive competitive forces and regulatory changes in the 5G IoT market.
Countries Covered US

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FAQs

What is the expected market size of the US 5G IoT Market in 2024?

The US 5G IoT Market is expected to be valued at 1.09 billion USD in 2024.

What is the projected market size of the US 5G IoT Market by 2035?

By 2035, the US 5G IoT Market is projected to reach a value of 2.31 billion USD.

What is the compound annual growth rate (CAGR) for the US 5G IoT Market from 2025 to 2035?

The CAGR for the US 5G IoT Market from 2025 to 2035 is expected to be 7.06%.

Which service segment of the US 5G IoT Market is expected to generate the highest revenue in 2035?

In 2035, the Enhanced Mobile Broadband service segment is expected to generate the highest revenue of 1.1 billion USD.

What is the market value of Ultra-Reliable Low Latency Communications in 2024?

The market value of Ultra-Reliable Low Latency Communications in 2024 is anticipated to be 0.3 billion USD.

Who are the key players in the US 5G IoT Market?

Major players in the US 5G IoT Market include Hewlett Packard Enterprise, Oracle, Amazon, Cisco, IBM, and Qualcomm.

What is the expected market value for Massive Machine Type Communications in 2035?

By 2035, the expected market value for Massive Machine Type Communications is projected to reach 0.56 billion USD.

How does the US 5G IoT Market growth rate differ across the service segments?

The growth rate varies by service segment, with Enhanced Mobile Broadband expected to grow significantly during the forecast period.

What are the key growth drivers for the US 5G IoT Market?

Key growth drivers include increased connectivity demands and advancements in IoT applications across various industries.

What are the emerging trends impacting the US 5G IoT Market?

Emerging trends include the rise of smart cities, the integration of AI with IoT, and enhanced mobile connectivity solutions.

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