IoT Testing Market Size Predicted to Expand Rapidly, Driven by Increasing IoT Adoption and Quality Assurance Needs

The IoT Testing market was valued at $1.9 billion in 2022, and is estimated to reach $30.4 billion by 2032, growing at a CAGR of 32.6% from 2023 to 2032.

The market is growing in the North America region due to expanding IoT systems, testing technologies, and applications for smart, connected devices. The need for IoT testing solutions is driven by the North America region's significant technological advancements and demand for 5G IoT across all business sectors. Moreover, IoT environments are becoming more intricate, combining devices, cloud services, edge computing, and microservices.

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Testing these complex ecosystems requires a holistic approach that considers multiple layers and components. In addition, continuous monitoring and real-time analytics of IoT deployments are crucial for identifying anomalies and optimizing performance. IoT testing providers can expand their services to include ongoing monitoring solutions. Furthermore, as the demand for skilled IoT testers grows, opportunities arise for training and certification programs that equip professionals with the knowledge and skills needed to excel in IoT testing.

Moreover, growth in consumer awareness about the benefits of smart building and home automation solutions fuels demand. Consumers are becoming more informed about the potential advantages of IoT technology in their living and working environments, which drives the need for reliable testing services. Therefore, these features are expected to drive the IoT testing market share during the forecast period.

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Furthermore, major market players have undertaken various strategies to increase the competition and offer enhanced services to their customers. For instance, in January 2023, Cognizant, a prominent IT services company, acquired Mobica, a supplier of IoT software engineering services with its headquarters in Manchester, UK. Mobica's services include the whole software development lifecycle, focusing on customers' strategic internal research and development initiatives and core expertise in various domains, including testing. The purchase considerably broadens Cognizant's expertise in IoT-embedded software engineering and offers clients a broader range of end-to-end assistance to facilitate digital transformation.

Moreover, in May 2023, HCL Technologies launched ADvantage Code on Amazon Web Services (AWS) marketplace. The solution enhances and automates cloud-native application development. The solution aids businesses in scaling, standardizing, and lowering infrastructure expenses. In addition, the software enhances application development by automatically producing portions of the code. The code is then regularly reviewed, tested for security and quality, and ultimately deployed to the target platform via DevOps pipelines. This strategy was implemented to strengthen HCL Technologies position in the IoT testing market. Therefore, such strategies foster the IoT testing market forecast.

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On the basis of application, the smart manufacturing segment attained the highest IoT testing market size in 2022. This is because IoT-enabled systems provide manufacturers with data-driven insights that inform decision-making. As manufacturers increasingly rely on these insights to drive improvements and innovations, the demand for accurate data validation and testing grows.

On the basis of region, Asia-Pacific is considered to be the fastest growing region during the forecast period, due to the rising demand for effective manufacturing and the expansion of IT-based services in developing nations. The need for IoT testing solutions is driven by the region's significant technological advancements and demand for 5G IoT across all business sectors.

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The key players profiled in the IoT testing market analysis are AFour Technologies, Apica, Novacoast, Inc., Capgemini SE, Happiest Minds, HCL Technologies Limited, Infosys, Keysight Technologies, Praetorian, and Rapid7. These players have adopted various strategies to increase their market penetration and strengthen their position in the IoT testing industry.

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