<span lang="EN-US" calibri",sans-serif;mso-ascii-theme-font:minor-latin;mso-hansi-theme-font:="" minor-latin;mso-bidi-theme-font:minor-latin"="" style="box-sizing: border-box;">The Global Internet of Things Artificial Intelligence (IoT AI) Market size is estimated to reach $85 billion by 2027, growing at a CAGR of 6.9% during the forecast period 2022-2027, attributed to the growing emphasis on data management solutions, huge amount of data generated by IoT devices, increasing use of real-time analytics for improving customer experience and so on. The collection & analysis of data from digital machines is a difficult process and it requires the deployment of advanced technologies like machine learning, natural language processing and deep learning. IoT AI assists industries in collecting massive amounts of data from varied sources. The role of IoT AI is to automatically identify patterns and detect anomalies in data generated by sensors and embedded systems by using machine learning (ML) & natural language processing (NLP). Additionally, the rapid growth of machine-to-machine communication towards increasing automation, rising smart city & smart home initiatives, and increasing use of connected devices such as sensors, smart lights and smart meters to improve the efficiency of infrastructure and related services are some of the significant reasons behind the rising demand of internet of artificial intelligence. These factors are set to transform the internet of things artificial intelligence (IoT AI) industry outlook in the coming time.
Internet of Things Artificial Intelligence (IoT AI) Market Report Coverage
The “Internet of Things Artificial Intelligence (IoT AI) Market Report – Forecast (2022-2027)” by IndustryARC, covers an in-depth analysis of the following segments in the Internet of Things Artificial Intelligence (IoT AI) Market.
Key Takeaways.
- Machine learning technology in the Internet of Things Artificial Intelligence (IoT AI) Market is analyzed to grow at the highest rate during the forecast period 2022-2027, owing to the increasing adoption of machine learning in healthcare, automotive & retail sectors, growing implementation of machine intelligence with real-time analytics solutions and so on.
- Manufacturing industry is analyzed to grow at the fastest rate in the global Internet of Things Artificial Intelligence (IoT AI) market during 2022-2027, attributed to increasing adoption of automation technology in manufacturing, growing use of robots to increase the speed & reduce the cost of production and so on.
- North America dominated the global Intelligent warehouse market with a share of 37% in 2021, attributed to the growing use of IoT-enabled devices coupled with smart home culture, increasing demands for semi and fully automated consumer electronics & home appliances in the region and so on.
- Increasing use of machine-to-machine communications for real-time data exchange and government initiatives towards the development of smart cities are analyzed to significantly drive the market growth of the Internet of Things Artificial Intelligence (IoT AI) Market during the forecast period 2022-2027.
Internet of Things Artificial Intelligence (IoT AI) Market Segment Analysis - by Technology
Machine learning technology in the Internet of Things Artificial Intelligence (IoT AI) Market is analyzed to grow at the fastest rate of 7.2% during the forecast period 2022-2027, owing to the increasing adoption of machine learning in healthcare, automotive & retail sectors, growing implementation of machine intelligence with real-time analytics solutions and so on. Machine learning delivers insights on data for automated response and improves decision-making. It is used to forecast future trends, detect anomalies and provide insights by analyzing data in the form of images, videos or audio. Machine learning can help to decipher the hidden patterns in IoT data by analyzing massive amounts of information using sophisticated algorithms. These inferences can augment or eliminate manual procedures with automated systems by applying statistically analyzed actions in key activities. Various tools provided by machine learning technologies for data visualization, exploratory data analysis, data cleaning and data operations are the main reason behind the increasing use of machine learning technologies in various verticals. In May 2021, Google announced the general availability of Vertex AI, a managed machine learning (ML) platform by Google. The platform assists organizations in the deployment and maintenance of artificial intelligence (AI) models. It requires nearly 80% fewer lines of code to train a model using the Vertex AI platform that helps data scientists & ML engineers of all levels of expertise in the implementation of machine learning operations efficiently. These factors have been significantly impacting the growth of machine learning technology in the Internet of Things Artificial Intelligence (IoT AI) industry over time.
