Smart Manufacturing Market (By Component; By Technology: Product Lifecycle Management, 3D Printing, Enterprise Resource Planning, Discrete Control Systems; By End-use) - Global Industry Analysis, Size, Share, Growth, Trends, Revenue, Regional Outlook and Forecast 2022-2030.

Published Date : Jun 2022 | No. of Pages : 150+ Pages | Category : Technology

The global smart manufacturing market was valued at USD 259.7 billion in 2021 and it is predicted to surpass around USD 787.98 billion by 2030 with a CAGR of 13.13% from 2022 to 2030.

Smart Manufacturing Market Size 2021 to 2030

This market is popularly known as industry 4.0 as the advancement and integration of manufacturing with technology and automation processes in manufacturing is driven by the Internet of Things (IoT), machine learning, and real-time data. It is focused on combining innovation and efficiency as production processes grow faster. The industry is intended to adopt smart production methods across various domains. The need to increase productivity and improve the visibility of the entire system are two major factors driving the market growth.

The proliferation of the Industrial Internet of Things (IIoT) is expected to create challenges in controlling large amounts of data and accessing data and hence Participants can opt for self-study programs and Artificial Intelligence (AI) technologies to avoid challenges. However, with increasing reliance on data, the industry aims to prevent contact with processes from preventing unintended issues. An essential aspect of the industry is the need to integrate various technologies such as intelligent sensors, robots, and cloud computing. Digital development has created the opportunity to use integrated technologies to achieve measurable results. Simulation, 3D printing, and network technology development have made the market a promising investment center for technology developers and users.

Several countries around the world imposed strict closures to prevent the spread of COVID-19, with severe restrictions and safety measures. Leading companies that produce smart devices started using IoT deployment, statistics, and AI-based digital platforms to reduce the need for human interaction. In addition, reduced efficiency in production lines due to social isolation processes is also strengthened with the help of automated solutions, thereby reducing employee involvement in production processes.

While established retailers are pushing their technology harder in new fields and operating environments, the barriers to entry and sale of entrants are declining rapidly. These trends have led to an increase in competition among retailers, thus, leading to the introduction of fictional business models as advanced products. Buyers are experiencing a paradigm shift and focus on ordering rather than production to sell stock. These circumstances are expected to drive a comprehensive overhaul of production business models. This, in turn, is expected to fuel the market during the forecast period.

Scope of The Report

Report Coverage Details
Market Size in 2021 USD 259.7 billion
Revenue Forecast by 2030 USD 787.98 billion
Growth rate from 2022 to 2030 CAGR of 13.13%
Base Year 2021
Forecast Period 2022 to 2030
Segmentation Component, technology, end-use, region
Companies Covered Siemens; General Electric; Rockwell Automation, Inc.; Schneider Electric; Honeywell International Inc.

 

Component Insights

The software segment accounted for the largest revenue share of 49.3% in 2021 and is likely to dominate the market over the forecast period. As the industry is pushing towards full automation, the software component is the backbone of the industry. Advanced software will help run the robots, drones, and other machines without human interruption thereby reducing the chance of any error. With the help of software, the market can make large strides in development and also in research for newer and more versatile solutions.

The hardware segment is projected to grow at a significant CAGR of 12.3% from 2022 to 2030.  The advanced software requires high-level and compatible hardware to run. For the advanced software to be executed, it requires modern hardware to operate. Manufacturing plants use hardware that consumes less power but is agile and can work without any human touch. Modern hardware also has to be compatible with IoT to assist the market with standardization.

Technology Insights

The discrete control system segment accounted for the largest market share of 16.1% in 2021 and is predicted to lead the market over the forecast period. The discrete control system technology runs in the background and offers control and monitor functions to the administrator. The market offers basic and advanced level technological control and overview over every process. The combination of this technology and industrial automation makes the market accessible even remotely.

The 3D printing segment accounted for a significant market share of 12.9% in 2021 and is expected to witness the fastest CAGR of 16.4% from 2022 to 2030. 3D printing allows smart manufacturers to print any type of small or big part just by drawing it on a 3D software. 3D printing saves time and cost for a smart manufacturing plant by being easy to draw and print then and there. The market is a huge investor and purchaser of 3D printing equipment and software.

End-Use Insights

The automotive industry registered the largest revenue share of 23.5% in 2021 and is forecasted to register the highest CAGR of 15.1% from 2022 to 2030. Many automotive manufacturers are running at very minimal profits, so they turn towards smart manufacturing to reduce waste and cost and to increase their margins. The market also helps automotive companies maintain a high level of standardization of their products. Primarily, industry 4.0 help the automotive industry to run round the clock and reduce labor wages if any.

The aerospace & defense industry segment is predicted to register the highest CAGR of 14.4% from 2022 to 2030. This industry is investing heavily in smart manufacturing as precision in the product is key. For space research, multiple flights are needed for testing which can only be achieved by smart manufacturing rockets at a rapid pace. The defense industry invests significantly in industrial automation to be able to come up with modern defense mechanisms to mitigate any new threats.

Regional Insights

The Asia Pacific region accounted for the largest market share of 36.3% in 2021. The region is also anticipated to be the fastest-growing region over the forecast period. Developing countries like India and China have vast unexplored opportunities and are aiming toward full automation in smart manufacturing. These countries also want to be independent in terms of production and manufacturing so they invest heavily in industry 4.0.

Latin America is expected to grow at a significant CAGR of 13.9% during the forecast period. The Latin American market for innovation and automation is aggressively penetrated, resulting in the normalization of smart manufacturing. Since the modern technological revolution has only recently begun in Latin America, opportunities in smart manufacturing are expanding. The region is also close to and accessible to various raw materials, which aids in smart manufacturing and drives the growth of the market.

Key Players

  • Siemens
  • General Electric
  • Rockwell Automation Inc.
  • Schneider Electric
  • Honeywell International Inc.
  • Emerson Electric
  • Fanuc UK Limited

Market Segmentation

  • By Component Outlook
    • Hardware
    • Software
    • Services
  • By Technology Outlook
    • Machine Execution Systems
    • Programmable Logic Controller
    • Enterprise Resource Planning
    • SCADA
    • Discrete Control Systems
    • Human Machine Interface
    • Machine Vision
    • 3D Printing
    • Product Lifecycle Management
    • Plant Asset Management
  • By End-Use Outlook
    • Automotive
    • Aerospace & Defense
    • Chemicals & Materials
    • Healthcare
    • Industrial Equipment
    • Electronics
    • Food & Agriculture
    • Oil & Gas
    • Others
  • By Regional Outlook
    • North America
      • U.S.
      • Canada
    • Europe
      • U.K.
      • Germany
    • Asia Pacific
      • China
      • Japan
      • India
    • Latin America
      • Brazil
      • Mexico
    • Middle East & Africa

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