Internet of Robotic Things Market Report Scope & Overview:

Internet of Robotic Things Market size was valued at USD 35.53 billion in 2024 and is expected to reach USD 257.09 billion by 2032, growing at a CAGR of 28.15% over 2025-2032. 

The Internet of Robotic Things Market growth is driven by the increasing penetration of automation, advancements in AI and IoT, booming smart manufacturing, and rising network connectivity in industries with 5G technology. Moreover, growing usage across healthcare, agriculture and logistics segments drives the demand for IoT hardware as it supports improved operational efficiency, real-time data handling and analytical decision-making capabilities.

The healthcare sector is embracing automation to improve patient care and operational efficiency, with approximately 40% of healthcare organizations having deployed automation technologies focused on data gathering and processing through AI and big data automation.

 Meanwhile, Nvidia is focusing on robotics to drive its future growth beyond its core AI chipmaking business, planning to release its latest computer for robots, Jetson Thor, in early 2025, which aims to provide a full-stack solution including both software and chips.

The U.S. Internet of Robotic Things Market size was valued at USD 9.48 billion in 2024 and is expected to reach USD 67.47 billion by 2032, growing at a CAGR of 27.81% over 2025-2032. 

The growth of the U.S. Internet of Robotic Things Market is fueled by the seamless integration of advanced AI and IoT, a surge in industrial automation, government backing for smart technologies, and a rising application in sectors including healthcare, defense, and logistics, all aimed at boosting efficiency and precision.

The U.S. government has invested significantly in AI, with expenditures totaling USD 4.38 billion in 2022 to bolster national security, governance, and broader societal benefits.

Additionally, ABB has announced a USD 20 million expansion at its U.S. robotics headquarters in Auburn Hills, Michigan, to meet the growing demand for AI-driven automation in various industries such as logistics, construction, and healthcare.

Internet of Robotic Things Market Dynamics:

Drivers:

• Rising Adoption of Industry 4.0 and Smart Manufacturing is Driving Accelerated Deployment of Intelligent Robotic Systems Across Industries

Industrial 4.0 and smart manufacturing are encouraging firms to adopt Iot-enabled robotic systems, creating opportunities for machine-based, real-time data sharing, predictive maintenance, and remote diagnostics. Companies are creating efficiencies with smart solutions that help to lower downtime and bolster productivity in industries from automotive to electronics. As they embrace automation to keep their competitive edge, AI-driven robots will create demand for connected robotic platforms, in both discrete and process manufacturing at home and abroad, which will enable greater productivity and safety.

AI-driven robots are instrumental in ensuring manufacturing processes gain efficiencies of 25%, reduce errors by 60% and reduce time spent in the assembly line by 40%.

In South Korea (1,012) and China (649) average robots per 10,000 employees is the highest in the world with South Korea embracing the highest levels of automation in all the manufacturing industry.

Approximately, 70% of automotive manufacturers use AI-driven robotics to achieve assembly line optimization and overall better active intelligence.

Restraints:

• Data Privacy and Cybersecurity Risks Hinder Widespread Implementation of IoRT Platforms in Sensitive Industries and Regulated Environments

The uptake of IoRT is still being affected by data privacy, and data security issues in particular in sensitive industries (i.e., healthcare, finance, and defense) to some extent. IoRT engages with data, revealing opportunities for cyberattacks and data breaches. A company may compromise their reputation or breach laws and regulations related to data privacy, or they might experience cyberattacks on their robotic devices that may disrupt their operations or create bodily harm, before convincing firms that IoRT is safe and trustworthy. So, firms may delay purchasing IoRT solutions until enhanced cybersecurity processes and technologies are established.

In 2023, a severe vulnerability in the MOVEit managed file transfer software resulted in a cyberattack by the CL0P ransomware group affecting personal data of an estimated 93.3 million people in several industries, including finance.

For instance, in 2024, multiple U.S. water facilities experienced hackers manipulating the vertical equipment of the industrial systems to use monitors to display anti-Israel messages affecting critical infrastructure.

