Global Industry 4.0 Market Size, Share & Industry Trends Analysis Report By Technology (Industrial Sensors, Machine Vision, Industrial Robots, HMI, Blockchain, Industrial 3D Printing, AI in Manufacturing, Digital Twin, Machine Condition Monitoring, and Automated Guided Vehicles), By Regional Outlook and Forecast, 2022 - 2028

Analysis of Market Size & Trends

The Global Industry 4.0 Market size is expected to reach $195.8 billion by 2028, rising at a market growth of 19.9% CAGR during the forecast period.

The fourth industrial revolution, known as Industry 4.0, focuses on connectivity, machine learning, automation, and real-time data. It is also known as smart production combined with smart digital technology or the Internet of Things (IoT). Additionally, it makes use of machine learning as well as big data to create a more integrated and linked ecosystem for companies that focus on manufacturing and SCM. Accessing real-time information throughout operations, products, partners, and people can present a barrier for several firms from multiple industries.

Industry 4.0, which focuses on a number of global concerns within the sector, is a result of digital transformation in the industrial sector. It updates and optimizes the supply chains of manufacturing firms, which not only facilitates data-driven management but also gives firms an edge over rivals and enables them to keep up with their rivals. Various manufacturing organizations utilize a variety of technologies, including industrial robotics, the IIoT, 3D printing, artificial intelligence, and machine learning.

IoT measurements and performance metrics that show operational improvement, logistics, consumer experience, and supply chain profits are currently being adopted by a number of significant enterprises. In order to control supply chain and production operations from a centralized system, industrial sectors are increasing their implementation of excellent smart industry solutions and usable device systems. During the forecast period, the manufacturing industry's adoption of IoT-connected machines is anticipated to considerably push the market for Industry 4.0.

COVID-19 Impact Analysis

The primary market contributors have been severely damaged by the COVID-19 pandemic. There are still impacted places, and these governments are handling the pandemic in multiple ways. The manufacturing industry is grappling with enormous difficulties as the COVID-19 pandemic continues to rage in various developed and developing nations. One of the largest automobile markets in the world, the US, has been stagnant since the third quarter of 2020. Due to the declining demand, several car manufacturers have scaled back their manufacturing operations around the region, making the AI, IoT, and Blockchain automation technologies utilized in such manufacturing facilities obsolete. Due of the virus's rapid spread, the manufacturing of electronic & medical gadgets is still on hold in some containment regions.

Market Growth Factors

High adoption of AI and IoT in manufacturing sector

The adoption of AI and IoT capabilities in the manufacturing industry has been accelerating since the birth of Industry 4.0. Systems that incorporate AI and IoT enable manufacturing process optimization, offer early warnings, aid in quality assurance, and forecast equipment breakdown in machines. Companies may stand out from the competition by creating cutting-edge AI applications by acquiring accurate figures. The manufacturing industry is currently going through a challenging period due to the COVID-19 pandemic outbreak in 2020. Manufacturers were compelled to innovate their manufacturing procedures as a result of movement restrictions, mandatory lockdowns, and staff shortages. This has caused the utilization of AI and IoT in manufacturing procedures to accelerate further.

Rising usage of industry 4.0 technologies in medical wearables

Over last five years, IoT and AI technologies have swiftly entered the medical sector. An interconnected hospital ecosystem has emerged as a result of the usage of IoT and artificial intelligence technologies by medical wearables. For instance, a wearable device and clever algorithms may measure glucose levels and autonomously provide the right quantity of insulin to diabetic patients via constant glucose monitoring. Owing to the usage of these advanced technologies in medical wearables, the growth of the industry 4.0 market would escalate during the forecast period.

Market Restraining Factors

Absence of skilled workforce conversant with latest solutions in AI and IoT technologies

The existing staff must be taught to operate the newest hardware and software that incorporate IoT and AI-related technologies. Although enterprises are quick to adopt new technology, they struggle to find highly skilled engineers and workers who are familiar with the latest advancements in AI and IoT technologies. These latest solutions and technologies are difficult to operate and hence, need high level of knowledge and skills among the people who operate them. As a result, the growth of the Industry 4.0 industry is constrained by the shortage of a competent labour force.

