Market Forecast By Component (Hardware, Platform, Connectivity, Services), By Network Type (5G Standalone, 5G Non-standalone), By End User (Manufacturing, Healthcare, Energy & Utilities, Automotive and Transportation, Supply Chain and Logistics, Agriculture, Government and Public Safety), By Organization Size (Large Enterprises, SMEs), By Type (Short-range IoT Devices, Wide-range IoT Devices) And Competitive Landscape
Product Code: ETC4379569 | Publication Date: Jul 2023 | Updated Date: Aug 2025 | Product Type: Report | |
Publisher: 6Wresearch | No. of Pages: 200 | No. of Figures: 90 | No. of Tables: 300 | |
Report Name | South Africa 5G IoT Market |
Forecast period | 2025-2031 |
CAGR | 8.4% |
Growing Sector | Healthcare |
The South Africa 5G IoT Market report thoroughly covers the market by component, by network type, by end user, by organization size and by type. The market report provides an unbiased and detailed analysis of the ongoing market trends, opportunities/high growth areas, and market drivers which would help the stakeholders to devise and align their market strategies according to the current and future market dynamics.
The South African 5G IoT market is gaining traction as the country advances in adopting the latest technologies in the Internet of Things (IoT) space, propelled by the ongoing rollout of 5G networks. This market is instrumental in driving innovation across various sectors, including manufacturing, healthcare, and automotive, by enabling ultra-fast and reliable communication between devices. The key trends shaping this market include the accelerated deployment of 5G infrastructure, burgeoning smart city projects, and an increasing emphasis on industrial automation. Growth drivers are the expansive adoption of IoT devices in critical sectors and enhanced connectivity solutions, whereas challenges include cybersecurity risks and the need for substantial investments in network infrastructure.
According to 6Wresearch, South Africa 5G IoT Market size is expected to grow at a significant CAGR of 8.4% during 2025-2031. Integral to the growth of the South Africa 5G IoT market are factors such as the rapid expansion of 5G networks across the region, increasing government and private investments in smart city initiatives, and the rising demand for industrial automation. Technological innovations, coupled with a growing need for efficient data management and analysis in sectors like healthcare, automotive, and agriculture, also play a crucial role.
Furthermore, consumer preferences are shifting towards interconnected devices for enhanced lifestyle and productivity, fueling the market expansion. Despite promising growth, the South Africa 5G IoT market faces several impediments. Key among these is the substantial cost associated with setting up 5G infrastructure, which poses a challenge, especially for SMEs. Additionally, cybersecurity concerns regarding IoT devices remain a significant hurdle, alongside regulatory and compliance issues. The market also grapples with technological limitations in remote and underdeveloped areas, affecting the uniform deployment of 5G IoT solutions across all regions.
Prominent players in this market include Vodacom, MTN, and Telkom, which are actively expanding their 5G networks to support IoT applications. These companies, along with global tech giants like Huawei and Ericsson, are pivotal in developing the infrastructure essential for 5G IoT services. Their contributions are crucial in enabling technologies such as autonomous vehicles, remote healthcare, and smart agriculture in South Africa.
The government in South Africa has launched several initiatives to support the growth of the 5G IoT market. One notable policy is the "SA Connect" strategy, aimed at providing widespread and affordable internet access, which is foundational for 5G IoT. Additionally, the "Digital Economy Strategy" seeks to enhance digital infrastructure, including 5G, to bolster economic growth and innovation. These policies, alongside regulatory frameworks to ensure cybersecurity and data protection, are essential in fostering a conducive environment for 5G IoT proliferation.
The future of the South Africa 5G IoT market is poised for robust growth, with predictions of increased adoption across all sectors, driven mainly by the manufacturing and automotive industries. Emerging trends, such as the Internet of Medical Things (IoMT) and smart logistics, are expected to open new avenues for growth. However, addressing cybersecurity concerns and ensuring equitable access to 5G services across the country remain critical challenges. Continued investment in 5G infrastructure and innovation, alongside supportive government policies, will be key in realizing the full potential of IoT in South Africa.
