IoT Battery Market Trends

Growth Drivers

• Emergence of Ambient IoT- Ambient IoT is an innovative category that exclusively relies on harvested environmental energy, ensuring both sustainability and affordability. These devices are designed to eliminate the need for battery replacements, alleviating the maintenance burden. It optimizes device battery life by using radio waves, light, heat, or any other viable energy source while maintaining low latency in XR services. This employs power-saving schemes such as Connected mode Discontinuous Reception (CDRX) to balance latency and device battery lifetime., and high throughput.
  
  Balancing the quality of experience with efficient codecs addresses the trade-off between latency, throughput, reliability, and power consumption. Ambient IoT batteries are the most budget-friendly, power-efficient, and uncomplicated, tier of batteries available in the market. The Institute of Electrical and Electronics Engineers (IEEE), oversees Wi-Fi and network standards, the 3rd Generation Partnership Project (3GPP) is responsible for cellular standards, and the Bluetooth Special Interest Group (SIG) catering to Bluetooth technology standards, is engaged in the development of Ambient IoT devices and batteries.
  
  This partnership effort underscores the cross-industry support to support innovation of ambient IoT. These self-sustaining batteries lower the bill-of-materials (BOM) cost and is a key step toward achieving sustainability. Its affordability facilitates a multitude of applications, including inventory management, logistics and object tracking, actuators and remote command, and smart agriculture sensors. The market opportunity for this new class of IoT devices is extensive. 

• Rising adoption of disruptive technologies- The growing popularity of IoT devices is a primary catalyst for the growth of the IoT battery market. Internet of Things gadgets are significantly dependent on batteries for their power supply, which makes it essential to have battery solutions that are dependable, efficient, and have a long shelf life. In order to facilitate real-time monitoring and automation, IoT applications depend on sensors and actuators.
  
  The rising focus on the development of smart cities, which utilize the Internet of Things to enhance urban administration, further intensifies the need for such technology. The advancement of such technology, including edge computing and AI, increases the need for high-performance batteries that can support these functionalities. This demand drives market expansion.

• Technological advancements - The IoT battery market has experienced notable technological progress, with a specific emphasis on the creation and manufacturing of inventive battery solutions for diverse industries. The market is propelled by advancements in novel materials, chemistries, manufacturing processes, and production equipment. This specifically pertains to emerging applications across diverse industries including electronics, medical devices, home and building automation, smart cities, wearables, e-textiles, and the Internet of Things (IoT).
  
  Ligna Energy introduced an eco-friendly supercapacitor, named "S-Power 1," in September 2022. Subsequently, the company has been actively partnering with customers to develop more environmentally friendly Internet of Things (IoT) devices. Based on input from their partners, the S-Power 2S has been developed to offer the market a small, environmentally friendly, and highly efficient energy storage solution.

Challenges

• Volatility in the cost of raw materials - This has led to dissatisfaction across the battery and energy storage system industries due to the unstable pricing dynamics. This situation is attributed to a significant surge in the cost of battery production, coupled with a rise in the prices of minerals and raw materials.

• Limited battery energy density and durability- Despite battery advancements, energy density and longevity limit the IoT battery industry. Current battery technologies struggle to produce long-lasting batteries for IoT applications. Traditional lithium-ion batteries are popular but suffer from capacity loss, leakage, overheating, and fire dangers. These restrictions are crucial in remote sensors and medical implants, where battery replacement is impractical or expensive. The environmental implications of battery disposal and regular replacements compound the issues. These reasons may slow down the global IoT battery market growth.