India Internet of Things Market

India Internet of Things Market Size and Share:

The India Internet of Things market size was valued at USD 1.4 Billion in 2024. Looking forward, IMARC Group estimates the market to reach USD 3.6 Billion by 2033, exhibiting a CAGR of 10.2% from 2025-2033. South India currently dominates the market, holding a significant share. The market is being propelled by rapid digital transformation across sectors, a growing penetration of affordable smartphones and internet services, and supportive government initiatives. In addition, the increasing adoption of automation in manufacturing, rising demand for real-time analytics, and the expansion of cloud computing and artificial intelligence (AI) technologies are encouraging enterprises to integrate Internet of Things (IoT) solutions for improved efficiency, productivity, and client engagement. These factors are collectively contributing to the growth and expansion of the India Internet of Things market share.

National policies and initiatives are fostering a supportive environment for technology integration by enhancing infrastructure, encouraging digital literacy, and providing financial incentives. These initiatives aid in speeding up the implementation of IoT solutions in different industries. Furthermore, the growing accessibility of inexpensive mobile devices and data connections is broadening the scope of IoT by allowing more users to engage with interconnected systems. This increase in digital access facilitates the wider adoption of applications and services based on IoT technology. In addition, businesses are implementing connected technologies to oversee equipment performance, optimize resource management, and improve overall operational efficiency. This transition to digital systems in manufacturing and logistics significantly propels IoT adoption. These trends are expected to play a major role in shaping the India Internet of Things market forecast over the coming years.

Apart from this, individuals are becoming more at ease with connected devices that provide convenience, energy management, and remote control features. As understanding and cost-effectiveness are enhancing, an increasing number of households are incorporating IoT into their everyday lives. Furthermore, the rising utilization of cloud platforms offers expandable storage and processing capabilities for the substantial amounts of data produced by IoT systems. AI enriches this data through pattern recognition and predictive analytics, resulting in IoT implementations that are more intelligent and effective. Additionally, healthcare professionals are utilizing connected technologies to boost patient results, increase operational efficiency, and facilitate remote services. IoT solutions enable data-centric health tracking and efficient clinical workflows.

India Internet of Things Market Trends:

Proliferation of Connected Devices and Affordable Internet Access

A swift increase in smartphone usage, broadband connectivity, and affordable data plans is establishing a solid foundation for widespread IoT implementation throughout India. The internet users in the country are expected to surpass 900 million by 2025, driven by the increasing usage of Indic languages in online content, according to a report from the Internet and Mobile Association of India (IAMAI) and KANTAR. The increasing number of users, coupled with a rising middle class, is fueling the acceptance of connected consumer devices, such as smart televisions (TVs), wearables, and home automation systems. Telecom companies are swiftly expanding high-speed coverage, and the deployment of 5G is expected to improve support for low-latency, high-bandwidth IoT applications. In rural areas, initiatives such as BharatNet are facilitating the application of IoT in agriculture, telemedicine, and supply chain management. As device prices decrease and cloud-edge integrations develop, IoT is becoming a practical and broadly used solution for individuals and enterprise applications nationwide.

Advancement in Indigenous Semiconductor and IoT Hardware Development

The shift toward self-sufficiency in semiconductor and chip production is offering a favorable India Internet of Things market outlook, emphasizing the development of affordable, high-quality hardware domestically. The Government's backing via policy incentives, design-linked incentives (DLI), and production-linked incentives (PLI) initiatives is fostering domestic innovation in chip design and manufacturing. With an increasing number of companies focusing on creating programmable, secure, and energy-efficient chips designed for IoT applications, the market acquires hardware that is both cost-effective and suited for local environments. These innovations facilitate the wider use of connected devices in wearables, consumer gadgets, industrial setups, and intelligent infrastructure. By lessening reliance on imported chips and tackling cost obstacles, local semiconductor advancements are improving the scalability and availability of IoT solutions, particularly for startups and smaller businesses throughout various industries in India. In line with this trend, in 2024, Mindgrove Technologies introduced India’s first commercial high-performance IoT chip, named "Secure IoT," which is 30% cheaper than competing chips. This RISC-V-based system on chip (SoC) is designed for a wide array of connected devices, ranging from wearables to smart city infrastructure. The chip aimed to support India’s IoT industry by offering security, programmability, and cost-effective solutions.

Rising Adoption in Preventive and Personalized Healthcare

The increasing prevalence of lifestyle-related illnesses like diabetes, hypertension, and obesity is encouraging healthcare providers and tech companies to implement IoT-driven solutions for early identification and ongoing monitoring. Devices, including blood pressure monitors, smart scales, and wearable health trackers, are becoming vital for gathering real-time health information, which can be combined with digital health platforms for tailored insights and interventions. These technologies enable active management of health issues, reducing reliance on face-to-face consultations and enhancing long-term patient results. The need for remote health monitoring is rising in urban and semi-urban regions, propelled by convenience, cost-effectiveness, and heightened awareness. With an increase of preventive healthcare, the combination of IoT with telemedicine platforms, diagnostic tools, and health management applications is becoming a crucial factor in bolstering the India Internet of Things market growth. In 2025, MediBuddy partnered with ELECOM to launch IoT-based health monitoring devices in India. The devices, including body composition scales and blood pressure monitors, will integrate with MediBuddy’s platform to offer personalized health insights. This collaboration aims to improve preventive healthcare and address the growing issue of lifestyle diseases in India.

