The rise of 5G is transforming the Internet of Things (IoT) like never before. From smart homes to industrial automation, healthcare to transportation, 5G is making IoT devices more powerful, efficient, and reliable. The combination of ultra-fast speeds, low latency, and massive connectivity is allowing industries to take full advantage of IoT at scale.
1. 5G IoT Market Size: The global 5G IoT market is expected to reach $40 billion by 2026
The demand for 5G-powered IoT is surging, and the numbers tell the story.
By 2026, the market is projected to hit $40 billion, driven by industries such as manufacturing, smart cities, healthcare, and logistics.
Businesses investing in 5G IoT today are positioning themselves for future growth. Companies should explore how they can integrate 5G into their operations—whether through smart sensors, AI-driven automation, or real-time monitoring systems.
For startups, the opportunity lies in developing new IoT applications that leverage 5G’s speed and capacity.
For investors, this growth indicates that telecom companies, chip manufacturers, and IoT solution providers will see significant revenue gains. Those looking to capitalize on this trend should consider partnerships with 5G network providers and IoT hardware companies.
2. 5G IoT Growth Rate: The market is projected to grow at a CAGR of 50%+ from 2023 to 2030
A 50% compound annual growth rate (CAGR) means that the 5G IoT sector is expanding at an exponential pace.
This rapid adoption is fueled by the increasing number of connected devices and the push for automation in multiple industries.
Businesses should prepare for this shift by upgrading legacy systems to be compatible with 5G. Companies that rely on IoT, such as logistics firms and healthcare providers, should focus on adopting 5G-capable devices to stay competitive.
For developers and startups, this growth presents an opportunity to create new applications for smart devices, edge computing, and AI-driven analytics.
The speed of 5G allows for real-time data collection, making it easier to build predictive maintenance systems and automated workflows.
3. Connected Devices by 2030: There will be over 30 billion IoT devices connected by 2030, with a significant portion using 5G
By the end of this decade, IoT devices will be everywhere. From smart appliances to industrial sensors, more than 30 billion devices will be connected worldwide, with a major share utilizing 5G for faster, more reliable connectivity.
Businesses should focus on developing an IoT strategy to capitalize on this expansion. Those in manufacturing, energy, and logistics should explore how they can integrate 5G into their existing operations to enhance efficiency and reduce costs.
For consumers, this means more connected homes, seamless automation, and smarter cities. Investing in 5G-compatible devices today ensures future-proofing as networks continue to expand.
4. 5G IoT Connection Growth: 5G-enabled IoT connections are expected to reach 3.5 billion by 2030
The number of 5G-enabled IoT connections is rising rapidly. As more industries transition to 5G, we’ll see a dramatic increase in connected devices, ranging from industrial robots to medical wearables.
Companies should start planning for this surge in connectivity by upgrading their infrastructure. Businesses that rely on data-intensive applications should look into edge computing solutions, which help process data closer to the source and reduce network congestion.
For telecom providers, this growth presents a chance to expand their services. Offering customized 5G IoT solutions for industries such as transportation, retail, and agriculture will create new revenue streams.
5. 5G IoT Revenue Share: By 2025, 5G will contribute over 25% of total IoT revenue globally
5G is not just enhancing IoT—it is becoming a major driver of revenue in the sector. By 2025, one-fourth of all IoT revenue will come from 5G-connected devices and services.
Businesses should take advantage of this trend by developing new revenue models around 5G. Subscription-based services, data monetization, and AI-powered automation are all areas that will thrive in the 5G era.
For startups, focusing on niche areas like real-time analytics, smart infrastructure, and connected healthcare can provide a competitive edge. Telecom companies should consider bundling IoT solutions with their 5G plans to attract more enterprise customers.
6. Low-Latency Communication: 5G reduces latency to 1 millisecond, compared to 4G’s 50 milliseconds
One of the biggest advantages of 5G for IoT is ultra-low latency. With response times as fast as 1 millisecond, 5G enables near-instantaneous communication between devices, making it perfect for applications like autonomous driving, remote surgery, and smart factories.
