The Eseye 2024 State of IoT Adoption Report offers a comprehensive analysis of the current state of IoT (Internet of Things) adoption across various industries in the UK and the US. It is the company’s largest and most ambitious study to date, featuring insights from 1,200 senior decision-makers who have overseen at least one international IoT project in the last year. The report spans six key verticals: Agritech, Supply Chain and Logistics, Healthcare and Medical Devices, Manufacturing, EV Charging and Smart Grid, and Smart Vending.
Key Adoption Trends and Growth Projections
The report reveals that IoT adoption remains strong, with 80% of organizations planning to expand their IoT estates over the next 18 months, maintaining momentum from 2023. Budget increases are anticipated across sectors, with 54% of businesses expecting to boost IoT spending by 25-50%, underscoring confidence in IoT’s transformative potential. In the UK alone, IoT revenue is projected to reach US$19.63 billion in 2024 and rise to US$31.37 billion by 2029. Meanwhile, the US leads the global IoT market with expected revenue of US$342.5 billion in 2024.
Top Benefits and Challenges
The leading business benefit of IoT adoption remains revenue growth, with 63% of respondents reporting increased revenue due to IoT implementations. Sustainability is emerging as a major new advantage, with 57% of businesses highlighting IoT’s contributions to reducing carbon emissions and waste. Competitive advantage, cited by 57% of respondents, remains a key driver for IoT investments.
However, significant challenges persist. Connectivity issues, once the top concern in 2023, have been surpassed by security risks, with 50% of businesses having experienced an IoT-related security breach in the past 12 months. Connectivity itself has worsened, with less than 1% of businesses achieving 98% average connectivity, down from 1.5% in 2023.
Emerging Trends: Sustainability, Edge Intelligence, and Security
Sustainability is at the forefront of IoT development, with 94% of respondents recognizing its importance when designing IoT devices. Companies in sectors like smart vending and EV charging are especially committed to eco-friendly practices, with 96% prioritizing sustainability.
IoT devices are also evolving to become more intelligent, with 80% of businesses seeking enhanced on-device, edge-based processing capabilities. This trend enables faster data processing, reduces latency, and lowers operational costs, especially in industries like Agritech and manufacturing.
Security, however, remains a pressing concern. As IoT devices become more critical to business operations, 50% of respondents indicated they had suffered a security breach in the past year. This highlights the need for robust security measures to protect mission-critical applications and sensitive data.
The Future of IoT
A major shift on the horizon is the widespread adoption of the SGP.32 IoT standard for remote SIM provisioning, expected to revolutionize how businesses manage IoT connectivity. While 75% of respondents claim to understand the implications of SGP.32, many enterprises will need managed service providers to navigate the transition, which is set to become fully operational by 2025.
The Eseye 2024 State of IoT Adoption Report reveals a dynamic IoT landscape with strong growth potential, driven by advances in device intelligence, sustainability, and the ongoing need to overcome security and connectivity challenges. Businesses that navigate these challenges and capitalize on emerging technologies are poised for significant competitive advantage and long-term success.
