Top 3 Drivers for IIoT Market in Automotive Industry
November 10, 2017 | Business WireEstimated reading time: 3 minutes

Technavio market research analysts forecast the global IIoT market in the automotive industry to grow at a CAGR of more than 33% during the forecast period, according to their latest report.
The report has further categorized the global IIoT market in the automotive industry into different segments based on application (manufacturing operations, production asset management and maintenance and, inventory and supply chain management), solution (hardware and software and services), and geography (APAC, EMEA, and Americas).
Decreasing cost of sensors
Over the last two decades, sensor manufacturing companies have lowered prices because of the high demand for sensors. In any industry, the sensors are a crucial part of IIoT systems because these sensors are embedded into devices and equipment that can interconnect with each other. This can assist to streamline the workflow in a workplace to make it smooth and fast. Industries that have installed IIoT lately or are expected to install it during the forecast period are going to be benefited by the fall in the price of sensors.
According to Sushmit Chakraborty, a lead analyst at Technavio for automation research, “The adoption of IIoT is predicted to increase because of the rise in the number of vendors in the global IIoT market in the automotive industry and reduction in the overall cost of the product offerings. During the forecast period, the adoption of IIoT in the automotive industry is expected to be fueled by the reduction in the price of sensors considering the decreasing market share and optimized price of the overall IIoT offering including hardware, software, and services.”
Growing market for wearable technology in industries
The requirement for real-time data across different industries, such as manufacturing, logistics, construction, mining, retail, and healthcare has boosted the wearable devices market. To make connectivity as accessible as possible and with IoT being widely utilized across these industries, the employment of wearables is the next technological step. Incorporation of wearables into the portfolio by businesses is getting positive feedback from the workers.
“Wearable devices that are light, portable and easy-to-handle along with long battery power and advanced sensor technologies to improve human ergonomics and decrease fatigue-related issues are being designed by engineers. The development of wearable devices with tiny sensors and electronic components is assisted by the miniaturization trend and advances in materials. These miniature devices can be a part of the human body itself. The automotive industry is adopting wearable technologies because of the growing market,” says Sushmit.
Macroeconomic drivers
The automotive industry can exploit the IIoT market base and increase the market presence through new project additions by the introduction of government policies, such as ‘Make in India’ or ‘Make in China’. To promote employment in the region and make profit out of various related functions, such as import, export, and taxes, such initiatives are usually taken by the governments. Apart from assisting the automotive industry in setting up its units in the region, such policies also provide the scope for deploying IIoT technologies in their manufacturing plants.
During the forecast period, the adoption of IIoT in the automotive industry will rise as these policies allow vertical and horizontal integration of the automotive companies. The deployment of IIoT solutions will enable faster and better product delivery while enhancing the quality in manufacturing.
About Technavio
Technavio is a leading global technology research and advisory company. Their research and analysis focuses on emerging market trends and provides actionable insights to help businesses identify market opportunities and develop effective strategies to optimize their market positions.
With over 500 specialized analysts, Technavio’s report library consists of more than 10,000 reports and counting, covering 800 technologies, spanning across 50 countries. Their client base consists of enterprises of all sizes, including more than 100 Fortune 500 companies. This growing client base relies on Technavio’s comprehensive coverage, extensive research, and actionable market insights to identify opportunities in existing and potential markets and assess their competitive positions within changing market scenarios.
Suggested Items
OE-A Elects New International Board of Directors
02/07/2025 | OE-AThe members of the OE-A (Organic and Printed Electronics Association) appointed Dr. Alain Schumacher, IEE, as the new Chair of the Board of Directors at the end of January. Dr. Luke Pan, Brilliant Optoelectronic Technology is the new Vice Chair for Asia. Dr. Carsten L. Herzhoff, Lohmann, and Dr. Chloé Bois, ICI, are elected as Vice Chair Europe and North America respectively.
New IPC White Paper Focuses on Use of Artificial Intelligence in Automated Optical Inspection in Electronics Manufacturing
02/06/2025 | IPCA new white paper, “Unlocking AI for Automated Optical Inspection” released today by IPC’s Chief Technologist Council, focuses on AI’s role in AOI processes for printed circuit board assemblies (PCBAs). According to data within the white paper, recent advancements in technology, particularly in Cloud AI, IoT and Smart Manufacturing, have provided opportunities to further enhance AOI performance.
First Pan-European Electronics Design Conference (PEDC) in Vienna Inspires Participants from 20 Countries
02/06/2025 | IPCThe first Pan-European Electronics Design Conference (PEDC) in Vienna was a great success The new international conference, organized by Fachverband Elektronikdesign und -fertigung e. V. (FED) and IPC, brought together experts and industry representatives from 20 countries and four continents.
Siti's Recipe for Success: Siti Wahab's Thriving EMS Business in Malaysia
02/05/2025 | Michelle Te, IPC CommunitySiti Padillah Binti Abdul Wahab has a simple recipe for success: Believe in yourself, pursue knowledge and experience, embrace challenges, and build a support network as you aim for leadership roles. As one of just a handful of women in leadership roles in the EMS industry in Malaysia, she also advocates for inclusivity and takes time to celebrate her achievements.
Koh Young Highlights Inspection Solutions at IPC APEX EXPO 2025
02/04/2025 | Koh YoungKoh Young, the industry leader in True3D measurement-based inspection solutions and the exclusive Premier Sponsor of IPC APEX EXPO 2025, invites electronics manufacturers to Booth 2130 for live demonstrations of its award-winning inspection technologies.