5G IoT market size set to grow by $77,586.17 million till 2027

The global 5G Iot market size is estimated to grow by USD 77,586.17 million from 2022 to 2027, according to Technavio. The market is estimated to grow at a CAGR of 106.67%, during the forecast period. APAC is estimated to account for 48% of the global market growth during the forecast period.

Key factor driving market growth

• Rising adoption of 5G is a major driving factor for the growth of the global 5G Internet of Things market.
• 5G technology enables a fully mobile and connected environment by offering consumers a variety of use cases and business models.
• Additionally, the high data speed and extremely low latency of 5G technology will enhance the user experience when using 5G services.
• Furthermore, the inclusion of 5G and IoT in transformation strategies significantly accelerates the realization of the goal. Fixed wireless access and customer premises equipment (CPE) are common infrastructure elements in smart cities. Smart cities are currently functional with fast 5G connections.
• Hence, the growing demand for higher data speeds is estimated to drive the growth of the market during the forecast period.

Leading trends influencing the market

• A major trend influencing the growth of the 5G IoT market is the robust demand from the healthcare industry.
• The digitization of healthcare changes the way people interact with healthcare professionals, share medical data, and make decisions.
• Various healthcare providers use 5G IoT sensors to monitor inventory and key patients as well as use them for services ranging from ambulances to medical supplies, the sensors can provide live feedback identifying the location and inventory of critical medical equipment.
• Hence, due to the growing use of IoT in the healthcare industry, the global 5G IoT market will witness high growth during the forecast period.

Major challenges hindering the market growth

• A primary challenge hindering the growth of the 5G IoT market is the lack of awareness about IoT.
• Most consumers, both individuals, and businesses, are still unaware of the advantages and benefits of using IoT networks and IoT devices.
• There are heavy investments to raise awareness of their technology through marketing and advertising by major electronics suppliers such as Samsung, Apple, LG, and Motorola.
• Furthermore, some consumer groups are aware of this technology, but low-value products impact the interest generated.
• Hence, factors like lack of awareness impede market growth for 5G IoT during the forecast period.

Technavio