Top 12 IoT Trends in 2024 and Beyond

The Internet of Things (IoT) has fundamentally changed the model of interaction between intelligent services, real-life objects such as electronic gadgets and home appliances, and people, helping us improve our lifestyle. Considering the warm reception of IoT, it is estimated that there will be 29.42 billion connected devices in use by 2030.

The latest trends in the Internet of Things include monitoring of various physical phenomena, real-time tracking and identification of people and objects, and the automated initiation of preprogrammed events.

For individuals, these Internet of Things trends play a pivotal role in enhancing living standards through e-health, smart home, and learning solutions. For enterprises and organizations, IoT trends manifest themselves through automation, smart supply chain, remote monitoring, and logistics. In the industrial environment, current IoT trends facilitate intelligent manufacturing, smart production, and better customer interaction.

Read on for more details on the IoT, its history, the recent and future IoT market, and technological trends of 2024 and beyond.

What is the Internet of Things?

The Internet of Things is an umbrella term that describes a paradigm in which all things can connect to the Internet and transfer data. The “things” in the IoT are electromechanical devices that have sensing, actuating, computing, and connectivity capabilities. These devices can act autonomously and share data about their internal states, surrounding environment, and their usage.

Currently, the Internet of Things architecture is a layered extension of conventional computer networks. The basic building blocks of the IoT are things that are connected to the Internet either directly or through gateways, depending on their connectivity capabilities. The things’ capabilities extend to the Cloud. The Cloud is a multi-layered harbor consisting of software suites that implement middleware, host value-added services, perform analytics, and provide the user interface to interact with.

Cloud middleware, in the scope of IoT, is responsible for ensuring reliable data flow between things and other Cloud services such as management software. Data analytics tools help us discover meaningful patterns in the data collected and can be seen as a building material enabling value-added services. Finally, user interfaces provide a means of interaction with things.

The most common IoT applications include consumer-oriented devices (wearables and smart home solutions), connected equipment within enterprises, industrial assets (machines and robots), and connected infrastructure (cities and buildings). IoT applications can operate across heterogeneous domains and enable rich analyses and management of complex interactions.

The history of IoT

The prototypes of IoT devices appeared at the outset of the World Wide Web. As one of the first examples, in 1990 John Romkey created an Internet-connected toaster. Around the same time, at Carnegie Mellon University, software programmers connected a Coca-Cola vending machine to a network in order to remotely monitor its inventory and environmental conditions. Both of these examples are hardly IoT in the modern sense but serve as historical examples of everyday objects that can communicate through the Internet.

In 1999, Kevin Ashton coined the term “Internet of Things” in a presentation he gave at Procter & Gamble (P&G). Ashton linked the new idea of RFID in a supply chain to the Internet. Even though Ashton attracted the interest of P&G executives, the term Internet of Things didn’t get widespread attention for the next ten years.

In 2005, the UN’s International Telecommunications Union (ITU) published its first report on the topic. They described IoT as an entirely new dynamic network of networks, a new dimension in the world of information and communication technologies (ICTs): from anytime and anyplace connectivity for anyone to connectivity for anything.

According to many IT experts, the Internet of Things market originated between 2008 and 2009. Together with the growth of smartphones and tablet PCs, the number of devices connected to the Internet grew to 12.5 billion in 2010, while the human population increased to 6.8 billion. It was the first time that connected things outnumbered connected people.

2011 was a significant year in IoT history. IPv6 protocol was launched, ensuring that a large number of IoT devices would be able to connect to the Internet and be uniquely identified. Gartner, the market research company, included the IoT in the hype cycle for emerging technologies. In addition, big companies such as Cisco, IBM, and Ericsson started educational and marketing initiatives on the topic. At the same time, Arduino and similar hardware platforms made IoT accessible to makers and hobbyists.

The term Internet of Things reached mass-market awareness in January 2014 when Google announced the buying of Nest Labs for US$3.2 billion. This move stimulated the entry of many new businesses into the smart home market. At the time of purchase, Nest marketed a self-learning thermostat that helped reduce household energy bills. Under Google’s guidance Nest became the brand for smart home devices.

Since then, IoT devices have become common in our everyday lives. Many technology companies now focus their efforts on the development of IoT products and services.

