Industrial Automation Market Size (2024 – 2030)

According to the report published by Virtue Market Research in Global industrial automation market was valued at USD 198.38 billion and is projected to reach a market size of USD 362.65 billion by the end of 2030. Over the forecast period of 2024-2030, the market is projected to grow at a CAGR of 9%.

Industrial automation is the use of tools such as computer software and robots to control equipment and processes that replace humans in performing specific tasks. In the past, industrial automation depended on programmable logic controllers. The market has a significant presence. Currently, this market has seen progress with smart technologies such as AI, ML, big data, and analytics. In the future, with an increasing focus on advanced robotics, sustainability, and autonomous systems, this market is expected to expand significantly. This market is expected to witness good growth during the forecast period.

Key Market Insights:

The global industrial automation market reached approximately 175 billion US dollars in 2020. The market is expected to grow at a compound annual growth rate (CAGR) of around nine percent through 2025. In 2025, the size of the global industrial automation market should reach approximately 265 billion US dollars.

Sales automation increases departmental productivity by 14.5% while reducing marketing costs by 12.2%.

Research suggests that robotic automation can reduce detection and response time to phishing attacks by up to 70%.

Statistics on the growth of healthcare automation suggest that the industry is set to see gains of over $63 million by 2026. The Global Healthcare Automation Market Report estimates that it will grow by 8.41% within 7 years.

One in four jobs in the United States will face a high risk of being displaced by automation by 2030. Skills development programs, entrepreneurship, and other government initiatives are being incorporated to address this problem.

Industrial automation market drivers:

Growing demand for market automation is helping.

Industrial automation is associated with many advantages. First, it helps maximize efficiency and productivity. Second, automation systems such as programmable logic controllers (PLCs), robotics, and other control systems reduce human error and help with time management. The results obtained are accurate and of first-class quality. Third, it is flexible, secure, cost-effective, and consistent. In addition, industrial safety is maintained. In addition, it helps with predictive maintenance. Moreover, it helps to increase the profits of the organization. All these advantages make it an attractive choice for use in many end-user industries.

Labor shortages in several regions are helping the market expand.

Some regions face a shortage of skilled manpower to carry out end-to-end operations. These machines help the company by performing all the tasks efficiently. Wages and worker training costs are reduced through the use of technology. In addition, these machines can easily perform extensive and heavy operations. They can perform tasks repeatedly if necessary. For example, quality control is critical to any industry and may require repeated inspections. In addition, the Industrial Revolution caused a shift toward the adoption of new technologies. Through collaboration and partnership, more organizations have started using these services to make people's lives easier.

Industrial Automation Market Restraints and Challenges:

Cost, lack of expertise, cyber security, environmental issues, and integration issues are the main constraints facing the market today.

One of the biggest hurdles in the market is the initial investment. Smaller businesses and startups can find it difficult to secure funding. In addition, maintenance, repairs, and other upgrades require higher costs. Second, there may be a lack of skilled workers. Deploying these machines requires trained professionals who may not be available, which may hamper the growth of the market. Third, ensuring the security of the technology can be a problem. There have been cases of fraud in digital technology that have caused losses. In addition, the waste produced by these machines often contains toxic compounds and other hazardous substances that burden the environment. Water and soil are affected by it. In addition, integrating legacy systems with new technology can lead to complexity and increased costs.

Opportunities in the industrial automation market:

Technological progress provides the market with a large number of opportunities. Smart manufacturing technologies are integrated with the Internet of Things (IoT), big data analytics, cloud computing, and artificial intelligence. Robotic process automation (RPA) is a priority. Business process automation that relies on software bots or artificial intelligence agents is known as robotic process automation. In addition, there is an emphasis on sustainable automation with less waste and energy consumption. The expansion of healthcare to include diagnostics, telehealth, and other surgeries is strengthening the market. Moreover, the growing demand for renewable energy gives this market huge opportunities.

 INDUSTRIAL AUTOMATION MARKET REPORT COVERAGE:

Industrial automation Market Segmentation: By Components

• Software

  • Plant Asset Management

  • Supervisory control and data collection

  • Distributed control systems

  • Others

• Hardware

  • Industrial sensors

  • Programmable logic controllers

  • Machine vision systems

  • Industrial robots

  • Human-machine interface

  • Others

• Services

Based on components, software is the largest segment of this market. Plant asset management is one of the fastest-growing subcategories. This includes planning, tracking, monitoring, maintenance, and upgrading. They help increase operational efficiency, enable faster decision-making, and ensure accuracy and time management. In addition, they help reduce the amount of waste. Increased usage across various end-user industries contributes to success. This category is expected to generate higher revenue during the forecast period. The hardware segment is the fastest-growing. Programmable logic controllers (PLCs) are growing at a rapid pace. Complex automated operations, including conveyors, temperature control, robotic cells, and many other industrial machines, can be communicated, monitored, and controlled using PLCs. With technological innovation and industrialization, advanced equipment is being introduced to further develop this category. Industrial sensors are also important. They help in real-time data collection, increase safety, automate processes, increase product quality, and reduce costs.