Opportunities:

• Government Support for Smart Infrastructure and Digital Transformation Boosts Large-scale Deployment of IoRT in Public Services and Defense Sectors

Government support for smart infrastructure and digital transformation is driving broad adoption of IoRT across public services and defense. In its investments in smart cities, intelligent transportation, and surveillance, public service investments take advantage of real-time connected robotics. In defense, growth occurs in battlefield robotics and unmanned systems, and in public health, diagnostic and disinfection robots are now used routinely. All of these initiatives are enabled by government funding and policy, which create opportunities for growth. In the face of rising commitments to automation, the government funded initiatives will support long term contracts for vendors in the public sector.

The U.S. Department of Transportation invested over USD 300 million in 2023 through its Smart City Challenge program to develop connected vehicle infrastructure and IoRT solutions in cities like Columbus, Ohio.

In 2023, the U.S. Defense Innovation Unit awarded contracts worth USD 120 million to companies developing IoRT-enabled unmanned ground and aerial robotic systems for battlefield reconnaissance and logistics.

The EU allocated €2.1 billion in 2023 for projects integrating IoRT technologies in urban infrastructure, including surveillance and intelligent transportation, under its Horizon Europe framework.

Challenges:

• Integration Complexity and Lack of Standardization across IoT and Robotic Platforms Create Deployment Barriers for Enterprises and Developers

The complexity of integration and the absence of standardized operating systems for IoT and robotic platforms present serious challenges for deployment. These deployed robots consist of multiple hardware upstreams, protocols, and data formats that can lead to interoperability issues and challenges in dealing with legacy systems. While having a lack of consistent framework can lead to extra costs and overall project complexity, it has a particularly large impact on companies that do not have strong engineering teams. Ultimately, without the industry being united behind certain standards, the efficiency and speed of deploying IoRT will continue to be hamstrung across industries.

Multiway Robotics emphasizes the challenges of integrating robots into existing industrial processes. Obstacles include high initial implementation costs, workforce adaptation, system interoperability, and maintenance requirements.

Internet of Robotic Things Market Segmentation Analysis:

By Service

Professional Services led the Internet of Robotic Things Market in 2024 due to growing demand for consulting, deploying, and integrating for complex industrial settings. Businesses depend on service providers to design their custom IoRT architectures and implement those architectures properly. Service Providers are essential to converting technology into operational value, especially precision, compliance, and interoperability in safety-critical industries.

Managed Services is projected to witness the fastest CAGR of 29.53% over 2025-2032, due to enterprises outsourcing IoRT infrastructure monitoring, cybersecurity, and maintenance. Many organizations lack in-house staff with expertise managing technology platforms or low confidence with technology processes, which leads businesses preferring 'managed support' to limit downtime, contain operational silos, and guarantee ongoing performance. The strong interest in adopting managed services is also seen with SMEs with the goal of scaling their business without hiring big, costly internal technical teams to have the subject matter expertise in-house.

By Software

Real-time Streaming Analytics dominated the Internet of Robotic Things Market in 2024 by accounting for 29% revenue share due to it plays the central role in processing the large data flows from connected robotic systems. Real-time Streaming Analytics enable instant decision making, predictive maintenance, and adaptive responses. The key industries for these analytics, including manufacturing, logistics, and defense, favor more automation to lower operational costs and keep workers safer. Having the capacity to capitalize on these advanced analytics is a clear way to improve efficiency in fast-paced environments.

Remote Monitoring Systems are expected to grow at the fastest CAGR of 30.14% over 2025-2032, fueled by increasing utilization of remote monitoring systems in healthcare, utilities, and industrial automation. Organizations are capitalizing on the remote oversight of robotic assets to decrease on-site labor costs, bolster fault inference detection and tolerance in fault detection, and promote decentralized operational strategies to avoid having people be on-site when it is not needed. Remote monitoring systems allow for higher operating time and improved visibility, especially for remote or hazardous sites, which makes a strong case to support larger scale industrial ROBS.

By Component

Sensors held the largest share of the Internet of Robotic Things Market in 2024, accounting for 38% of revenue, as sensors are foundational to data gathering, machine perception, and contextual awareness in robot systems. From vision and motion to temperature and pressure, sensors allow robots to interact with the environment in an intelligent manner. Sensors provide critical information for real-time decision-making and automation workflows that have kept the investment momentum low across sectors.