Internet of Things Artificial Intelligence (IoT AI) Market Segment Analysis - by Industry Vertical
The manufacturing industry is analyzed to grow with the highest CAGR of 7.5% in the global Internet of Things Artificial Intelligence (IoT AI) market during 2022-2027. This market growth can be attributed to the increasing adoption of automation technology in manufacturing, the growing use of robots to increase the speed & reduce the cost of production and so on. IoT AI assists in the efficient management of various operations like equipment performance monitoring for predictive analytics, warehouse maintenance, quality control, inventory forecasting and human-machine interaction. IoT AI can drastically reduce product lifecycle by enabling faster, more efficient and effective supply management. Additionally, the increasing application of robots, drones & digital machines at manufacturing sites, the growing need for real-time machinery monitoring and reducing the chances of accidents & injuries at the production units are some of the major factors behind the adoption of the internet of things artificial intelligence in the manufacturing sector. In May 2021, Robert Bosch Engineering and Business Solutions (RBEI) launched a new Phantom Edge AIoT platform that combines the power of Artificial Intelligence and the Internet of Things. It provides real-time monitoring of electrical energy consumption, operational usage, electrical parameters and appliance-level information to increase the operational efficiency in an organization. It helps in lowering the cost and increasing the output in the manufacturing sector. Such factors are analyzed to positively impact the growth of the global Internet of Things Artificial Intelligence (IoT AI) market size for the manufacturing industry in the coming time.
Internet of Things Artificial Intelligence (IoT AI) Market Segment Analysis - by Geography
North America dominated the global Intelligent warehouse market with a share of 37% in 2021, attributed to the growing use of IoT-enabled devices coupled with smart home culture, increasing demands for semi and fully automated consumer electronics & home appliances in the region and so on. Additionally, the increasing use of AI & IoT solutions in healthcare & life science, the growing adoption of robots in varied industries especially after Covid-19, growth of low code development platforms is some of the major factors boosting the growth of the internet of things artificial intelligence market in the region. According to a report published by smartamerica.org in 2021, the US government will spend $41 trillion over the next 20 years upgrading infrastructure to benefit from IoT. With these massive investments, the Internet of Things will drastically improve the quality of life for city dwellers. Citizens will benefit from better resource management and will increase governance. These factors are set to transform the North American Internet of Things Artificial Intelligence (IoT AI) industry outlook over time.
Internet of Things Artificial Intelligence (IoT AI) Market Drivers
Increasing Use of Machine-to-Machine Communications for Real-Time Data Exchange is Influencing the Adoption of Internet of Things Artificial Intelligence (IoT AI) Solutions:
Increasing adoption of machine-to-machine technology in varied sectors for the exchange of real-time data is accelerating the demand for internet of things artificial intelligence (IoT AI) solutions. These machine-to-machine applications collect and transmit data over a wireless network of embedded systems. This information is utilized to automate and streamline various operations in a network. These applications are used by government agencies to monitor various critical infrastructures such as pump stations and electrical machinery, manage landfills, monitor offenders, manage fleets of cars, trucks, and buses and control valuable assets such as heavy machinery & digital machines. In July 2021, Abracon, LLC announced the acquisitions of Proant AB and Proant Asia Limited in order to integrate the Proant AB antenna product line with wireless machine-to-machine and Internet of Things (IoT) applications. Customers will benefit from these developments as they will assist in feasibility studies, antenna simulations, active antenna measurements, quick prototyping and matching network design. This information will help in the improvement of customer services and increase customer satisfaction. According to Forbes 2022 report, Facebook employs real-time data analytics to identify and eliminate harmful information such as fake news and abusive posting from the 4.75 billion posts generated each day on its platform. It would not have been possible without using real-time data and analytics. Such factors will help in propelling the growth of the internet of things artificial intelligence (IoT AI) industry in the long run.
