Automotive Manufacturing Leads the Way as Digital Factory Market Grows to $673 Billion in 2030


Reading time ( words)

The Digital Factory market will grow at a compound annual growth rate of 33% to reach $673 billion in 2026. According to a new report published by ABI Research, a market-foresight advisory firm providing strategic guidance on the most compelling transformative technologies, these sales include the actual hardware revenues for entire industrial robots, collaborative robots, connected PLCs, intelligent industrial battery management systems, electric motors, pumps, tank management systems and smart glasses as well as data and analytics service revenues, device and app platform revenues, connection revenues, network service revenues, professional service revenues and security service revenues for all the above applications plus asset tracking and other equipment monitoring. Of these applications, only asset tracking includes connections both on and off the factory floor.

“Currently, most manufacturing equipment still communicates in proprietary protocols and connecting it in a cost-efficient way without too much custom code often requires the expertise of IIoT integration specialists such as Telit or PTC Kepware,” said Pierce Owen, Principal Analyst at ABI Research. “For new factories, we have started to see how telcos and network infrastructure vendors can deploy private LTE, but so far, it only works if the plant owner has the negotiating power to demand cellular connected equipment from all its suppliers. These early deals could build trust and open new opportunities for cellular in factories.”

The automotive industry leads the way in the adoption of most digital factory technology technologies and represents the largest opportunity globally with US$139 billion in digital factory revenues forecast for 2030, but this does vary somewhat country to country. For instance, by the end of 2022, digital factory revenues in electronics manufacturing will overtake those in the automotive industry in South Korea, the fifth largest Smart Manufacturing market.

“The automotive industry has demonstrated a willingness to scale transformative technologies ranging from generative design and additive manufacturing to IIoT connectivity and robotics of all kinds more than any other industry, but other industries will start to catch up over the next decade. The companies that follow automotive OEMs’ lead first and scale technologies with proven value will gain a competitive advantage. Likewise, vendors that not only compete at the highest level in automotive but also continuously pursue new types of customers in other industries will build sustainable relationships and advantages across the sector,” Owen concluded.

These findings are from ABI Research’s Digital Factory market data report. This report is part of the company’s Industrial Solution, which will help manufacturers digitize operations to create better quality products at lower costs. Market Data spreadsheets are composed of deep data, market share analysis, and highly segmented, service-specific forecasts to provide detailed insight where opportunities lie.

About ABI Research

ABI Research provides strategic guidance for visionaries needing market foresight on the most compelling transformative technologies, which reshape workforces, identify holes in a market, create new business models and drive new revenue streams. ABI’s own research visionaries take stances early on those technologies, publishing groundbreaking studies often years ahead of other technology advisory firms. ABI analysts deliver their conclusions and recommendations in easily and quickly absorbed formats to ensure proper context. Our analysts strategically guide visionaries to take action now and inspire their business to realize a bigger picture.

Share

Print


Suggested Items

Today’s MilAero Options, Part 1: 'Pride Goeth Before...'

04/12/2016 | Marc Carter
Historians, with their 20/20 hindsight, often write about the inevitable decline and fall of kingdoms, empires, religions, organizations, governments, and all the other permanent structures we humans build.

Wearable Tech Back to a Healthy Development Pace

02/11/2015 | Reed Exhibitions
Wearable tech was a major sensation in 2014. The wearable tech industry generated extensive interest among media, investors, start-ups, wearable tech enthusiasts, technology leaders and trade fairs. Many events were held around wearable products and industry last year. The trend for early 2015 has seen the industry fall back into a healthy developmental pace. Investors are keen to see a return on their capital injections and former start-ups are now reaching maturity.



Copyright © 2019 I-Connect007. All rights reserved.