Businesses in industries that require real-time data should prioritize upgrading to 5G. Autonomous vehicles, for example, rely on low latency to make split-second decisions. Similarly, industrial automation benefits from real-time monitoring and predictive maintenance.
For developers, 5G’s low latency opens up new opportunities for AR/VR applications, robotics, and AI-driven solutions. Startups working on these technologies should focus on building 5G-native applications to stay ahead of the competition.
7. IoT Network Efficiency: 5G can support 1 million devices per square kilometer, a 10x increase over 4G
The sheer capacity of 5G to handle massive numbers of connected devices is a game-changer. With support for up to 1 million devices per square kilometer, smart cities, industrial zones, and large-scale IoT networks can function seamlessly.
Businesses should leverage this capability by deploying more IoT sensors and automation tools. Smart city planners can implement large-scale infrastructure projects, such as connected traffic lights and real-time public transportation monitoring.
For companies operating in crowded environments like stadiums, airports, and retail hubs, 5G’s ability to handle more devices without congestion will improve customer experiences and operational efficiency.
8. Industrial IoT Adoption: 60% of global manufacturers plan to implement 5G IoT solutions by 2025
Manufacturers are rapidly adopting 5G-powered IoT solutions to improve efficiency, reduce downtime, and enhance automation. With 60% of manufacturers expected to transition to 5G IoT by 2025, the industrial sector is one of the biggest beneficiaries of this technology.
Companies should assess their existing processes to determine where 5G can provide the most value. Predictive maintenance, supply chain optimization, and AI-powered quality control are just a few areas where 5G IoT can enhance productivity.
For startups developing industrial IoT applications, the focus should be on creating solutions that integrate seamlessly with existing manufacturing processes. Providing real-time analytics, remote monitoring, and AI-driven insights will make these solutions even more valuable.
9. Smart Cities Growth: By 2027, 80% of smart city applications will be powered by 5G IoT
The rapid expansion of smart cities is being fueled by 5G technology. By 2027, 80% of smart city applications will be using 5G IoT to improve traffic management, energy efficiency, public safety, and environmental monitoring.
For governments and urban planners, this presents an opportunity to build smarter infrastructure. Implementing 5G-powered IoT in traffic lights, public transport, waste management, and surveillance systems can significantly improve urban living conditions.
Businesses can also benefit from this shift by developing IoT solutions tailored for smart cities. Companies in real estate, energy, and public services should consider how their products can integrate with 5G networks to offer better efficiency and sustainability.
10. Healthcare IoT Impact: 5G-powered healthcare IoT is expected to grow at a CAGR of 70% by 2030
The healthcare industry is undergoing a massive transformation, thanks to 5G-enabled IoT. With a growth rate of 70% annually, healthcare IoT is revolutionizing patient monitoring, telemedicine, and robotic surgeries.
Hospitals and healthcare providers should start investing in 5G-enabled devices, such as wearable health monitors and remote diagnostic tools. These technologies allow doctors to track patient vitals in real time and provide better care, even from a distance.
For tech startups, there is a massive opportunity in developing AI-driven healthcare applications. Businesses can focus on creating smart medical devices, automated drug delivery systems, and predictive analytics for early disease detection.
11. Automotive IoT Adoption: Over 75% of new vehicles will be connected to 5G by 2026
The automotive industry is quickly integrating 5G IoT into vehicles, with more than 75% of new cars expected to be 5G-enabled by 2026. This shift is driven by advancements in autonomous driving, vehicle-to-everything (V2X) communication, and connected car services.
Automakers should prioritize 5G integration to enhance safety and driving experience. Features like real-time navigation, traffic management, and remote diagnostics will become standard in most vehicles.
For startups and app developers, creating solutions that improve fleet management, driver assistance, and infotainment systems will be highly profitable. Businesses should also explore partnerships with telecom companies to enable seamless 5G connectivity in vehicles.
12. Smart Homes Adoption: By 2025, 50% of all smart home devices will be using 5G connectivity
Smart homes are becoming more connected than ever, and by 2025, half of all smart home devices will operate on 5G networks. This includes security cameras, thermostats, smart locks, and voice assistants.
