Smart Factory Market

Global Smart Factory Market Size (2023 to 2028)

The global smart factory market is projected to grow at a CAGR of 10% from 2023 to 2028 and the global market size is estimated to be worth USD 272.2 billion by 2028 from USD 169.07 billion in 2023.

The smart factory serves manufacturing and technological development, which is an ideal integration of high-tech machinery and high-tech tools. It is the advanced factory system that creates cyber-physical systems permitting the active movement of products across the factory floor. It provides real-time quality and time advantages, which are estimated to intensify the industry growth over the foreseen period. Furthermore, it offers higher intelligence, serves to decentralize manufacturing, and creates an overall cognitive and self-healing system.

Global Smart Factory Market Drivers:

The expansion of the global smart factory market is majorly driven by the evolution of the Internet of Things (IoT), increasing use of enabling technologies in manufacturing, rising adoption of commercial robots in the manufacturing sector and connected enterprises alongside production to cater to increasing population. Increasing the use of high-tech tools and high-tech machinery portrays a gorgeous combination of production and technological developments. The industrial shift towards the cyber world is another major factor driving the smart factory market growth. In this, every useful component chain is likely to be connected to ensure informed manufacturing with zero defects and no-time lags, which will further augment the smart factory market growth.

The growing need for improving efficiency and energy-saving within the manufacturing process is supporting the smart factory market growth. Automation has enabled manufacturing units to utilize every second of production time through efficient streamlining of the manufacturing process. Technological advancements like machine-to-machine communication allow smart factories to eliminate the wastage of time caused by delays in process change. Moreover, with the rise of the Internet of Things (IoT) and services, the integration of producing and engineering processes has experienced an incredible breakthrough.

Global Smart Factory Market Restraints:

The growth of the global smart factory market faces a couple of limitations because of the lack of standardization and interoperability issues. These factors raise concerns in designing integrated solutions using components provided by several automation solution providers. The scarcity of trained workers and the increasing skill gap further restrain the expansion of the smart factory market. Other crucial factors like cybersecurity threats and associated costs limit the development of this global smart factory market in industries such as nuclear power, weapons, and armaments.

REPORT COVERAGE:

This research report on the global smart factory market has been segmented and sub-segmented into the following categories.

Smart Factory Market - By Technology:

• Information Technology System
• Enterprise Resource Planning (ERP)
• Manufacturing Execution System
• Industrial Control System

ERP is the most vital revenue-generating segment due to the software usage application for embodying the products and process, relationships between functions, activities, and knowledge flow.

Smart Factory Market - By Field Devices:

• Industrial Robotics
  • Articulated Robot
  • Cylindrical Robot
  • Scara Robot
  • Cartesian Robot
• Control Devices
  • Sensors
  • Relays & Switches
  • Motors & Drive
• Industrial Network
  • RFID System
    • Chipless RFID
    • Chip-Based RFID
  • Wireless Network
    • Chipsets
    • Microprocessor System
    • Sensors
  • Wired Network
    • Ethernet Media Converters
    • Unmanaged Switches
    • Managed Switches

Smart Factory Market - By Application:

• Process Industry
  • Pharmaceuticals
  • Food & Beverages
  • Chemical
  • Oil & Gas
• Discrete Industry
  • Automotive & Transportation
  • Packaging
  • Mining, Minerals & Metals

In the process industry, the adoption of smart factory-related technologies and components is predicted to be very high within the oil & gas industry due to the increasing need for safety and reliability in oil and gas plants. Companies operating within the oil and gas industry are always trying to find new ways to satisfy the rising demand for energy, cut operating expenses, and enhance the general efficiency of plants.

Smart Factory Market - By Region:

• North America
  • The United States
  • Canada
  • Rest of North America
• Europe
  • The United Kingdom
  • Spain
  • Germany
  • Italy
  • France
  • Rest of Europe
• The Asia Pacific
  • India
  • Japan
  • China
  • Australia
  • Singapore
  • Malaysia
  • South Korea
  • New Zealand
  • Southeast Asia
• Latin America
  • Brazil
  • Argentina
  • Mexico
  • Rest of LATAM
• Middle East and Africa
  • Saudi Arabia
  • UAE
  • Lebanon
  • Jordan
  • Cyprus

North America's smart factory market is projected to be the dominant region due to rising adoption within the automotive segment. Asia Pacific smart factory market is predicted to carry a notable share within the global business in the coming years. The presence of dominant players is mainly driving the Asia Pacific market. Additionally, increasing the use of automotive technologies and technological innovations in various industrious industries also fueled growth in this local market.

KEY MARKET PLAYERS:

Insights Inc., Invensys PLC, Mitsubishi Electric Corporation, Ubisense Group PLC, CMC Associates, Johnson Controls Inc., Microsoft, General Electric Co., Apriso Corporation, Siemens AG, Rockwell Automation, and ABB Ltd are some of the notable companies in the global smart factory market. The prominent strategies applied by the players include product launches, mergers and acquisitions, collaborations, and agreements to expand the industry. These strategies would provide strongly performing and efficient products, which exhibit better customer satisfaction and support the market regulations, which are expected to impel market growth further.

RECENT HAPPENINGS IN THE MARKET:

• Smart Factory CEO Brendan Sheppard formed a part of an Industry leaders group that welcomed a delegation of California state legislators' visits to Ireland. The tour was coordinated by the Irish Department of Foreign Affairs the IDA. Therefore, the O’Neill Group and the delegation came to Limerick to listen to the region’s recent economic successes, particularly within the area of research and style.
• Smart Factory was delighted to be included in the gift bag at the Nimbus Research Centre Beyond IoT event in Páirc Uí Chaoimh. 
• On June 15th, 2018, SmartFactory, a number one provider of solutions that add intelligence to manufacturing processes to drive continuous improvement, knowledge transfer and data-based deciding, announced a replacement release of software for its Work Area Performance System (WAPS). This is also the first commercial partnership for CONFIRM – the Science Foundation Ireland Research Centre with the NIMBUS Centre at Cork Institute of Technology.