According to Ravi Bhandari, Research Head, 6Wresearch, in the South Africa 5G IoT market, the Services component is experiencing significant growth. This surge can be attributed to the increasing demand for advanced services such as professional consulting, system integration, and support and maintenance, which are critical for the successful deployment and operation of 5G IoT solutions. Businesses across various sectors are seeking to leverage these services to ensure efficient implementation, achieve operational excellence, and enhance security measures. The expertise provided by service providers plays a pivotal role in navigating the complexities of 5G technology and IoT integration, driving the Services segment to be a leading growth contributor in the market.
Among the network types, the 5G Standalone (SA) architecture is witnessing remarkable growth in the South African market. This is primarily because SA architecture does not rely on existing 4G infrastructure, allowing for full utilization of 5G capabilities, including significantly higher speeds, lower latency, and network slicing. This independence facilitates a host of new applications and use cases for IoT, such as autonomous vehicles and advanced industrial automation, setting a foundation for innovative services and a more extensive IoT ecosystem. The move towards 5G SA is indicative of the market's maturity, showcasing an increasing readiness to adopt more sophisticated and efficient network solutions.
The Healthcare sector in the South African 5G IoT market is exhibiting rapid growth and transformation. With the advent of the Internet of Medical Things (IoMT), healthcare delivery is becoming more efficient, personalized, and accessible. 5G's high speed and low latency capabilities enable real-time remote patient monitoring, telehealth consultations, and the seamless transfer of large medical data files. This not only improves patient care but also optimizes operations and reduces healthcare costs. The pandemic accelerated the digitalization of healthcare, and with 5G, the sector is set to further harness IoT technologies, making Healthcare one of the fastest-growing end-user segments in South Africa's 5G IoT market.
Within the organization size segment, Small and Medium-sized Enterprises (SMEs) are emerging as a dynamic growth area in the South Africa 5G IoT market. Despite initial barriers related to cost and technological complexity, SMEs are increasingly adopting 5G IoT solutions to enhance operational efficiency, reduce costs, and improve customer experiences. The scalability and flexibility offered by IoT technologies are particularly beneficial for SMEs, enabling them to compete more effectively with larger enterprises. Additionally, government initiatives and incentives aimed at boosting digital transformation among SMEs are further stimulating this segment's growth.
In terms of the type, wide-range IoT Devices segment is witnessing substantial growth in the South African market. These devices, capable of long-distance communication, are pivotal in sectors like agriculture, mining, and logistics, where operations span extensive areas. Wide-Range IoT Devices enable efficient asset tracking, environmental monitoring, and remote control of equipment, thus driving operational efficiencies and cost savings. The deployment of 5G enhances the capabilities of these devices, offering more reliable connectivity, reduced latency, and support for a higher number of devices over larger areas. This evolution is particularly relevant for South Africa, given its broad agricultural hinterlands and expansive mining operations, marking the Wide-Range IoT Devices segment as a key growth area.
The report offers a comprehensive study of the following market segments:
1 Executive Summary |
2 Introduction |
2.1 Key Highlights of the Report |
2.2 Report Description |
2.3 Market Scope & Segmentation |
2.4 Research Methodology |
2.5 Assumptions |
3 South Africa 5G IoT Market Overview |
3.1 South Africa Country Macro Economic Indicators |
3.2 South Africa 5G IoT Market Revenues & Volume, 2021 & 2031F |
3.3 South Africa 5G IoT Market - Industry Life Cycle |
3.4 South Africa 5G IoT Market - Porter's Five Forces |
3.5 South Africa 5G IoT Market Revenues & Volume Share, By Component, 2021 & 2031F |
