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    South Korea 5G Industrial IoT Market

    ID: MRFR/ICT/56736-HCR
    200 Pages
    Aarti Dhapte
    October 2025

    South Korea 5G Industrial IoT Market Research Report By Component (Hardware, Solution, Service), By Organization Size (Large Enterprise, Small & Medium Enterprise) and By Application (Predictive Maintenance, Business Process Optimization, Asset Tracking & Management, Logistics & Supply Chain Management, Real-time Workforce Tracking & Management, Automation Control & Management, Emergency)-Forecast to 2035

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    South Korea 5G Industrial IoT Market Infographic
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    South Korea 5G Industrial IoT Market Summary

    As per MRFR analysis, the 5G industrial-IoT market size was estimated at 13.5 USD billion in 2024. The 5g industrial-iot market is projected to grow from 14.34 USD Billion in 2025 to 26.3 USD Billion by 2035, exhibiting a compound annual growth rate (CAGR) of 6.25% during the forecast period 2025 - 2035.

    Key Market Trends & Highlights

    The South Korea 5G industrial-IoT market is poised for substantial growth driven by technological advancements and strategic initiatives.

    • Enhanced connectivity solutions are transforming operational efficiencies across various sectors.
    • Smart manufacturing initiatives are gaining traction, particularly in the automotive and electronics segments.
    • Government support and policy frameworks are fostering innovation and investment in 5G technologies.
    • Rising demand for automation and the expansion of smart cities are key drivers propelling market growth.

    Market Size & Forecast

    2024 Market Size 13.5 (USD Billion)
    2035 Market Size 26.3 (USD Billion)

    Major Players

    Ericsson (SE), Nokia (FI), Huawei (CN), Qualcomm (US), Cisco (US), Samsung (KR), Intel (US), Siemens (DE), GE (US)

    South Korea 5G Industrial IoT Market Trends

    The The industrial-IoT market is experiencing notable advancements., particularly in South Korea, where the integration of cutting-edge technologies is reshaping various sectors. The nation's robust telecommunications infrastructure, characterized by high-speed connectivity and low latency, facilitates the deployment of innovative industrial applications. This environment fosters the development of smart factories, automated supply chains, and enhanced asset management systems. As industries increasingly adopt these technologies, the potential for operational efficiency and productivity gains appears substantial. Furthermore, the collaboration between government entities and private sectors is likely to accelerate the growth of this market, as initiatives aimed at promoting digital transformation gain momentum. In addition, South Korea's strategic focus on research and development in the field of 5g industrial-iot is indicative of its commitment to maintaining a competitive edge. The government has implemented various policies to support the expansion of this market, including funding for startups and incentives for businesses to adopt IoT solutions. This proactive approach may lead to a flourishing ecosystem where innovation thrives, and new business models emerge. As the 5g industrial-iot market continues to evolve, it is expected that South Korea will play a pivotal role in shaping the future of industrial automation and connectivity, potentially influencing trends in other regions as well.

    Enhanced Connectivity Solutions

    The 5g industrial-iot market is witnessing a surge in demand for enhanced connectivity solutions. This trend is driven by the need for real-time data transmission and seamless communication between devices. Industries are increasingly relying on 5g technology to support applications such as remote monitoring, predictive maintenance, and automated operations. As a result, businesses are likely to experience improved operational efficiency and reduced downtime.

    Smart Manufacturing Initiatives

    There is a growing emphasis on smart manufacturing initiatives within the 5g industrial-iot market. Companies are adopting IoT-enabled devices and systems to optimize production processes and enhance supply chain management. This trend suggests that manufacturers are leveraging advanced analytics and machine learning to make data-driven decisions, ultimately leading to increased productivity and reduced costs.

    Government Support and Policy Frameworks

    Government support and policy frameworks are playing a crucial role in the development of the 5g industrial-iot market. Initiatives aimed at fostering innovation and encouraging investment in IoT technologies are becoming more prevalent. This trend indicates that regulatory bodies are recognizing the importance of digital transformation and are actively working to create an environment conducive to growth and collaboration.

