The Smart Sensors Market will grow at a CAGR of 16.32% to be valued at US$136.263 billion in 2030 from US$63.986 billion in 2025.
A sensor is a device used to measure a property, such as pressure, position, temperature, or acceleration, and respond with feedback. Also known as transducers, sensors are one of the fundamental building blocks of modern data acquisition systems. They have a wide range of applications from flood & water level monitoring systems, environmental monitoring, traffic monitoring & controlling, energy saving in artificial lighting, remote system monitoring & equipment fault diagnostics, and precision agriculture & animal tracking. These diverse applications across several industry verticals, such as healthcare, automotive, and manufacturing industries, among others, are driving the market ahead in the current period.
The manufacturing industries are undergoing a massive technological change worldwide, often labelled as Industry 4.0. Two key components of Industry 4.0 are the industrial internet of things (IIoT) and cloud computing platforms. Smart sensors are used to monitor different industrial processes such as collecting data, taking measurements, and centralization and decentralization of data. Smart sensors are used in different forms, such as level sensors, temperature sensors, pressure sensors, proximity sensors, infrared sensors, and others, for various purposes across several industries based on their requirements. As the industrial application for sensors has increased manifold during the timeframe, the market players have come up with novel products and newer strategies to attract consumers and solidify their hold.
Superior Sensor Technology 2021 launched a differential pressure sensor called the ND Series for industrial applications that support up to seven selectable pressure ranges in one device. This enables industrial manufacturers to introduce multiple product variants with different pressure requirements, resulting in significant resource, time, and cost savings. Bosch has expanded its product portfolio to serve industrial applications with BMI090L Inertial Measurement Unit (IMU), BMA490L accelerometer, and BMP390L barometric pressure sensor but its main highlight was the launch of a longevity program making products available for 10 years period easing customer satisfaction. This niche move has made Bosch one of the popular names in the smart sensors market.
Based on industry vertical, the global smart sensor market is divided into automotive, healthcare, manufacturing, communication and technology, security, and others. Manufacturing, communication and technology, and security industries are expected to hold a dominating share in the market. Moreover, with increasing crime rates and instances of hazards, security standards are revised by the government and industry, supporting the sector's demand for smart sensors. Increasing investment accompanied by higher demand for advanced technology in the automotive industry has projected the drive the market demand for smart sensors in the industry. OCIA data shows that Motor vehicle manufacturing in the country increased from 94.976 million in 2016 to 95.634 million in 2019.
Furthermore, rising investment in electric vehicles is projected to exponentially increase the demand for smart sensors. Electric vehicles are a major consumer of smart sensors in the automotive industry. The rise in electronic vehicle manufacturing in the country is projected to expand the scope of smart sensors in the automotive industry. According to the data given by the International Energy Agency, around 2.1 million electric cars were sold in the year 2019. Electric cars also accounted for around 2.6% of global car sales and had registered a 40% year-on-year surge. Tesla, a major electric car manufacturer, has been offering autopilot features and also has full self-driving features and capabilities. The company has advanced sensor coverage, with cameras providing 360 degrees of visibility at least 250 meters of range. There are around twelve novel ultrasonic sensors that have been fulfilling this vision.
Major companies have been making significant developments in the market. For instance, in August 2021, Iteris Inc., one of the key players in the market, announced the launch of Vantage Apex, a novel and first HD video and 4D radar sensor that has integrated AI algorithms. The company had stated that their novel smart sensor identifies objects, using an extensive image library, AI machine algorithm, neural network algorithms, and machine learning, and would be used to allow and enable detailed classification and high precision of different vehicle types and vulnerable road users. These trends and developments are expected to play a major role in the market growth in the coming years.
By type, the global smart sensor market is segmented into smart flow sensors, smart pressure sensors, smart position sensors, smart temperature sensors, smart vision sensors, and others. Smart Temperature Sensor is projected to grow at a significant pace during the studied period. A smart temperature sensor is an integrated system consisting of bias circuitry, a temperature sensor, and an analogue-to-digital converter (ADC).
The application of temperature sensors to measure heat to provide a safe usage in meeting a necessary condition when dealing with extreme hazards, heat, or inaccessible measuring points, and to ensure that a process stays within a specific range has led to the increasing adoption of temperature smart sensors in end-user industries. The surging demand for temperature sensors provides an interpretable temperature reading in a digital format, which is used in many end-user applications, including automotive, healthcare, and building automation. The rising demand for low-cost, high-performance, and reliable sensors in the market has led to increasing developments of new technologies such as nanotechnology and microtechnology.
| Report Metric | Details |
|---|---|
| Study Period | 2021 to 2031 |
| Historical Data | 2021 to 2024 |
| Base Year | 2025 |
| Forecast Period | 2026 – 2031 |
| Report Metric | Details |
| Smart Sensors Market Size in 2025 | US$63.986 billion |
| Smart Sensors Market Size in 2030 | US$136.263 billion |
| Growth Rate | CAGR of 16.32% |
| Study Period | 2020 to 2030 |
| Historical Data | 2020 to 2023 |
| Base Year | 2024 |
| Forecast Period | 2025 – 2030 |
| Forecast Unit (Value) | USD Billion |
| Segmentation |
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| Geographical Segmentation | North America, South America, Europe, Middle East and Africa, Asia Pacific |
| List of Major Companies in Smart Sensors Market | |
| Customization Scope | Free report customization with purchase |
Smart Sensors Market is analyzed into the following segments: