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    US Connected IoT Devices Market

    ID: MRFR/SEM/12553-HCR
    200 Pages
    Garvit Vyas
    October 2025

    US Connected IoT Devices Market Research Report By Component (Solution, Service), By Deployment (Private, Public) and By Application (Smart Homes, Smart Manufacturing, Smart Utilities, Smart Retail, Connected Health, Connected Logistics) - Forecast to 2035

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    US Connected IoT Devices Market Infographic
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    US Connected IoT Devices Market Summary

    As per MRFR analysis, the US connected iot-devices market Size was estimated at 2400.0 USD Million in 2024. The US connected iot-devices market is projected to grow from 2786.4 USD Million in 2025 to 12400.0 USD Million by 2035, exhibiting a compound annual growth rate (CAGR) of 16.1% during the forecast period 2025 - 2035.

    Key Market Trends & Highlights

    The US connected IoT-devices market is poised for substantial growth driven by technological advancements and evolving consumer preferences.

    • The largest segment in the US connected IoT-devices market is the smart home solutions sector, which continues to expand rapidly.
    • The fastest-growing segment is the industrial IoT applications, reflecting a shift towards automation and efficiency.
    • Increased interoperability among devices is becoming a critical trend, enhancing user experience and system integration.
    • Rising demand for smart home solutions and advancements in connectivity technologies are key drivers propelling market growth.

    Market Size & Forecast

    2024 Market Size 2400.0 (USD Million)
    2035 Market Size 12400.0 (USD Million)

    Major Players

    Amazon (US), Google (US), Microsoft (US), IBM (US), Cisco (US), Samsung (KR), Siemens (DE), Honeywell (US), Bosch (DE), General Electric (US)

    US Connected IoT Devices Market Trends

    The connected iot-devices market is currently experiencing a transformative phase, characterized by rapid technological advancements and increasing consumer adoption. The proliferation of smart devices across various sectors, including healthcare, agriculture, and home automation, appears to be driving significant growth. Enhanced connectivity and the integration of artificial intelligence into these devices suggest a shift towards more intelligent and responsive systems. As consumers become more aware of the benefits of automation and data-driven insights, the demand for connected devices is likely to escalate, fostering innovation and competition among manufacturers. Moreover, regulatory frameworks and government initiatives aimed at promoting smart technology adoption are likely to play a crucial role in shaping the landscape of the connected iot-devices market. Policies that encourage investment in infrastructure and support for research and development may further stimulate growth. The emphasis on security and privacy in device connectivity is also becoming increasingly prominent, as stakeholders recognize the importance of safeguarding user data. This evolving environment indicates a promising future for the connected iot-devices market, with potential for enhanced functionality and user experience.

    Increased Interoperability

    The trend towards increased interoperability among devices is becoming more pronounced. Manufacturers are focusing on creating products that can seamlessly communicate with one another, enhancing user experience and functionality. This shift is likely to facilitate the integration of various systems, allowing for more cohesive smart environments.

    Focus on Security and Privacy

    As the number of connected devices rises, concerns regarding security and privacy are also escalating. Stakeholders are prioritizing the development of robust security measures to protect user data. This focus on safeguarding information is expected to influence product design and consumer trust in the connected iot-devices market.

    Sustainability Initiatives

    Sustainability is emerging as a key consideration in the development of connected devices. Manufacturers are increasingly adopting eco-friendly practices and materials, responding to consumer demand for greener technology. This trend may lead to innovations that not only enhance device performance but also reduce environmental impact.

    US Connected IoT Devices Market Drivers

    Consumer Awareness and Education

    Consumer awareness and education are pivotal in driving the connected iot-devices market. As individuals become more informed about the benefits and functionalities of IoT devices, their willingness to adopt these technologies increases. Educational campaigns and marketing efforts by manufacturers are helping to demystify IoT solutions, highlighting their potential to enhance daily life through improved convenience, security, and energy management. Surveys indicate that nearly 70% of consumers express interest in smart devices, yet many remain unaware of their capabilities. This gap presents an opportunity for companies to engage in targeted outreach, ultimately fostering a more informed consumer base and stimulating growth within the connected iot-devices market.

    Government Initiatives and Regulations

    Government initiatives and regulations play a crucial role in shaping the connected iot-devices market. In the US, various policies are being implemented to promote the adoption of IoT technologies across sectors. For example, the Federal Communications Commission (FCC) has introduced frameworks to enhance broadband access, which is essential for the effective functioning of connected devices. Additionally, funding programs aimed at smart city projects are encouraging local governments to invest in IoT infrastructure. These initiatives are expected to create a favorable environment for the growth of the connected iot-devices market, as they facilitate the deployment of innovative solutions that improve public services and enhance quality of life.

