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The global AC digital servo motors and drives market size was evaluated at USD 6.9 billion in 2024 and is estimated to observe a growth rate of 6.6% from 2025 to 2034. Rising demand for energy-efficient motor control systems across various industrial operations along with increasing energy consumption, further complementing the industry landscape. Infrastructure development investments have increased demand for HVAC systems, which are crucial for optimizing building energy output and gaining prominence of precise motor speed control is augmenting the product demand.
Flourishing investments for infrastructure development along with continuous efforts to accelerate digital transformation across various sectors will drive industry growth. For instance, in September 2024, the U.S. Department of Commerce's Economic Development Administration (EDA) is investing USD 4.3 million in South Dakota to boost manufacturing and workforce development. The investment includes a USD 3.5 million grant for a training facility on the Rosebud Sioux Reservation. These projects aim to create jobs, stimulate private investment, and support local economic growth in the state.
Report Attribute | Details |
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Base Year: | 2024 |
AC Digital Servo Motors and Drives Market Size in 2024: | USD 6.9 billion |
Forecast Period: | 2025 to 2034 |
Forecast Period 2025 to 2034 CAGR: | 6.6% |
2034 Value Projection: | USD 13.3 Billion |
Historical Data for: | 2021 - 2023 |
No. of Pages: | 105 |
Tables, Charts & Figures: | 32 |
Segments covered: | Application and Region |
Growth Drivers: |
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Pitfalls & Challenges: |
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The AC digital servo motors and drives industry is projected to experience substantial growth, driven by continuous innovations in industrial automation technology and regulatory measures promoting environmental responsibility. Increasing adoption of smart manufacturing practices, particularly in key industrial automation areas will complement the industry landscape. Furthermore, new initiatives aimed at promoting manufacturing and processing industries globally are expected to increase the need for AC servo motors and drives. For instance, in July 2024, the European Commission's sixth investment package under the Economic and Investment Plan for Western Balkans aims to mobilize USD 1.3 billion. This initiative supports various sectors, including water management, transportation, and green innovation for SMEs in the region.
Rising need for highly efficient motor control systems across multiple industries and the growth of the automotive sector, contributing to the industry growth. Moreover, the ongoing industrialization in emerging economies and the increasing requirement for precise motor control in various industrial applications will positively influence the business dynamics.
Metal cutting & forming segment is anticipated to grow over USD 1.9 billion by 2034, driven by rising demand for lightweight, high-strength metals from aerospace and automotive industries and increased industrial investment. The integration of these units in advanced manufacturing techniques to enable precise metal shaping and cutting ensuring accurate measurements will fuel the product demand. Manufacturers are improving production quality, shortening manufacturing cycles and reducing risks associated with metal cutting processes to introduce enhanced technologies, positively influencing the business dynamics.
U.S. AC digital servo motors and drives market is set to cross USD 2.6 billion by 2034. Rising demand for precise motor control units for various industrial operations and increasing adoption of automation across several manufacturing processes will complement the business landscape. Authorities are implementing stringent energy efficiency and security regulations along with increasing energy consumption across various sectors has positively influencing the industry outlook. For instance, the U.S. Department of Energy announced funding for 16 projects focused on cross-sector technologies. With a USD 38 million investment, these projects aim to advance research and demonstrations of technologies that can reduce emissions across various industrial subsectors. Moreover, investments in manufacturing, process industries, to enhance productivity, contributing to the industry growth.
The AC digital servo motors and drives industry is led by several prominent companies, including ABB, Fuji Electric, Mitsubishi Electric, Siemens, Rockwell Automation, and Yaskawa. These industry leaders hold significant market shares and employ various strategies to maintain and enhance their positions. Their approaches often involve strategic partnerships, collaborations, and mergers to strengthen their market presence. Additionally, these manufacturers focus on developing innovative products and expanding their production capacities, which contributes to the overall growth and advancement of the AC servo motors and drives industry.
Major players actively participating across the market consist of:
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Market, By Application
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