Cellular IoT refers to the technology that uses cellular networks to connect physical devices to the internet. It relies on 2G, 3G, 4G, 5G, and LPWAN technologies, such as LTE-M and NB-IoT, for the transmission and reception of data. The standards for cellular network technology are maintained by the 3rd Generation Partnership Project (3GPP), which is responsible for developing the protocols for each next-generation cellular network. As such the key business drivers for penetration of these cellular IoT technologies include increasing deployment of cellular IoT modules in smart city infrastructure and building automation verticals, and growing demand for cellular IoT in agricultural automation and environmental monitoring.

According to the new market research report “Cellular IoT Market – Global Forecast to 2027”, published by MarketsandMarkets™, the Cellular IoT Market is projected to grow from USD 3.9 billion in 2021 to USD 15.4 billion by 2027; it is expected to grow at a CAGR of 25.7%from 2021 to 2027.

The key factors fueling the growth of the market include the increasing deployment of cellular IoT modules in smart city infrastructure and building automation verticals, and growing demand for cellular IoT in agricultural automation and environmental monitoring. Additionally, increasing application of cellular IoT modules in medical wearables, and Increasing applications for cellular IoT modules in vehicle telematics and fleet management is expected to create a growth opportunity for the cellular IoT market.

The hardware segment is projected to account for the largest share of the cellular IoT market during the forecast period.

Hardware components such cellular IoT modules and chipsets form the basis of the entire cellular IoT ecosystem. The increasing deployment of cellular IoT modules in wearables and connected healthcare devices as well as smartcity infrastructure, and building automation projects is expected to fuel the growth of the hardware segment during the forecast period

The market for wearable devices segment is expected to grow at the highest CAGR during the forecast period

Increasing demand for medical wearables during the COVID-19 pandemic is expected to fuel the growth of the wearable devices segment during the forecast period.

APAC region is expected to grow at the highest CAGR during the forecast period.

China, Japan, India, and South Korea are the major countries contributing to the growth of the cellular IoT market in APAC. Rapid deployment of smart city projects and increased demand for connected health wearable devices during the COVID-19 pandemic are driving the growth of the regional market.

The key players operating in the cellular IoT market include Quectel (China), Thales Group (France), Fibocom Wireless (China), Telit Communications (UK), and u-blox Holding (Switzerland).

Quectel (China)

Quectel is one of the leading players in the manufacturing of cellular IoT modules. The company is among the top 5 players in the market. Quectel offers cellular and GNSS modules for a broad range of cellular technologies, such as 5G, LTE/LTE-A, NB-IoT/LTE-M, Universal Mobile Telecommunications System (UMTS)/High-Speed Packet Access (HSPA

Thales Group (France)

Thales Group covers the entire IoT stack, starting from connectivity and security to management and analysis. The company’s connectivity stack comprises modules, terminals and gateways, modem cards, system on modules, development kits, and industrial SIM cards. Its security portfolio includes an IoT security platform with trusted key management solutions. Thales offers a Cinterion IoT suite that manages IoT devices and comprises connectivity management. Its product portfolio supports all cellular technologies, including LTE, NB-IoT, LTE Cat.M, and 5G.