    South Korea 5G Industrial IoT Market Drivers

    Expansion of Smart Cities

    The development of smart cities in South Korea is a critical driver for the 5g industrial-iot market. As urban areas increasingly integrate technology to improve infrastructure and services, the demand for connected devices and systems is expected to rise. The South Korean government has committed substantial investments, estimated at over $2 billion, to enhance urban connectivity and implement smart solutions. This initiative includes the deployment of 5G networks, which are essential for supporting the vast number of IoT devices required for smart city applications. The integration of 5G technology into urban planning is likely to create new opportunities for the 5g industrial-iot market, as it enables efficient traffic management, energy consumption monitoring, and public safety enhancements.

    Rising Demand for Automation

    The 5g industrial-iot market in South Korea is experiencing a notable surge in demand for automation across various sectors. Industries are increasingly adopting automated solutions to enhance operational efficiency and reduce labor costs. This trend is driven by the need for real-time data processing and analytics, which 5G technology facilitates. According to recent estimates, the automation market in South Korea is projected to grow at a CAGR of approximately 15% over the next five years. This growth is likely to propel the adoption of 5G industrial-iot solutions, as businesses seek to integrate advanced technologies such as AI and machine learning into their operations. Consequently, the 5g industrial-iot market is poised to benefit significantly from this rising demand for automation, as companies strive to remain competitive in an evolving landscape.

    Growing Cybersecurity Concerns

    As the 5g industrial-iot market expands, so do the concerns regarding cybersecurity. The increasing interconnectivity of devices raises the potential for cyber threats, prompting industries to prioritize security measures. In South Korea, the government has recognized the importance of cybersecurity in the context of industrial IoT and has initiated various programs to enhance security protocols. Investments in cybersecurity solutions are expected to reach approximately $1 billion by 2027, reflecting the growing awareness of the need to protect critical infrastructure. This focus on cybersecurity is likely to drive the demand for secure 5G industrial-iot solutions, as companies seek to mitigate risks associated with data breaches and cyberattacks.

    Increased Focus on Industry 4.0

    The 5g industrial-iot market is significantly influenced by the growing emphasis on Industry 4.0 in South Korea. This paradigm shift towards digital transformation in manufacturing is characterized by the integration of IoT, AI, and big data analytics. As industries strive to optimize production processes and enhance supply chain management, the role of 5G technology becomes increasingly vital. The South Korean manufacturing sector is projected to invest approximately $5 billion in digital transformation initiatives by 2026. This investment is likely to drive the adoption of 5G industrial-iot solutions, as companies seek to leverage real-time data for decision-making and operational improvements. The alignment of Industry 4.0 with 5G capabilities presents a promising landscape for the growth of the 5g industrial-iot market.

    Advancements in Telecommunications Infrastructure

    The ongoing advancements in telecommunications infrastructure in South Korea are a pivotal driver for the 5g industrial-iot market. The country has made significant strides in deploying 5G networks, with coverage reaching over 90% of urban areas. This robust infrastructure is essential for supporting the high-speed, low-latency communication required for industrial IoT applications. As businesses increasingly rely on connected devices for monitoring and control, the availability of reliable 5G connectivity is likely to enhance the adoption of industrial IoT solutions. Furthermore, the South Korean government has set ambitious goals to expand 5G coverage to rural areas, which could further stimulate the growth of the 5g industrial-iot market by enabling more industries to leverage advanced connectivity.

    Market Segment Insights

    South Korea 5G Industrial IoT Market Segment Insights

    South Korea 5G Industrial IoT Market Segment Insights

    5G Industrial IoT Market Component Insights

    5G Industrial IoT Market Component Insights

    The Component segment of the South Korea 5G Industrial IoT Market is crucial for enabling connectivity and interoperability among devices across various industries. This segment comprises three key areas: Hardware, Solution, and Service, each playing a fundamental role in the successful deployment of 5G technology within the Internet of Things ecosystem. Hardware, including sensors, chips, and communication equipment, is significant in transforming traditional industries into smart industries by enabling real-time data collection and transmission, thus enhancing operational efficiency.

