The global IoT in manufacturing market size is projected to reach $1.0388 billion by 2026, from $567.2 million in 2020, according to Valuates Reports.
Major factors driving the growth of IoT in manufacturing market size are the growing need for centralized monitoring and predictive maintenance of manufacturing infrastructure, agile production, operational efficiency, and increasing adoption of the cloud.
Trends influencing the IoT in manufacturing market size
Due to growing competition and demand from end-users, manufacturers are more concerned about manufacturing high volume and high-quality goods. This, in turn, led them to concentrate on key areas, such as the manufacturing process, asset monitoring, and the repair and support of equipment in the factory.
Automation will allow manufacturers to increase productivity, enhance consistency of processes or products, and improve quality by eliminating errors and reducing variability. These advantages by IoT are expected to drive the growth of IoT in manufacturing.
The rise in demand for real-time asset monitoring is expected to increase the growth of IoT in manufacturing market size. Real-time asset tracking makes it easier for businesses to track changes in workshops in real-time, thereby minimizing manufacturing defects and increasing operational performance.
IoT maintains low operation costs in manufacturing by using predictive maintenance principles, increasing worker safety during training and repairs, and identifying and resolving bottlenecks. This, in turn, is expected to boost the growth of IoT in manufacturing market size.
Furthermore, advancements in technologies such as smart sensors, virtual & augmented reality are expected to fuel IoT in manufacturing market size. The introduction of smart sensors into industrial machinery has allowed manufacturers to reduce operating costs by 50% and is expected to decrease further during the forecast period.
IoT in manufacturing market share analysis
North America is expected to hold the largest IoT in manufacturing market share during the forecast period. North America’s dominance is attributed to the early adoption of trending technologies, such as IoT, big data, edge computing, and mobility by manufacturers in this region.
The rising adoption of smart, safe, and connected technologies for asset-centric applications is expected to increase IoT in this region’s manufacturing market size. Furthermore, the emergence of small and medium-sized companies and the implementation of digitization in manufacturing are expected to drive business growth in North America.
Asia Pacific region is expected to witness the highest growth rate during the forecast period. This is due to the rise in ICT expenditure in South Korea, Australia, Japan, and Singapore.