The world’s largest Cloud providers have launched IoT platforms to help developers bring a huge number of devices online. Among them, AWS IoT, IBM Watson IoT, and Microsoft Azure IoT are those with the most users.

Internet of Things (IoT) statistics

The Internet of Things allows people and devices to connect to a wide range of networks, thus enabling connectivity between physical and digital worlds. As more enterprises and governments transform into digital organizations, the adoption of IoT technology is increasing. Internet of Things-enabled machine learning, AI, digital twins, and remote monitoring are the technology domains with the most business benefits. The corporations that manage to transform and empower themselves through the IoT could create undeniable competitive advantages.

The increasing adoption of advanced technologies by enterprises around the world drives the IoT market. According to a Fortune Business Insights report, IoT technology holds significant potential in the ICT sector with the global market predicted to reach $3,352.97 billion by 2030.

One of the most common statistics to consider when analyzing IoT trends and assessing the potential of this technology is the number of connected devices. According to Statista, the number of installed IoT devices will rise to over 75 billion by 2025.

Moreover, according to Microsoft market research, manufacturers currently offering connected IoT products anticipate boosting their investments from 33 percent at present to 47 percent by 2025.

What are the main IoT challenges?

Alongside its promise and opportunities for success, its challenges, combined with recent global changes caused by COVID-19, will dictate IoT market trends.

For both the organizations trying to get IoT projects off the ground and those that are looking to use IoT more, the challenges are complexity and technical hurdles, security concerns, budget and staff resources, and regulatory issues.

Technical challenges

The diversity of devices, networks, and cloud technology offerings introduces complexity and creates compatibility issues. For example, Bluetooth has long been the compatibility standard for in-home mesh networks. However, competing protocols such as Zigbee, Z-Wave, and EnOcean have similar value offerings. It will take a while for the market to settle enough to establish a universal standard for home IoT.

As the size of the IoT market grows exponentially, bandwidth-intensive IoT applications such as video streaming will soon struggle. Technologies such as edge computing and decentralized networks will serve as a solution to this challenge. But these technologies also bring their own complexities.

Security challenges

Security is a universal challenge in IoT because the devices increase the number of areas for potential cyber-attackers to penetrate a secure network.

Attackers most often explore the security vulnerabilities found in the IoT devices. One of the top security priorities is software and firmware management. This area has proved vulnerable in the past due to the inadequacy of encryption protocols (98% of all IoT device traffic is unencrypted), hardware and software testing tools, and the updating of software and firmware. Additionally, many IoT devices still operate with default passwords and unpatched software.

Much of the security responsibilities lie with the IoT device owners. Many users don’t see IoT devices as potential threats that need to operate updated software and be protected the same way our smartphones and computers do.

Resource challenges

Over the past several years, many businesses undertook proof of concept (POC) projects in IoT that demonstrated the technology well. However, many companies still lack IoT-related business cases that effectively demonstrate measurable value. This shift from PoC to proof of value through projects will allow businesses to see whether an IoT use case can decrease costs or increase revenue. Such projects require both budgetary and people resources.

According to Microsoft’s research mentioned above, IoT adopters report that one-third of IoT projects fail in proof of concept (POC), often because the implementation is expensive or the bottom-line benefits are unclear. Many organizations reported that their projects failed because their pilots demonstrated uncertain business value or ROI and it is also difficult to justify a business case without short-term impact.

Regulatory challenges

As with any other technological innovation, government regulations often require time to catch up with the state of play. The rapid evolution of the IoT poses regulatory challenges for both organizations and customers. The absence of strong IoT regulation is a primary reason for the IoT remaining a severe security risk.

In medical, banking, insurance, infrastructure, manufacturing and pharmaceutical applications, the lack of sufficient regulation imposes an additional cost associated with bringing products to market.

Quality control in IoT is difficult due to large numbers of IoT devices now being imported from under-regulated markets that have different standards.

COVID-19 challenges

IoT has huge potential to help countries minimize the effects of COVID-19. The wide range of IoT applications can ensure that health and safety guidelines are in place. At the same time, IoT has a scalable network that can handle a large amount of crucial data from sensors used by applications fighting COVID-19.