India Internet of Things Industry Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the India Internet of Things market, along with forecasts at the country and regional levels from 2025-2033. The market has been categorized based on component, application, and vertical.

Analysis by Component:

• Hardware
• Software
• Services
• Connectivity

The hardware segment forms the foundation of the market, including sensors, actuators, gateways, RFID tags, and edge devices that gather and send data. With the rising demand for smart devices in sectors, such as manufacturing, energy, and agriculture, the necessity for sturdy and scalable hardware solutions persists. Investments in embedded systems and progress in semiconductor technologies are propelling the growth of this segment.

The software segment is essential for the effective operation of IoT systems, providing platforms for data gathering, integration, visualization, and analysis. This encompasses device management applications, real-time operating systems, and middleware that enable smooth communication between devices. Expansion in this segment is bolstered by an increasing demand for analytics driven by AI and machine learning, which assist organizations in obtaining actionable insights and automating decision-making procedures.

Services related to IoT encompass consulting, system integration, support, and managed services that guarantee the successful implementation and functioning of IoT infrastructure. Companies depend on these services to create tailored solutions, tackle interoperability issues, and ensure ongoing system efficiency. The growing intricacy of IoT ecosystems and the requirement for comprehensive solutions are catalyzing the demand for professional and managed services in various sectors.

The connectivity segment includes technologies like Wi-Fi, Bluetooth, Zigbee, LPWAN, and cellular networks that enable interaction among IoT devices. As India’s telecom infrastructure grows and 5G is introduced, connectivity options are becoming quicker, more dependable, and more appropriate for extensive deployments. This segment is experiencing swift advancements to enable low-power, wide-area communication crucial for smart cities, industrial IoT, and remote monitoring uses.

Analysis by Application:

• Smart Home
• Smart Wearables
• Smart Cities
• Smart Grid
• IoT Industrial Internet
• IoT Connected Cars
• IoT Connected Healthcare
• Others

The smart home segment is gaining momentum in India with rising adoption of connected appliances, security systems, voice-controlled assistants, and energy-efficient lighting. Increasing disposable incomes, the growing awareness about home automation, and enhanced internet accessibility are driving this demand. Individuals are investing in IoT-enabled solutions to enhance comfort, safety, and energy management.

Smart wearables, including fitness trackers, smartwatches, and health-monitoring devices, are witnessing significant growth due to heightened health consciousness and lifestyle changes. Integration of features like heart rate monitoring, sleep tracking, and real-time notifications is making wearables popular among young and urban individuals. The segment is also benefiting from partnerships between tech firms and healthcare providers, expanding the role of wearables in preventive health and remote patient monitoring.

Smart cities are a significant application domain for IoT in India, fueled by governmental initiatives. The IoT is utilized for effective traffic control, waste management, monitoring water supply, and ensuring public safety. As urbanization increases, local authorities are utilizing interconnected solutions to maximize resources, improve service delivery, and elevate the quality of life in crowded urban areas.

The smart grid segment is vital for revolutionizing India’s energy framework. The integration of IoT allows for real-time observation of electricity distribution, anticipatory maintenance, and adaptable load balancing. Power companies are putting money into smart meters and automated systems to decrease transmission losses and enhance billing precision. The drive for renewable energy integration and modernization of the grid is increasing the deployment of IoT in this segment.

IoT Industrial Internet is crucial segment in the market because producers are utilizing IoT for predictive maintenance, asset tracking, process automation, and quality assurance. Industries like automotive, electronics, and pharmaceuticals are leveraging IoT industrial internet to minimize downtime and enhance operational efficiency. The demand for competitive edge and immediate insight throughout supply chains is encouraging investments in IoT industrial internet.

IoT connected cars segment is gaining traction as there is an increase in interest in vehicle telematics, infotainment solutions, and real-time diagnostics. Car manufacturers are incorporating IoT to provide improved safety features, maintenance notifications, and connectivity services within vehicles. The government's focus on vehicle tracking and the rising individual interest in smart mobility solutions are further promoting advancements in this sector, especially in urban areas.

IoT connected healthcare is revolutionizing the delivery of medical services in India through remote monitoring, intelligent diagnostics, and the integration of patient data. IoT devices aid in managing chronic illnesses, emergency response frameworks, and individualized treatment strategies. As the demand for accessible and efficient healthcare rises, both hospitals and startups are adopting IoT to close coverage gaps and enhance patient outcomes.