Technology Outlook

Based on technology, the industry 4.0 market is divided into Industrial Robots, Blockchain, Industrial Sensors, Industrial 3D Printing, Machine Vision, HMI, AI in Manufacturing, Digital Twin, Automated Guided Vehicles and Machine Condition Monitoring. The industrial sensors segment recorded the highest revenue share in the industry 4.0 market in 2021. A sensor for industrial automation is an input device that generates an output signal based on a physical quantity (input). Modern plants employ a variety of sensors, every with its own design and function. Temperature, vibration sensors and proximity are just a few of the thousands of sensors utilized in industrial automation today.

Industry 4.0 Market Report Coverage

Report Attribute	Details
Market size value in 2021	USD 58.6 Billion
Market size forecast in 2028	USD 195.8 Billion
Base Year	2021
Historical Period	2018 to 2020
Forecast Period	2022 to 2028
Revenue Growth Rate	CAGR of 19.9% from 2022 to 2028
Number of Pages	196
Number of Tables	244
Report coverage	Market Trends, Revenue Estimation and Forecast, Segmentation Analysis, Regional and Country Breakdown, Competitive Landscape, Companies Strategic Developments, Company Profiling
Segments covered	Technology, Region
Country scope	US, Canada, Mexico, Germany, UK, France, Russia, Spain, Italy, China, Japan, India, South Korea, Singapore, Malaysia, Brazil, Argentina, UAE, Saudi Arabia, South Africa, Nigeria
Growth Drivers	High adoption of AI and IoT in manufacturing sector Rising usage of industry 4.0 technologies in medical wearables
Restraints	Absence of skilled workforce conversant with latest solutions in AI and IoT technologies

Regional Outlook

Region-wise, the industry 4.0 market is analyzed across North America, Europe, Asia Pacific and LAMEA. Asia Pacific emerged as the leading region in the Industry 4.0 market with the maximum revenue share in 2021. One of the key drivers of the expansion of the Industry 4.0 market in APAC is the rising usage of robotics in the manufacturing industry in Japan, China, and India. Players in the market can established manufacturing facilities in APAC nations due to low production costs. Owing to ongoing technology developments, financial assistance from regional governments, and a vast industrial base, with China and Japan providing the majority of the growth, APAC is among the markets with the quickest growth rates.

Free Valuable Insights: Global Industry 4.0 Market size to reach USD 195.8 Billion by 2028

KBV Cardinal Matrix - Industry 4.0 Market Competition Analysis

The major strategies followed by the market participants are Partnerships. Based on the Analysis presented in the Cardinal matrix; IBM Corporation, Cisco Systems, Inc. and General Electric (GE) Co. are the forerunners in the Industry 4.0 Market. Companies such as ABB Group, Emerson Electric Co. and Honeywell International, Inc. are some of the key innovators in Industry 4.0 Market.

The market research report covers the analysis of key stake holders of the market. Key companies profiled in the report include ABB Group, Advantech Co., Ltd., Basler AG, Cisco Systems, Inc., Cognex Corporation, Daifuku Co., Limited, Emerson Electric Co., General Electric (GE) Co., Honeywell International, Inc., and IBM Corporation.

Strategies deployed in Industry 4.0 Market

» Partnerships, Collaborations and Agreements:

• Jun-2022: Advantech joined hands with Actility, the world leader in IoT network management. This collaboration aimed to develop and introduce a new joint solution enabling customers to implement and operate private LoRaWAN networks on customer premises. This solution is a combination of advanced and ruggedized Advantech IPC with embedded Actility software.
• Aug-2021: IBM joined hands with Verizon, an American wireless network operator. This collaboration aimed to advance the era of 5G and edge computing in industrial operations. This collaboration aimed to expand the capabilities at IBM’s Industry Solution Lab in Coppell, TX to incorporate a testbed environment for producing and testing innovative, 5G-enabled use cases for Industry 4.0 applications.
• Jun-2021: ABB Thailand signed a memorandum of understanding with dtac Trinet. This agreement aimed to jointly create robotics and machine automation solutions allowed by dtac connectivity. In addition, the agreement aimed to bring more opportunities to the manufacturing industry and boost productivity for smart factories using digital technology.
• Mar-2021: IBM teamed up with Moderna, an American pharmaceutical and biotechnology company. Together, the companies would explore technologies such as blockchain, hybrid cloud, and artificial intelligence, which would support smarter management of the COVID-19 vaccine. Moreover, companies would put their efforts into the opening, standardizing, technology-enabled vaccine distribution approaches that would enhance supply chain visibility and promote near real-time tracking of vaccine administration.
• Feb-2021: IBM joined hands with Siemens and Red Hat. This collaboration aims to utilize a hybrid cloud designed to provide a flexible, open, and safe solution for manufacturers & plant operators to lead the real-time value from operational data. In this joint initiative, Siemens Digital Industries Software would implement IBM's open hybrid cloud approach, based on Red Hat OpenShift, to expand the implementation flexibility of MindSphere, the industrial IoT as a service solution by Siemens.
• Nov-2020: IBM came into a partnership with KAYA&KATO, a textile company. Under this partnership, the companies would design a blockchain network for the fashion industry along with the support of the German Federal Ministry for Economic Development (BMZ). The network is built to create transparency about the origin of garments starting from the fiber utilized to the completion of the final product and to offer users the knowledge that their clothes are sustainably manufactured.
• Nov-2020: ABB Thailand partnered with Ericsson Thailand. This partnership aims to complement ABB’s customers and companies in Thailand with Ericsson’s 5G solutions. Through this partnership, Ericsson will become ABB’s Preferred Connectivity Partner in Thailand. The agreement offers a framework and opportunity for ABB and Ericsson to together boost the digital transformation of various enterprises all over Thailand and to improve support for ABB’s users with 5G connectivity expertise.
• Oct-2020: IBM joined hands with R3, an enterprise software firm. Through this collaboration, the companies aimed to expand choice for customers by scaling blockchain technology and would also deliver their highest levels of performance, data privacy, and compliance. Under this collaboration, R3 would introduce the latest open beta program to bring R3's company blockchain platform, Corda Enterprise to IBM LinuxONE next month across the hybrid cloud, both the IBM Cloud and on-premises that would be delivered through IBM Cloud Hyper Protect Services.
• Oct-2020: Honeywell teamed up with Microsoft, an American multinational technology company. Under this collaboration, Honeywell would bring to market its domain-specific applications based on the Microsoft cloud platform to accelerate new stages of productivity for industrial customers.
• Aug-2020: Honeywell came into partnership with iTRACE Technologies. This partnership aimed to enable users to integrate blockchain with product marking in supply chains. Apart from securing end-to-end traceability, the integrated technologies can assist detect counterfeit parts and enhance inventory management. The Aerospace division of Honeywell has worked with iTRACE’s 2DMI solution prior to avert counterfeit aerospace parts by utilizing blockchain and other technologies.
• Aug-2020: Honeywell teamed up with Halliburton, an American multinational corporation. Together, the companies aim to optimize asset potential, decrease execution risk and reduce the overall cost of ownership for oil and gas operators. This collaboration would leverage Halliburton Landmark’s DecisionSpace 365 E&P cloud applications and Honeywell Forge which is a robust industrial analytics software solution, to provide unparalleled insights about oil & gas assets.
• Jul-2020: ABB came into collaboration with Accenture, an Irish-domiciled multinational company. This collaboration would build on ABB’s expertise in digitalized processes for the evolution of sectors and Accenture’s Information & Operational Technologies (IT/OT) architecture & software development offerings over industries.
• Feb-2020: Honeywell joined hands with Tech Mahindra, an Indian multinational company. This collaboration aimed to capitalize on digital transformation, 5G, Industry 4.0 technologies & engineering offerings to allow users in the manufacturing industry to scale up instantly.
• Feb-2020: GE Digital, a division of General Electric came into partnership with NEC, a Japanese multinational information technology and electronics company. This partnership aims to offer IoT solutions, which bring innovation & growth in global business initiatives in a wide range of industries like manufacturing and national infrastructure.

» Product Launches and Product Expansions:

• Feb-2022: Cognex Corporation launched the DataMan 280 series, fixed-mount barcode readers. The product features a high-resolution sensor integrated with a dynamic image formation system to enhance code handling and coverage. This technology, together with connectivity options for Industry 4.0 manufacturing requirements, would enable customers to read complicated barcodes reliably while enhancing overall equipment effectiveness (OEE) and throughput.
• Mar-2021: GE launched enhancements in CIMPLICITY and Tracker software. These enhancements offer critical decision support for operators to boost their efficiency. CIMPLICITY HMI/SCADA delivers user-server visualization to accurately supervise and manage operations. Tracker, a part of GE Digital’s Proficy Manufacturing Execution Systems (MES) capabilities, automates routing & sequencing to boost time to market, decrease warranty & recall exposure, and support Lean operations & building right the first time.
• Sep-2020: Advantech released its UNO-137 integrated IoT edge for Industry 4.0 Applications. This product is a completely reliable industrial-grade IoT edge focused on factory automation.
• Aug-2020: Cognex announced the launch of the new 3D-A1000 Item Detection System. This motion-capable smart camera can identify the presence or absence of objects with high accuracy on different types of sorters traveling at production line speeds. The system’s new features have been designed to help retail and logistics companies reduce delivery errors, improve throughput, and increase fulfillment efficiency.
• Feb-2020: ABB Power Grids launched MicroSCADA X, the industry-acclaimed power and automation control solution, to customers in India. MicroSCADA X features a next-generation human-machine interface (HMI) enabling an intuitive and adaptive experience that provides clear and simplified insights into customers’ power infrastructure. The solution offers a world-class, versatile supervisory control and data acquisition (SCADA) system with market-leading functionalities integrated into a single platform.

