How Much Will it Cost to Make an IoT App?
A slew of industries is turning toward IoT integration in their current business. The number of IoT startups is also increasing exponentially. They know the bright future of IoT and how promising it will be if they would invest in such kind of apps and solutions.
According to statista’s report, IoT connected devices throughout the world will touch to 75.44 billion by 2025. That’s a huge number!
Currently, IoT app development is in its infancy stage. But there are some app ideas that people are loving. Wearable and smart devices have taken their place in people’s life.
In this article, we will shed some light on the cost of IoT app development.
Let’s cut to the chase and know the cost of IoT app development & what are the factors affecting it. You can also estimate your cost from the online cost calculator available on the internet.

Difference: IoT mobile app vs Simple mobile apps

Before going further, let’s clear out the difference between IoT and simple apps.
IoT apps are connected to hardware through sensors. Think of a smart home. Your smart home app will be able to control your home appliances from a remote destination. You can open the garage door, switch on/off lights and do many things.
Whereas simple apps don’t depend on separate hardware.

Factors Affecting Cost of IoT App Development

Like normal app development IoT app development, cost is affected by various factors. Here are those factors that contribute to the final cost.


Hardware being the essential part of IoT apps shares its cost to the development.
hardware development passes through stages like analysis, modeling, prototyping, and testings.
The modeling stage requires PCB (Printed Circuit Board) designing, gadget interior designing, and other things. It takes most of the time for hardware development.
The device prototype is made as per the owner’s opinion. The final stage consists of testing the prepared smart device. Security measures, electrical safety, and user tests are some parameters that are checked before making final development.


An efficient infrastructure is a must for any IoT app development. Basically, it depends on three aspects which add their cost also.
1. Network
Without a strong network, the IoT app won’t work. The network should be low latency and high-speed connections. As we all know IoT app is made of interconnected devices. For that cellular network will require and so it adds its cost.
2. Middleware:
Middleware software is needed if you want to integrate 3rd party gadgets in the existing IoT ecosystem.
3. Mobile application
As stated earlier in the topic in the example of a smartphone, you will need a mobile app to control and monitor your smart device. Now there are various types of mobile applications with different features and different functionality. So the mobile app development cost will depend on;


Mobile app cost depends on the design of the app. If the design is simple then it won’t cost you that much. Moderate design in the app will have a little more complex UI which needs more effort and time. So it costs more. The high quality customized design app will have excellent UI and it will take a longer time to design. Hence, Complex design in the app will be costly.


Simple IoT app will have only basic features for providing information, it will have limited device connectivity. For example, simple wearable apps will have not that much functionality. You can monitor your heart rate, activity tracks and other notifications from your phone. They can be made around 30-40k.
Complex IoT apps will be rich in features. They will have GPS tracking solutions, payments, device synchronizing, third party API integration, and whatnot. There will be a content management system and high security. These features will have a high price. The cost for complex IoT applications will be around $50k-80k.
If you require AI (Artificial intelligence) or want to make enterprise level apps, the cost will be highest.


The cost for IoT app also relies on the country in which you are developing an app. Usually, the USA and North American countries charge you the highest per hour rate for IoT app development in the world. Be prepared to pay around $50-$150 per hour, if you choose a development agency in North America.
Comparatively European countries charge you lesser. Western Europe countries cost you 65$ to $130 per hour and Eastern Europe countries may charge you $30 to 50$ per hour.
India is considered to be the most preferred county for developing an IoT app. As you get the highest number of quality developers within a reasonable rate. The development agencies in India will charge you $20 to $50 per hour.
Here, I have listed some time-consuming features that cost you more for IoT app development.
  • CMS( Content Management System)
  • Payment Integration
  • Third-party APIs
  • Chat
  • Syncing across devices
  • Data encryption
  • Geo location

Post Production Stage

Development is not the end of the whole process. You need to also consider the maintenance and post-production charges too.
It is estimated that the maintenance cost of IoT app development will be 20% of the app development charge. So if you are building an app that costs you $1,00,000, you need to be ready to pay $20k for the maintenance .
Final Thoughts
IoT devices are spreading in the market rapidly which has accelerated IoT app development. Moreover, if you are having an IoT app idea, then knowing the estimated cost will aid you in planning the development accordingly.
What are your thoughts on this? Where do you see IoT in the next coming years? Comments are welcome.
Last modified 2yr ago