The 5G in IoT market is expected to grow at a CAGR of 33.10% between 2025 and 2030.
Bolstering growth in wireless technology, followed by efforts to expand 5G network coverage, has stimulated market expansion.
The demand for a more advanced network that supports high-speed data transmission is what is driving the 5G penetration all over the world, and with emerging technologies such as Artificial Intelligence and the Internet of Things, the overall 5G scope has been elevated since it has opened new paths to merge the high-speed bandwidth with new technical models and business processes.
Moreover, the growing smartphone penetration has further increased the network traffic, which will also accelerate 5G usage, thereby enhancing mobile broadband. According to the GSM Association’s research study titled “The State of 5G 2024”, by 2030, the 5G technology will contribute nearly US$900 billion to the global economy, and at the same time, the 5G penetration in low & middle-income countries will reach up to 55%, whereas higher-income countries will witness a penetration rate of 120%.
Additionally, the governments of countries are undertaking favorable initiatives to bolster advanced 5G deployment, for instance, at the 2024 World Mobile Congress Shanghai, the Ministry of Industry and Information Technology announced set up plans that would commercialize the 5G advanced technologies thereby accelerating their adoption in Artificial Intelligence and would also support the deployment of passive Internet Of Things and integrated sensing technologies.
Telecom operators are partnering with network component manufacturers to bolster their 5G network deployment, which is further driving the market scope. For instance, in April 2024, Faroese Telecom, in collaboration with Ericsson, launched 5G in the former’s modernized network that would increase 5G access to all 18 rocky volcanic islands. The network holds high potential for leveraging AI and Internet of Things applications, which will support sustainability as well as tourism efforts across the Faroe Islands.
| Report Metric | Details |
|---|---|
| Forecast Unit | Billion |
| Growth Rate | 33.10% |
| Study Period | 2021 to 2030 |
| Historical Data | 2021 to 2024 |
| Base Year | 2025 |
| Forecast Period | 2026 – 2030 |
| Segmentation | Component, Enterprise Size, Network Type, End-User |
| Geographical Segmentation | North America, South America, Europe, Middle East and Africa, Asia Pacific |
| Companies |
|
Solution And Services
Component-wise, the 5G in the IoT market is analyzed into solutions and services, where the latter is anticipated to account for a considerable share, fuelled by the ongoing investments in 5G network expansion, followed by the development of modern network infrastructure that supports high-speed data transmission.
The advent of 5G technologies has proven to be a game changer for Internet of Things applications, which holds high potential of transforming various industry verticals, including smart cities, infrastructure, manufacturing, healthcare, education, agriculture, and Industry 4.0. Additionally, the rapidly evolving opportunities provided to developers through emerging IoT have led to various project launches, developments, and strategic collaborations, thereby augmenting the overall market expansion.
For instance,
In December 2023, Singtel completed its first Redcap technology testing in Singapore in collaboration with Ericsson and MediaTek, which would support the mid-tier Internet of Things devices, such as industrial sensors and smart watches, by establishing reliable connectivity with lower power consumption, which would improve their battery life.
In October 2023, Nokia, in collaboration with MediaTek and BT Group, successfully conducted the trials of “5G Reduced Capability” with RedCap devices to accelerate its deployment in the Internet of Things ecosystem. The RedCap technology is simply the connection of small IoT devices such as health trackers, smart wearables, ruggedized routers, and environmental-based monitoring sensors.
In October 2022, the Telecom Infra Project launched a new project that aimed to develop a metaverse-ready network that would increase the overall performance for both mobile and fixed networks, thereby providing users with an immersive experience. The project will accelerate the necessary infrastructure development to support the network readiness of Meta platforms, namely T-Mobile, Microsoft, Sparkle, and Telefonica.
The global 5G IoT market comprises some major countries undertaking steps to secure their 5G network. The Americas are expected to witness a higher CAGR during the forecasted period. In addition, some major countries include the USA, Japan, South Korea, China, the United Kingdom, and Germany. The nations have undertaken various measures that have complemented the overall market growth. For instance,
In March 2023, Verizon announced it to provide its private 5G network to “Formula 1 Crypto.com Miami Grand Prix,” which would offer venue management solutions inclusive of digital sign management, ticket scanning, immediate photograph uploads, and multiple points of sale for merchants. The company aims to bolster its private wireless network deployment in various public venues across the United States.
In February 2023, Arcelor Mittal, in collaboration with Ericsson and Orange Business Services, launched “5G Steel” in France, which includes connected operators facilitated with an advanced 5G network. The initiative aims to transform the working industrial environment and further support the French government’s effort to bolster automation in industrial operations, thereby adopting a more futuristic approach.
Some of the leading players in the market include Ericsson, Quectel Wireless Solutions Co., Ltd, and Nokia, among others. The product offerings of the major corporation include the following:
|
COMPANY NAME |
PRODUCT NAME |
DESCRIPTION |
|
Ericsson |
Critical IoT |
Ericsson’s “Critical IoT” consists of two software products namely “Ericsson Critical IoT for Public RAN” and “Ericsson Critical IoT For 5G”. The latter is deployed in dedicated and wide network areas such as smart factories and mines and meets a wide variety of low latency requirements. |
|
Nokia |
Nokia Worldwide IoT Network Grid (WING) |
Nokia’s “Worldwide IoT Network Grid” offers a managed IoT connectivity with assured services thereby assisting operators in providing an extensive Internet Of Things infrastructure footprint on a global scale. Its low latency and high-speed bandwidth offering is backed by a flexible pay-as-you-go model. |
|
Quectel Wireless Solutions Co. Ltd |
5G Modules |
Quectel’s “5G Modules” support RedCap technology and can easily form a link between IoT devices and cellular networks. The modules are available in 4.2 Gbps standalone mode and are applicable for devices such as connected healthcare, autonomous vehicles, digital twins, and industrial IoT. |
By Component
Solution
Services
By Enterprise Size
Small & Medium
Large
By Network Type
Standalone
Non-Standalone
By End-User
Manufacturing
Healthcare
Energy and Utilities
Automotive and Transportation
Others
By Geography
Americas
United States
Others
Europe, Middle East, and Africa
Germany
UK
Others
Asia Pacific
China
Japan
South Korea
Others