The 2025 Internet of Things Market Report highlights IoT’s impact across industries, driven by 5G networks, edge computing, and AI-powered data processing. It examines advancements in sensors, cloud integration, and IoT platforms enabling automation, operational efficiency, and real-time decision-making. The report provides insights into investment trends, emerging applications, and IoT’s potential to reshape industries and create a more connected world.
This article was last updated on January 2025.
Executive Summary: Internet of Things Outlook 2025
- Industry Growth Overview: The Internet of Things (IoT) market features over 53K companies and 5300+ startups. It is expected that the IoT market size will grow from USD 629.5 billion in 2025 to USD 1520.12 billion in 2029 at a compound annual growth rate of 24.7%. On a granular level, the market has experienced a growth rate of 8.03% over the past year as per our platform’s latest data.
- Manpower & Employment Growth: The IoT market added 226K+ new hires in the last year. Employment encompasses more than 3 million individuals globally.
- Patents & Grants: The smart technology ecosystem holds over 82K patents which indicates a high level of innovation. There are 5790+ grants awarded to support IoT technology development.
- Global Footprint: Top countries driving IoT innovation include the US, India, Germany, the UK, and China. The key urban centers such as Bangalore, Tokyo, London, Pune, and Singapore are critical to this technology’s expansion.
- Investment Landscape: The average investment per funding round exceeds USD 17 million. There are over 29 800 funding rounds closed which showcases strong investor interest.
- Top Investors: The combined total investment value from European Investment Bank, Barclays, Baidu, and more investors is over USD 10.90 billion.
- Startup Ecosystem: Five innovative startups include Your Cue (vital signs monitoring), Sesu (renewable energy management), Tentacles IoT (wireless sensors), AOVX (IoT-enabled tracking solutions), and Growterra (farm monitoring and optimization).
What Data is Used to Create This IoT Market Report?
Based on the data provided by our Discovery Platform, we observe that the IoT market ranks among the top 5% in the following categories relative to all 20K topics in our database.
These categories provide a comprehensive overview of the market’s key metrics and inform the short-term future direction of the technology.
- News Coverage & Publications: In the past year, the market produced more than 17K publications.
- Funding Rounds: Strong investor interest and financial backing for IoT ventures are indicated by the more than 29 800 investment rounds that are included in our database.
- Manpower: Over 3 million people work there, and in the last year, the IoT market added over 226K new hires.
- Patents: More than 82K patents are held by this market.
- Grants: Over 5790 grants are received by the IoT technology market.
- Yearly Global Search Growth: The annual growth in worldwide searches reached 35.30% which indicates a rise in public interest in and use of IoT technologies.
Methodology: How We Created This Internet of Things Report
This report is based on proprietary data from our AI-powered Startus Insights Discovery Platform, which tracks 25 million companies and 20 000 technologies and trends globally, including detailed insights on approximately 5 million startups, scaleups, and tech companies. Leveraging this extensive database, we provide actionable insights on emerging technologies and market trends.
For this report, we focused on the evolution of the Internet of Things over the past 5 years, utilizing our platform’s trend intelligence feature. Key data points analyzed include:
- Total Companies working on the trend
- News Coverage and Annual Growth
- Market Maturity and Patents
- Global Search Volume & Growth
- Funding Activity and Top Countries
- Subtrends within the Internet of Things
Our data is refreshed regularly, enabling trend comparisons for deeper insights into their relative impact and importance.
Additionally, we reviewed external resources to supplement our findings with broader market data and predictions, ensuring a reliable and comprehensive overview of the Internet of Things market.
Explore the Data-driven Internet of Things Report for 2025
According to The Business Research Company report, the IoT market size will grow from USD 629.5 billion in 2025 to USD 1520.12 billion in 2029 at a compound annual growth rate of 24.7%.
The IoT market report 2025 uses data from the Discovery Platform and encapsulates the key metrics that underline the market’s dynamic growth and innovation.
There are 5300+ startups in the database, which adds to the total of over 53K businesses. Over the previous year, this sector’s industrial growth rate was 8.03%.
Credit: The Business Research Company
According to Fortune Business Insights, the global IoT market is projected to reach USD 714.48 billion in 2024, with further growth expected to USD 4062.34 billion by 2032, reflecting a CAGR of 24.3% during this period.
