IoT in Manufacturing Market Analysis

IoT in Manufacturing Market Analysis

The IoT in manufacturing market from hardware segment dominated around USD 23.9 billion revenue in 2022. The surge in building smart factories is boosting the demand for hardware components and subsequently driving the market demand. Hardware manufacturers are the aligning their offerings with software technologies to fulfill the rising demand in projects such as smart factory.

For instance, in April 2023, Advantech, a prominent supplier of industrial hardware and automation technology for Internet of Things (IoT), entered into a collaborative agreement with Altizon, a worldwide software provider of the Datonis Digital Factory Industrial IoT platform, to simplify the transition toward a smart factory. This partnership will enhance the demand for hardware components owing to their enhanced compatibility.
 

The IoT in manufacturing market size from predictive maintenance segment held over USD 15.7 billion in 2022. The predictive analytics software designed can significantly boost the market size by utilizing data from IoT devices to anticipate equipment failures, optimize maintenance schedules, and enhance the overall operational efficiency.

For instance, in February 2023, AVEVA, a company that deals with the industrial software that fosters innovation & sustainability, launched the latest version of the AVEVA predictive analytics software. This version was specifically designed for the predictive monitoring of industrial assets in sectors such as oil & gas, power generation, chemicals, mining, minerals, and manufacturing. These cutting-edge software solutions can elevate the value proposition of IoT technology along with accelerating its adoption across the manufacturing sector.
 

Asia Pacific IoT in manufacturing market accounted for 25% of the revenue share in 2022, due to its robust manufacturing sector, rapid technological advancements, and the growing adoption of Industry 4.0 principles. Countries including China, Japan, South Korea, and India are heavily investing in IoT infrastructure to enhance production efficiency, quality control, and supply chain management. This proactive approach, coupled with a large market potential and supportive policies, positions Asia Pacific as a key driver of the market demand.