The European Union Data Act (DA) aims to ensure fairness for value from data allocation, among actors in the data economy, and fosters wider access data usage, particularly IoT data, for creating new services and software products. The DA defines data sharing principles, allowing third parties to access IoT data, which was traditionally owned by the device manufacturers, thus enabling the creation of new business models. Here, our study evaluates the effects of the DA on creating new services and software products with shared IoT data, highlighting opportunities for developing reports, analyses, models, and value-added services. The study reviewed literature from the Scopus database and included relevant EU legislations, focusing on how the DA enables IoT data sharing and its implications for service and software product creation. The DA aims to support digitalization, clean energy transition, and economic growth by enabling better control over IoT data, lowering prices for aftermarket services and new business opportunities. Despite the benefits, challenges include technical and legal barriers to data sharing, high fees, and potential misuse of trade secrets and GDPR to limit data access. Shared IoT data enables new services across industries such as automotive, industrial maintenance, smart cities, and healthcare, by providing tailored insights and optimizing resource use. The DA aims to clarify data value creation and usage conditions, promoting innovation and new business opportunities. However, there are still ways for manufacturers to limit data access, hindering the DA’s full potential.