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    Japan Internet of Things Market

    ID: MRFR/ICT/54034-HCR
    200 Pages
    Aarti Dhapte
    September 2025

    Japan Internet of Things Market Research Report By Application (Smart Home, Industrial Automation, Healthcare, Transportation, Wearables), By Component (Hardware, Software, Services), By End-use (Consumer Electronics, Manufacturing, Retail, Healthcare, Transportation), and By Network Technology (Wireless, Wired)- Forecast to 2035

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    Table of Contents

    Japan Internet of Things Market Summary

    The Japan Internet of Things market is projected to grow significantly from 19.7 USD billion in 2024 to 79.2 USD billion by 2035.

    Key Market Trends & Highlights

    Japan Internet of Things Key Trends and Highlights

    • The Japan Internet of Things market is valued at 19.7 USD billion in 2024.
    • By 2035, the market is expected to reach 79.2 USD billion, indicating robust growth.
    • The compound annual growth rate from 2025 to 2035 is estimated at 13.48 percent.
    • Growing adoption of smart technologies due to increasing demand for automation is a major market driver.

    Market Size & Forecast

    2024 Market Size 19.7 (USD Billion)
    2035 Market Size 79.2 (USD Billion)
    CAGR (2025-2035) 13.48%
    Largest Regional Market Share in 2024 latin_america)

    Major Players

    NEC Corporation, Panasonic, NTT Data, SoftBank Group, Hitachi, Siemens, Keysight Technologies, Mitsubishi Electric, Cisco Systems, IBM, Honeywell, Sony, Fujitsu, Samsung Electronics, Toyota

    Japan Internet of Things Market Trends

    Japan's Internet of Things (IoT) industry is expanding significantly due to a number of important market factors. Japan's sophisticated technology infrastructure, which is backed by significant investments in digitalization across a range of businesses, is one important cause. The country has a high rate of internet users and mobile connectivity, which promotes the use of IoT apps and devices.

    Government programs supporting smart city development and IoT integration in industries like manufacturing and healthcare also contribute to the market's expansion. The emphasis on sustainability has been a significant trend in the IoT market in Japan in recent years.

    Businesses are using IoT technologies more and more to create solutions that cut waste and improve energy efficiency. For example, environmental monitoring and smart agriculture are becoming more popular as companies try to support sustainable practices.

    Additionally, the aging population in Japan offers prospects for Internet of Things (IoT) devices that monitor health, facilitating communication between patients and healthcare providers to enhance patient care.

    The market is also seeing a change toward better device interoperability as a result of the need for smooth connectivity between different IoT devices. As a result of this trend, standardized protocols are created, which facilitates the integration of IoT solutions for businesses.

    There will be more chances for cooperation between technology companies and many industries to optimize the advantages of IoT as Japan pushes forward with Innovation 5.0. All things considered, Japan's IoT market is expected to expand as it adopts these revolutionary trends while upholding the demand for effective and safe technology developments.

    Source: Primary Research, Secondary Research, Market Research Future Database and Analyst Review

    Japan Internet of Things Market Drivers

    Market Segment Insights

    Internet of Things Market Application Insights

    Internet of Things Market Application Insights

    The Application segment of the Japan Internet of Things Market plays a critical role in shaping the country's technological landscape. With Japan being at the forefront of technological advancements, various applications such as Smart Home, Industrial Automation, Healthcare, Transportation, and Wearables are witnessing significant growth and adoption.

    The Smart Home segment is gaining traction as consumers increasingly seek connectivity and convenience, facilitated by smart appliances and devices. This shift not only enhances energy efficiency but also supports the growing trend toward sustainable living.

    Similarly, Industrial Automation is crucial in Japan's manufacturing sector, significantly enhancing operational efficiency and reducing downtime through advanced data analytics and machine learning capabilities. As the country focuses on modernization and automation of its industries, IoT plays a fundamental role in enabling real-time monitoring and process optimization.

    The Healthcare sector is experiencing a pivotal transformation, leveraging IoT for telemedicine, remote patient monitoring, and smart healthcare devices. This technology is particularly vital in Japan, an aging society where healthcare solutions need to be more efficient and accessible.

    Internet of Things Market Component Insights

    Internet of Things Market Component Insights

    The Component segment of the Japan Internet of Things Market is a vital area that influences the overall industry's trajectory. This segment encompasses essential components such as Hardware, Software, and Services, which together create a robust ecosystem for IoT applications.