Others include uses in agriculture, logistics, retail, and environmental oversight. IoT is assisting farmers through precision farming, irrigation management, and monitoring crops. In logistics, the IoT facilitates real-time management of fleets and monitoring of inventory. Retailers are using IoT for tailored client interaction and intelligent shelf solutions.

Analysis by Vertical:

• Healthcare
• Energy
• Public and Services
• Transportation
• Retail
• Individuals
• Others

Energy represents the largest segment, mainly because of the increasing emphasis on enhancing energy generation, distribution, and consumption. Utility and energy firms are progressively embracing IoT-integrated smart meters, grid oversight systems, and predictive maintenance technologies to improve efficiency and lower operational expenses. The deployment of smart grids enables real-time tracking and adaptive load control, promoting a more stable and robust energy system. Moreover, renewable energy sources like solar and wind gain advantages from IoT-driven solutions that monitor performance, forecast maintenance requirements, and oversee storage systems. Government initiatives that encourage energy efficiency and digital transformation in the energy sector are also speeding up the adoption of IoT. The combination of AI and data analytics with IoT platforms is assisting energy providers in obtaining actionable insights, enhancing operations, and achieving sustainability objectives. These elements together establish the energy sector as the premier industry in India’s developing IoT ecosystem.

Regional Analysis:

• North India
• West and Central India
• South India
• East India

South India dominates the market owing to its advanced technological ecosystem, robust digital infrastructure, and strong presence of IT and electronics manufacturing hubs. Cities like Bengaluru, Hyderabad, and Chennai serve as key centers for innovation, housing numerous startups, research institutions, and multinational tech firms that are actively developing and deploying IoT solutions across sectors. For instance, in 2025, Deloitte launched its Global AI Simulation Centre of Excellence (CoE) in Bengaluru as part of a $3 billion investment in generative AI. The CoE will focus on enhancing decision-making through AI-driven simulations, covering sectors like 5G, IoT, and robotics. It aims to support businesses with real-time insights, improve efficiency, and drive innovation. The region also benefits from proactive state government initiatives promoting smart city development, digital governance, and industrial automation, particularly in Tamil Nadu, Karnataka, and Telangana. Moreover, the presence of major manufacturing clusters and industrial corridors is catalyzing the demand for connected technologies in logistics, energy, and smart factory applications.

Competitive Landscape:

Major companies in the market are concentrating on broadening their product ranges via ongoing innovation, incorporating sophisticated technologies like AI, ML, and edge computing into their IoT solutions. They are putting resources into research operations to improve device interoperability, security, and data analysis abilities. Numerous entities are establishing strategic partnerships and collaborations with telecom operators, cloud service providers, and sector-specific companies to provide comprehensive IoT solutions. There is a higher focus on scalable platforms designed for industries, such as manufacturing, energy, healthcare, and transportation. In 2025, India announced the launch of the IoT- and AI-based Depot Darpan platform to digitally monitor over 2,000 food grain depots. The system will track infrastructure, safety, and operational metrics using smart sensors and real-time data. The platform and mobile app will be officially inaugurated on May 20, 2025.

The report provides a comprehensive analysis of the competitive landscape in the India Internet of Things market with detailed profiles of all major companies.

Latest News and Developments:

• April 2025: In response to the growing consumer demand for smart homes, Panasonic in India launched a cutting-edge Smart Home Experience Centre, a one-stop shop for Panasonic products that are designed to redefine smart living. The center offers numerous innovative products equipped with Panasonic’s IoT platform, Miraie, to enhance convenience and comfort, safety and security, and overall health and wellness in smart homes.
• February 2025: Probus Smart Things, an IoT communications startup based in New Delhi, secured a funding of USD 5 Million in its Series A1 funding round, spearheaded by Unicorn India Ventures and assisted by US-based and Indian family offices. With this most recent series of debt and equity funding, the firm has raised a total of USD 8 million to scale its operations.
• February 2025: In an effort to revolutionize technological education throughout India, Altium LLC established a partnership with Amazon Web Services (AWS) India Private Limited. As part of this partnership, the companies will provide a comprehensive curriculum that equips graduates for in-demand jobs in IoT applications, cloud computing, and electronics.
• September 2024: ABB India launched ABB-free@home in India, a smart home automation solution with improved interoperability. This state-of-the-art all-inclusive wireless home automation system is intended to improve the security, comfort, and energy efficiency of residential homes. It enables customers to integrate and control other components, including EV chargers, third-party devices, and white goods appliances using a single user interface.

India Internet of Things Market Report Scope:

Key Benefits for Stakeholders:

• IMARC’s report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the India Internet of Things market from 2019-2033.
• The research study provides the latest information on the market drivers, challenges, and opportunities in the India Internet of Things market.
• Porter's Five Forces analysis assists stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the India Internet of Things industry and its attractiveness.
• Competitive landscape allows stakeholders to understand their competitive environment and provides an insight into the current positions of key players in the market.