    Rising Demand for Smart Home Solutions

    The connected iot-devices market is experiencing a surge in demand for smart home solutions, driven by consumer preferences for convenience and automation. As households increasingly adopt smart devices, the market is projected to grow significantly. According to recent estimates, the smart home segment alone is expected to reach a valuation of over $100 billion by 2025. This trend is fueled by advancements in technology, enabling seamless integration of devices such as smart thermostats, security cameras, and lighting systems. The growing awareness of energy efficiency and cost savings further propels this demand, as consumers seek to optimize their home environments. Consequently, manufacturers are focusing on developing innovative products that enhance user experience, thereby contributing to the overall growth of the connected iot-devices market.

    Expansion of Industrial IoT Applications

    The connected iot-devices market is witnessing a notable expansion in industrial IoT applications, as businesses increasingly recognize the benefits of automation and data analytics. Industries such as manufacturing, logistics, and healthcare are adopting connected devices to enhance operational efficiency and reduce costs. For instance, predictive maintenance solutions are being implemented to minimize downtime and extend equipment lifespan. The market for industrial IoT is projected to grow at a CAGR of approximately 25% over the next few years, indicating a robust shift towards digital transformation. This trend not only improves productivity but also fosters innovation in product development and service delivery, thereby driving the connected iot-devices market forward.

    Advancements in Connectivity Technologies

    Advancements in connectivity technologies are significantly influencing the connected iot-devices market. The rollout of 5G networks is expected to revolutionize the way devices communicate, offering faster speeds and lower latency. This enhanced connectivity enables a greater number of devices to operate simultaneously, which is particularly beneficial for applications requiring real-time data processing. Furthermore, the integration of edge computing is allowing for more efficient data management, reducing the burden on cloud infrastructure. As these technologies continue to evolve, they are likely to drive innovation and expand the capabilities of connected devices, thereby propelling the growth of the connected iot-devices market.

    Market Segment Insights

    By Component: Service (Largest) vs. Solution (Fastest-Growing)

    In the US connected iot-devices market, the Service component dominates with a substantial share, as it encompasses a broad range of customer support, maintenance, and management offerings. This strong market position is bolstered by the growing demand for seamless integration and operational efficiency among businesses leveraging IoT technologies. Meanwhile, the Solution segment shows promising growth potential, driven by innovations in data handling, analytics, and cloud integration, indicating a shift towards more integrated, smart solutions for users. Emerging trends such as the increasing adoption of AI and machine learning within the IoT ecosystem are propelling the growth of Solution offerings. These advancements lead to enhanced user experiences and operational efficiencies, thus attracting more investment. Furthermore, as businesses increasingly seek to capitalize on device interconnectivity and automation, companies providing Solutions are poised to benefit from this trend, indicating a dynamic shift in market engagement that leans towards more holistic technological offerings.

    Service (Dominant) vs. Solution (Emerging)

    The Service component within the US connected iot-devices market is characterized by its extensive array of offerings that support installation, maintenance, and management of IoT systems. This segment thrives on the ongoing need for businesses to maintain operational efficiency, with service providers often becoming integral partners in enabling IoT infrastructure. Conversely, the Solution component is rapidly emerging, driven by technological advancements and the demand for integrated systems. As companies increasingly implement smart technologies, the Solutions market is evolving to incorporate sophisticated data analytics and real-time processing capabilities. Together, these components reflect a market dynamic wherein Service is the dominant player, while Solution is set to ascend as a vital area of growth.

    By Deployment: Private (Largest) vs. Public (Fastest-Growing)

    In the US connected iot-devices market, the deployment segment is primarily divided into private and public categories. The private deployment segment holds a significant share, as many enterprises prefer to utilize private networks for enhanced security and control. This allows businesses to operate with greater confidence, ensuring that sensitive data remains within their own infrastructure while minimizing external vulnerabilities. On the other hand, the public deployment segment is gaining traction, catering to a rapidly increasing number of small and medium enterprises that seek to leverage the benefits of IoT without the initial investment required for private networks. Growth trends in the deployment segment reveal a strong shift toward public options due to their cost-effectiveness and scalability. Companies are increasingly recognizing the potential of public deployments to allow quicker access and integration to emerging technologies. Additionally, the rise of smart cities and improved connectivity infrastructure is supporting public deployments, making it easier for more businesses to adopt such solutions. This trend indicates that while private deployment remains dominant, public deployment is positioned for accelerated growth as the market adapts to changing needs and technological advancements.

