Riding a surge in smart metering and AI-ready devices, global cellular IoT modules climbed 10% in Q3 2025, with India powering standout regional growth of 40% with smart metering.
Global cellular IoT module shipments grew 10% year-on-year (YoY) in the third quarter of 2025, according to a recent report by Counterpoint Research. The report highlighted that the growth was supported by continued demand in smart metering, asset tracking, routers/CPE equipment and automotive applications.
The ongoing transition from RF/PLC technologies to cellular connectivity continued to accelerate. However, the quarter also highlighted tighter profitability conditions, with cash-flow strength emerging as a critical factor for vendors investing in RedCap, AI-enabled modules and customer support while managing declining average selling prices.
Among the regions, India recorded a 40% YoY increase, driven by smart metering, POS devices and telematics. The Middle East and Africa delivered the second-fastest expansion from a smaller base, fuelled by utility upgrades and router/CPE deployments. Parts of Latin America also grew due to demand in telematics and smart meters.
Performance in mature markets was steady. China expanded 7% year-on-year on the back of smart meters, POS and Cat-1 bis deployments. Europe grew 11%, supported by automotive, router/CPE and second-wave AMI rollouts. North America rose 4%, reflecting more measured enterprise spending.
Among the vendors, Quectel retained the largest global market share of 37%, with strong sales in China and international markets. China Mobile remained in second place with 12% market share, while Sunsea (SIMCom + Longsung) ranked third with 8%.
Lierda posted 73% annual growth, driven by Cat-1 bis shipments and increased presence in South Korea and Southeast Asia. Telit Cinterion led among international vendors outside China.
On the chipset side, Qualcomm dominated in 5G and high-end LTE, while ASR, UNISOC and Eigencomm strengthened their positions in Cat-1 bis.
Research Director Mohit Agrawal from Counterpoint noted, “Cat-1 bis has become the global standard for high-volume IoT, accounting for almost half of all shipments in Q3 2025. RedCap is entering its commercial phase, but meaningful volume will follow only when pricing approaches Cat-4/Cat-6 levels and 5G SA coverage becomes widespread. When these conditions intersect, RedCap will begin a broad replacement cycle for legacy 4G.”
He also highlighted rising demand for AI-capable IoT modules across surveillance, automotive, industrial and retail use cases, with vendors shifting focus toward edge intelligence and long-term service capabilities.