Industrial automation Market Segmentation: By End User

• Automotive

• Metals and mining

• Water and wastewater treatment

• Electronics and semiconductors

• Energy and power

• Manufacturing

• Food and Beverages

• Pharmaceuticals

• Chemicals

• Oil and gas

• Others

The automotive industry is one of the largest segments of this market, according to end users. It is estimated that it will have a share of around 29%. The industry uses robots and sensors to assemble various parts to increase their productivity. In addition, they help with testing and inspection. The use of these machines ensures safety and, at the same time, reduces costs. End-user industries such as power and energy and oil and gas are among the leading segments. Pharmaceuticals are considered the fastest-growing due to expanding operations and the need for quality control in drug development and medical device manufacturing. Using these technologies improves patient care and minimizes errors.

Industrial automation Market Segmentation: Regional Analysis

• North America

• Asia-Pacific

• Europe

• South America

• Middle East and Africa

Asia-Pacific is considered to be the dominant region in this market, with a share of around 37%. China and India are in the lead. The growth of these regions is due to increased demand, corporate presence, adoption of smart technologies, government initiatives, educational programs, economic growth, and manufacturing hubs. North America is growing the fastest. Regions such as the United States and Canada are dominant. This is due to technological advancement, developing companies, the economy, increasing investment, access, workforce, and extensive use in end-user industries. This region has a share of around 23%. Europe is also making significant progress with countries such as Germany and the UK. Developments in this region are driven by sustainability initiatives, compliance, and applications in end-user industries.

COVID-19 Impact Analysis on the Global Industrial Automation Market:

The virus outbreak had a mixed impact on the market. Lockdowns, movement restrictions, and social isolation were the new norm. This resulted in the temporary shutdown of companies and production units. Supply chain, transportation, and other logistics were disrupted. As a result, import and export business activities were affected, causing delays in obtaining equipment and other parts. However, a shift towards digitization has been observed. Automation technologies have improved decision-making and data analysis for remote workplaces. In addition, they were employed in healthcare solutions. Automation technologies such as thermal scanners and other robotics have been used to prevent proliferation. Additionally, there was a labor shortage due to social distancing. Automation technologies helped in completing the tasks. Technology dependence saw a 20% increase in North America during the first quarter of the pandemic.

Latest trends/developments:

Companies in this industry seek to increase their market share using a variety of tactics, including alliances, investments, and acquisitions. Along with keeping prices competitive, businesses pay a lot to push existing technologies and find new ones. This also led to more expansion.

With increasing reliance on automation, cybersecurity has become a priority. Many institutes and companies are working to correlate data, implement protection faster than attacks, and detect network infections. The use of artificial intelligence (AI) and machine learning (ML) in cybersecurity automation helps improve data privacy. In addition, there is an increasing focus on combining DevOps practices with cybersecurity automation to embed security throughout the software development lifecycle.

Key Players:

1. Siemens

2. Rockwell Automation

3. ABB Group

4. Schneider Electric

5. Emerson Electric

6. Honeywell International

7. Yokogawa Electric Corporation

8. Mitsubishi Electric

9. Omron Corporation

10. General Electric (GE)

In September 2021, AVEVA and Schneider announced a partnership for industrial software solutions. The company's goal was to focus on upskilling its system integrators on AVEVA's top software solutions and offer comprehensive generation and implementation support for its partners across verticals.

In October 2020, Honeywell partnered with Microsoft to transform the industrial workplace. By integrating Honeywell Forge's autonomous AI-driven AI enterprise performance management software with Microsoft Dynamics 365 Field Service, customers will have access to operational data that includes workflow management support to improve performance and energy efficiency in the enterprise environment. The collaboration focuses on providing cloud-based industrial applications and analytics.

In July 2020, Siemens and SAP SE announced a new partnership that will leverage their industry expertise and bring together their complementary software solutions for product lifecycle, supply chain, and asset management to their customers, bringing innovation and collaborative business models that will accelerate industry transformation. globally.