Global Internet of Things market expansion

The global Internet of Things (IoT) market is experiencing significant growth, with projections suggesting the market will reach approximately USD 1.1 trillion by 2030. This expansion is driven by the integration of connected technologies into sectors such as healthcare, smart manufacturing, and intelligent buildings, supported by advancements in 5G, artificial intelligence, and edge computing.

As the sector scales, cellular networks designed for low-power devices are expected to reach one billion connections by the end of 2025. While the number of active connected IoT devices is forecasted to rise significantly, businesses face challenges in converting these connections into secure and manageable services for applications like fleet tracking and energy management.

Technical developments are increasingly focusing on integrated System-on-Chip (SoC) solutions that combine Wi-Fi and Bluetooth Low Energy (BLE) to improve hardware efficiency. Additionally, new cybersecurity reporting requirements in Europe are placing greater responsibility on manufacturers to ensure the long-term security of connected products.

Recent projections for the IoT semiconductor market specifically indicate it could reach $1.228 trillion by 2030, growing at a compound annual growth rate of 15.7%. This segment is expected to rise from $589.7 billion in 2025 to $682.49 billion in 2026. Growth is being fueled by smart cities, automotive connectivity, predictive maintenance, and edge AI integration.

Technological shifts include the development of advanced dual-range motion sensors, such as a 3-in-1 MEMS sensor announced by STMicroelectronics in June 2025 that integrates edge AI for real-time event detection. Market activity includes Trasna Solutions Technologies Limited acquiring u-blox’s cellular IoT module business in March 2025. Geographically, North America is expected to lead the market in 2025, while the Asia-Pacific region is projected to be the fastest-growing.