    Hardware typically includes devices and sensors that enable data collection, while Software facilitates data analysis and management, crucial for actionable insights. Services are integral, offering support and enhancements that ensure operational efficiency and user satisfaction.

    The growing emphasis on smart city initiatives and Industry 4.0 in Japan necessitates a strong infrastructure provided by this segment. With government backing and investments aimed at enhancing connectivity and automation, there is a significant push towards adopting IoT solutions across various sectors, including manufacturing, healthcare, and smart homes.

    Additionally, Japan's focus on sustainable and efficient solutions further drives innovations in this segment, highlighting the importance of integration and interoperability among components to facilitate seamless operation and data flow. The importance of robust security measures within software and services cannot be understated, given the rising concerns surrounding data privacy and cybersecurity.

    Internet of Things Market Network Technology Insights

    Internet of Things Market Network Technology Insights

    The Japan Internet of Things Market focuses significantly on the Network Technology segment, which plays a crucial role in interconnecting devices, enabling real-time data exchange, and enhancing operational efficiency. This segment comprises Wireless and Wired technologies, both of which are essential for supporting various applications across industries.

    Wireless technologies, such as cellular, Wi-Fi, and Bluetooth, dominate the landscape due to their flexibility and ease of deployment, which cater to dynamic environments ranging from smart homes to industrial automation.

    On the other hand, Wired technologies, including Ethernet and fiber optics, are known for their reliability and speed, making them suitable for applications requiring stable connections, such as manufacturing and critical infrastructures.

    The growing demand for smart city initiatives, along with advancements in 5G technology, propels the adoption of both Wireless and Wired solutions in Japan's Internet of Things ecosystem.

    Get more detailed insights about Japan Internet of Things Market Research Report- Forecast to 2035

    Regional Insights

    Key Players and Competitive Insights

    The Japan Internet of Things market is characterized by rapid technological advancements and a growing demand for connected devices across various sectors, including consumer electronics, transportation, healthcare, and industrial automation. This market has become increasingly competitive as both established companies and emerging startups strive to carve out their niches.

    Japanese firms are leveraging their technological prowess to enhance product offerings, improve operational efficiency, and reduce costs in an era where connectivity and data exchange between devices are crucial.

    The integration of IoT technology is seen as a pivotal driver for business transformation, enabling companies to innovate and respond to market needs effectively. Various strategic partnerships, mergers, and collaborations are also shaping the landscape, as companies seek to combine strengths and broaden their market reach in this highly dynamic environment.

    NEC Corporation plays a significant role in the Japan Internet of Things market, where it has established itself as a leader in providing integrated solutions that utilize IoT technologies. Focused on areas such as smart transportation, public safety, and healthcare, NEC Corporation has developed a suite of offerings designed to enhance operational efficiency and improve quality of life through technological innovation.

    The company's IoT solutions harness advanced analytics, artificial intelligence, and cloud computing to deliver smart city initiatives and enhance enterprise operations. Its strong research and development capabilities enable NEC Corporation to stay at the forefront of IoT trends while fostering strategic collaborations with other industry players.

    This positions the company favorably in the competitive landscape, where the demand for smart and interconnected solutions continues to expand.

    Panasonic is another key player in the Japan Internet of Things market, recognized for its diverse portfolio that spans multiple sectors, including home appliances, automotive technology, and industrial solutions. The company's commitment to innovation is reflected in its development of smart home products and connected systems that integrate seamlessly with customers' lifestyles.

    Panasonic's IoT solutions focus on energy efficiency and sustainability while enhancing user experiences through connectivity. Notably, the company has engaged in strategic mergers and acquisitions to bolster its presence in the IoT space, acquiring firms that specialize in advanced technologies relevant to smart living and smart factories.

    With an emphasis on collaboration and research, Panasonic continues to strengthen its position and deliver impactful IoT solutions tailored to the Japanese market, aiming to meet evolving consumer demands and industry challenges.

    Key Companies in the Japan Internet of Things Market market include

    Industry Developments

    In recent months, the Japan Internet of Things (IoT) market has seen significant developments, particularly with NEC Corporation announcing plans to enhance its IoT solutions aimed at various sectors including smart cities and healthcare in September 2023.

    Meanwhile, Panasonic has expanded its focus on connected home appliances, demonstrating increasing investments in smart home technologies. In the current climate, SoftBank Group's ongoing investment in IoT startups emphasizes the shift towards innovative solutions that drive efficiency and connectivity.

    Noteworthy is the merger between Hitachi and a leading data analytics firm, solidified in August 2023, targeting advancements in industrial IoT capabilities. Companies like NTT Data continue to unveil new IoT platforms that streamline operations across industries, reflecting a growing market valuation that indicates a robust 12% year-on-year growth.

    Additionally, Toyota's initiatives in integrating IoT with automotive technologies showcase the broader application of IoT across transportation. Over the past two years, Japan has committed to enhancing its IoT infrastructure, backed by government initiatives aimed at promoting smart city initiatives, thereby solidifying its position as a leader in the global IoT landscape.

    Market Segmentation

    Internet of Things Market End-useOutlook

    • Consumer Electronics
    • Manufacturing
    • Retail
    • Healthcare
    • Transportation

    Internet of Things Market Component Outlook

    • Hardware
    • Software
    • Services

    Internet of Things Market Application Outlook

    • Smart Home
    • Industrial Automation
    • Healthcare
    • Transportation
    • Wearables

    Internet of Things Market Network Technology Outlook

    • Wireless
    • Wired

    Report Scope

     
    Report Attribute/Metric Source: Details
    MARKET SIZE 2023 17.38(USD Billion)
    MARKET SIZE 2024 19.71(USD Billion)
    MARKET SIZE 2035 79.25(USD Billion)
    COMPOUND ANNUAL GROWTH RATE (CAGR) 13.485% (2025 - 2035)
    REPORT COVERAGE Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
    BASE YEAR 2024
    MARKET FORECAST PERIOD 2025 - 2035
    HISTORICAL DATA 2019 - 2024
    MARKET FORECAST UNITS USD Billion
    KEY COMPANIES PROFILED NEC Corporation, Panasonic, NTT Data, SoftBank Group, Hitachi, Siemens, Keysight Technologies, Mitsubishi Electric, Cisco Systems, IBM, Honeywell, Sony, Fujitsu, Samsung Electronics, Toyota
    SEGMENTS COVERED Application, Component, End Use, Network Technology
    KEY MARKET OPPORTUNITIES Smart cities development, Industrial IoT expansion, Healthcare IoT innovations, Connected home devices growth, Agriculture IoT solutions.
    KEY MARKET DYNAMICS Smart city initiatives, Increasing adoption of AI, Robust infrastructure development, Rise in connected devices, Demand for automation solutions
    COUNTRIES COVERED Japan

    Market Highlights

    Author

    Aarti Dhapte
    Team Lead - Research

    She holds an experience of about 6+ years in Market Research and Business Consulting, working under the spectrum of Information Communication Technology, Telecommunications and Semiconductor domains. Aarti conceptualizes and implements a scalable business strategy and provides strategic leadership to the clients. Her expertise lies in market estimation, competitive intelligence, pipeline analysis, customer assessment, etc.

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    FAQs

    What is the expected market size of the Japan Internet of Things Market in 2024?

    The Japan Internet of Things Market is expected to be valued at 19.71 USD Billion in 2024.

    What is the projected market size of the Japan Internet of Things Market by 2035?

    By 2035, the Japan Internet of Things Market is projected to reach a valuation of 79.25 USD Billion.

    What is the Compound Annual Growth Rate (CAGR) for the Japan Internet of Things Market from 2025 to 2035?

    The expected CAGR for the Japan Internet of Things Market from 2025 to 2035 is 13.485%.

    Which application segment is expected to dominate the Japan Internet of Things Market by 2035?

    By 2035, the Industrial Automation segment is expected to dominate with a market value of 20.0 USD Billion.

    How much is the Smart Home application segment projected to be valued in 2035?

    The Smart Home application segment is projected to reach a value of 14.25 USD Billion in 2035.

    Who are the key players in the Japan Internet of Things Market?

    Major players include NEC Corporation, Panasonic, NTT Data, and SoftBank Group among others.

    What is the expected market size for the Healthcare application segment in 2035?

    The Healthcare application segment is expected to be valued at 18.0 USD Billion by 2035.

