IoT Sensor Market to Reach USD 346.1 Billion by 2035, Growing at 37.0% CAGR | Broadcom Inc., IBM Corporation

According to the report, the global IoT sensor market is likely to grow from USD 14.9 Billion in 2025 to USD 346.1 Billion in 2035 at a highest CAGR of 37.0% during the time period. The swift change in embracing smart technologies, increasing digitalization, and the demand to have real-time information in industries are the reasons why the global IoT sensor market has been growing.

The need to reduce costs is boosting the demand as the IoT sensors are increasingly integrated into consumer electronics such as smart TVs, wearables and connected appliances, whereas sectors like healthcare and automotive are implementing the sensors across predictive maintenance, remote monitoring and automation. The growth of the 5G networks, combined with the development of low-power sensor designs, is allowing a problem-free connection and increasing the lifespan of the devices. States are spending a lot of their money on smart city projects, which are increasing the number of sensors in traffic control, energy savings and environmental surveillance. Also, the emerging Industry 4.0 is improving the demand of IoT-powered sensors in industrialization.

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Regional Analysis of Global IoT Sensor Market

The Asia Pacific is the region with the highest demand of the IoT sensors because of the tremendous size of the digital transformation, rapid urbanization, and the largest manufacturing ecosystem in the world. Smart manufacturing, 5G-enabled IoT infrastructure, and connected mobility solutions are some areas where countries like China, South Korea and Japan are major investors, and this is causing high-volume sensor adoption. Also, the worldwide availability of electronic powerhouses like Samsung, Sony, Panasonic as well as government-driven efforts, such as India Smart Cities Mission and China New Infrastructure Plan, is a contributor towards massive rolling out of sensors in consumer electronics, transport, and smart utility systems.

The IoT sensor market in North America is expected to record the greatest growth rate due to the focus of the region on the new technologies, digitization of healthcare, and the autonomous vehicles. The U.S. is the leader in terms of R&D on AI-driven IoT platforms and edge computing, which directly increases sensor requirements. As an illustration, the implementation of interrelated healthcare technologies like remote patient monitoring systems and the implementation of Internet of Things in the electric and autonomous vehicles by Tesla and General Motors indicates the high growth trajectory of the region. In addition, good regulatory frameworks on energy efficiency and safety requirements also speed up the use in the industrial and commercial sphere.

Prominent players operating in the global IoT sensor market are ABB Group, Analog Devices Inc., Bosch Sensortec GmbH, Broadcom Inc., General Electric, Honeywell International Inc., IBM Corporation, Infineon Technologies, NXP Semiconductors N.V., Omron Corporation, Panasonic Corporation, Sensata Technologies, Sensirion AG, Siemens AG, Silicon Laboratories, STMicroelectronics N.V., TDK, TE Connectivity Ltd., Texas Instruments Incorporated, Vishay Intertechnology, and Other Key Players.

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Key Driver, Restraint, and Growth Opportunity Shaping the Global IoT Sensor Market

The worldwide IoT sensor market is the widespread introduction of sensors to personal health care, including continuous glucose monitor, remote heart rate device, and wearable fitness product. These resolutions contribute to preventive care and chronic illness treatment, driving sensor utilization in health care systems.

Among the notable limitations, it should be noted that the threat of cyberattacks and unauthorized access to sensitive information gathered by IoT sensors increases. The fear of patient health information being leaked, consumer information being misused and industrial espionage have made organizations shy and this has slowed down the adoption even when the technology is ready.

There is an opportunity to use IoT sensors together with edge AI, allowing to make decisions in real-time and at the device level without straining the cloud processing. It is especially useful in such applications as autonomous vehicles and industrial robots, which drive smarter, faster, and safer IoT ecosystems.

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Recent Development and Strategic Overview:

In July 2025, UK-based tech startup Spotta launched an AI-powered pest detection system using IoT sensors to help farmers reduce pesticide use. The system attracts specific insect species using pheromones and provides real-time data to a centralized AI platform, enabling early pest detection and precise pesticide application.

In January 2025, Milesight IoT introduced the VS373 Radar Fall Detection Sensor, designed for healthcare and elderly care applications. The sensor offers fall detection, dwell time monitoring, and smart security integration, enhancing patient safety and care efficiency.

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Key Trend: Growth of Edge Computing in IoT Sensor Data Processing
The transitions to edge computing are changing the manner in which the data of IoT sensors is processed and analyzed. Edge computing lowers latency, bandwidth costs, and reliance on centralized cloud environments by computing data nearer to its origin. An example of a major automotive manufacturer that introduced edge computing solutions in a production line in 2025 is able to control the quality of its products in real time and minimize downtimes.
This will enable real-time processing and making of decisions which will make the operations to be more efficient and responsive. Using edge computing is especially helpful in the applications that demand real-time analytics, which are autonomous vehicles, industrial automation, and smart cities.
The technology of edge computing is improving the effectiveness and promptness of IoT sensor applications, which is accelerating technological development.

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