Government Initiatives Towards the Development of Smart Cities is Surging the Demand for Internet of Things Artificial Intelligence (IoT AI) solutions:
The government mandate to develop smart cities is accelerating the demands for the internet of things artificial intelligence solutions. The smart city system integrates information and communication technology (ICT) with various physical devices linked to the Internet of Things (IoT) network to improve the efficiency of city operations & services. Smart city technology allows city administrators to communicate directly with inhabitants and local infrastructure and assists in monitoring them remotely. IoT AI is used to improve the quality, performance and responsiveness of urban services in order to reduce costs and resource consumption. It facilitates citizen-government interaction and offers a real-time response to adverse circumstances making cities more resilient to adversity. In February 2020, Cisco and Connexin collaborated with Quantela to accelerate the growth of smart cities in the United Kingdom. The highway network has adopted the most recent IoT-based smart city technology in the United Kingdom. This solution is built on the CityOS platform, combining best-of-breed capabilities from Cisco Kinetic and Atlantis smart city solutions of Quantela. According to a report published by International Data Corporation in 2021, the Internet of Things (IoT) and smart application of technologies in public places, roadways and other metropolitan areas are predicted to increase rapidly to USD 202 billion between 2021 and 2025. These factors are the major factors behind the increasing adoption of cloud technology, 5G and AI in top cities. These factors are set to expand the Internet of Things Artificial Intelligence (IoT AI) market size in the coming time.
Internet of Things Artificial Intelligence (IoT AI) Market Challenges
Cyber Security and Data Privacy Concerns related to the Use of Internet of Things Artificial Intelligence (IoT AI) are limiting Market Growth.
Cybersecurity and data privacy issues associated with the use of Internet of Things Artificial Intelligence (IoT AI) technology are restricting the market growth. Increasing vulnerabilities of the digital machines to security breaches and cyberattacks is hampering the adoption of IoT technologies as once an attacker enters an IoT network, he will get access to all the devices & data stores in various systems attached to the network. IoT systems include wireless networks, cloud databases for communication, sensors, data processing programs and smart devices that interact closely with one another. These gadgets use the internet and web browsers which makes them more vulnerable to cyberattacks, hacking and trojan attacks. According to a report published by Kaspersky in 2022, about 639 million breaches were recorded in all of 2020 and 1.51 billion breaches of IoT devices were reported between January and June of 2021. Such factors are impending the growth of the internet of things artificial intelligence (IoT AI) industry.
Internet of Things Artificial Intelligence (IoT AI) Industry Outlook
Product launches, acquisitions and R&D activities are key strategies adopted by players in the Internet of Things Artificial Intelligence (IoT AI) Market. The top 10 companies in the Internet of Things Artificial Intelligence (IoT AI) market are:
- Amazon Inc.
- Cisco Systems Inc.
- Google LLC
- Intel Corporation
- IBM Corporation
- Microsoft Corporation
- NVIDIA Corporation
- Oracle Corporation
- Salesforce Inc.
- Advantech
Recent Developments
- In July 2022, Advantech launched new AIoT and IIoT embedded systems comprising products, solutions and services in hardware, software, memory and displays. These products were developed to serve as the building blocks of Artificial Intelligence of Things (AIoT) and the Industrial Internet of Things (IIoT). They support iManager & WISE DeviceOn for maintenance and lowers operation costs significantly. These products & solutions will increase the adoption of AIoT technologies and will reduce the cost of production of AIoT solutions.
- In January 2022, AWS AIoT Core Launched Two New Features Downlink Queue Management and Network Analyzer for LoRaWAN to manage and monitor communications between devices and the cloud. Customers can schedule, delete, and even purge downlink messages using the Downlink Message Management feature, and Network Analyzer can be used to monitor the messages and troubleshoot issues related to uplink or downlink events. It will facilitate machine-to-machine communication and will accelerate the use of such AIoT technologies.
- In May 2021, Google launched a new IoT-focused solution Nest Hub. It includes Google Assistant technology integrated with Google Photos that allows the user to view and control all connected devices from a single dashboard. It provides overall AI integration with IoT to enable data exchange between machines and aids in the formation of smart homes. The solution will provide assistance in the use of connected devices by integrating IoT and AI technologies.