Control Systems are expected to grow at a CAGR of 29.99% over 2025-2032, due to growing complexity in autonomous tasks for robotics that require coordination-level adaptation and control. AI-driven robotics and multi-agent systems will be necessary to meet the challenges of controlling systems that require dynamic responses and learning algorithms and the coordination of the actions of multiple agents. The increasing need for advanced command architecture is driving the rapid success to demands for current control systems.

By Platform

Device Management Platform led the IoRT Market in 2024 with a 44% revenue share as it is used to manage the countless connected robotic devices. Device Management Platforms allow users to remotely configure settings, remotely deploy a software update, perform remote diagnostics, or even manage the lifecycle of a device, and all are very important functions for enterprise scale. Many organizations of all sizes utilize Device Management tools to assure performance, and maintain cybersecurity and uptime to their fleets of robotic devices in the varied settings of manufacturing, logistics, and infrastructure.

Application Management Platform is expected to grow at a CAGR of 29.62% during 2025-2032, as organizations invest more focus on orchestrating, scaling, and monitoring applications that are running across IoRT environments. Application management platforms are useful in managing all of the complexity software introduce into a product, while also enabling this multi-layered approach for edge-cloud configurations, to canvas constant upgrades and improvements. The development of robotic application driven solutions will increase the business demands on application management platforms to provide some visibility, control and optimization across the layers from the user to the robotic product.

By Application

Collaborative Industrial Robots dominated the Internet of Robotic Things Market share with a 60% in 2024 and are projected to grow at the fastest CAGR of 29.17% over 2025-2032. This growth is driven by increasing demand for human-robot collaboration in manufacturing, where flexibility, safety, and ease of integration are key. These robots enhance productivity without the need for extensive safety barriers, making them suitable for small and medium enterprises. Compatible with IoT, these systems enable real-time data exchange, adaptive performance, and smart monitoring, fueling Industry 4.0 adoption globally.

Internet of Robotic Things Market Regional Outlook:

North America dominated the Internet of Robotic Things Market in 2024 with a 38% revenue share due to its advanced technological infrastructure, early adoption of automation, and strong presence of leading robotics and IoT companies. Strong R&D, smart manufacturing adoption, and government backing reinforce the region’s leadership in deploying integrated robotic and IoT solutions in healthcare, defense, and logistics.

The U.S. dominated the Internet of Robotic Things Market due to strong R&D, advanced infrastructure, and widespread adoption of smart manufacturing technologies.

Asia Pacific is expected to grow at the fastest CAGR of 29.94% over 2025-2032, driven by rapid industrialization, expanding manufacturing hubs, and government-led initiatives promoting smart factories and robotics adoption. Countries including China, Japan, and South Korea are investing heavily in automation to enhance productivity. Rising demand for cost-efficient, connected robotic systems across automotive, electronics, and healthcare sectors accelerates regional market expansion.

China is dominating the Internet of Robotic Things trend in Asia Pacific due to its massive manufacturing base and aggressive investments in automation and IoT.

Europe holds a significant position in the Internet of Robotic Things Market, driven by strong industrial automation, supportive regulatory frameworks, and increased investments in smart factory initiatives across Germany, France, and the Nordic countries.

Germany is dominating the Internet of Robotic Things Market in Europe due to its advanced manufacturing sector and strong focus on Industry 4.0 technologies.

In the Internet of Robotic Things Market, the Middle East & Africa are witnessing gradual growth driven by smart city initiatives, while Latin America is expanding steadily due to increasing automation adoption in sectors including manufacturing and agriculture.

Key Players:

The leading players in the market are ABB Ltd., Kuka AG, Irobot Corporation, Fanuc Corporation, Amazon.com Inc., Google Inc, Cisco Systems Inc, Intel Corporation, Honda Motors Co., Ltd., and Yaskawa Electric Corporation and others.

Recent Developments:

• In 2024 ABB introduced Visual SLAM technology in its AMRs, enhancing autonomous navigation with AI and 3D vision, reducing commissioning time by 20% and improving performance in dynamic environments.

• In 2024 Amazon unveiled its next-generation fulfillment center in Shreveport, Louisiana, featuring autonomous robots, such as Proteus and AI-driven systems to enhance efficiency and reduce delivery times.

• In 2024 Yaskawa commenced construction of new robot assembly and distribution facilities in Slovenia, aiming to strengthen their presence across Europe, the Middle East, and Africa.