According to a recent study from market research firm Global Market Insights the demand for IoT (Internet of Things) gateway devices is expected to increase rapidly on account of growing inclination towards integrating IoT solutions within various industries including:
- wearable devices
- building automation
- automotive & transportation
- consumer electronics and
- industrial production.
Rising concerns over cybersecurity and advanced network infrastructure protection across businesses have accelerated the adoption of IoT gateway devices that provide end-to-end encryption and multi-level authentication of data. This will help further drive market growth in the coming years.
Robust application in the industrial sector has advocated the development of new IoT gateway devices within the market. For example, industrial IoT gateway solutions, KUBER-2000 and LYNX-6K series, developed by American Portwell Technology, Inc., offers scalable infrastructure for virtual machines, data, front-end applications and servers. The devices provide benefits like ruggedized design, flexible I/O expansion, fast time-to-market, low power consumption and wireless connectivity for different applications.
On a regional landscape, Europe is considered to be a lucrative market for IoT gateway device manufacturers. Reports suggest that the market could account for almost a 15% CAGR (compound annual growth rate) by the end of 2026. Supportive federal initiatives backed by government investments aimed at driving smart infrastructure activities could stir significant growth opportunities for IoT gateway hardware manufacturers. As per the European Commission (EC), the government intends to build over 300 smart cities by 2020.
Additionally, the presence of large-scale vehicle OEMs in Europe could broaden the industry landscape for IoT companies. Automakers and heavy-duty truck manufacturers are focusing on incorporating IoT systems like advanced sensors and ADAS (advanced driver assistance systems) solutions to enhance vehicle safety and performance.
Companies functioning in the IoT gateway devices market are forming strategic alliances to bring in new technologies and product launches to expand their market presence and consumer base. Taking August 2020 for instance, Semtech Corporation partnered with TensorIoT and Amazon Web Services (AWS) to streamline the development of IoT solutions by delivering Smart Building Kits and Asset Tracking.