A new MarketsandMarkets report entitled "Smart Manufacturing Market by Enabling Technology (Condition Monitoring, Artificial Intelligence, IIoT, Digital Twin, Industrial 3D Printing)" suggests that this segment of the manufacturing market will reach a value of 214.7 during 2020, and grow at a CAGR of 12.4% from 2020-2025, leading to a value of $284bil by 2025.
Emphasis on automation in manufacturing processes, adoption of Industry 4.0, increased government support for industrial automation and emphasis on regulatory compliance are a few factors driving the industry's growth. Other factors include a surge in demand for software that improves efficiency and lowers costs, as well as an increasingly complex supply chain.
Largest Market Share: IIoT
Using analytics and a variety of algorithms, the Industrial Internet of Things allows for data in manufacturing to be analyzed more effectively. IoT has been a major reason for transformation in the operations of many different industries, and manufacturing is no exception. By connecting intelligent devices to increase industrial automation and enabling extensive data sharing everywhere from the supply chain to the plant floor, IIoT is making waves in the manufacturing sector. More efficiency, scalability, improved connectivity and savings are just a few of the benefits of using IIoT in manufacturing.
Additionally, IoT technologies and SCADA systems complement one another - IoT is considered the "4th generation" of SCADA. End users are expected to continue reaping the benefits of continuing technological advancements in industrial automation, which include improved efficiency and increased profits. Acting as a data source for IoT, SCADA focuses on controlling and monitoring while IoT technology analyzes data in order to increase productivity.
Second Largest Market Share: Manufacturing Execution Systems
The adoption of increasingly advanced tech like the cloud is being used in many enterprises to gain a competitive edge through the acceleration of growth and efficiency in manufacturing processes. More scalable and flexible MES solutions are particularly notable - cloud technology has advanced significantly in recent years. Cloud-based MES helps companies get the most out of their manufacturing process, whether it is a single line or a large, global operation. This type of MES is key to integrating plant floor operations, enabling effective decision-making and monitoring of processes.
Power & Energy To Hold Largest Part of Market by 2025
Advances in technology in China, India, Brazil and the Middle East are set to provide many opportunities for automation in these markets. Smart manufacturing solution providers have already begun to target this sector as a result. Due to a rising global demand for energy, the power industry is experiencing rapid growth, resulting in increased pressure on energy manufacturers to provide reliable, low cost power. This makes it even more important for power manufacturers to use the resources available to them with the utmost efficiency, cut costs, and enhance the performance of their plants. HMI and PAM solutions help OEMS, operators and plant owners to make knowledgeable decisions about their operational readiness and the performance of their plants.
APAC Expected to Grow at Highest CAGR During Forecast Period
As one of the fastest growing economies in the world, China is a manufacturing hyb for automotive and semiconductor industries. The nation is increasing it's adoption of advanced technologies, including MES, AI, AGV, HMI WMS and condition monitoring. Within these industries, smart manufacturing tech is increasing plant performance and improving output. Technological advancements in various industries as well as the growing Chinese economy are driving the application of these technologies in the controlling and monitoring of production processes.
Key Industry Players
Key companies include CISCO (US), General Electric (US), 3D Systems (US ), Honeywell (US), Mitsubishi Corporation (Japan), IBM (Europe), Siemens (Europe), Oracle (US), Schneider (Europe), SAP (Europe), Stratasys (US), and Yokogawa (Japan).