Sensors: Why They Hold the Future of the Internet of Things

Meta Description: Sensors are the core foundation of the Internet of Things (IoT) and the Industrial Internet of Things (IIoT). Without high-precision sensors collecting real-time data such as pressure, temperature, and position, an intelligent connected world would be impossible. This article explores how sensors drive IoT growth, China’s opportunities, and Nexisense’s contributions in the field of industrial-grade sensing.

Keywords: Sensors, Internet of Things, Industrial Internet of Things, IIoT, IoT sensors, Smart factory, Predictive maintenance, Distributed temperature sensing, Fiber optic sensors, Nano electronic nose, Wearable sensors, Human-robot collaboration, Nexisense

The era of the Internet of Things has arrived. From smart homes to autonomous driving, from smart cities to intelligent manufacturing, the core of everything connected originates from a seemingly insignificant component — the sensor. Without sensors, machines cannot “perceive” the world, let alone analyze, make decisions, or collaborate. Simply put, whoever masters sensors masters the future of the Internet of Things.

Over the past decade, the explosive growth of the Internet of Things has been inseparable from the parallel expansion of the sensor market. Every breakthrough in sensing technology has injected new momentum into IoT, driving its evolution from passive monitoring toward active intelligence. As a global manufacturing powerhouse, China possesses unique advantages in this arena: extensive industrial experience and a strong supply chain foundation are helping domestic companies accelerate their catch-up in the sensor field.

The Sensor Market: A Barometer of IoT Growth

The global sensor market is currently in a phase of rapid expansion. According to the latest industry data, the global sensor market reached approximately USD 195 billion in 2024 and is expected to grow further to around USD 212.5 billion in 2025. By 2030, it is projected to surpass USD 323 billion, maintaining a compound annual growth rate (CAGR) of about 8.7%. Among these segments, the IoT-specific sensor market is particularly strong, expected to grow from approximately USD 42 billion in 2025 to over USD 116 billion by 2030, at a CAGR exceeding 22%.

The industrial sector has consistently been the largest application domain for sensors. Industrial sensors account for a significant share of the overall market, remaining at around 30% for many years, while automation, connected vehicles, and healthcare contribute approximately 20% and 12% of demand, respectively. Industrial applications impose especially stringent requirements on sensors: long-term reliability and high precision must be maintained under harsh conditions such as high temperatures, high pressures, and dusty environments. These demands have driven the evolution of sensors from traditional passive devices toward greater intelligence and miniaturization.

In the Industrial Internet of Things (IIoT), sensors are no longer merely data collection tools; they serve as the “neural endings” that enable machine-to-machine (M2M) collaboration. By continuously monitoring parameters such as vibration, pressure, and temperature, systems can identify equipment anomalies in advance and perform predictive maintenance, significantly reducing downtime and maintenance costs. Data shows that sensor-driven predictive maintenance can reduce equipment failure rates by 20%–30% and increase production efficiency by more than 10%.

Examples of Sensor Innovation in Industrial Applications

The value of sensors in industrial scenarios is most intuitively demonstrated through real-world cases.

Inventory management of powders and bulk solid materials has long been a pain point in traditional industries. In the past, reliance on manual measurement or intermittent laser scanning was time-consuming and required production shutdowns, disrupting continuous operations. Today, advanced 3D laser scanning sensors (such as certain high-end 5708-class products) enable non-contact, continuous monitoring. Even when dealing with fly ash or materials with low dielectric constants, they can accurately capture irregular surfaces and provide minimum and maximum levels, total volume, and 3D visualization models. Such sensors dramatically reduce manual intervention and enable real-time asset management.

In the field of long-distance temperature monitoring, distributed temperature sensing (DTS) based on fiber optics is equally impressive. Taking the Yokogawa DTSX3000 as an example, this system uses the optical fiber itself as the sensing element, measuring temperature on a per-meter basis over distances of up to 50 kilometers, with temperature accuracy as high as 0.01°C. Compared with traditional arrays of thermocouples or resistance temperature detectors (RTDs), fiber-optic solutions are easier to install and maintain and offer strong resistance to electromagnetic interference, making them especially suitable for continuous monitoring of pipelines, cable tunnels, and large storage tanks.

Frontier Sensor Technologies: From Industry to a Broader Future

The boundaries of sensors are continuously expanding, and several frontier innovations are already outlining the contours of the future.

An Israeli company once introduced a nano-scale “electronic nose” that uses arrays of nanosensors to detect trace chemical components in gas, liquid, and solid samples. It can efficiently identify explosives and biological weapons, with sensitivity far exceeding that of traditional canine detection. This “lab-on-a-chip” level technology is not only applicable to security but also signals a leap toward molecular-level sensing.

Closer to everyday life is the direction of “high-speed integration of sensing chips.” By modularly combining different sensing units (such as motion, capacitance, and strain), customized application-specific chips can be rapidly developed. For example, an “intelligent backpack sensor chip” can automatically send a distress signal when detecting violent abnormal motion, while an “intelligent bone plate chip” can notify doctors when bone healing is complete and an implant should be removed. These innovations demonstrate the potential for sensors to extend from industrial processes into consumer and medical applications.

China’s Unique Opportunities in the Sensor Race

The global sensor market is highly active in mergers and acquisitions. Companies in the United States and Europe often close technology gaps through acquisitions, while China, with its complete manufacturing ecosystem and accumulated semiconductor capabilities, has the potential to achieve leapfrog development. While international giants tend to deeply embed sensors into industrial processes, Chinese companies have opportunities to make technology “take root” in real-world applications. Fields such as traffic congestion monitoring, telemedicine, emergency rescue, and wearable devices all harbor enormous demand.

In wearable health monitoring, sensors have already enabled multidimensional data collection, from heart rate and blood oxygen to body temperature, providing real-time data support for preventive medicine. Below is an example of wearable sensor device applications:

Nexisense focuses on high-performance industrial-grade sensors. Its products, including joint torque sensors, six-axis force sensors, and safety proximity sensors, feature high precision, low latency, and strong anti-interference capabilities, helping many OEMs optimize their IIoT solutions. We believe that sensors are not only the entry point of data but also the “sensory organs” of the intelligent world.

Frequently Asked Questions

• Why are sensors the core of the Internet of Things? Because all IoT decisions rely on real-time and accurate data, and sensors are the very front end of data acquisition. Without sensors, connectivity loses its foundation of perception.

• Why do sensors account for the largest share in the Industrial Internet of Things? Industrial environments demand extremely high reliability and precision. Sensors directly affect production efficiency, safety, and cost control, leading to sustained high demand.

• What advantages does China have in the sensor field? A complete industrial chain, large-scale manufacturing experience, and a deep understanding of both consumer-grade and industrial-grade applications make it easier for Chinese companies to localize technologies and innovate around real-world scenarios.

Conclusion

Sensors are evolving from passive data collectors to active intelligence, extending from industrial processes into everyday life and quietly reshaping the IoT landscape. They are not merely technical components, but bridges connecting the physical world and the digital world. In the future, with the deep integration of AI, edge computing, and 5G, the demands for sensor accuracy, integration, and energy efficiency will continue to rise.

Whoever can sustain innovation in the sensor domain will gain the initiative in the IoT wave. Chinese companies are entering a golden window of opportunity. Nexisense is willing to work together with partners across the industry chain, using reliable sensing technologies to push IoT from concept to reality and make intelligent connectivity part of everyday scenarios. Embracing sensors means embracing the infinite possibilities of the Internet of Things.