Fact.MR suggests that the global Internet of Things (IoT) market size will expand from USD 190180.8 million in 2024 to USD 883156.2 million by 2034 at a compound annual growth rate of 16.6% during this forecast period.
The global IoT in healthcare market size is expected to grow to USD 289.2 billion by 2028, at a compound annual growth rate of 17.8%.
Additionally, over 3 million people work in this market worldwide, and in the past year, staff growth has reached 226K.
The US, India, Germany, the UK, and China are the top five countries in the world for IoT innovation. Moreover, the major urban centers like Bangalore, Tokyo, London, Pune, and Singapore are also important drivers of this expansion.
A Snapshot of the Global Internet of Things Market
With an annual growth rate of 8.03%, the IoT technology market is expanding well. More than 3200 of the 5313 startups included in the database are classified as early-stage businesses.
Further, almost 1800 mergers and acquisitions (M&A) demonstrate the active cooperation and consolidation of businesses.
The sector has more than 82K patents in terms of intellectual property, and about 20 600 applicants have contributed to this total.
The 23.06% annual patent growth rate suggests that innovation and technical advancement are becoming more and more important.
Moreover, with more than 34K patents, China is the country that issues the most, followed by the US with about 20 700+.
Explore the Funding Landscape of the Internet of Things Market
The average investment value of the funding round exceeds USD 32 million. There are more than 15K investors in the IoT market overall. Additionally, more than 29K funding rounds have closed which demonstrates the continued faith and dedication of investors in IoT initiatives. Over 7K businesses have benefited from these initiatives.
Who is Investing in the IoT Market?
The combined investment value of the top investors in the IoT market exceeds USD 10.90 billion.
- European Investment Bank (EIB) has invested USD 2.1 billion across 20 companies. The EIB announced a USD 102 billion plan to strengthen Europe’s markets, technology, and alliances, advancing its USD 1 trillion climate goal by 2030.
- Barclays contributed USD 1.6 billion to 4 companies. Barclays partnered with Funding Circle and TPG Angelo Gordon to provide USD 375 million in funding to UK small businesses.
- Baidu invested USD 1.2 billion in 5 companies. Baidu, along with Alibaba, invested in Horizon Robotics’ nearly USD 700 million initial public offering.
- Airtel allocated USD 1.1 billion to 2 companies. Bharti Airtel and Bajaj Finance partnered to offer financial products, expanding Bajaj Finance’s reach to Airtel’s 370 million customers.
- Reliance Jio Infocom invested USD 984.3 million in at least 1 company. Reliance Industries and Disney merged for USD 8.5 billion to create Jio Star.
- TPG supported 5 companies with an investment of USD 836.1 million. TPG Rise Climate and GIC will acquire Techem Group for approximately USD 7.4 billion, with closure expected in early 2025 pending regulatory approvals.
- Xiaomi stands out with an investment of USD 819.7 million across 16 companies. Xiaomi completed the acquisition of Zimi, a key partner specializing in battery and Internet of Things (IoT) technologies.
- Deutsche Bank invested USD 781.7 million in 5 companies. Deutsche Bank and the EIB launched a USD 660 million mortgage program with a USD 165 million EIB guarantee to support energy-efficient housing in Germany.
- Qorvo allocated USD 740.7 million to 4 companies. Qorvo acquired Anokiwave, a company specializing in high-performance radio frequency integrated circuit (RFIC) design.
- L Catterton supported 2 companies with an investment of USD 736.7 million. L Catterton announced plans to acquire a 42% stake in Value Retail from Hammerson for approximately USD 1.94 billion.
Top Internet of Things Innovations & Trends
Following are the emerging trends in the IoT market along with their firmographic details:
- The Wearable trend includes over 68K+ companies which indicates a major market presence. This segment employs approximately 4.5 million individuals, with 210K+ new employees added in the last year. Additionally, the annual trend growth rate stands at 8.57% which reflects ongoing interest and investment in wearable technology.
- Edge Computing encompasses more than 41K companies which demonstrate its expanding role in the IoT landscape. This trend supports around 2.7 million employees, with an addition of 230K+ new positions in the past year. Plus, the annual trend growth rate reached 13% which underscores its increasing relevance and necessity in data processing.
