US IoT Chip Market (2025-2031) | Outlook, Trends, Revenue, Companies, Value, Industry, Forecast, Size, Growth, Analysis & Share

US IoT Chip Market Highlights

Report Name	US IoT Chip Market
Forecast period	2025-2031
CAGR	18.4%
Growing Sector	Consumer Electronics

Topics Covered in the US IoT Chip Market Report

The US IoT Chip market report thoroughly covers the market by hardware, by power consumption, by end user and competitive Landscape. The report provides an unbiased and detailed analysis of the on-going 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.

US IoT Chip Market Synopsis

The US IoT chip market is experiencing a surge in growth, driven by the widespread adoption of internet-connected devices across diverse sectors including healthcare, automotive, and consumer electronics. This trend is supported by the advancement in wireless networking technologies and the proliferation of smart home devices, which require reliable and efficient chips to facilitate communication and data exchange. This market's expansion is further fueled by the push towards automation and data-driven decision-making in industries, making IoT chips an essential component in the digital transformation of the economy. Additionally, one of the notable trends in the US IoT chip market is the increasing demand for low-power chips, which are essential for battery-operated devices such as wearable technology and remote sensors. These chips are designed to consume minimal power, thus extending the battery life of the devices they power, a critical factor for consumer satisfaction and device efficiency. Additionally, there is a growing interest in edge computing within the IoT ecosystem. This trend involves processing data closer to where it is generated rather than in a centralized data center, thereby reducing latency and improving response times in real-time applications. Another significant trend is the integration of artificial intelligence (AI) capabilities directly into IoT chips, enabling smarter and more autonomous devices capable of complex data analysis and decision-making on the edge.

According to 6Wresearch, US IoT Chip market size is projected to grow at a CAGR of 18.4% during 2025-2031. Several factors contribute to the robust growth of the US IoT chip market. Firstly, the increasing integration of IoT technology in everyday consumer products ranging from smart appliances to wearables has significantly driven up the demand for IoT chips. Consumers' growing expectations for smart devices that offer convenience, efficiency, and enhanced functionality compel manufacturers to invest in advanced chip technology.

Secondly, government initiatives aimed at boosting smart city projects and infrastructure modernization further stimulate the market. These projects require a vast array of IoT devices, all powered by sophisticated chips, to collect and analyze data for better urban planning, public safety, and environmental monitoring. Lastly, the advent of 5G technology is a pivotal growth driver, offering faster speeds and more reliable connections for IoT devices. This advancement ensures that chips designed for 5G IoT devices are in high demand, as they enable more efficient data transmission and open up new possibilities for IoT applications in areas such as autonomous vehicles and telemedicine.

Government Initiatives Introduced in the US IoT Chip Market

Every government tends to prioritize initiatives that promise enhanced efficiency, safety, and sustainability within urban environments. This often translates into significant investments in technologies that enable smart city projects. Smart cities leverage IoT devices for a myriad of functions, from monitoring air quality to streamlining traffic management, thus requiring a robust infrastructure of IoT chips capable of facilitating constant, reliable communication. Consistently, these plans have heightened the US IoT Chip Market Share. Further, these government-backed projects not only serve as a catalyst for advancements in IoT technology but also pave the way for public-private partnerships that drive innovation further. Such initiatives not only promise a more interconnected and efficient urban life but also position the IoT chip industry for sustained growth by creating a consistent demand for advanced technological solutions.

Key Players in the US IoT Chip Market

Leading the charge in the IoT chip sector are key players such as Intel Corporation, Qualcomm Incorporated, Texas Instruments Incorporated, and NXP Semiconductors. These companies are at the forefront of innovation, developing cutting-edge chips that power a wide range of IoT devices. Intel's expertise in creating high-performance, energy-efficient chipsets makes it a go-to choice for smart city projects. Meanwhile, Qualcomm's advancements in 5G technology position it as a critical enabler for next-generation IoT applications. Texas Instruments' broad portfolio of connectivity and processing solutions caters to a vast spectrum of IoT needs, from consumer electronics to industrial applications. NXP Semiconductors, with its focus on security and connectivity, ensures that IoT devices are both smart and safe. In addition, the companies’ hold huge US IoT Chip Market Revenues.  Collectively, these industry giants are shaping the future of IoT, driving technological advancements that enable smarter, more connected cities.

Future Insights of the US IoT Chip Market

Looking ahead, the IoT chip market is poised for significant expansion, primarily driven by the increasing demand for smart devices in both consumer and industrial sectors. This demand signals a broader trend towards automation and data-driven decision-making processes across various industries, including healthcare, automotive, and manufacturing. The integration of AI and machine learning technologies with IoT devices is expected to play a pivotal role in this evolution, enabling more sophisticated data analysis and predictive capabilities. In the healthcare sector, for example, IoT devices equipped with advanced chipsets will facilitate real-time patient monitoring and personalized treatment plans. Similarly, in the automotive industry, these technologies will underpin the development of autonomous vehicles, enhancing safety and efficiency. Additionally, sustainability initiatives will likely spur further innovation in IoT chips, pushing manufacturers to develop solutions that are both energy-efficient and capable of powering devices in remote locations. As these trends converge, the IoT chip market will not only grow in size but also in strategic importance, laying the foundation for a future where digital and physical worlds are seamlessly interconnected.

