As 5G and LTE Cat 1 bis make the market promising, cellular IoT connections reached 3.9 billion in 1H24 worldwide, with India eyeing growth through government initiatives and Airtel.
Global cellular IoT connections reached 3.9 billion in H1 2024, showing a 20% YoY growth and a 181% increase over the past five years. Presenting these figures, according to IoT Analytics, by the end of 2024, the cellular IoT is expected to surpass four billion connections, representing around 22% of the projected 18.8 billion global IoT connections.
The report shows cellular IoT connections are projected to hit 4.2 billion by early 2025, with a compound annual growth rate (CAGR) of 15% through 2030.
The growth of LTE Cat 1 bis and 5G technologies has fueled cellular IoT expansion. LTE Cat 1 bis offers efficient, cost-effective solutions for low-power applications like smart metering. Its connections grew by 68% YoY in H1 2024, particularly in China, which accounted for 85% of global connections.
5G IoT has grown significantly too, with China holding 80% of global connections. Key drivers include fixed wireless access (45% of connections) and the automotive sector (26%), supporting innovations like connected vehicles and C-V2X.
Apart from China, the report highlighted that India presents significant market potential, particularly with the government’s plan to deploy 250 million smart meters by 2027. This $20 billion initiative focuses on improving energy management, operational efficiency, data analytics, and resource optimisation in the world’s most populous country.
Among different market players, Airtel’s initiatives position it as a leader in India’s fast-growing IoT sector. In 1H24, it gained the most cellular IoT market share in India, primarily driven by its strong presence in the utility sector.
Airtel had previously partnered with IntelliSmart Infrastructure in December 2023 to provide a smart energy monitoring solution, streamlining deployment and expanding its IoT offerings. In January 2024, Airtel partnered with Adani Energy Solutions to connect over 20 million NB-IoT-powered smart meters across multiple states, enabling real-time energy management.
Looking ahead, large-scale projects incorporating cellular IoT technologies will be vital in transforming and modernising India’s energy sector.
In the other regions across the world, China Telecom gained 5.3% in market share by focusing on IoT-driven sustainability and urban management, including green lighting solutions saving 6 million KWh and creating the YiZhi smart city hub in China. KDDI increased its share by 2.4% in Japan, advancing connected vehicles and AI solutions and building a major AI data centre for digital transformation.
In South Korea, LG U+ saw a 7.8% growth, driven by IoT safety solutions and fourth-level autonomous driving projects. Verizon grew by 1.3% in the US with improved IoT connectivity and partnerships in connected vehicles. Orange led Europe’s IoT market with smart city initiatives and expanded globally.
Based on these trends, the report highlighted that mobile operators should learn from successful peers, while chipset, module, and device producers must strengthen ties with operators to expand market reach and ensure seamless integration of new technologies.
Additionally, 5G IoT is revolutionising applications like automotive connectivity, vehicle-to-vehicle (V2V) and vehicle-to-infrastructure (V2I) communications, while 5G fixed wireless access (FWA) is rapidly expanding remote IoT connectivity, which are promising factors.
The 5G reduced capability (RedCap) commercialisation in 2025 is set to bridge the gap between 5G and LTE, offering enhanced device efficiency and cost-effectiveness for mid-speed IoT applications like wearables and intelligent cameras.
