Top IoT use cases & statistics for 2024

Top IoT use cases & statistics for 2024

January 31, 2024

Top IoT use cases across industries

Equipment predictive maintenance

Industrial IoT solutions collect real-time data from equipment endpoints, helping monitor the machines’ condition and predict potential issues, thus giving the personnel time to prevent costly failures and downtimes.

When industrial IoT sensors are installed so densely they can gather information on everything inside a factory, manufacturers can create a virtual copy of their facility with the help of machine learning and cloud computing capabilities. Digital twins in manufacturing let engineers simulate production floor processes, conduct experiments, and discover issues or opportunities for product improvement without interfering with manufacturing processes.

Smart energy management

Plants can leverage the help of IoT-enabled smart meters connected to energy management systems. With such a system in place, they can streamline energy audits and detect and eliminate abnormally high energy consumption, thus saving considerable costs and ensuring energy efficiency.

Quality control

Manufacturers can use IoT sensors to track such metrics as temperature, humidity, or pressure to control the conditions of the manufacturing process and end-product quality. In addition, IoT sensors enable factories to make quality assurance more rigorous and conduct it at every step of product manufacturing instead of only at the final stage.

Prominent real-life applications of IoT

Shopping with Amazon Go

Amazon owns 22 retail stores across the US that offer a ‘grab-and-go’ shopping model. Customers are supposed to enter the shop, put the goods in their bags, and simply walk out. The technology, powered by computer vision, deep learning, and IoT, will automatically add products to the customer’s virtual cart in the Amazon app and charge them as soon as they finish shopping and exit the store.

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IoT statistics for 2024 & beyond

IoT market state & growth trends by use cases

The global Internet of Things (IoT) annual revenue is estimated at around $335.8 bn in 2024 and is predicted to almost double by 2030, reaching a revenue of $621 bn.

In 2024, the largest IoT revenue share would be generated by connected vehicle technologies, accounting for $89 bn. Payment terminals are expected to bring $38.5 bn of revenue, while asset tracking and monitoring systems and precision specialist robots accounted for $14.7 bn and $11.4 bn, respectively.

  • Connected vehicles
  • Consumer Internet & media devices
  • IT infrastructure
  • Office equipment
  • Payment terminals
  • Personal assistance robots
  • Personal monitoring & tracking
  • Portable information terminals
  • White goods
  • Asset tracking & monitoring
  • Autonomous vehicles
  • Inventory management & monitoring
  • Precision specialist robots
  • Real world "visualization"
  • Portable information terminals
  • Remote process control
  • Smart grid
  • Access control & intercoms
  • Building automation
  • CCTV
  • Environmental monitoring
  • HVAC
  • Lighting
  • Parking space monitoring
  • Public information & advertising screens
  • Road infrastructure monitoring & control
  • Security & fire alarms

Scheme title: Internet of Things (IoT) annual revenue worldwide from 2023 to 2030, by use case (in billion U.S. dollars)
Data source: Statista.com

The growing number of IoT devices

The total number of connected IoT devices globally is projected to almost double from 17 billion in 2024 to more than 29 billion devices in 2030.

Scheme title: Number of IoT-connected devices worldwide in 2023 with forecasts to 2030
Data source: Statista.com

Top IoT security issues

According to Gartner, over 80% of organizations already employ IoT technology, and over 20% have already experienced an IoT-related cyber attack. OWASP names the top ten IoT security challenges:

Scheme title: IoT security challenges
Data source: owasp.org — OWASP Internet of Things

IoT security challenges
Insecure web, backend, API, cloud or mobile interfaces
Lack of device software & firmware updates
Use of outdated software or device components
Insufficient privacy protection
Insecure data transmission & storage
Poor device management
Use of default settings
Poor physical protection of devices
Weak passwords
Insecure network connection

IoT economic value

In their research, McKinsey found out that IoT in the manufacturing industry is expected to generate the largest value in 2030, about 26% of the total potential value. Next comes IoT for the healthcare industry, evaluated to bring up to $1.76 bn of revenue.

Scheme title:IoT estimated economic value in 2023, $ billions
Data source: mckinsey.com — The Internet of Things: catching up to an accelerating opportunity

$5,500 – $12,600bn

Grand total

Note: figures may not sum, because of rounding.

