The expansion and modernization of 5G networks, coupled with the increasing use of IoT/M2M connectivity and strong government backing for these ecosystems, is set to significantly increase M2M/IoT cellular connections in Australia. By the end of 2030, it’s projected that there will be 22.1 million such connections. This represents a robust compound annual growth rate (CAGR) of 8.7% from 2025 to 2030.
Forecasts for Australia’s mobile broadband landscape indicate that 5G mobile subscriptions will see a CAGR of 12.6% between 2025 and 2030. This growth will have positive implications for the M2M/IoT market. The higher capacity, lower latency, and greater scalability of 5G connectivity will enhance M2M/IoT deployments across a range of sectors.
Telecom analyst Srikanth Vaidya notes that evolving M2M/IoT use cases across industries will also stimulate adoption. Examples of these use cases include telehealth & remote diagnostics, smart retail stores, smart manufacturing, fleet management & logistics, smart cities & infrastructure, automation in agriculture, and cybersecurity-enhanced networks. Dedicated connectivity plans offered by telecommunications companies will further facilitate this growth.
In 2025, the Australian government, together with IoT Alliance Australia (IoTAA), launched a Labelling Scheme for Smart Devices. This initiative, backed by funding of up to AUD 1.7 million (USD 1.07 million), is designed to improve security and standards in the IT industry. It focuses specifically on M2M/IoT consumer smart devices, opening up new opportunities for telecommunications companies in this sector.
Telstra is anticipated to dominate Australia’s M2M/IoT market in terms of subscriptions through to 2030. This is largely due to its versatile IoT/M2M data plans, which cater to both low data sensors and high-usage connected devices. Optus also provides a variety of IoT solutions, including telematics, connected cars, emergency lift phones replacing PSTN, and digital signage, all designed to streamline and enhance business processes.
Vaidya concludes that the increasing demand for IoT solutions and connectivity will bring about significant changes in Australia’s mobile services market. Operators providing dedicated M2M/IoT connectivity plans and services that cater to emerging use cases will be in a solid position to benefit from this trend.
What is the projected growth rate for M2M/IoT cellular connections in Australia by 2030?
The projected compound annual growth rate (CAGR) is 8.7% from 2025 to 2030, with total connections expected to reach 22.1 million.
What initiatives have been introduced to support the growth of M2M/IoT technologies in Australia?
In 2025, the Australian government and IoT Alliance Australia (IoTAA) introduced a Labelling Scheme for Smart Devices, an initiative designed to enhance security and standards within the IT industry, particularly for M2M/IoT consumer smart devices.
Which company is expected to lead the M2M/IoT market in Australia?
Telstra is expected to lead in terms of subscriptions through 2030, mainly due to its flexible IoT/M2M data plans.