    What is the market value for the Transportation segment in 2024?

    The Transportation segment is valued at 3.0 USD Billion in 2024.

    What are the growth drivers for the Japan Internet of Things Market?

    Key growth drivers include advancements in technology, increasing automation, and rising demand for smart devices.

    How much is the Wearables application segment expected to grow by 2035?

    By 2035, the Wearables application segment is expected to grow to 14.0 USD Billion.

    1. EXECUTIVE SUMMARY
    2. Market Overview
    3. Key Findings
    4. Market Segmentation
    5. Competitive Landscape
    6. Challenges and Opportunities
    7. Future Outlook
    8. MARKET INTRODUCTION
    9. Definition
    10. Scope of the study
    11. Research Objective
    12. Assumption
    13. Limitations
    14. RESEARCH METHODOLOGY
    15. Overview
    16. Data Mining
    17. Secondary Research
    18. Primary Research
    19. Primary Interviews and Information Gathering Process
    20. Breakdown of Primary Respondents
    21. Forecasting Model
    22. Market Size Estimation
    23. Bottom-Up Approach
    24. Top-Down Approach
    25. Data Triangulation
    26. Validation
    27. MARKET DYNAMICS
    28. Overview
    29. Drivers
    30. Restraints
    31. Opportunities
    32. MARKET FACTOR ANALYSIS
    33. Value chain Analysis
    34. Porter's Five Forces Analysis
    35. Bargaining Power of Suppliers
    36. Bargaining Power of Buyers
    37. Threat of New Entrants
    38. Threat of Substitutes
    39. Intensity of Rivalry
    40. COVID-19 Impact Analysis
    41. Market Impact Analysis
    42. Regional Impact
    43. Opportunity and Threat Analysis
    44. Japan Internet of Things Market, BY Application (USD Billion)
    45. Smart Home
    46. Industrial Automation
    47. Healthcare
    48. Transportation
    49. Wearables
    50. Japan Internet of Things Market, BY Component (USD Billion)
    51. Hardware
    52. Software
    53. Services
    54. Japan Internet of Things Market, BY End Use (USD Billion)
    55. Consumer Electronics
    56. Manufacturing
    57. Retail
    58. Healthcare
    59. Transportation
    60. Japan Internet of Things Market, BY Network Technology (USD Billion)
    61. Wireless
    62. Wired
    63. Competitive Landscape
    64. Overview
    65. Competitive Analysis
    66. Market share Analysis
    67. Major Growth Strategy in the Internet of Things Market
    68. Competitive Benchmarking
    69. Leading Players in Terms of Number of Developments in the Internet of Things Market
    70. Key developments and growth strategies
    71. New Product Launch/Service Deployment
    72. Merger & Acquisitions
    73. Joint Ventures
    74. Major Players Financial Matrix
    75. Sales and Operating Income
    76. Major Players R&D Expenditure. 2023
    77. Company Profiles
    78. NEC Corporation
    79. Financial Overview
    80. Products Offered
    81. Key Developments
    82. SWOT Analysis
    83. Key Strategies
    84. Panasonic
    85. Financial Overview
    86. Products Offered
    87. Key Developments
    88. SWOT Analysis
    89. Key Strategies
    90. NTT Data
    91. Financial Overview
    92. Products Offered
    93. Key Developments
    94. SWOT Analysis
    95. Key Strategies
    96. SoftBank Group
    97. Financial Overview
    98. Products Offered
    99. Key Developments
    100. SWOT Analysis
    101. Key Strategies
    102. Hitachi
    103. Financial Overview
    104. Products Offered
    105. Key Developments
    106. SWOT Analysis
    107. Key Strategies
    108. Siemens
    109. Financial Overview
    110. Products Offered
    111. Key Developments
    112. SWOT Analysis
    113. Key Strategies
    114. Keysight Technologies
    115. Financial Overview
    116. Products Offered
    117. Key Developments
    118. SWOT Analysis
    119. Key Strategies
