June 19, 2024
IoT in Manufacturing Market

IoT in Manufacturing Market is Estimated to Witness High Growth Owing to Advancements in Connected Technologies

The IoT in manufacturing market involves integrating connected devices and sensors involved in manufacturing processes to monitor equipment performance, streamline operations and automation. IoT solutions enable predictive maintenance of equipment by collecting real-time operational data from sensors. They also facilitate remote monitoring of manufacturing facilities and inventory levels. IoT connectivity has paved way for several Industry 4.0 applications in manufacturing industries including predictive quality, predictive maintenance, mass customization and smart product customization. Rising adoption of industrial automation technologies and advancements in connectivity standards such as 5G and Low Power Wide Area networks are expected to drive the IoT adoption in manufacturing sector.

The Global IoT in Manufacturing Market is estimated to be valued at US$ 271.16 Bn in 2024 and is expected to exhibit a CAGR of 28% over the forecast period 2024 To 2031.

Key Takeaways

Key players operating in the IoT in Manufacturing are EnableX.io (VCLOUDX PTE. LTD), Twilio Inc., Infobip Ltd., Vonage Holdings Corp, M800 Limited, MessageBird BV, Iotum Inc., Plivo Inc., Voxbone SA, Snich AB, Telestax, Voximplant (Zingaya Inc.), Mitel Networks Corporation, 8×8 Inc., AT&T Inc., Voxvalley Technologies, Avaya Inc., Bandwidth Inc. (Bandwidth.com), Wazo Communication Inc., and IntelePeer Cloud Communications. The growing need for predictive maintenance and remote asset monitoring presents key opportunities for IoT solution providers in the manufacturing sector. Globe spanning manufacturing operations of companies necessitates flexible IoT platforms enabling seamless integration of facilities across geographies.

Market drivers

The IoT In Manufacturing Market Growth is projected to witness high growth owing to advancements in connected technologies. Investments in industrial IoT and adoption of technologies such as AI, ML, predictive analytics, big data by manufacturing companies are expected to drive market revenues. Agile production enabled by IoT integration helps reduce operation costs and improves manufacturing efficiencies. Need for mass customization and smart connected products will further bolster adoption of IoT in manufacturing industry.

PEST Analysis

Political: Government regulations around data privacy and security are becoming stricter with laws like GDPR. Regulations around IoT device certification and standards will impact manufacturers.

Economic: Global economic uncertainties and supply chain disruptions can negatively impact manufacturing activity in the short term. Manufacturers are looking to optimize operations and reduce costs through IoT solutions.

Social: Younger workforce entering manufacturing is more comfortable with new technologies. However, digital skills gap remains a challenge. Social acceptance of technologies like robotics and automation is increasing.

Technological: Emerging technologies like AI, cloud computing, 5G and edge computing are enabling more complex and distributed IoT solutions. However, legacy systems integration remains a challenge for mainstream IoT adoption.

Geographical concentration

The value generated from IoT in manufacturing is highly concentrated in Asia Pacific and North America regions. This is due to presence of major manufacturing hubs and early technology adoption in countries like US, China, Japan and South Korea. The supportive government policies and industrial strategies have boosted investments in Industry 4.0 solutions.

Fastest growing region

Europe is projected to be the fastest growing region for IoT in manufacturing market during the forecast period. This growth can be attributed to the Made in Europe 2030 strategy that aims to digitalize 25% of European industry by 2030. The initiative promotes adoption of advanced technologies like IoT, AI, blockchain among small and medium manufacturers who are increasingly recognizing the benefits of connected operations. The availability of funding and skilled workforce makes the region an attractive market.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it