Home automation companies should ensure their devices are 5G-ready to provide a seamless experience. Faster connectivity and low latency will enable real-time security monitoring, energy management, and AI-powered personal assistants.
For consumers, investing in 5G-compatible smart home products will ensure long-term usability and better integration with future technologies. Companies selling smart home solutions should focus on creating user-friendly, plug-and-play devices that enhance daily life.
13. 5G-enabled Wearables: The 5G wearable market is expected to grow by 500% from 2022 to 2028
The wearable technology market is booming, with 5G connectivity driving significant growth. By 2028, the demand for 5G-enabled smartwatches, fitness trackers, and augmented reality glasses will increase by 500%.
Wearable device manufacturers should focus on incorporating 5G to improve performance, real-time data sharing, and cloud-based AI capabilities. Smart health monitoring, interactive AR/VR experiences, and seamless mobile connectivity are some areas where 5G will make a big impact.
For businesses, the future of 5G wearables presents opportunities in healthcare, gaming, and remote work solutions. Startups should explore how wearables can be integrated with other IoT ecosystems, such as smart homes and workplaces.
14. 5G IoT in Agriculture: 40% of precision agriculture solutions will rely on 5G IoT by 2026
Agriculture is undergoing a digital revolution, with precision farming benefiting significantly from 5G IoT. By 2026, nearly 40% of smart farming applications will be powered by 5G.
Farmers should leverage 5G-enabled sensors, drones, and automated irrigation systems to enhance productivity. With real-time soil monitoring and AI-powered analytics, farmers can reduce waste and improve crop yields.
Agri-tech companies should focus on developing 5G-based solutions that simplify farm management. Partnering with telecom providers to offer connectivity in rural areas will ensure farmers have access to cutting-edge agricultural technology.
15. Energy Sector Adoption: Over 60% of utility companies will implement 5G IoT for smart grids by 2027
The energy sector is moving towards smart grid solutions, with over 60% of utility companies expected to adopt 5G IoT by 2027. These advancements will enable real-time monitoring, predictive maintenance, and automated energy distribution.
Energy providers should invest in 5G-powered sensors and AI-driven analytics to optimize grid management. This will help in reducing outages, improving efficiency, and lowering operational costs.
For startups, developing IoT solutions for energy efficiency, renewable energy management, and grid security can be a lucrative opportunity. Smart energy management systems integrated with 5G will play a crucial role in sustainable development.
16. Data Traffic Growth: 5G IoT will generate over 79 exabytes of data per month by 2026
With billions of connected devices, 5G IoT will produce an unprecedented amount of data—over 79 exabytes per month by 2026. Managing and utilizing this data effectively will be a key challenge and opportunity for businesses.
Companies should invest in AI and machine learning tools to process and analyze IoT data efficiently. Implementing edge computing solutions can help reduce latency and enhance real-time decision-making.
For cloud service providers, this massive data surge presents an opportunity to offer tailored storage, security, and analytics solutions for 5G IoT applications. Businesses should ensure they have scalable infrastructure to handle future data demands.
17. 5G in Supply Chain: 45% of logistics companies will use 5G IoT tracking by 2025
Supply chains are becoming more efficient and transparent with the integration of 5G IoT. By 2025, 45% of logistics companies will utilize 5G-enabled tracking systems to optimize operations.
Businesses should implement 5G-based asset tracking to monitor shipments in real-time. With better visibility into supply chains, companies can reduce delays, prevent losses, and improve inventory management.
For technology providers, developing smart logistics solutions such as AI-driven route optimization and automated warehouse systems will be in high demand. Companies should explore partnerships with e-commerce and transportation firms to expand their market reach.
18. Public Safety IoT Growth: 5G-powered public safety IoT will grow at a CAGR of 45%+
Public safety is being enhanced with 5G-powered IoT applications. From real-time surveillance to emergency response systems, 5G is improving the way cities and law enforcement agencies handle security and crisis management.