    120. Mitsubishi Electric
    121. Financial Overview
    122. Products Offered
    123. Key Developments
    124. SWOT Analysis
    125. Key Strategies
    126. Cisco Systems
    127. Financial Overview
    128. Products Offered
    129. Key Developments
    130. SWOT Analysis
    131. Key Strategies
    132. IBM
    133. Financial Overview
    134. Products Offered
    135. Key Developments
    136. SWOT Analysis
    137. Key Strategies
    138. Honeywell
    139. Financial Overview
    140. Products Offered
    141. Key Developments
    142. SWOT Analysis
    143. Key Strategies
    144. Sony
    145. Financial Overview
    146. Products Offered
    147. Key Developments
    148. SWOT Analysis
    149. Key Strategies
    150. Fujitsu
    151. Financial Overview
    152. Products Offered
    153. Key Developments
    154. SWOT Analysis
    155. Key Strategies
    156. Samsung Electronics
    157. Financial Overview
    158. Products Offered
    159. Key Developments
    160. SWOT Analysis
    161. Key Strategies
    162. Toyota
    163. Financial Overview
    164. Products Offered
    165. Key Developments
    166. SWOT Analysis
    167. Key Strategies
    168. References
    169. Related Reports
    170. LIST OF ASSUMPTIONS
    171. Japan Internet of Things Market SIZE ESTIMATES & FORECAST, BY APPLICATION, 2019-2035 (USD Billions)
    172. Japan Internet of Things Market SIZE ESTIMATES & FORECAST, BY COMPONENT, 2019-2035 (USD Billions)
    173. Japan Internet of Things Market SIZE ESTIMATES & FORECAST, BY END USE, 2019-2035 (USD Billions)
    174. Japan Internet of Things Market SIZE ESTIMATES & FORECAST, BY NETWORK TECHNOLOGY, 2019-2035 (USD Billions)
    175. PRODUCT LAUNCH/PRODUCT DEVELOPMENT/APPROVAL
    176. ACQUISITION/PARTNERSHIP
    177.                                                           LIST Of figures  
    178. MARKET SYNOPSIS
    179. JAPAN INTERNET OF THINGS MARKET ANALYSIS BY APPLICATION
    180. JAPAN INTERNET OF THINGS MARKET ANALYSIS BY COMPONENT
    181. JAPAN INTERNET OF THINGS MARKET ANALYSIS BY END USE
    182. JAPAN INTERNET OF THINGS MARKET ANALYSIS BY NETWORK TECHNOLOGY
    183. KEY BUYING CRITERIA OF INTERNET OF THINGS MARKET
    184. RESEARCH PROCESS OF MRFR
    185. DRO ANALYSIS OF INTERNET OF THINGS MARKET
    186. DRIVERS IMPACT ANALYSIS: INTERNET OF THINGS MARKET
    187. RESTRAINTS IMPACT ANALYSIS: INTERNET OF THINGS MARKET
    188. SUPPLY / VALUE CHAIN: INTERNET OF THINGS MARKET
    189. INTERNET OF THINGS MARKET, BY APPLICATION, 2025 (% SHARE)
    190. INTERNET OF THINGS MARKET, BY APPLICATION, 2019 TO 2035 (USD Billions)
    191. INTERNET OF THINGS MARKET, BY COMPONENT, 2025 (% SHARE)
    192. INTERNET OF THINGS MARKET, BY COMPONENT, 2019 TO 2035 (USD Billions)
    193. INTERNET OF THINGS MARKET, BY END USE, 2025 (% SHARE)
    194. INTERNET OF THINGS MARKET, BY END USE, 2019 TO 2035 (USD Billions)
    195. INTERNET OF THINGS MARKET, BY NETWORK TECHNOLOGY, 2025 (% SHARE)
    196. INTERNET OF THINGS MARKET, BY NETWORK TECHNOLOGY, 2019 TO 2035 (USD Billions)
    197. BENCHMARKING OF MAJOR COMPETITORS

    Japan Internet of Things Market Segmentation

     

     

     

    • Internet of Things Market By Application (USD Billion, 2019-2035)

      • Smart Home
      • Industrial Automation
      • Healthcare
      • Transportation
      • Wearables

     

    • Internet of Things Market By Component (USD Billion, 2019-2035)

      • Hardware
      • Software
      • Services

     

    • Internet of Things Market By End Use (USD Billion, 2019-2035)

      • Consumer Electronics
      • Manufacturing
      • Retail
      • Healthcare
      • Transportation

     

    • Internet of Things Market By Network Technology (USD Billion, 2019-2035)

      • Wireless
      • Wired

     

     

     

     

     

     

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