    The Solution aspect focuses on software and platforms that aggregate and analyze data collected through hardware, providing actionable insights for businesses, thus driving automation and decision-making processes. Service, on the other hand, encompasses support systems that ensure the smooth functioning of both hardware and solutions, including installation, maintenance, and consulting, which are indispensable for organizations to fully leverage their 5G capabilities.

    With the South Korean government’s commitment to advancing 5G infrastructure and IoT adoption, there has been a noted increase in investment across these components.

    Companies are recognizing the need to integrate these segments to create a more cohesive and efficient operational environment. As the market evolves, the interconnectivity provided by these components is expected to pave the way for innovation in areas such as smart manufacturing, healthcare, and logistics, all of which are being transformed by the speed and reliability of 5G networks.

    The growth in automation and digital transformation initiatives in South Korea, backed by government policies and support, further underscores the importance of these components in driving the 5G Industrial IoT Market forward. Enhanced connectivity underpinned by reliable hardware, innovative solutions, and effective services is essential for businesses aiming for scaling and optimizing their operations in a digital-centric world.

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

    5G Industrial IoT Market Organization Size Insights

    5G Industrial IoT Market Organization Size Insights

    The Organization Size segment of the South Korea 5G Industrial IoT Market showcases distinct characteristics that are essential for understanding market dynamics. Large Enterprises typically dominate this sector due to their significant resources, advanced infrastructure, and a greater ability to adopt innovative technologies such as 5G.

    These enterprises harness 5G capabilities to enhance operational efficiency, improve data analytics, and elevate their competitive edge in various industries. In contrast, Small and Medium Enterprises (SMEs) play a crucial role as they contribute to innovation, local employment, and flexibility within the market.

    SMEs often benefit from tailored solutions and partnerships designed to facilitate their integration into the 5G ecosystem. Recent government initiatives have been focused on boosting digital transformation and supporting SMEs, thereby fostering a conducive environment for growth.

    The expanding 5G network in South Korea acts as a catalyst for both segments, enabling new applications and services, motivating increased investments, and enhancing overall productivity across different sectors. Insights derived from market trends underline the need for both organizational sizes to leverage 5G technology effectively in order to capitalize on emerging opportunities in the rapidly evolving IoT landscape.

    5G Industrial IoT Market Application Insights

    5G Industrial IoT Market Application Insights

    The Application segment of the South Korea 5G Industrial IoT Market holds significant potential, driving innovation in various industries through enhanced connectivity and real-time data processing. Predictive Maintenance plays a crucial role in reducing downtime and maximizing asset lifespan, while Business Process Optimization improves operational efficiencies, a key focus for South Korean companies aiming to elevate their global competitiveness.

    Asset Tracking and Management solutions facilitate real-time visibility of resources, leading to improved supply chain efficiency and asset utilization.Logistics and Supply Chain Management applications leverage 5G’s low-latency communications to enhance coordination and streamline processes, critical in a nation recognized for its advanced logistics infrastructure. Real-time Workforce Tracking and Management ensures optimal workforce allocation, increasing productivity and safety in working environments.

    Automation Control and Management systems empower industries to automate repetitive tasks, thereby minimizing human error and enhancing operational efficiency. Emergency applications benefit from 5G by enabling rapid response through improved communication infrastructures, especially vital in urban areas like Seoul.As South Korea continues to invest in smart city initiatives, the Application segment is set to expand, underpinning a strong economic framework through these innovations, aligning with the government’s vision for a competitive industrial landscape.

