Global cellular IoT module shipments increased by 10% year-over-year (YoY) in Q3 2025, according to Counterpoint Research's latest Global Cellular IoT Module and Chipset Tracker report. Sustained demand from smart meters, asset tracking, routers/CPE, and automotive sectors continues to drive market growth. The transition from traditional RF/PLC systems to cellular networks is accelerating, laying the foundation for the next phase of capability-centric IoT deployments. Meanwhile, profitability conditions tightened further this quarter, making cash flow strength a key competitive differentiator. In a declining average selling price (ASP) environment, only suppliers with robust liquidity can continue investing in RedCap, AI products, and customer support systems without diluting margins.
Senior Analyst Tina Lu noted regional trends: "Growth this quarter was primarily concentrated in emerging and price-sensitive markets. India saw a 40% YoY increase, maintaining strong momentum for multiple quarters due to smart meters, POS terminals, and telematics adoption. The Middle East and Africa (MEA) recorded the second-fastest growth from a smaller base, benefiting from national utility modernization and router/CPE demand. Parts of Latin America expanded due to telematics and smart meter deployments."
Lu added: "Mature markets maintained moderate growth. China grew 7% YoY, led by smart meters, POS terminals, and Cat-1 bis-based deployments. Europe rose 11% YoY, supported by automotive, routers/CPE devices, and a second wave of AMI rollouts. North America saw only 4% growth, reflecting cautious enterprise spending."
**Vendor Market Share (Q3 2024 vs. Q3 2025):** Quectel retained its global leadership, leveraging strong market shares in China and overseas. China Mobile ranked second, benefiting from domestic operator-driven demand. Sunsea AIoT (SIMCom + Longsung) secured third place, driven by POS and smart meter shipments. Lierda surged 73% YoY due to Cat-1 bis adoption and expansion in South Korea and Southeast Asia. Outside China, Telit Cinterion remained the top international supplier, supported by telematics, healthcare, and energy deployments in Europe and North America.
In the chipset sector, Qualcomm continued to dominate 5G and high-end LTE markets, while ASR, UNISOC, and Eigencomm strengthened their leadership in Cat-1 bis.
Research Director Mohit Agrawal highlighted technology trends: "Cat-1 bis has become the mainstream standard for large-scale IoT, accounting for nearly half of Q3 2025 shipments. RedCap is entering commercialization but will only scale meaningfully when its price approaches Cat-4/Cat-6 levels and 5G standalone coverage improves. Then, RedCap will begin replacing legacy 4G technologies broadly."
Agrawal added: "Demand for AI-capable IoT modules is rising sharply in surveillance, automotive, industrial, and retail sectors. This trend is reflected in Quectel, Fibocom, and MeiG’s portfolios, which prioritize high-value modules integrating AI accelerators, edge processing, and secure OS frameworks. IoT’s value is rapidly shifting from 'connectivity hardware' to 'edge intelligence and lifecycle services.'"
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