Governments should prioritize investment in 5G-connected security cameras, automated traffic control systems, and AI-driven crime prediction tools. This will enhance law enforcement capabilities and improve citizen safety.
For tech companies, there is an opportunity to develop AI-powered monitoring systems that integrate with 5G networks. Creating predictive analytics for crime prevention and disaster response can significantly improve public safety efforts.
19. 5G in Retail IoT: Over 30% of retailers will adopt 5G IoT for automated stores and smart shelves
The retail industry is undergoing a significant transformation, with 5G IoT driving the shift toward automation, smart inventory management, and personalized shopping experiences. By 2025, over 30% of retailers will be using 5G-powered IoT to enhance their operations.
Retailers should focus on integrating 5G-enabled smart shelves, automated checkout systems, and AI-driven customer analytics. With real-time inventory tracking, businesses can reduce stock shortages and optimize supply chain management.
For technology providers, this presents an opportunity to develop intelligent retail solutions that improve efficiency and customer satisfaction.
Startups should explore innovations like augmented reality shopping, personalized promotions, and AI-powered chatbots to enhance the retail experience.
20. Global 5G Network Expansion: By 2025, over 70% of mobile networks will support 5G IoT connections
The rapid expansion of 5G networks is creating a more connected world. By 2025, over 70% of mobile networks will support 5G IoT, enabling businesses and consumers to take full advantage of ultra-fast connectivity.
Businesses should prepare for this widespread adoption by upgrading their devices and applications to be 5G-compatible. Industries such as healthcare, transportation, and smart cities should explore how to leverage 5G for improved operations.
For telecom companies, expanding 5G infrastructure into rural and underserved areas will be key. Providing seamless connectivity will drive economic growth and open new business opportunities in remote locations.
21. 5G IoT Module Prices: The cost of 5G IoT modules is expected to drop by 50% by 2026
One of the biggest barriers to 5G adoption has been the cost of hardware. However, with economies of scale and technological advancements, the price of 5G IoT modules is expected to decrease by 50% by 2026.
Businesses should take advantage of this price drop by planning for large-scale deployments of 5G-enabled devices. Industries such as agriculture, logistics, and manufacturing can implement IoT solutions at a much lower cost.
For startups, this reduction in costs means a lower barrier to entry for developing innovative 5G-based products. Entrepreneurs should explore business models that capitalize on cheaper, high-performance IoT hardware.
22. 5G IoT Edge Computing: By 2028, over 60% of IoT applications will leverage 5G-powered edge computing
Edge computing is becoming a crucial component of 5G IoT, with over 60% of IoT applications expected to rely on it by 2028. This shift is driven by the need for faster data processing and reduced latency.
Businesses should prioritize edge computing solutions to improve efficiency. By processing data closer to the source, companies can reduce the need for cloud-based processing and improve response times for critical applications.
For developers, there is a significant opportunity to build AI-driven edge computing solutions. Applications in autonomous vehicles, industrial automation, and smart cities will benefit greatly from real-time data analysis at the edge.
23. 5G Satellite IoT: 25% of IoT connections in remote areas will use 5G satellite networks by 2027
In remote and rural areas, where traditional mobile networks struggle, 5G satellite IoT is emerging as a key solution. By 2027, one-fourth of IoT connections in these areas will rely on satellite-based 5G networks.
Businesses operating in remote locations, such as mining, agriculture, and maritime industries, should explore satellite IoT solutions to improve connectivity. These networks enable real-time monitoring, automation, and data collection even in the most isolated areas.
For satellite service providers, this represents a growing market. Developing cost-effective satellite IoT solutions and ensuring seamless integration with terrestrial 5G networks will be critical for expansion.
24. 5G in Smart Manufacturing: Over $100 billion will be invested in 5G IoT-driven smart factories by 2030
Manufacturing is one of the biggest beneficiaries of 5G IoT, with over $100 billion expected to be invested in smart factory technologies by 2030. This includes automation, robotics, and AI-powered production lines.
Manufacturers should embrace 5G IoT to enhance productivity and reduce operational costs. Predictive maintenance, real-time quality control, and autonomous robots are some of the key applications transforming the industry.
