Connected Device Market Size, Share, Growth, Trends, and Global Industry Analysis: By Component (Solutions, Services, Managed Services, Professional Services, Deployment & Integration, Support & Maintenance, Consulting), Deployment Mode (Cloud, Public Cloud, Private Cloud, Hybrid Cloud, On- Premises), By Organization Size (Large Enterprises, Small & Medium- sized Enterprises), By Application (Security & Emergency Management, Sales & Customer Management, Remote Monitoring, Predictive Maintenance & Asset Management, Inventory Management, Energy Management, Building Automation, Others), Industry Vertical (Manufacturing, Transportation & Logistics, Energy & Utilities, Retail & eCommerce, BFSI, healthcare & life Sciences, Government & Defence, Others) and Region Forecast 2020-2031

Connected Device Market size was valued at US$ 330 billion in 2024 and is projected to reach US$ 680 billion by 2031, growing at a 10.7% from 2025–2031. Moreover, the U.S. Connected Device Market is projected to grow significantly, reaching an estimated value of US$ 205,000 million (US$ 205 billion) by 2031.

The market is aggressively heading towards becoming the backbone of industries' digitalization through the inter-dependent co-existence of data, hardware, and cloud intelligences. Ranging from the voice speakers in smart homes, fitness bands, to industrial IoT, the devices are gaining a new dimension of communications, where humans, machines, and environments are becoming more intertwined. Not just is consumer and business-level movement towards productivity and customization propelling the market growth but also business-level transformation towards information-based decision-making, remote work, and automation. With the highly networked world, the ability to access insights in real-time, reduce latency, and improve operational visibility has transformed from a source of competitive advantage to a business imperative.

What makes this marketplace special is its great capability to bridge virtual and physical realms, having not just devices transmit information but also the ability to perceive and react to input from the physical world in an intelligent manner. As 5G deployments accelerate and edge computing goes mainstream, once-slender connected devices are no longer endpoints but are turning into active smart nodes. This phenomenon is most relevant to health care, logistics, farm, and automotive sectors, where locally meaningful real-time information can introduce new levels of security and efficiency. But the market is also getting more complicated, raising profound issues of data interoperability, information security, and system resilience that developers will need to solve to create enduring trust and scale.

Key Developments

• In March 2025, Assurant's 2024 Trade-In Report showed a customer shift towards AI devices, with newer phones being the most traded-in phones in 2024, a precursor to increased intelligent device features demand for 2025 upgrade requirements
• In December 2024, HERE Technologies and Pioneer came together to launch a new touchscreen navigation device for two-wheelers. The technology combines HERE's accuracy of location data with Pioneer's strengths in in-car technology, indicating diversification of connected interfaces beyond cars.
• In October 2024, EchoStar Mobile and Connected, an IoT company, launched "Connected One," a single device based on satellite connectivity for distant, off-grid locations, exemplifying additional innovation around location-agnostic, resiliently connected device solutions.

Connected Device Market Segmentation

Based on the components

• Solutions
• Services
  • Managed Services
  • Professional Services
    • Deployment and Integration
    • Support and Maintenance
    • Consulting

Among all the components, Solutions are providing most of the value within the market for connected devices as they are the necessary middleman between raw data and informed decisions. They embrace those platforms that support device orchestration, analytics, visualization, and decision-making in real time. As device ecosystems expand across sectors, business leaders are favoring the most converged solutions that bring together hardware, software, and streams of data into cohesive operational workflows. Automation-oriented, remote-access, and security-oriented solutions are gaining some momentum, especially in manufacturing and logistics sectors. These solutions also contrast with individual products in terms of how they are designed with agility in mind, capable of keeping up with an organization's requirements, combined throughout legacy infrastructure, and providing business continuity even in radically shifting environments.

Based on the deployment mode

• Cloud
  • Public Cloud
  • Private Cloud
  • Hybrid Cloud
• On-premises

Hybrid Cloud is emerging as the most practical and versatile model for integrated device ecosystems in deployment models. It unites the scalability and responsiveness of public cloud platforms with the control, privacy, and compliance of private or on-premises infrastructure. Hybrid cloud environments can process sensitive data on-prem, especially in highly regulated markets like finance and healthcare, yet still take advantage of the enormous processing capacity of the public cloud for machine learning and enterprise analytics workloads. Well worth it for networked devices in geographically dispersed or latency-sensitive situations, e.g., smart city installations or remote manufacturing. Hybrid cloud deployments in reality create a tailored environment wherein performance, security, and cost efficiency are optimized as an integrated package all at once. By Organization Size – Large Enterprises

Based on the organizational size

• Large Enterprises
• Small and Medium-sized Enterprises (SMEs)

High-end businesses are still the primary early adopters of networked devices because they have the infrastructure, investment funds, and strategic need necessary to drive digital transformation at scale. For them, networked devices are not tools, unlocking the potential for automation, customer experience enhancement, and predictive operations is the key to the future. To tailor consumer engagement or refine global supply chains, big companies send devices into large, multi-site settings and require advanced orchestration platforms to deal with the scope. Cybersecurity disruption, data convergence, and edge computing are called upon in like manner. Second, their abilities to fly and build proof-of-concepts in weeks place them at the forefront of testing, Establishing the tone for general market adoption patterns.

Based on the Industry vertical

• Manufacturing
• Transportation and Logistics
• Energy and Utilities
• Retail and eCommerce
• BFSI
• Healthcare and Life Sciences
• Government and Defense
• Others (Media and Entertainment, Education, and Travel and Hospitality)

The healthcare and life sciences vertical is rapidly emerging as a disruption-facilitating sector in the connected device space, driven by the need for real-time care delivery, predictive diagnosis, and continuous monitoring. From biosensors that are wearable to smart infusion pumps, connected devices are driving clinicians' data-based decision-making, patient compliance, and reduction of hospital readmission rates. Such technologies are particularly valuable in chronic and geriatric care, wherein the continuous monitoring of vitals outside the clinic is now unavoidable. Beyond this, the integration of AI in medical devices is creating new paradigms of personalized care. With regulatory ecosystems coming of age, connected healthcare solutions are transitioning from proof-of-concepts to mission-critical systems in the infrastructure of hospitals and home care.

Based on the application

• Security and Emergency Management
• Sales and Customer Management
• Remote Monitoring
• Predictive Maintenance and Asset Management
• Inventory Management
• Energy Management
• Building Automation
• Others (Product and Process Management, IT Infrastructure Management, and Cost Optimization)

Predictive maintenance and asset management are increasingly among the primary applications of connected devices, primarily in asset-intensive industries such as manufacturing, energy, and logistics. The technologies leverage real-time data from sensors embedded on equipment to forecast wear, detect anomalies, and schedule maintenance ahead of failures. This results in the dramatic reduction of unplanned downtime, longer equipment life, and improved safety compliance. Unlike reactive systems, predictive models can be learned from and monitored in real time, allowing organizations to make strategic resource allocations and lower operating costs. The growing convergence of IoT, AI, and cloud-based analytics is converting predictive maintenance into a value-generating engine, moving beyond the way companies deal with performance, ensure continuity, and invest capital into making decisions for mission-critical processes.