In a time of the pandemic, communications and medical applications drive IoT developments. Virtualized health services play an essential role in easing patient treatment demands. Remote patient monitoring and telehealth services will drive IoT market investment. Now more than ever, IoT security is gaining in importance as highly sensitive medical equipment, as well as healthcare data, needs to be protected.

Hong Kong already uses IoT to lessen the spread of COVID-19. The authorities deployed GPS-enabled applications to track people’s movements in accordance with quarantine protocols. In addition, IoT-based thermal detectors were installed in public places, like shops and offices, to single out people with abnormal body temperature.

With the pandemic-induced economic slowdown, business and technology leaders need to view the IoT as one of many tools in a toolbox and learn how to use it in conjunction with other equally essential tools like analytics, to drive value from it. Such endeavors will require some re-education of the workforce.

Top IoT application industries in 2024 and beyond

Business owners and governments utilize the IoT to drive process efficiencies, save money, and create better user experiences. While IoT technology trends are still in their infancy in many applications, their overall impact on the top industries is tremendous.

Manufacturing

Internet of Things technology in manufacturing is better known as the Industrial IoT. At the current stage of progress, the manufacturing industry is beginning to utilize AI technologies for advanced analytics, predictive maintenance, and process optimization. For all of these applications, the IoT provides scalable computation infrastructure and a way of extracting a large amount of real-time data.

The IoT utilizes sensors, resilient connectivity technologies, and Cloud infrastructure to improve the application of manufacturing processes across many industries.

In 2024 and beyond, the IoT, in combination with AI, will ensure the widespread use of digital twins, better safety in the work environment, and accurate collaborative robots with precise motion capabilities.

Notable application: Rockwell Automation utilizes the Industrial Internet of Things to proactively manage production and performance issues. Using PTC-powered FactoryTalk InnovationSuite the company is taking an intelligent approach to asset optimization. They leveraged real-time monitoring, diagnostics, and predictive and prescriptive analytics to gain valuable visibility and better understand the health of their machines. Equipped with these powerful monitoring tools, they were able to avoid unplanned downtime and maximize asset utilization.

Transportation/mobility

The majority of new cars coming into the market are Internet-connected cars. In the US alone, the number of such cars was 84 million in 2021, and this figure is projected to exceed 305 million by 2035. Above and beyond over-the-air software update capabilities, new cars utilize IoT technology to increase vehicle uptime, ensure better safety for drivers and other road users, and lower emissions.

Alongside passenger cars, the IoT is deeply rooted in connected fleet applications for both logistics and micromobility purposes. The most recent trends in micromobility include shared small electric vehicles such as standing and seated e-scooters, bicycles, and e-skateboards.

In 2024 and beyond, IoT technology is evolving conventional tracking applications into fleet optimization to help companies further reduce operational costs and deliver better customer experience for passenger cars, commercial transportation, and micromobility.

Notable application: KWRL Transportation Co-op runs a large-scale school bus fleet. They use Samsara’s wireless fleet tracking platform to coordinate routes and keep buses running on schedule.

Smart buildings

The efficient use of resources within buildings has been a prominent topic for several years. A study by Johnson Controls reveals that 62% of commercial organizations surveyed intend to increase their investments in smart building technology, energy efficiency, renewable energy, and control system improvements.

Beyond 2024, IoT technology will offer advanced data collection tools and cloud-based analytics to enhance resource optimization. Furthermore, IoT will assist building managers in adjusting parameters to accommodate significantly reduced occupancy levels.

Notable application: Leveraging years of expertise in smart building technology, Microsoft has successfully harnessed sensors and IoT to manage buildings worldwide, particularly at its Redmond headquarters. This vast experience has empowered them to craft the Azure Digital Twins, a pinnacle of intelligent smart building tech within the Microsoft Azure IoT platform.

Energy

The need for smart energy solutions is most evident in light of the expected global energy consumption increase of 50% by 2050. Internet of Things technology is revolutionizing the energy industry from generation and transmission to distribution, and changing how energy companies and customers interact.

The value of IoT has steadily risen throughout the years. The technology has contributed to the development of projects in various areas such as energy distribution, grid optimization, remote asset monitoring and management, predictive maintenance, and the creation of greater transparency for better-informed customers. Growing concern about energy management is one of the main factors fueling the demand for IoT devices and software.