    Deployment: Private (Dominant) vs. Public (Emerging)

    The private deployment segment in the US connected iot-devices market is characterized by its focus on security, control, and customization tailored to enterprise needs. It is preferred by larger organizations that require robust data protection and regulatory compliance. In contrast, the public deployment segment is emerging as a preferred choice for smaller businesses seeking affordable and easily scalable solutions. These public networks offer flexibility and lower barriers to entry, allowing companies to implement IoT solutions without significant upfront costs. As the industry evolves, both segments are expected to coexist, with private deployments catering to large-scale industrial applications and public deployments fueling innovation among smaller players.

    By Application: Smart Homes (Largest) vs. Connected Health (Fastest-Growing)

    In the US connected iot-devices market, Smart Homes account for a significant portion of the overall market share, driven by an increasing consumer demand for convenience and automation. Smart Manufacturing follows closely, leveraging IoT devices to enhance operational efficiency and reduce costs. Other segments like Smart Retail and Smart Utilities are also vital, contributing to market dynamism with innovative applications that improve customer experiences and service delivery. Growth trends indicate that Connected Health is rapidly emerging, propelled by advancements in telehealth and the rising acceptance of remote monitoring devices. Additionally, Smart Utilities are embracing IoT solutions to optimize energy management and sustainability efforts. The overall market is expected to see continued diversification, with technology playing a key role in shaping future applications and driving consumer adoption.

    Smart Homes (Dominant) vs. Connected Health (Emerging)

    Smart Homes establish themselves as the dominant segment in the US connected iot-devices market, characterized by their integration of various IoT solutions such as smart appliances, home security systems, and energy management tools. This segment is marked by high consumer engagement and widespread adoption, as homeowners seek to enhance convenience and safety. On the other hand, Connected Health is labeled an emerging segment, focusing on health monitoring, telemedicine, and personalized healthcare solutions. The shift towards digital health solutions is significant, with a growing emphasis on preventive care and the ability to remotely track health metrics. This evolving landscape indicates a strong potential for Connected Health, as innovation continues to foster new capabilities and applications.

    Get more detailed insights about US Connected IoT Devices Market

    Key Players and Competitive Insights

    The connected iot-devices market is characterized by a dynamic competitive landscape, driven by rapid technological advancements and increasing consumer demand for smart solutions. Major players such as Amazon (US), Google (US), and Microsoft (US) are at the forefront, leveraging their extensive ecosystems to enhance user experiences. Amazon (US) focuses on integrating its Alexa platform with various smart home devices, while Google (US) emphasizes AI-driven functionalities in its Nest product line. Microsoft (US) is strategically positioning itself through partnerships and cloud services, particularly with Azure IoT, to facilitate seamless connectivity and data management across devices. Collectively, these strategies foster a competitive environment that prioritizes innovation and user-centric solutions.

    Key business tactics within the market include localizing manufacturing and optimizing supply chains to enhance responsiveness to consumer needs. The competitive structure appears moderately fragmented, with a mix of established tech giants and emerging startups. This fragmentation allows for diverse offerings, yet the influence of key players remains substantial, as they set industry standards and drive technological advancements.

    In October 2025, Amazon (US) announced a significant expansion of its smart home product line, introducing new features that enhance interoperability among devices. This move is strategically important as it not only strengthens Amazon's market position but also addresses consumer demand for cohesive smart home ecosystems. By enhancing device compatibility, Amazon (US) aims to solidify its leadership in the connected devices space, potentially increasing customer loyalty and market share.

    In September 2025, Google (US) unveiled a new AI-driven feature for its Nest devices, allowing for more personalized user experiences. This strategic initiative underscores Google's commitment to integrating advanced AI capabilities into its product offerings. By enhancing the functionality of its devices, Google (US) seeks to differentiate itself in a crowded market, appealing to tech-savvy consumers who prioritize innovation and customization.

    In August 2025, Microsoft (US) expanded its Azure IoT services to include enhanced security features, responding to growing concerns over data privacy and cybersecurity. This strategic enhancement is crucial as it positions Microsoft (US) as a trusted provider in the IoT space, particularly for enterprise customers. By prioritizing security, Microsoft (US) not only addresses market demands but also strengthens its competitive edge against rivals.

    As of November 2025, current trends in the connected iot-devices market include a pronounced focus on digitalization, sustainability, and AI integration. Strategic alliances among key players are increasingly shaping the competitive landscape, fostering innovation and collaborative solutions. Looking ahead, competitive differentiation is likely to evolve, shifting from price-based competition to a focus on technological innovation, reliability in supply chains, and enhanced user experiences. This transition suggests that companies will need to invest in R&D and strategic partnerships to maintain their competitive advantages.