    Get more detailed insights about South Korea 5G Industrial IoT Market

    Key Players and Competitive Insights

    The competitive dynamics within the 5g industrial-iot market in South Korea are characterized by rapid technological advancements and a strong push towards digital transformation. Key growth drivers include the increasing demand for automation in manufacturing, enhanced connectivity solutions, and the integration of AI technologies. Major players such as Samsung (KR), Ericsson (SE), and Huawei (CN) are strategically positioned to leverage these trends. Samsung (KR) focuses on innovation in network infrastructure and IoT solutions, while Ericsson (SE) emphasizes partnerships with local telecom operators to enhance service delivery. Huawei (CN) is actively investing in R&D to develop cutting-edge 5g technologies, which collectively shape a competitive environment that is both dynamic and collaborative.

    Key business tactics employed by these companies include localizing manufacturing to reduce costs and optimize supply chains. The market structure appears moderately fragmented, with several players vying for market share, yet the influence of key players remains substantial. This competitive landscape fosters innovation and encourages companies to differentiate their offerings through advanced technologies and tailored solutions.

    In October 2025, Samsung (KR) announced a strategic partnership with a leading South Korean automotive manufacturer to develop 5g-enabled smart vehicles. This collaboration is significant as it not only enhances Samsung's footprint in the automotive sector but also aligns with the growing trend of smart mobility solutions. The integration of 5g technology into vehicles is expected to improve safety and efficiency, thereby positioning Samsung as a leader in this emerging market.

    In September 2025, Ericsson (SE) launched a new suite of IoT solutions specifically designed for industrial applications, aimed at enhancing operational efficiency. This move is crucial as it addresses the increasing demand for reliable and scalable IoT solutions in various sectors, including manufacturing and logistics. By focusing on tailored solutions, Ericsson strengthens its competitive edge and responds effectively to market needs.

    In August 2025, Huawei (CN) unveiled its latest 5g chipset, which promises to enhance connectivity for industrial IoT applications. This development is pivotal as it showcases Huawei's commitment to innovation and its ability to deliver high-performance solutions. The introduction of advanced chipsets is likely to drive further adoption of 5g technologies across industries, reinforcing Huawei's position in the market.

    As of November 2025, current competitive trends are heavily influenced by digitalization, sustainability initiatives, and the integration of AI technologies. Strategic alliances among key players are shaping the landscape, fostering collaboration that enhances innovation and market responsiveness. Looking ahead, competitive differentiation is expected to evolve, with a shift from price-based competition towards a focus on technological innovation, reliability in supply chains, and sustainable practices. This transition underscores the importance of adaptability and forward-thinking strategies in maintaining a competitive advantage.

    Key Companies in the South Korea 5G Industrial IoT Market market include

    Industry Developments

    Recent developments in the South Korea 5G Industrial IoT Market reveal significant advancements and collaborations among key companies.

    In October 2023, LG Electronics announced the establishment of an advanced 5G IoT platform aimed at enhancing smart manufacturing processes, representing a strong move towards Industry 4.0. Samsung Electronics continues to play a pivotal role in driving 5G technology, with extensive investments in infrastructure and partnerships with local enterprises to facilitate smart city initiatives.

    In August 2023, SK Telecom launched a new Industrial IoT solution focusing on predictive maintenance, which is set to improve operational efficiencies across various sectors, including manufacturing and logistics. Meanwhile, Kia Corporation has focused on integrating 5G technology into its automotive production lines, showcasing the automotive industry's adaptation to smarter tech.

    Notably, in January 2023, a merger between Hyundai Motor Company and Daewoo Engineering and Construction was publicly acknowledged, paving the way for synergies in construction and automotive IoT solutions.

    The ongoing growth in market valuation reflects increased demand for innovative technologies, driving competition among major entities such as Samsung SDS, Naver Corporation, and Hanwha Group, further shaping the ecosystem. The South Korean government's proactive policies continue to support the development of a robust 5G Industrial IoT landscape.

    Future Outlook

    South Korea 5G Industrial IoT Market Future Outlook

    The 5G industrial-IoT market in South Korea is poised for growth at 6.25% CAGR from 2024 to 2035, driven by enhanced connectivity, automation, and data analytics.