Notable application: Enel, an Italian multinational energy company, leverages a C3.ai predictive maintenance application in 5 control centers to improve grid reliability and reduce the occurrence of faults. The application uses AI to analyze real-time network sensor data, smart meter data, asset maintenance records, and weather data to predict feeder failure.

Retail

Internet of Things technology helps retailers reduce operational costs and enhance in-store customer experience through innovative use cases. In 2024 and beyond, retailers will continue striving towards the digitization of stores and the creation of smart processes.

The most prominent IoT trends in retail include the rising adoption of smart payment solutions, increased investment in retail automation – which provides opportunities for analytics providers – and integrated IoT solutions to open new revenue streams. IoT-enabled security cameras make retail environments more efficient, customer-friendly and, most importantly, secure and safe.

In addition, AI applications, fueled by data from IoT sensors, enhance customer experience and increase sales conversions with actionable insights.

Notable application: Attabotics accelerates e-commerce delivery times using 3D robotic goods-to-person storage, retrieval, and a real-time order fulfillment solution. This solution leverages Microsoft Azure Edge Zones and IoT technologies such as Azure IoT Central and Azure Sphere.

Consumer electronics

The synergy between consumer electronics and the IoT is a powerful tool for enhancing customer satisfaction and creating better marketing channels for producers. IoT-augmented consumer electronics devices provide greater convenience in people’s everyday lives that contributes to better customer experience.

Consumer data engages users and allows producers to analyze and optimize the usage of their products. Additionally, the utilization of the IoT offers improved device efficiency and potential energy savings.

In 2024 and beyond, we will be seeing a more active role for the IoT in consumer electronics. As a notable example, wearable health monitoring devices will quickly advance to mainstream status due to the recent global health crisis.

Notable application: AbiBird offers a service that helps elderly people live independently at home. The company leverages AWS IoT Core to connect in-home infrared sensors with a smartphone app to monitor the daily activities of elderly residents.

Healthcare

Over the years, the integration of IoT in healthcare has been gradual. However, recent events, coupled with prevailing IoT trends, have fostered a conducive atmosphere for innovation. The global pandemic has amplified the surge in digital health solutions, especially those pertaining to COVID-19.

There’s a rising demand for distinct IoT health applications, including telehealth consultations, digital diagnostics, remote patient monitoring, and robotic assistance.

Notable application: Medisanté utilizes the IoT to simplify remote patient monitoring and continuous monitoring of healthcare assets. The service offers personalized patient care anytime, anywhere, and equips care teams with a nearly real-time view of the patient’s health and activities.

Agriculture

The world population will reach a staggering nearly 10 billion by 2050, and global food demand will be 70% higher than it is today.

The IoT has helped address this challenge through smart agriculture. IoT sensors help farmers make more informed decisions to achieve higher crop yield and better quality produce, and save costs by reducing the use of resources (pesticides, water, and electricity).

In 2024 and beyond, we will witness the increased use of LPWAN technology in smart agriculture. LPWANs are ideal for gathering data about local agricultural conditions including weather, soil moisture, chemical compositions of the soil, and other environmental conditions at a much lower total cost. In addition, controlled environment agriculture (CEA) is on the rise, enabling concepts such as urban farming.

Notable application: Kwekerij Moors utilizes the IoT to boost its pepper yield through the strategic placement of flexible infrared temperature sensors to capture the surface temperature of crops and optimize the delivery of nutrients and water.

Top 12 IoT trends to look out for in 2024 and beyond

Even though most of the current IoT trends are an upgrade of older ones, some recent developments have caused a slight direction change in the future of the IoT, and new IoT trends have emerged.

Events such as the emergence of 5G, the latest developments in AI and blockchain, the shift towards greener IoT and the latest pandemic crisis will dictate IoT market and technology trends in the future. The IoT future will be smarter, more secure, and more reliable.

1. Rise of the smart city solutions

During the last five years, we have seen many governmental institutions roll out IoT projects with city-wide impacts. The city administration of Amsterdam uses adaptive lighting, cameras, and a public WiFi network in the city’s squares. Singapore uses a Smart Nation Sensor Platform to collect, analyze, and share data from connected sensors and devices to improve urban planning, transportation, and public safety on the island.

