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In the Internet of Things (IoT) security and device authentication value chain, the IoT gateways are becoming an increasingly vital link and emerging as a crucial conduit for intelligent operations across the entire IoT

There will be 21.4 million next-gen smart IoT gateways shipped in 2025, according to global tech market advisory firm ABI Research.

“Smart IoT gateways are currently caught amid a greater transformative evolution, further enhancing capabilities for gateways, shifting focus toward the edge, and reversing the cloud-centric investment priorities of the past decade,” stated Dimitrios Pavlakis, digital security analyst at ABI Research.

Enhanced cybersecurity options, extended connectivity support, edge processing and filtering, authentication and management, cloud services, analytics, and intelligence operations are the primary features of next-gen IoT gateways.

These technological features have been steadily reaching the core of IoT implementers’ implementation lists, shifting IoT security dynamics and pulling focus ever closer to the edge.

“This is not to say that edge-focused IoT gateways will completely replace data servers and cloud computing – far from it. Rather they are set to create a more symbiotic relationship between them while increasing the amount of responsibility towards edge computing and intelligence-gathering operations,” Pavlakis explained.

Gateway vendors can turn challenges into well-honed value propositions due to the current market demands brought about by the intense rise of IoT technologies.

This can include tackling the secure transition of legacy devices into larger IoT fleets, enabling enhanced IoT device visibility, monitoring and management, supporting the clash between Information Technologies (IT) and Operational Technologies (OT) in industrial and healthcare systems, and streamlining the management of digital security and devices.

According to ABI Research, the increase in shipments of IoT gateways will generate a variable rate of penetration across various IoT end markets, led by innovative gateway suppliers such as Advantech, Cisco, Kerlink, MultiTech, and Sierra Wireless.

“The data suggest that video surveillance, heavy transport vehicles and equipment, intelligent transportation, and fleet management depict the highest penetration rate for the next-level security and intelligence components for smart IoT gateways, with a clear focus revolving around automotive verticals and data-heavy applications,” Pavlakis concluded.

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