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Smart Factory Market Size
Smart Factory Market size exceeded USD 110 billion in 2022 and is anticipated to exhibit more than 9% CAGR from 2023 to 2032.
The swiftly rising deployment of 5G networks into smart factory will significantly accelerate the industry outlook. In recent years, several smart factory owners are more securely deploying cellular technologies with the help of 5G technology and personalizing them for various use cases. The integration of sensors via 5G-enabled equipment enables data collection from manufacturing networks devoid of connecting to machines to offer seamless real-time optimization. Hence, the excessive adoption of 5G networks in smart factories for securing strong and reliable connection will influence the industry expansion.
| Report Attributes | Details |
|---|---|
| Base Year: | 2022 |
| Market Size in 2022: | USD 110 billion |
| Forecast Period: | 2023 to 2032 |
| Forecast Period 2023 to 2032 CAGR: | 9% |
| 2032 Value Projection: | USD 280 billion |
| Historical Data for: | 2018 to 2022 |
| No. of Pages: | 246 |
| Tables, Charts & Figures: | 239 |
| Segments covered: | Component, End-Use, and Region |
| Growth Drivers: |
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| Pitfalls & Challenges: |
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Dearth of skilled labor and technical expertise to restrict market development
Limited availability of trained expertise and skilled labor is likely to hamper the adoption of smart factory technologies across various industries. The growing complexities in the operation of industrial automation devices and systems has led to the dire need for skilled professionals for manage the processes. The rising misinterpretations in the manufacturing process leads to faults and errors, thereby negatively influencing the production. Lack of appropriate content and human resources as well as usability issues and technical difficulties are also hindering the operation of smart factory devices.
Smart Factory Market Analysis
The software segment accounted for USD 30 billion revenue in 2022, attributed to the higher availability of advanced analytics and AI technologies, the surging deployment of digitalization and automation technologies along with the widespread popularity of cloud computing and IIoT. The ongoing evolution and enhancements in smart factories coupled with the rising need for customized and flexible manufacturing processes will further drive the market growth.
Smart factory market size from the automotive end-use segment will witness over 5% CAGR between 2023 and 2032. With the intensifying competition in the automotive industry, several manufacturers are constantly focusing on improving efficiency, reducing costs, and augmenting productivity. To that end, smart factory technologies are largely favoured as they help manufacturers in optimizing their production processes, limiting wastes, and minimizing the downtime. Furthermore, the increasing preference for automation technologies to meet the thriving demand for high-quality & reliable products will enhance the industry demand.
North America smart factory market share will exceed USD 80 billion by 2032. The thriving popularity of automated systems, mainly in Canada has propelled several automation providers to form strategic partnerships for the country. For instance, Navtech Radar, in March 2022, partnered with autonomous frontrunner, Apex Automation for targeting and supporting various autonomous markets in Canada. The partnership also helped the latter firm in developing autonomous solutions for mining, and ports & terminals.
Smart Factory Market Share
Some of the leading smart factory market participants include:
- ABB Ltd
- Mitsubishi Electric
- Cisco
- Fujitsu
- General Electric
- Honeywell International,
- Emerson Electric Co.
These firms are coming up with novel smart solutions in smart delivery and are constantly implementing partnerships and acquisitions for gaining competitive edges. For instance, Cisco, in February 2023, unveiled cloud services in IoT operations dashboard for augmenting the industrial asset visibility for securely managing the industrial assets while providing cloud automation for operational technology to the IoT customers.
This smart factory market research report includes in-depth coverage of the industry with estimates & forecast in terms of revenue in USD from 2018 to 2032 for the following segments:
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Market, By Component
- Hardware
- Sensors
- Industrial robots
- Articulated robots
- Cartesian robots
- SCARA robots (Selective Compliance Articulated Robot Arm)
- Cylindrical robots
- Collaborative robo
- Machine vision
- Communication Technology Devices
- Others (Additive Manufacturing)
- Software
- Human Machine Interface (HMI)
- Product Lifecycle Management (PLM)
- Supervisory Controller and Data Acquisition (SCADA)
- Distributed Control System (DCS)
- Programmable Logic Controller (PLC)
- Enterprise Resource and Planning (ERP)
- Others (Manufacturing Execution System (MES))
- Service
Market, By End-Use:
- Automotive
- Aerospace & defense
- Energy & Power
- Food & beverage
- Healthcare
- Electrical & Electronics
- Oil & Gas
- Others
The above information has been provided for the following regions and countries:
- North America
- U.S.
- Canada
- Europe
- UK
- Germany
- France
- Italy
- Russia
- Asia Pacific
- China
- India
- Japan
- South Korea
- Singapore
- Latin America
- Brazil
- Mexico
- MEA
- UAE
- Saudi Arabia
- South Africa
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