Global IoT Chip Market is valued approximately at USD 493.78 billion in 2023 and is anticipated to grow with a healthy growth rate of more than 14.3% over the forecast period 2024-2032. IoT chips are specialized integrated circuits embedded in machines, objects, and things. These chips utilize embedded technologies such as processors, sensors, connectivity ICs, memory devices, and logic devices to provide connectivity, data processing, and communication in IoT sensors and smart gateways. IoT chips play a crucial role in collecting, transmitting, and processing data within IoT systems, enabling seamless integration and functionality of interconnected devices. The increased deployment of 5G networks significantly drives the IoT chip market. With 5G's enhanced speed, reduced latency, and increased capacity, there is a growing need for IoT chips and 5G IoT chipsets to support the proliferation of interconnected devices. The Asia-Pacific region, particularly China, is a significant participant in the IoT chipset industry, driven by high investments in the consumer electronics sector, which propels the growth of the IoT chip industry in the region.

The market dynamics are fueled by the rising demand for connected devices across various industries such as healthcare, automotive, agriculture, and smart homes. Connected devices enable real-time information access, process automation, and productivity enhancement, thereby driving the growth of the IoT chips market. For instance, the International Data Corporation (IDC) indicated that worldwide smartphone shipments reached a total of 1.24 billion units in 2022. However, the high cost of deployment and maintenance of IoT chips poses a significant restraint. The initial costs, along with ongoing expenses for maintenance, upgrades, and connectivity services, can be prohibitive, particularly for small and medium-sized enterprises (SMEs), limiting adoption and hindering market growth. The rapid expansion of Industry 4.0 presents a significant opportunity for the IoT chip market. Industry 4.0 relies heavily on IoT solutions for automation, data exchange, and smart decision-making. IoT chips play a significant role in connecting machinery, sensors, and devices on the factory floor, facilitating real-time monitoring, predictive maintenance, and optimization of production processes. As businesses embrace digital transformation, the demand for IoT chips capable of supporting Industry 4.0 applications is growing.

The key regions considered for the global IoT Chip Market study include Asia Pacific, North America, Europe, Latin America, and Rest of the World. North America is a dominating region in the IoT Chip Market in terms of revenue. The market growth in the region is being attributed to factors including rapid adoption of IoT across sectors such as healthcare, automotive, and smart homes, the increasing demand for high-performance and low-power chips, robust R&D investments in IoT technologies, and the presence of a strong semiconductor ecosystem, fueling the growth of the IoT chip market. Whereas, the market in Asia Pacific is anticipated to grow at the fastest rate over the forecast period fueled by rapid urbanization, increasing government support for digital initiatives, the burgeoning e-commerce and consumer electronics industries, and the rising demand for smart infrastructure and connected devices across various sectors, driving the need for efficient and low-power IoT chip solutions.

Major market players included in this report are:
Samsung Electronics Co. Ltd
Analog Devices Inc.
Microchip Technology Inc.
Texas Instruments Incorporated
Infineon Technologies AG
STMicroelectronics NV
Intel Corporation
Qualcomm Technologies Inc.
NXP Semiconductors NV
MediaTek Inc.
The detailed segments and sub-segment of the market are explained below:
By Hardware:
Processor
Sensor
Connectivity IC
Memory Device
Logic Device
Others
By Industry Vertical:
Automotive
Banking Financial Services and Insurance
Retail
Healthcare
Consumer Electronics
Industrial
Others
By Region:
North America
U.S.
Canada
Europe
UK
Germany
France
Spain
Italy
ROE
Asia Pacific
China
India
Japan
Australia
South Korea
RoAPAC
Latin America
Brazil
Mexico
RoLA
Middle East & Africa
Saudi Arabia
South Africa
RoMEA
Years considered for the study are as follows:
Historical year - 2022
Base year - 2023
Forecast period - 2024 to 2032
Key Takeaways:
Market Estimates & Forecast for 10 years from 2022 to 2032.
Annualized revenues and regional level analysis for each market segment.
Detailed analysis of geographical landscape with Country level analysis of major regions.
Competitive landscape with information on major players in the market.
Analysis of key business strategies and recommendations on future market approach.
Analysis of competitive structure of the market.
Demand side and supply side analysis of the market.