    Key Companies in the US Connected IoT Devices Market market include

    Industry Developments

    The US Connected Internet of Things (IoT) Devices Market has witnessed significant activity recently, with notable mergers and acquisitions shaping the landscape. In June 2023, Microsoft completed its acquisition of Nuance Communications, enhancing its capabilities in AI and IoT solutions. Similarly, in July 2023, GE made headlines with its acquisition of a software company focused on IoT applications, aiming to strengthen its digital industrial transformation initiatives. Growth in this market is also reflected in the valuation increases of companies, with Qualcomm and Cisco reporting substantial revenue gains attributed to heightened demand for connected devices in smart homes and industries.

    The US market is evolving, with notable technological advancements from key players including Apple, Amazon, and IBM’s recent development of cloud-based IoT services. Over the past two to three years, the market has also experienced a surge in investment, with the US government increasingly supporting IoT innovation initiatives to boost economic growth and enhance infrastructure. This progress emphasizes the importance of collaboration among leading firms like Intel, Samsung, and Honeywell to drive advancements in the IoT ecosystem.

    Future Outlook

    US Connected IoT Devices Market Future Outlook

    The connected iot-devices market is projected to grow at a 16.1% CAGR from 2024 to 2035, driven by advancements in AI, increased connectivity, and demand for automation.

    New opportunities lie in:

    • Development of smart home energy management systems
    • Integration of IoT in supply chain logistics
    • Expansion of wearable health monitoring devices

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

    Market Segmentation

    US Connected IoT Devices Market Component Outlook

    • Solution
    • Service

    US Connected IoT Devices Market Deployment Outlook

    • Private
    • Public

    US Connected IoT Devices Market Application Outlook

    • Smart Homes
    • Smart Manufacturing
    • Smart Utilities
    • Smart Retail
    • Connected Health
    • Connected Logistics

    Report Scope

    MARKET SIZE 20242400.0(USD Million)
    MARKET SIZE 20252786.4(USD Million)
    MARKET SIZE 203512400.0(USD Million)
    COMPOUND ANNUAL GROWTH RATE (CAGR)16.1% (2024 - 2035)
    REPORT COVERAGERevenue Forecast, Competitive Landscape, Growth Factors, and Trends
    BASE YEAR2024
    Market Forecast Period2025 - 2035
    Historical Data2019 - 2024
    Market Forecast UnitsUSD Million
    Key Companies Profiled["Amazon (US)", "Google (US)", "Microsoft (US)", "IBM (US)", "Cisco (US)", "Samsung (KR)", "Siemens (DE)", "Honeywell (US)", "Bosch (DE)", "General Electric (US)"]
    Segments CoveredComponent, Deployment, Application
    Key Market OpportunitiesIntegration of advanced security protocols enhances consumer trust in the connected iot-devices market.
    Key Market DynamicsRising consumer demand for smart home solutions drives innovation and competition in the connected IoT-devices market.
    Countries CoveredUS

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    FAQs

    What is the projected market size of the US Connected IoT Devices Market in 2024?

    The US Connected IoT Devices Market is expected to be valued at 1.91 USD billion in 2024.

    How much is the US Connected IoT Devices Market expected to grow by 2035?

    By 2035, the market is projected to reach a value of 10.12 USD billion.

    What is the expected compound annual growth rate (CAGR) for the US Connected IoT Devices Market from 2025 to 2035?

    The expected CAGR for the market from 2025 to 2035 is 16.346%.

    What are the key components contributing to the US Connected IoT Devices Market?

    The market is divided into solutions and services, with solutions expected to have significant revenue contributions.

    What is the market size for solutions in the US Connected IoT Devices Market in 2024?

    In 2024, the market for solutions is valued at 1.14 USD billion.

    What market value is projected for services in the US Connected IoT Devices Market in 2035?

    The market for services is expected to be valued at 4.07 USD billion by 2035.

    Who are the major players in the US Connected IoT Devices Market?

    Key players include GE, Apple, Cisco, IBM, Microsoft, and Amazon among others.

    What opportunities exist in the US Connected IoT Devices Market?

    Emerging trends in smart home technology and industrial IoT present substantial growth opportunities.

    How has technological advancement impacted the US Connected IoT Devices Market?

    Technological innovations have propelled market growth and increased adoption across various sectors.

    What is the expected market size growth specifically for solutions from 2024 to 2035?

    The solutions segment is projected to grow from 1.14 USD billion in 2024 to 6.05 USD billion in 2035.

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