“Global Model Based Enterprise Market to reach a market value of USD 34.5 Billion by 2031 growing at a CAGR of 14.5%”
The Global Model Based Enterprise Market size is expected to reach $34.5 billion by 2031, rising at a market growth of 14.5% CAGR during the forecast period.
The food and beverages industry is characterized by continuous product innovation and development to meet changing consumer preferences, dietary trends, and regulatory requirements. MBE solutions enable food and beverage companies to design, simulate, and optimize new products in a digital environment before they are produced. Consequently, the food & beverages segment would acquire nearly, 7% of the total market share by 2031. MBEs reduces time-to-market, minimizes product development costs, and enhances the competitiveness of food and beverage companies in the market.
Digital transformation involves integrating digital technology into all business areas, fundamentally changing how the company operates and delivers value to customers. Moreover, digital transformation often involves adopting emerging technologies such as cloud computing, artificial intelligence, and the Internet of Things (IoT). Hence, increasing digital transformation initiatives are driving the market’s growth. Additionally, modern 3D modeling technologies offer more sophisticated and realistic representations of products and processes. Also, 3D modeling tools enable stakeholders across different departments and functions to collaborate more effectively by providing a platform for visualizing and interacting with digital models. In conclusion, increasing 3D modeling and simulation technology advancements propel the market’s growth.
However, Implementing MBE often requires investment in specialized software tools for 3D modeling, simulation, data management, and collaboration. Moreover, while the initial purchase of MBE software is a significant investment, ongoing licensing and subscription fees can pose a challenge for organizations, especially those operating on tight budgets. Thus, high initial investment costs are hampering the market’s growth.
The leading players in the market are competing with diverse innovative offerings to remain competitive in the market. The above illustration shows the percentage of revenue shared by some of the leading companies in the market. The leading players of the market are adopting various strategies in order to cater demand coming from the different industries. The key developmental strategies in the market are Acquisitions, and Partnerships & Collaborations.
Based on offering, the market is divided into solution and services. The services segment attained a 36% revenue share in the market in 2023. Implementing MBE solutions involves significant technical expertise and organizational change management. Many companies lack the internal resources and expertise to implement MBE solutions effectively. As a result, they turn to service providers with specialized knowledge and experience in MBE implementation to assist them in deploying, customizing, and integrating MBE solutions into their existing workflows.
On the basis of deployment mode, the market is segmented into cloud and on-premise. The cloud segment recorded a 37.55% revenue share in the market in 2023. Cloud-based MBE solutions offer scalability and flexibility, allowing organizations to scale their infrastructure up or down based on demand. This scalability is particularly beneficial for organizations with fluctuating workloads or seasonal variations in business activity. Cloud-based MBE solutions enable organizations to easily add or remove resources as needed without large upfront investments in hardware or infrastructure.
By vertical, the market is divided into aerospace, electronics & telecommunications, construction, healthcare & lifesciences, food & beverages, marine, oil & gas, automotive, and others. The automotive segment procured a 17% revenue share in the market in 2023. The automotive industry is characterized by intense competition and rapidly changing consumer preferences, driving the need for shorter product development cycles. MBE solutions enable automotive companies to accelerate product development by facilitating collaboration, simulation, and optimization of vehicle designs. Growing automotive sector is increasing the demand for the MBE solution.
Free Valuable Insights: Global Model Based Enterprise Market size to reach USD 34.5 Billion by 2031
Region-wise, the market is analyzed across North America, Europe, Asia Pacific, and LAMEA. The North America region witnessed a 37% revenue share in the market in 2023. North America is home to some of the most advanced manufacturing industries, including aerospace, automotive, electronics, and defense. These industries have embraced digital transformation and are early adopters of MBE solutions to improve efficiency, quality, and innovation in their operations.
| Report Attribute | Details |
|---|---|
| Market size value in 2023 | USD 11.9 Billion |
| Market size forecast in 2031 | USD 34.5 Billion |
| Base Year | 2023 |
| Historical Period | 2020 to 2022 |
| Forecast Period | 2024 to 2031 |
| Revenue Growth Rate | CAGR of 14.5% from 2024 to 2031 |
| Number of Pages | 257 |
| Number of Tables | 390 |
| Report coverage | Market Trends, Revenue Estimation and Forecast, Segmentation Analysis, Regional and Country Breakdown, Market Share Analysis, Porter’s 5 Forces Analysis, Company Profiling, Companies Strategic Developments, SWOT Analysis, Winning Imperatives |
| Segments covered | Offering, Deployment Mode, Vertical, Region |
| Country scope |
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| Companies Included | Siemens AG, PTC, Inc., Dassault Systemes SE, SAP SE, HCL Technologies Ltd. (HCL Enterprises), Oracle Corporation, Wipro Limited, ANSYS, Inc., General Electric Company and Cisco Systems, Inc. |
By Offering
By Deployment Mode
By Vertical
By Geography
The Market size is projected to reach USD 34.5 billion by 2031.
Increasing digital transformation initiatives are driving the Market in coming years, however, High initial investment costs restraints the growth of the Market.
Siemens AG, PTC, Inc., Dassault Systemes SE, SAP SE, HCL Technologies Ltd. (HCL Enterprises), Oracle Corporation, Wipro Limited, ANSYS, Inc., General Electric Company and Cisco Systems, Inc.
The expected CAGR of this Market is 14.5% from 2024 to 2031.
The On-premise segment led the Market by Deployment Mode in 2023; thereby, achieving a market value of $20.4 billion by 2031.
The North America region dominated the Market by Region in 2023, and would continue to be a dominant market till 2031; thereby, achieving a market value of $11.9 billion by 2031.
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