    New opportunities lie in:

    • Development of smart manufacturing solutions leveraging real-time data analytics.
    • Implementation of predictive maintenance systems to reduce downtime and costs.
    • Expansion of IoT-enabled supply chain management platforms for improved efficiency.

    By 2035, the market is expected to achieve substantial growth, driven by technological advancements and increased adoption.

    Market Segmentation

    South Korea 5G Industrial IoT Market Component Outlook

    • Hardware
    • Solution
    • Service

    South Korea 5G Industrial IoT Market Application Outlook

    • Predictive Maintenance
    • Business Process Optimization
    • Asset Tracking & Management
    • Logistics & Supply Chain Management
    • Real-time Workforce Tracking & Management
    • Automation Control & Management
    • Emergency, Incident Management & Business Communication

    South Korea 5G Industrial IoT Market Organization Size Outlook

    • Large Enterprise
    • Small & Medium Enterprise

    Report Scope

    MARKET SIZE 202413.5(USD Billion)
    MARKET SIZE 202514.34(USD Billion)
    MARKET SIZE 203526.3(USD Billion)
    COMPOUND ANNUAL GROWTH RATE (CAGR)6.25% (2024 - 2035)
    REPORT COVERAGERevenue Forecast, Competitive Landscape, Growth Factors, and Trends
    BASE YEAR2024
    Market Forecast Period2025 - 2035
    Historical Data2019 - 2024
    Market Forecast UnitsUSD Billion
    Key Companies Profiled["Ericsson (SE)", "Nokia (FI)", "Huawei (CN)", "Qualcomm (US)", "Cisco (US)", "Samsung (KR)", "Intel (US)", "Siemens (DE)", "GE (US)"]
    Segments CoveredComponent, Organization Size, Application
    Key Market OpportunitiesIntegration of advanced automation and real-time data analytics in the 5g industrial-iot market.
    Key Market DynamicsRapid technological advancements and regulatory support drive growth in the 5G industrial-IoT market.
    Countries CoveredSouth Korea

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    FAQs

    What is the expected market size of the South Korea 5G Industrial IoT Market in 2024?

    The South Korea 5G Industrial IoT Market is expected to be valued at 16.69 billion USD in 2024.

    What will be the projected market size of the South Korea 5G Industrial IoT Market by 2035?

    By 2035, the South Korea 5G Industrial IoT Market is projected to reach a valuation of 30.0 billion USD.

    What is the expected compound annual growth rate (CAGR) for the South Korea 5G Industrial IoT Market from 2025 to 2035?

    The expected CAGR for the South Korea 5G Industrial IoT Market from 2025 to 2035 is 5.475%.

    What is the market size for hardware in the South Korea 5G Industrial IoT Market in 2024?

    The market size for hardware in the South Korea 5G Industrial IoT Market is valued at 6.5 billion USD in 2024.

    How much is the market size for solutions in the South Korea 5G Industrial IoT Market expected to be in 2035?

    The market size for solutions is expected to reach 7.5 billion USD by 2035 in the South Korea 5G Industrial IoT Market.

    What is the anticipated market size for services in the South Korea 5G Industrial IoT Market by 2024?

    The anticipated market size for services in the South Korea 5G Industrial IoT Market is 6.19 billion USD in 2024.

    Who are the key players in the South Korea 5G Industrial IoT Market?

    Key players in the South Korea 5G Industrial IoT Market include LG Uplus, Samsung Electronics, SK Telecom, and Hyundai Motor Company.

    Which segment is projected to show significant growth in the South Korea 5G Industrial IoT Market?

    The hardware segment is projected to exhibit significant growth, increasing from 6.5 billion USD in 2024 to 11.5 billion USD by 2035.

    What are the major growth drivers for the South Korea 5G Industrial IoT Market?

    Key growth drivers for the South Korea 5G Industrial IoT Market include advancements in technology, increased demand for automation, and improved connectivity.

    What potential challenges may the South Korea 5G Industrial IoT Market face in the coming years?

    Challenges in the South Korea 5G Industrial IoT Market may include regulatory hurdles and the need for substantial infrastructure investment.

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