Global Artificial Intelligence (AI) in IoT Industry Outlook 2025-2029: Market Set to Cross $50.13 Billion Milestone

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Artificial Intelligence (AI) in IoT Market Size Growth Forecast: What to Expect by 2025?
In recent years, the market size for artificial intelligence (AI) in the Internet of Things (IoT) has seen a surge. The projections indicate that this market will expand from $15.34 billion in 2024 to $19.38 billion in 2025, showcasing a compound annual growth rate (CAGR) of 26.3%. Factors such as the growing need for data management, increased demand across various key industries, urbanization and industrial progression, a surge in the distribution of IoT devices, and regulatory backing and incentives are accountable for the growth witnessed during the historic period.

How Will the Artificial Intelligence (AI) in IoT Market Size Evolve and Grow by 2029?
The market for artificial intelligence (AI) in the Internet of Things (IoT) is predicted to undergo massive expansion in the upcoming years. It's projected to reach a value of $50.13 billion in 2029, with a compound annual growth rate (CAGR) of 26.8%. Factors contributing to this anticipated growth during the forecast period include the expansion of the 5G network, rising demand driven by population growth, specific AI applications within various industries, increased requirement for high-performance vehicles, and a rise in the demand from end-users. The forecast period is also expected to see a trend of increased demand for AI in IoT in developing markets.

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What Drivers Are Propelling the Growth of Artificial Intelligence (AI) in IoT Market Forward?
The anticipated expansion of the 5G network is predicted to accelerate the development of the artificial intelligence (AI) in IoT market. The implementation and deployment of fifth-generation wireless cellular technology, known as 5G network expansion, provides superior upload and download speeds, consistent connections, and better capacity relative to older networks. The high-speed, low-latency functionality of 5G technology will be instrumental in augmenting connectivity and data transfer abilities of IoT devices. This will pave the way for AI-powered application deployment. As reported by 5G Americas, a US-based telecommunication service provider, for example, worldwide 5G connections had soared to 701 million in Q1 of 2022, a rise of 17% compared to Q4 2021. These are also projected to escalate to 4.8 billion by 2026. Consequently, the expansion of the 5G network is propelling the AI in the IoT market's growth.

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Which Emerging Trends Are Transforming the Artificial Intelligence (AI) in IoT Market in 2025?
Principal businesses in the AI for IoT market are actively innovating new products to boost their market earnings. For example, in October 2022, Checkpoint Software Technologies Ltd., a software firm based in Israel, rolled out a new version of its Check Point Quantum cybersecurity software called Check Point Quantum Titan. This software is uniquely designed to deliver swift, AI-backed network security and top-tier threat prevention for in-house, cloud and IoT applications. It incorporates AI-powered network security, superior threat prevention, IoT safety, and ultra-scalable protections, all aimed at thwarting cyberattacks.

What Are the Key Segments in the Artificial Intelligence (AI) in IoT Market?
The artificial intelligence (ai) in iotmarket covered in this report is segmented -

1) By Components: Software, Platforms, Services
2) By Technology: Machine Learning, Natural Language Processing, Image Processing, Speech Recognition
3) By-End-User: Energy And Utilities, Manufacturing, Retail, Transportation And Mobility, Banking Financial Services And Insurance (BFSI)

Subsegments:
1) By Software: AI Analytics Software, Edge AI Software, Security Software
2) By Platforms: IoT Platforms With AI Capabilities, Cloud-Based AI Platforms, Device Management Platforms
3) By Services: Consulting Services, Integration Services, Support And Maintenance Services

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Who Are the Key Players Shaping the Artificial Intelligence (AI) in IoT Market's Competitive Landscape?
Major companies operating in the artificial intelligence (AI) in IoT market report are Amazon Inc., Google LLC, Microsoft Corporation, Hitachi Ltd., General Electric (GE), Intel Corporation, accenture* PLC, International Business Machines Corporation, Cisco Systems Inc., Qualcomm Technologies Inc., Oracle Corporation, Honeywell International Inc., SAP SE, Fujitsu Limited, NVDIA Corporation, Salesforce Inc., Texas Instruments Incorporated, STMicroelectronics, Infineon Technologies AG, Renesas Electronics Corporation, ARM Holdings, PTC Inc., Softweb Solutions Inc., SpaceTime Insight Inc., CloudMinds Inc.

What Geographic Markets Are Powering Growth in the Artificial Intelligence (AI) in IoT Market?
North America was the largest region in the artificial intelligence (AI) in IoT market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the artificial intelligence (AI) in iot market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

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