The global smart manufacturing market size is predicted to hit nearly $400 billion by 2025, according to a new report from Grand View Research.
The report says the market size will reach $395.2 billion in 2025, up from $172.34 billion in 2016. Key growth factors include an increasing demand for connected supply chains and knowledge-based manufacturing processes, according to the report.
Increasing availability of certain technologies, including 3D printing and plant asset management solutions, to SMBs is also helping to expedite the growth. Out of the available options, digital twin and real-time analytics are expected to provide the most growth for businesses as they digitize.
SEE: Internet of Things policy (Tech Pro Research)
Government Investments in increasing smart manufacturing adoption has helped the market grow as well. Both industrialized nations and developing countries are adding a focus on smart manufacturing, which may continue to drive growth until 2025, the report said.
By 2025, the automotive industry will use the most smart manufacturing in North America, followed by aerospace and oil industries, according to the report.
Enterprise control, asset performance management, and augmentation will be the top solutions in smart manufacturing during the growth period, the report said, with the three often overlapping.
Increased buy-in from businesses could help tech companies grow as well, as more organizations will be using these smart manufacturing technologies. However, this could mean competition, both manufacturer to manufacturer for best utilization, and amongst tech companies for best option, could increase.
The study aligns with previous reports regarding smart manufacturing adoption in those industries. Around two-thirds of manufacturers think their factories will be fully connected through the industrial Internet of Things (IIoT) by 2022, according to a July report from Zebra Technologies.
Grand View Research said while IIoT has several benefits, businesses should expect more interest in its security standards.
The 3 big takeaways for TechRepublic readers
- The smart manufacturing market is expected to increase from $172.34 billion in 2016 to $395.2 billion by 2025, a new study from Grand View Research found.
- Key driving factors include increased demand for connected supply chains and availability of technologies like 3D printing to SMBs.
- Through the growth period, the automotive industry is expected to use the most smart technology, followed by the aerospace and oil industries.
- Industrial IoT: 64% of manufacturers will have fully-connected factories by 2022 (TechRepublic)
- 5 ways to advance robotics in manufacturing (ZDNet)
- How Hershey used IoT to save $500K for every 1% of improved efficiency in making Twizzlers (TechRepublic)
- How tech is transforming manufacturing (ZDNet)
- 67% of manufacturers investing in big data and industrial IoT, says new report (TechRepublic)
- 4 industries that are making the best use of blockchain technology (TechRepublic)
Olivia Krauth is an Education Reporter at Insider Louisville.