Digital factory revenues to jump to US$375 billion by 2030
First Quarter 2020
Editor's Choice
Other technologies
Technology investments in the industrial and manufacturing sector are set to skyrocket, jumping from $59 billion in 2019 to $375 billion in 2030. Including hardware revenues, that figure climbs to over US$1 trillion, according to data from global tech market advisory firm, ABI Research.
Manufacturing is in the midst of a major digital revolution and is investing in Industrial Internet of Things (IIoT) technologies like Artificial Intelligence (AI), Augmented Reality (AR), robotics (AGVS, AMRs) and cloud-based simulation and modelling. “The transformative shift toward Industry 4.0 technologies and the broader field of software-defined manufacturing (SDM) presents a massive opportunity for a wide range of technology providers and implementers,” says Ryan Martin, principal analyst at ABI Research.
Intelligently connected hardware represents the largest share of revenue, growing from $200 billion in 2019 to a staggering $800 billion in 2030, but will diminish in proportion as associated software and services take hold. After hardware, data and analytic services is the fastest-growing segment in terms of revenue generation, reaching more than $185 billion in 2030, up from just $11 billion in 2019. “As the amount of custom code required to deploy new solutions on the factory floor drops, data and analytic service revenue growth in smart manufacturing will accelerate,” Martin explains.
Machine tools, asset tracking and connected PLCs will experience the most growth in terms of connected service revenue over the next 10 years. By 2030, machine tools such as 3D printers, computer numerical control (CNC) machines, lathes, mills and industrial drills, will grow in revenues to $134 billion; asset tracking will reach $78 billion, and Connected Programmable Logic Controllers (PLCs) will hit $40 billion. According to Martin, “Industry 4.0 is creating millions of new end points that need to be interconnected. However, the existing infrastructure can’t support it, which is creating an opportunity for connectivity experts and providers to step in.”
Currently, there are 260 million digital factory connections, with 230 million of those connections made via a fixed line. But, by 2023, a vast number of the 5,5 billion digital factory connections will be wireless. “This is driven by the rise in newly connected endpoints, including sensors, mobile robots (AGVs, AMRs), advanced asset tracking (RTLS), condition-based monitoring, and predictive maintenance applications,” says Martin.
The leading industries driving these revenues overall include automotive, heavy machinery, food, beverage, tobacco products and electronics. And, although Industry 4.0 is a global phenomenon, roughly half of the global revenue opportunities will be concentrated in China and the United States, followed by Germany and Japan. Furthermore, the United States leads the way in most industries such as automotive, while China leads in nonmetallic machinery.
“There is a long and compelling list of digital transformation technologies and pilot projects that are now graduating to the factory floor. The companies and production environments embracing these opportunities have quickly seen the benefits and want to scale, rather than risk falling behind,” concludes Martin.
Further reading:
Planetary gear units for high torque requirements
SEW-EURODRIVE
Editor's Choice Electrical switching & drive systems & components
Packing a compact design, along with high torque and low-speed outputs, the new SEW PPK and SEW P2.e planetary gear units from SEW-EURODRIVE offer new capabilities in continuous heavy-duty applications where space is at a premium.
Read more...
Servicing the electric motor sector
Editor's Choice Electrical switching & drive systems & components
Hexagon Electrical has expanded its manufacturing and service capabilities to meet the growing demand for customised, high-performance specialised electric motors in heavy engineering, and hazardous industrial and mining applications.
Read more...
PC-based control for a food capsule and pod packaging machine
Beckhoff Automation
Editor's Choice Electrical switching & drive systems & components
For TME, a machine builder specialising in the packaging of powdered foods, Beckhoff’s PC-based control technology offers unlimited opportunities when it comes to performance and innovative capacity in terms of flexibility, scalability and openness.
Read more...
Powering southern Africa’s industrial evolution for over five decades
Editor's Choice Hydraulic systems & components
Established in 1974, Oilpower is a recognised name in South Africa’s hydraulic and pneumatic sector. What started as a small, family-run business has matured into a highly structured operation with specialised teams, experienced engineers and a reputation for technical excellence and reliability. Oilpower is celebrating its 50th anniversary this year.
Read more...
Planar motor system for quality assurance
Beckhoff Automation
Editor's Choice Electrical switching & drive systems & components
Achieving the shortest possible inspection times, even when working with different components, is paramount when it comes to series production. This is precisely what special machine builder, stoba Sondermaschinen set out to achieve with its InspectorONE optical inspection system, which is based on deep learning and features the Beckhoff XPlanar planar motor system at the conveyor system core.
Read more...
Robotic solution for adhesive tape application with flexible control
Beckhoff Automation
Editor's Choice Robotics & Mechatronics
In industry, even elaborate processes, such as the application of adhesive tape to parts with varying geometries are automated. Innovative Automation has developed a platform with Beckhoff control technology and a remote feeding module, which increases productivity and enables flexible customisation for different requirements.
Read more...
The world’s most powerful worm
Editor's Choice Electrical switching & drive systems & components
Geothermal energy from the natural heat of the Earth is an inexhaustible resource, yet the growth of the global geothermal power sector lags behind other renewable energies. Now Swiss startup, Borobotics is hoping to speed this up with its innovative new electric-powered geothermal drilling robot, which can be used to fast-track and lower the cost of heat pump installations in confined spaces.
Read more...
Problem solving under pressure
Axiom Hydraulics
Editor's Choice
The greatest strength of Axiom Hydraulics lies in the company’s ability to solve complex problems and adapt systems to meet unique challenges. This capability stems from two key factors: the diverse experience of its team members, which spans decades across multiple disciplines, and their unwavering dedication to their clients.
Read more...
New AI advisor for robot selection
igus
Editor's Choice Robotics & Mechatronics
igus’ new AI chatbot has been added to the online platform RBTX.com. The interactive consultant is designed to enable companies with little previous experience and technological expertise to quickly and reliably put together low-cost automation solutions to becoming more competitive.
Read more...
Compressed air treatment do’s and don’ts
Artic Driers International
Editor's Choice Pneumatic systems & components
As a long-established importer and manufacturer of air dryers, Artic Dryers often sees the results of poor installation and issues with aftercoolers that create serious problems in air drying systems.
Read more...
printer friendly version