by The IoT in Manufacturing Market is estimated to be valued at US$ 235.38 Bn in 2023 and is expected to exhibit a CAGR of 18% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
The IoT in manufacturing market comprises solutions and services to help manufacturing companies connect devices, machines, and assets to the internet. IoT enables automated data collection from various manufacturing processes to gain real-time insights into equipment performance, asset utilization, energy consumption, and product quality. This helps manufacturing firms optimize plant operations, preempt faults, ensure quality control, and enhance productivity.
Market key trends:
One of the major trends in the IoT in manufacturing market is increased adoption of IoT for real-time plant monitoring. IoT helps manufacturers monitor production lines and machinery in real-time to identify signs of failure or downtime. Through sensors, cameras, and other connected devices, IoT provides manufacturing firms visibility into plant operations from any location. This facilitates predictive maintenance by enabling remote equipment servicing. Real-time monitoring also helps manufacturers improve efficiency, minimize downtime, plan production schedules, and enhance overall equipment effectiveness (OEE). Many companies are increasingly incorporating IoT into manufacturing facilities to gain operational insights for improved decision making.
Porter’s Analysis
Threat of new entrants: The threat of new entrants is moderate as IoT manufacturing market demands high capital and technical expertise. However, new startups can provide niche innovations.
Bargaining power of buyers: The bargaining power of buyers is moderate as there are many established players providing custom IoT solutions in manufacturing industry. Buyers can negotiate on price and quality.
Bargaining power of suppliers: Suppliers of sensors, connectivity modules and other IoT components have low bargaining power due to fragmented supplier base and availability of substitutes.
Threat of new substitutes: Threat of new substitutes is low as IoT brings integrated solutions and has become a mainstream strategy in manufacturing industries.
Competitive rivalry: Competition among existing players is intense due to their focus on new product innovations and expanding geographical footprint.
SWOT Analysis
Strengths: IoT enables predictive maintenance, remote monitoring, supply chain management and delivers productivity gains. Security updates and technical support by major players.
Weaknesses: Lack of skilled workforce and higher initial infrastructure cost. Integration challenges with legacy systems and data silos existing in many organizations.
Opportunities: Scope for usage of AI, ML and analytics tools with IoT data. Adoption in small and medium manufacturing sectors. Expanding applications in areas like predictive quality.
Threats: Cybersecurity threats due to connectivity of devices and data theft. Lack of common connectivity standards resulting in lock-in costs for organizations.
Key Takeaways
Global Iot In Manufacturing Market Size is expected to witness high growth at a CAGR of 18% over the forecast period due to increasing productivity demands and need for predictive maintenance by manufacturers. By 2030, the market size is projected to reach US$ 815 Bn.
The North American region dominates currently with over 35% share due to presence of major technology companies and advanced industrial sectors such as automotive and electronics which are early adopters. Asia Pacific is projected to be the fastest growing region during the forecast period exhibiting a CAGR of around 20%, led by Chinese and Japanese manufacturing industries.
Key players operating in the IoT in Manufacturing market are Cisco Systems Inc., SAP SE, General Electric, Microsoft Corporation, Intel Corporation, Siemens AG, IBM Corporation, Qualcomm, Verizon Communication Inc., and AT&T Inc. These players focus on developing end-to-end integrated IoT solutions and expanding their presence through strategic partnerships and M&A activities.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