The geography of IoT adoption

By 2030, developed countries are expected to account for 55% of the potential IoT economic values, but China, with its mass adoption of 5G, will undoubtedly become a global force of IoT growth during the estimated period.

Scheme title: IoT economic value segregated by region
Data source: mckinsey.com — The Internet of Things: catching up to an accelerating opportunity

Factors influencing IoT adoption

Positive and negative factors affecting the at-scale adoption of IoT solutions vary from industry to industry. Still, McKinsey managed to single out cross-cutting tailwinds and challenges businesses face when implementing IoT systems.

Scheme title: Factors influencing IoT integration
Data source: mckinsey.com — The Internet of Things: catching up to an accelerating opportunity

TailwindsPerceived value propositionTechnology performanceConnectivity performanceIoT adoptionNeutralPower performanceIncentive alignmentPublic policyCostValue achievedHeadwindsChange managementInteroperabilityInstallationCybersecurityTalentPrivacy & condentiality

    Tailwinds accelerating the adoption of IoT

    Perceived value proposition

    Based on successful real-life examples of IoT implementation, IoT adopters believe that the value provided by the IoT is worth the investment.

    Technology performance

    Recent technological advancements in IoT sensors’ accuracy, AI and ML, and AR/VR facilitate the emergence of more IoT use cases and enable smarter data-driven insights.

    Connectivity

    The arrival of 5G connection and improved network protocols provide companies with the required network capacity, speed, latency, or reliability, promising greater performance and security.

    IoT implementation: 5 best practices

    Integrating any IoT system into business processes requires a comprehensive strategy and a complex approach. Here are the top 5 best practices to help you successfully implement an IoT solution.

    1 Set clear objectives

    Adopting an IoT solution requires considerable time and money. So as not to waste money and allocate resources wisely, businesses should clearly define the goals and problems that the future IoT system will solve. These objectives should align with your industry domain, the size of your business, the amount of current operations automation, and future growth plans. For example, logistics companies can consider adopting an IoT solution to enhance fleet management and increase revenue, while healthcare organizations may implement IoT to provide better patient care and improve facility management.

    2 Ensure interoperability & compatibility of IoT devices

    IoT devices with multiple sensors are the primary points of contact with the target environment and gather critical data for future analysis. That is why, when installing IoT devices, ensure they are compatible with each other and the existing infrastructure to gather and transmit data seamlessly and without error. Interoperable devices should be able to communicate using APIs or protocols like MQTT, CoAP, or HTTP. Adopting a modern IoT platform can also facilitate device interoperability by serving as a mediator and translator between IoT devices' different protocols.

    3 Select powerful IoT data analytics tools

    IoT analytics tools are the brains of IoT solutions since they provide companies with meaningful insights into their business operations. Modern IoT analytics platforms, fuelled with ML and AI capabilities, can process data in near real-time, increasing the accuracy of data analysis and minimizing the possibility of human mistakes.

    4 Don’t neglect security

    Integrating an IoT solution into the company’s infrastructure significantly widens the organization’s threat surface. When an IoT environment isn’t properly secured, cybercriminals can access sensitive data or trade secrets and also utilize unprotected devices to tamper with other elements of the organization's infrastructure. To ensure the safety of your business data, establish strong security policies that include measures for the physical protection of IoT devices, regular firmware and software updates, network protection mechanisms, access control, multi-factor authentication, proper management of legacy systems, and real-time security monitoring.

    5 Adopt a consistent change management strategy

    To ensure the success of your IoT implementation endeavor and make the adoption process smoother, prepare your team for future technological advancements by adopting a feasible change management strategy. You can communicate the importance of IoT for the organization by holding several meetings or seminars. Also, organize training sessions for those employees who will be involved in day-to-day interactions with the new solution. Finally, let employees share their feedback on the IoT system and how it can be improved.

    Start your digital transformation with IoT

    IoT is a fast-growing technology offering companies of all sizes transformational solutions. By taking a proper approach to IoT implementation and eliminating all potential obstacles, businesses can unlock the full potential of IoT solutions and benefit from real-time visibility, increased operational efficiency, reduced operating costs, and data-driven predictive and prescriptive insights. If you’re looking for a technology partner to bring your IoT solution to life, turn to Itransition experts for professional IoT implementation services.