DUBLIN–(BUSINESS WIRE)–The “5G Industrial IoT Market by Component (Hardware, Solutions, and Services), Organization Size, Application (Predictive Maintenance, Business Process Optimization), End User (Process Industries and Discrete Industries) and Region – Global Forecast to 2026” report has been added to ResearchAndMarkets.com’s offering.
The global 5G Industrial IOT market size is projected to grow from USD 0.5 billion in 2020 to USD 15.7 billion in 2026, at a Compound Annual Growth Rate (CAGR) of 79.1% during the forecast period.
Based on component, the hardware segment is expected to lead the 5G Industrial IOT market during the forecast period
The hardware segment of the 5G industrial IoT includes 5G modules, gateways, sensors, and chips. With the growing demand for 5G industrial IoT, the 5G IoT module acts as one of the major components in the hardware segment of the 5G industrial IoT market. The leading IoT module providers are also exploring how they can position specific products in the market. Both components and module providers are investing in R&D while simultaneously considering the chipsets for specialized applications in the manufacturing operations. In addition to developing 5G modules, suppliers are pursuing several other innovations, such as modifications that decrease device size and strategies for the integration with other modules.
Based on services, managed services segment is expected to grow at a higher CAGR during the forecast period
The growth of the managed services segment is expected to be driven by the increased monitoring and security requirements, improved regulatory compliances, enhanced productivity, and improved data integrity while meeting strict Service-Level Agreements (SLAs). Manufacturing companies deploy 5G industrial IoT solutions to manage four elements: products, processes, people, and infrastructure. In manufacturing industries, advanced sensors, control systems, and software applications work together to obtain and share real-time information as finished goods make their way down the production line. Managed Service Providers (MSPs) connect people across all business functions and regions and provide them with relevant information related to intelligent design, operations, and maintenance as well as offer higher quality of services and safety.
Based on organization size, large enterprises segment is expected to lead the 5G Industrial IOT market during the forecast period
Large enterprises are witnessing an increased need to deploy 5G industrial IoT solutions and services to efficiently manage their large number of assets spread across geographies. The adoption of 5G industrial IoT solutions and services in large enterprises is much high as compared to SMEs. The high adoption is due to the affordability and high economies of scale of large enterprises that enable organizations to leverage 5G industrial solutions and services.
Based on application, real-time workforce tracking and management segment is expected to grow at a higher CAGR during the forecast period
Real-time workforce tracking and management help manufacturing enterprises streamline their processes and identify, deploy, validate, as well as manage their employees and connect with them in real time. 5G technology has the potential to bring unprecedented levels of change in the workplace as well as workforce management. 5G, along with IoT, can automate workforce management activities, such as scheduling tasks and assigning field resources and equipment to various employees on the respective manufacturing floor.
Based on end user, the discrete industries segment is expected to lead the 5G Industrial IOT market during the forecast period
The discrete industries are concerned with the manufacturing and production of distinct units, such as automobiles, furniture, toys, smartphones, and airplanes. The growth of IoT is leading to improvements in discrete industries. In discrete industries, IoT-enabled smart connected products provide a way to increase product functionality and generate additional value for customers. The 5G technology increases the overall bandwidth and allows a massive amount of IoT devices to connect, thus helping discrete manufacturers increase their productivity.
APAC is expected to lead the 5G Industrial IoT market during the forecast period
APAC, being an emerging economy, is witnessing dynamic changes in the adoption of new technologies and expected to record the highest market size and CAGR during the forecast period. It is a diversified region that includes a wide range of countries moving toward digital transformation. The region is set to dominate 5G, edge computing, blockchain, and 5G core technology, due to its size, diversity, and the strategic lead taken by countries, including Singapore, South Korea, China, Australia, and Japan. APAC is one of the biggest markets for connected devices.
Market Dynamics
Drivers
Growth in Data Traffic due to Increasing Number of IoT Devices Across Manufacturing Industries Increasing Demand for High Reliability and Low Latency Networks in Manufacturing Industries Growth in Number of M2M Connections Across Manufacturing Industries Rising Need of Preventive Maintenance for Critical Equipment Restraints
High Costs Required for Deployment of 5G Network Opportunities
Rising Demand for Private 5G Network Across Manufacturing Industries Rising Development of Smart Infrastructure Such as 5G-Enabled Factory Challenges
Delay in Spectrum Harmonization Across Geographies Issues Related to Deployment and Coverage of 5G Networks Companies Mentioned
ABB Advantech Asocs AT&T Bosch.Io China Mobile China Unicom Cisco Deutsche Telekom Ericsson Honeywell Huawei IBM Idemia Intel KT Corporation Microsoft Nokia NTT Data Qualcomm Siemens Sierra Wireless T-Mobile Telefonica Telit Telus Thales Group Verizon Vodafone For more information about this report visit https://www.researchandmarkets.com/r/bu9bhx.