As these pioneering projects start to generate large amounts of data, governments have a chance to implement various intelligent solutions to ease traffic congestion, unlock sustainable development, and improve citizen safety with the help of AI. 5G and edge computing developments will take data analysis to the next level as cities become hubs for innovation.

2. Security as a primary concern

Security is an evolving IoT trend and primary adoption factor. In 2020, the solutions to security and privacy issues are becoming more heterogeneous and involve other technologies such as blockchains, edge computing, and 5G connectivity. Its centralized architecture is the primary source of the vulnerability of IoT networks. With a large number of devices connected to the Internet, the IoT provides a vast fabric for cyber-attacks, making security extremely important.

Many companies are developing IoT security solutions using blockchains. KT (formerly Korean Telecom), the largest telecom operator in South Korea, recently announced its blockchain service to secure IoT connected devices via satellite. The blockchain contains strong protections against data tampering, locking access to devices, and allowing compromised devices in a network to be shut down.

3. Blockchain and IoT

Increased adoption of blockchain technology is also becoming one of the latest trends in the Internet of Things. The most advantageous feature of blockchains for the IoT is inherent data security. Blockchain can ensure proper data protection in IoT devices. Additionally, since IoT applications are by nature distributed systems, blockchains are a perfect fit, as they facilitate the successful interaction between multiple network nodes and ensure the safe recording of successful transactions in immutable chains. Due to this mutual match, the market size of Blockchain IoT is expected to reach $12,679.5 million by 2030.

Tracking and tracing type applications are just the beginning of what is possible with the IoT and blockchain. Clinitraq is a healthcare company that produces real-time location-based radiation dosimetry IoT technology, which helps to capture and analyze radiation data for healthcare workers. Dosimeter utilizes NetObjex’s IoT-Blockchain Platform for the tracking and administration of devices.

4. Rise of IoT enabled AI applications

In 2024 and beyond, the synergy between these two is set to intensify. As AI algorithms require less data to yield superior outcomes, and as IoT devices produce richer and more accurate data, their combined potential grows exponentially.

Highlighting the importance of this union, the global AI in IoT market is projected to reach $91.7 billion by 2032. In industrial contexts, this blend will streamline processes, minimizing downtime and trimming operational expenses. Commercially, the melding of AI and IoT will empower wearables and various devices to intuitively interpret human behavior.

5. 5G as an IoT adoption factor

Wireless connectivity serves as the foundation for a vast majority of today’s IoT systems. Enhanced reliability in this area directly boosts the performance of IoT devices.

As the global 5G IoT market is projected to soar to an estimated $823.14 billion by 2032, the significance of this technology becomes undeniable. This growth will enable both enterprises and governments to deliver advanced IoT services, marked by instantaneous data processing and rapid response times.

Notably, the transformative impact of 5G will be especially pronounced in sectors such as autonomous driving, remote medical procedures, and real-time robotic operations in demanding settings.

6. Smart cars

IoT vehicles enhance the driving experience by providing driver-assistance apps, fleet information, and entertainment services. Google has been testing autonomous cars for a while, and Tesla models are capable of automatic driving on the open road and in traffic. Even legacy automotive companies such as Mercedes-Benz have plans for smart vehicles. In 2024 and beyond, the Internet of Vehicles will utilize sensors to read drivers’ biological data and information from the surrounding environment to make cars smarter and driving – safer.

7. Voice-activated IoT devices

Voice represents 80% of our daily communication, so it’s only natural to design a voice-based user interface for ubiquitous IoT devices that are in direct contact with humans. In 2024, voice interaction will be moving from digital assistants like HomePod, Amazon Echo, and Google Assistant to other applications as well. These new user interfaces will allow for setting up, changing setups, giving commands, and receiving results from devices.

Voice is shifting to become the norm not only in smart houses but in factories, cars, wearables, and hospitals. Orbita, for example, produces an assortment of virtual health assistants. Its OrbitaASSIST IoT is a voice-activated and controlled bedside assistant that facilitates patient-provider communication, reduces wait times, optimizes clinical team management, and improves the patient’s experience.