- Predictive Analytics allow businesses to use real-time IoT data to anticipate equipment failures and improve resource allocation, and operational efficiency. It features over 9300 identified companies. This area employs approximately 475K+ individuals, with 53K+ new employees joining in the last year. Besides, the annual trend growth rate of 15.57% highlights the rising demand for data-driven decision-making tools within various industries.
The total number of IoT devices worldwide is forecasted to reach over USD 29 billion by 2030, showcasing the rapid expansion of IoT applications.
5 Top Examples from 5300+ Innovative Internet of Things Startups
The five innovative startups showcased below are picked based on data including the trend they operate within and their relevance, founding year, funding status, and more. Book a demo to find promising startups, emerging trends, or industry data specific to your company’s needs and objectives.
Your Cue renders Vital Signs Monitoring
Your Cue is a UK-based startup that offers the Cue Ring, an AI-powered wearable device that continuously monitors vital signs while allowing caregivers to engage in daily activities. This device collects real-time health data, tracks vital metrics, and determines when to issue alerts.
The Cue Ring enhances user safety through accurate monitoring and improves in-hospital patient care by providing continuous data without restricting mobility. It also automates vital sign collection, reduces nurse workloads, and allows healthcare professionals to concentrate on patient care.
Additionally, this wearable ring integrates with existing hospital systems and supports infection control by minimizing the need for shared equipment.
Sesu fosters Renewable Energy Management
South Korean startup Sesu develops RE100, a blockchain-based renewable energy trading and certification solution for B2B applications.
Its tool sesumeter gathers real-time data on electricity generation and consumption to transmit it securely via flexible communication protocols such as WiFi, LTE, and Kafka/MQTT to the platform.
Meanwhile, the sesuBoard provides a dashboard for visualizing production and consumption data to ensure all recorded information is accessible and actionable for stakeholders. Plus, Sesu enhances data transparency, reliability, and ease of management to support informed decision-making for efficient energy operations.
Tentacles IoT provides Wireless Sensors
Dutch startup Tentacles IoT develops wireless sensors and an IoT middleware platform for monitoring growing media conditions.
Its product lineup includes the 3XT-M and 4XT-M sensors, which measure volumetric water content (VWC), soil temperature, and light intensity across four layers.
Moreover, the Soil 3XT-D and Soil 4XT-D sensors measure volumetric water content (VWC) in various soil types from larger and smaller pots respectively.
AOVX delivers IoT-enabled Tracking Solutions
AOVX is a Chinese startup that provides IoT tracker solutions for remote asset monitoring and control through its GAVE series devices and data platform.
The GAVE series comprises Goods monitoring (G), Asset tracking (A), Vehicle tracking (V), and Environmental monitoring (E). The Cargo Guard E Series monitors environmental parameters such as temperature, humidity, and motion in real-time.
The Cargo Guard A Series offers precise asset tracking with multiple positioning methods and a waterproof design for challenging environments.
The V Series focuses on vehicle tracking with real-time monitoring of vehicle status and automatic alarms for abnormal conditions.
Further, the G Series ensures cargo monitoring during transport. AOVX’s solutions integrate cloud-based analytics and visualization to improve asset management.
Growterra offers Farm Monitoring and Optimization
Growterra is a US-based startup that develops an Internet of Things (IoT) platform and connected solutions for optimizing farming operations.
Its system integrates field devices, sensors, and farmer inputs to collect critical data on soil conditions, crop health, and environmental factors, transmitting this information to a cloud-based architecture.
The platform provides real-time data visualization, historical trending, and predictive analytics, enabling farmers to monitor operations, identify issues early, and make informed decisions.
Moreover, features like local automation, closed-loop control, and remote monitoring allow individual farms and multi-site enterprise management.
Gain Comprehensive Insights into IoT Trends, Startups, or Technologies
In 2025, the Internet of Things (IoT) will redefine industries through emerging trends like AI-driven predictive analytics, edge computing, and wearable technology. The future of the IoT industry will see a stronger focus on sustainability, with energy-efficient devices and circular economy models becoming standard. Additionally, smart devices will offer more secure connectivity across healthcare, transportation, and agriculture.
Get in touch to explore all 5300+ startups and scaleups, as well as all industry trends impacting IoT companies.