3.6 South Africa 5G IoT Market Revenues & Volume Share, By Network Type, 2021 & 2031F |
3.7 South Africa 5G IoT Market Revenues & Volume Share, By End User, 2021 & 2031F |
3.8 South Africa 5G IoT Market Revenues & Volume Share, By Organization Size, 2021 & 2031F |
3.9 South Africa 5G IoT Market Revenues & Volume Share, By Type, 2021 & 2031F |
4 South Africa 5G IoT Market Dynamics |
4.1 Impact Analysis |
4.2 Market Drivers |
4.2.1 Growing demand for high-speed internet connectivity and data transfer capabilities in South Africa. |
4.2.2 Increasing adoption of IoT devices and applications across various industries in the country. |
4.2.3 Government initiatives and investments to develop 5G infrastructure in South Africa. |
4.3 Market Restraints |
4.3.1 High initial investment and infrastructure costs associated with deploying 5G IoT networks. |
4.3.2 Concerns regarding data security and privacy in IoT devices and networks. |
4.3.3 Limited availability of skilled professionals to manage and maintain 5G IoT systems. |
5 South Africa 5G IoT Market Trends |
6 South Africa 5G IoT Market, By Types |
6.1 South Africa 5G IoT Market, By Component |
6.1.1 Overview and Analysis |
6.1.2 South Africa 5G IoT Market Revenues & Volume, By Component, 2021 - 2031F |
6.1.3 South Africa 5G IoT Market Revenues & Volume, By Hardware, 2021 - 2031F |
6.1.4 South Africa 5G IoT Market Revenues & Volume, By Platform, 2021 - 2031F |
6.1.5 South Africa 5G IoT Market Revenues & Volume, By Connectivity, 2021 - 2031F |
6.1.6 South Africa 5G IoT Market Revenues & Volume, By Services, 2021 - 2031F |
6.2 South Africa 5G IoT Market, By Network Type |
6.2.1 Overview and Analysis |
6.2.2 South Africa 5G IoT Market Revenues & Volume, By 5G Standalone, 2021 - 2031F |
6.2.3 South Africa 5G IoT Market Revenues & Volume, By 5G Non-standalone, 2021 - 2031F |
6.3 South Africa 5G IoT Market, By End User |
6.3.1 Overview and Analysis |
6.3.2 South Africa 5G IoT Market Revenues & Volume, By Manufacturing, 2021 - 2031F |
6.3.3 South Africa 5G IoT Market Revenues & Volume, By Healthcare, 2021 - 2031F |
6.3.4 South Africa 5G IoT Market Revenues & Volume, By Energy & Utilities, 2021 - 2031F |
6.3.5 South Africa 5G IoT Market Revenues & Volume, By Automotive and Transportation, 2021 - 2031F |
6.3.6 South Africa 5G IoT Market Revenues & Volume, By Supply Chain and Logistics, 2021 - 2031F |
6.3.7 South Africa 5G IoT Market Revenues & Volume, By Agriculture, 2021 - 2031F |
6.4 South Africa 5G IoT Market, By Organization Size |
6.4.1 Overview and Analysis |
6.4.2 South Africa 5G IoT Market Revenues & Volume, By Large Enterprises, 2021 - 2031F |
6.4.3 South Africa 5G IoT Market Revenues & Volume, By SMEs, 2021 - 2031F |
6.5 South Africa 5G IoT Market, By Type |
6.5.1 Overview and Analysis |
6.5.2 South Africa 5G IoT Market Revenues & Volume, By Short-range IoT Devices, 2021 - 2031F |
6.5.3 South Africa 5G IoT Market Revenues & Volume, By Wide-range IoT Devices, 2021 - 2031F |
7 South Africa 5G IoT Market Import-Export Trade Statistics |
7.1 South Africa 5G IoT Market Export to Major Countries |
7.2 South Africa 5G IoT Market Imports from Major Countries |
8 South Africa 5G IoT Market Key Performance Indicators |
8.1 Average data transfer speeds on 5G networks in South Africa. |
8.2 Number of IoT devices connected to 5G networks in the country. |
8.3 Percentage increase in investment in 5G infrastructure development. |
8.4 Rate of adoption of 5G-enabled IoT applications across industries. |
8.5 Level of cybersecurity measures implemented in 5G IoT networks. |
9 South Africa 5G IoT Market - Opportunity Assessment |
9.1 South Africa 5G IoT Market Opportunity Assessment, By Component, 2021 & 2031F |
9.2 South Africa 5G IoT Market Opportunity Assessment, By Network Type, 2021 & 2031F |
9.3 South Africa 5G IoT Market Opportunity Assessment, By End User, 2021 & 2031F |
9.4 South Africa 5G IoT Market Opportunity Assessment, By Organization Size, 2021 & 2031F |
9.5 South Africa 5G IoT Market Opportunity Assessment, By Type, 2021 & 2031F |
10 South Africa 5G IoT Market - Competitive Landscape |
10.1 South Africa 5G IoT Market Revenue Share, By Companies, 2024 |
10.2 South Africa 5G IoT Market Competitive Benchmarking, By Operating and Technical Parameters |
11 Company Profiles |
12 Recommendations |
13 Disclaimer |