For technology providers, there is a significant opportunity to develop software and hardware solutions for smart factories.
Partnering with manufacturing companies to provide 5G-enabled automation tools will be a profitable strategy.
25. Telecom Investment in 5G IoT: Telecom companies are expected to invest $500 billion in 5G IoT infrastructure by 2030
Telecom companies are leading the charge in 5G IoT, with an estimated $500 billion investment in infrastructure by 2030. This includes expanding network coverage, deploying edge computing, and enhancing cybersecurity.
Businesses should closely watch these investments to align their IoT strategies with the latest network advancements. Companies in industries such as retail, healthcare, and logistics should collaborate with telecom providers to optimize their 5G deployments.
For startups, telecom partnerships can provide access to cutting-edge infrastructure and open new business opportunities. Developing solutions that integrate seamlessly with telecom networks will be key to success.
26. 5G IoT in Healthcare Wearables: 40% of health wearables will be connected via 5G by 2026
The healthcare wearables market is experiencing rapid growth, with 40% of devices expected to be connected via 5G by 2026. These include smartwatches, glucose monitors, and ECG tracking devices.
Healthcare providers should integrate 5G wearables into patient care plans to enable real-time health monitoring. With faster connectivity, doctors can track vitals, detect early signs of illness, and improve remote patient management.
For device manufacturers, focusing on 5G-powered medical wearables will be a strategic move. Developing AI-driven health monitoring tools that provide real-time insights will enhance the value of these devices.
27. 5G and Drones: 50% of commercial drones will use 5G connectivity by 2025
Drones are becoming a crucial part of various industries, from agriculture to security and logistics.
By 2025, half of all commercial drones will rely on 5G connectivity for real-time data transmission and autonomous operations.
Businesses using drones should invest in 5G-enabled models to improve performance and efficiency. Real-time video streaming, automated flight paths, and AI-driven analytics will enhance drone capabilities.
For tech startups, there is an opportunity to develop software solutions that integrate drones with 5G networks. Creating AI-powered drone applications for delivery, surveillance, and environmental monitoring can drive innovation in this sector.
28. 5G IoT Security Growth: Spending on 5G IoT cybersecurity is expected to reach $15 billion by 2028
As the number of 5G IoT devices grows, so does the need for security. By 2028, businesses and governments will be spending $15 billion on 5G IoT cybersecurity solutions.
Companies should prioritize cybersecurity in their 5G IoT deployments. Implementing strong encryption, AI-driven threat detection, and regular security updates will help protect sensitive data.
For cybersecurity firms, there is a growing demand for IoT security solutions. Developing tools that safeguard connected devices from cyber threats will be a lucrative opportunity.
29. IoT-Driven 5G Revenue: By 2030, over 20% of total 5G revenue will come from IoT applications
IoT is becoming a major revenue driver for 5G networks, with over 20% of total 5G revenue expected to come from IoT applications by 2030.
Businesses should look for ways to monetize their IoT solutions by offering subscription services, AI-driven analytics, and data insights. Developing value-added services around IoT data can open new revenue streams.
For telecom providers, bundling IoT services with 5G plans will be key to attracting enterprise customers.
Creating industry-specific IoT solutions for healthcare, logistics, and manufacturing will drive long-term growth.
30. 5G in Consumer IoT: Consumer IoT devices connected to 5G will surpass 500 million units by 2027
The consumer IoT market is expanding rapidly, with over 500 million 5G-connected devices expected by 2027.
Tech companies should focus on developing user-friendly, high-performance 5G IoT devices for consumers. Smart home automation, personal AI assistants, and AR/VR applications will be key areas of growth.
For retailers, offering 5G-compatible smart products will be a competitive advantage.
Businesses should explore partnerships with telecom providers to offer bundled IoT solutions with 5G connectivity.
wrapping it up
The rapid expansion of 5G is revolutionizing IoT across industries, from smart cities and healthcare to retail and manufacturing. With billions of devices set to connect in the coming years, businesses that adapt early will gain a competitive edge.