Market Analysis by Hardware

According to Ravi Bhandari, Research Head, 6Wresearch, at the heart of IoT devices, processors serve as the central brain, responsible for managing data and executing commands. They vary significantly in power and capacity, catering to the diverse demands of IoT applications, from simple household gadgets to complex industrial machinery. Connectivity Integrated Circuits (ICs), on the other hand, are fundamental in enabling these devices to communicate with each other and the internet, supporting a range of technologies including Wi-Fi, Bluetooth, and cellular networks. Sensors are equally critical, as they collect data from the environment—such as temperature, motion, and light—allowing devices to interact intelligently with their surroundings. Lastly, memory devices store the vast amounts of data generated and received by IoT devices, ensuring swift access and reliable data retention. These components, each serving a unique and essential function, collectively enable the IoT ecosystem to thrive and expand.

Market Analysis by End User

The diverse nature of IoT technology caters to a wide range of end users, each with unique needs and applications. Wearable devices, for instance, offer individuals the ability to monitor their health and fitness metrics in real-time, integrating seamlessly into daily life. In the healthcare sector, IoT provides critical solutions for patient monitoring, equipment management, and even remote diagnosis, improving patient outcomes and operational efficiencies. Consumer electronics, enriched with IoT capabilities, enhance user experience through smart homes and personal assistants, making daily tasks more convenient. The automotive and transportation industry benefits significantly from IoT through advanced driver-assistance systems (ADAS), fleet management solutions, and increasingly, autonomous vehicles. Finally, building automation utilizes IoT for energy management, security, and maintenance systems, contributing to more sustainable and efficient infrastructure. Collectively, these end users drive the demand for sophisticated IoT solutions, shaping the future of technology and society.

Key Attractiveness of the Report

• 10 Years Market Numbers.
• Historical Data Starting from 2021 to 2024.
• Base Year: 2024.
• Forecast Data until 2031.
• Key Performance Indicators Impacting the Market.
• Major Upcoming Developments and Projects.

Key Highlights of the Report:

• US IoT Chip Market Overview
• US IoT Chip Market Outlook
• US IoT Chip Market Forecast
• Market Size of US IoT Chip Market, 2024
• Forecast of US IoT Chip Market, 2031
• Historical Data and Forecast of US IoT Chip Revenues & Volume for the Period 2021 - 2031
• US IoT Chip Market Trend Evolution
• US IoT Chip Market Drivers and Challenges
• US IoT Chip Price Trends
• US IoT Chip Porter's Five Forces
• US IoT Chip Industry Life Cycle
• Historical Data and Forecast of US IoT Chip Market Revenues & Volume By Hardware for the Period 2021 - 2031
• Historical Data and Forecast of US IoT Chip Market Revenues & Volume By Processors for the Period 2021 - 2031
• Historical Data and Forecast of US IoT Chip Market Revenues & Volume By Connectivity Integrated Circuits (ICs) for the Period 2021 - 2031
• Historical Data and Forecast of US IoT Chip Market Revenues & Volume By Sensors for the Period 2021 - 2031
• Historical Data and Forecast of US IoT Chip Market Revenues & Volume By Memory devices for the Period 2021 - 2031
• Historical Data and Forecast of US IoT Chip Market Revenues & Volume By Logic devices for the Period 2021 - 2031
• Historical Data and Forecast of US IoT Chip Market Revenues & Volume By Power Consumption for the Period 2021 - 2031
• Historical Data and Forecast of US IoT Chip Market Revenues & Volume By Less than 1 W for the Period 2021 - 2031
• Historical Data and Forecast of US IoT Chip Market Revenues & Volume By 1 to 3 W for the Period 2021 - 2031
• Historical Data and Forecast of US IoT Chip Market Revenues & Volume By 3 to 5 W for the Period 2021 - 2031
• Historical Data and Forecast of US IoT Chip Market Revenues & Volume By 5 to  10 W for the Period 2021 - 2031
• Historical Data and Forecast of US IoT Chip Market Revenues & Volume By More than 10 W for the Period 2021 - 2031
• Historical Data and Forecast of US IoT Chip Market Revenues & Volume By End Use for the Period 2021 - 2031
• Historical Data and Forecast of US IoT Chip Market Revenues & Volume By Wearable Devices for the Period 2021 - 2031
• Historical Data and Forecast of US IoT Chip Market Revenues & Volume By Healthcare for the Period 2021 - 2031
• Historical Data and Forecast of US IoT Chip Market Revenues & Volume By Consumer Electronics for the Period 2021 - 2031
• Historical Data and Forecast of US IoT Chip Market Revenues & Volume By Automotive & Transportation for the Period 2021 - 2031
• Historical Data and Forecast of US IoT Chip Market Revenues & Volume By Building Automation for the Period 2021 - 2031
• Historical Data and Forecast of US IoT Chip Market Revenues & Volume By Manufacturing for the Period 2021 - 2031
• Historical Data and Forecast of US IoT Chip Market Revenues & Volume, By Retail for the Period 2021 - 2031
• US IoT Chip Import Export Trade Statistics
• Market Opportunity Assessment, By Hardware
• Market Opportunity Assessment, By Power Consumption
• Market Opportunity Assessment, By End Use
• US IoT Chip Top Companies Market Share
• US IoT Chip Competitive Benchmarking, By Technical and Operational Parameters
• US IoT Chip Company Profiles
• US IoT Chip Key Strategic Recommendations

Markets Covered

The US IoT Chip market report provides a detailed analysis of the following market segments:

By Hardware

• Processors
• Connectivity Integrated Circuits (ICs)
• Sensors
• Memory Devices
• Logic Devices

By Power Consumption

• Less Than 1 W
• 1W to 5W
• 5 to 10 W
•  More Than 10 W

By End User

• Wearable Devices
• Healthcare
• Consumer Electronics
• Automotive & Transportation
• Building Automation
• Manufacturing
• Retail