» Acquisitions and Mergers:

• Sep-2021: Honeywell took over Performix, a provider of manufacturing execution system (MES) software for pharmaceutical and biotech industries. Through this acquisition of Performix, Honeywell aimed at developing the world’s leading integrated software platform for users in life sciences who are striving for quicker compliance, enhanced reliability, and more production throughput.
• Jul-2021: ABB took over ASTI Mobile Robotics Group (ASTI), a leading global autonomous mobile robot (AMR) manufacturer. Through this acquisition, ABB would be the only company to provide a full automation portfolio of AMRs, robots & machine automation solutions, beginning from production to logistics to point of consumption.
• Apr-2021: IBM signed a definitive agreement to acquire Turbonomic, an Application Resource Management (ARM) and Network Performance Management (NPM) software provider based in Boston, MA. This acquisition aimed to assist organizations to overcome the high costs associated with improving performance and availability for various applications sharing a complex hybrid cloud environment.
• Dec-2020: Cisco acquired IMImobile, a cloud communications software and solutions provider. This acquisition aimed to offer an end-to-end customer interaction management solution, and the capability to fuel faster & smarter interactions and orchestration via the customer’s channel of choice.
• Oct-2020: ABB took over Codian Robotics, a leading provider of delta robots. This acquisition would help ABB to boost its engagement in the growing field of delta robots.
• Oct-2020: Emerson took over Progea Group, a software company. This acquisition aimed to combine Progea’s offerings in industrial visualization, analytics, and IIoT that is built on Emerson’s embedded software and control portfolio for infrastructure, manufacturing, and building automation applications and helps users to streamline holistic machine and plant control systems to a single partner.
• Aug-2020: Cisco took over ThousandEyes, a network intelligence company. Through this acquisition, ThousandEyes’ internet and cloud intelligence platform expanded visibility as well as insights into the digital delivery of applications & services over the internet and the cloud. This acquisition aimed to allow customers to pinpoint deficiencies and enhance network & application performance across enterprise and cloud networks.

» Geographical Expansions:

• Jul-2020: ABB expanded its geographical footprint by setting up a new robotics facility in India. This ABB Nelamangala factory premises in Bengaluru would enable ABB India to provide robotic applications and digital solutions for a wide range of Indian industries including food & beverage, automotive, electronics, and other future industries.
• May-2020: Emerson expanded its geographical footprint by investing more than $100 million in Boulder, Colorado. This investment expands its manufacturing space and introduces an innovation center aimed at research, the latest product development, and industry training for its improved flow measurement products.

Scope of the Study

Market Segments Covered in the Report:

By Technology

• Industrial Sensors
• Machine Vision
• Industrial Robots
• HMI
• Blockchain
• Industrial 3D Printing
• AI in Manufacturing
• Digital Twin
• Machine Condition Monitoring
• Automated Guided Vehicles

By Geography

• North America
  • US
  • Canada
  • Mexico
  • Rest of North America
• Europe
  • Germany
  • UK
  • France
  • Russia
  • Spain
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Singapore
  • Malaysia
  • Rest of Asia Pacific
• LAMEA
  • Brazil
  • Argentina
  • UAE
  • Saudi Arabia
  • South Africa
  • Nigeria
  • Rest of LAMEA

Key Market Players

List of Companies Profiled in the Report:

• ABB Group
• Advantech Co., Ltd.
• Basler AG
• Cisco Systems, Inc.
• Cognex Corporation
• Daifuku Co., Limited
• Emerson Electric Co.
• General Electric (GE) Co.
• Honeywell International, Inc.
• IBM Corporation