8. Edge computing

Cloud computing has been a great enabler for the IoT throughout the years. The computational strategy in most current scenarios is to transfer all available data to the Cloud and do data analysis using established Cloud-based tools to get useful business insights. However, due to ever-stringent latency and bandwidth requirements, this strategy poses an issue, especially when real-time data processing is critical. For this reason, the computational strategy is evolving to perform more computation on the edge of the network and having only essential data transferred to the Cloud.

In the edge computing scenario, the information collected by a device is processed immediately on that device without being sent to the Cloud. Edge computing has become a prominent IoT technology trend due to the increase in edge computing software frameworks and the increased computing capabilities of modern IoT devices. Additionally, the edge-first approach offers compelling bandwidth savings and assures better privacy compliance.

9. Digital twins

Digital twins are virtual duplicates of real-life systems. They possess the equivalent features and functions to their real-life versions. The central goal of making digital copies of real systems is to be able to monitor their behavior under emergency conditions and predict future behavior for given inputs.

There are many potential use cases for digital twinning including monitoring, simulation, and remote control of physical assets with virtual objects. Bridgestone, the world’s largest tire and rubber manufacturer, is transforming into a leader in mobility solutions. Digital twin technology is at the heart of Bridgestone’s transformational journey. The company has used digital twin simulations augmented by sensor data as an R&D tool for several years to improve tire life and performance.

Similarly, Takeda Pharmaceuticals is constantly seeking scientific breakthroughs to deliver transformative therapies to patients worldwide. They utilize digital twin technology to mirror the functions of the human body. In this way, they help scientists accelerate experimentation, develop new manufacturing approaches, and generate data to enable more informed decisions and predictions that could help automate complex chemical and biochemical processes during vaccine development.

10. Predictive maintenance

Predictive maintenance has predominantly been an industrial term. However, it has recently started to become more important in our private lives as well. This shift has caused an intensification of investment in predictive maintenance and its establishment as one of the key IoT market trends.

In industry, predictive maintenance makes use of numerous sensors that monitor the status of industrial equipment. Artificial intelligence algorithms analyze the collected data and predict when malfunction or failure may happen. The system’s most essential advantage is the early warning feature. Similarly, in smart home and smart building scenarios, sensors monitor the usage of utilities, detect anomalies, and inform users through available interfaces.

11. Smart home

The utilization of IoT devices in smart homes has been a consistent trend over the years. These devices offer homeowners convenience, cost savings, and enhanced security. The global smart home market size is projected to grow to $338.28 billion by 2030, reflecting the increasing adoption of such technologies.

Homeowners can control appliances remotely through voice assistants or mobile apps. Smart sensors detect malfunctioning appliances and send prompt notifications. For security, innovations like smart locks, cameras, and motion detectors allow monitoring from any location, enhancing home safety. Additionally, these IoT devices aid in energy conservation and deter potential emergencies and intrusions.

12. The emergence of green IoT

Green IoT concepts are paving the way for a more sustainable future by focusing on reducing energy consumption and fostering a safer environment. This involves designing energy-efficient devices, creating solutions that conserve resources in homes and workspaces, implementing smart production methods that minimize waste, and developing mobility and energy strategies to decrease global emissions.

As we move into 2024 and beyond, the urgency for IoT-driven environmental solutions will grow. Governments and enterprises are gearing up for bold initiatives to ensure a greener tomorrow. A prime example of this commitment is seen in the UK’s Department for Environment, Food and Rural Affairs (Defra).

Defra recognizes the transformative potential of the Internet of Things and distributed ledger technologies in achieving its environmental objectives. The IoT, in particular, holds significant promise for Defra. It can revolutionize the way they remotely monitor the environment, facilitating the creation of real-time monitoring networks across the UK. By integrating data from rivers, land, and air, it’s possible to generate a comprehensive digital snapshot of the entire environment, ensuring timely interventions and informed decision-making.

Conclusion

As we navigate the IoT trends of 2024, we see that the Internet of Things is becoming a de facto design standard for novel smart solutions, dictating the evolution of various other technologies.

If you have a great idea in mind and want to transform it into a real-life application, our IoT development company is here to thoroughly analyze your business case. We aim to create a successful IoT solution that helps your company stand out and get noticed.

Drop us a line, and let’s create a groundbreaking IoT solution together!