The IoT in manufacturing market involves connecting industrial equipment, machines and other assets with internet connectivity which enables collecting and analyzing data from these assets. This connectivity allows monitoring the performance of industrial machines remotely and in real-time which helpspredict maintenance needs and reduce downtime.IoT solutions in manufacturing includes sensors, RFID tags, gateways and other networking devices that collect data from equipment and transmit it to cloud or on-premise servers for analysis. IoT helps improve productivity and efficiencies in manufacturing by enabling predictive maintenance, real-time optimization of production processes, quality control and reduced operational costs.

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, 8x8 Inc., AT&T Inc., Voxvalley Technologies, Avaya Inc., Bandwidth Inc. (Bandwidth.com), Wazo Communication Inc., and IntelePeer Cloud Communications.

Growing demand of industrial automation across various industries including automotive, food & beverages, electronics, oil & gas and others has propelled The adoption of IoT In Manufacturing Market Growth. IoT helps improve production efficiencies, reduce operational costs and optimize asset utilization.

Advancements in networking technologies such as 5G, low power wide area networks, edge and fog computing have enabled seamless connectivity of devices, equipment and assets with internet. This has facilitated large scale adoption of IoT in manufacturing through real-time data collection and analysis capabilities.

Market Trends

Predictive maintenance trend is growing significantly as IoT helps collect equipment operational data which is analyzed using AI/ML algorithms to predict maintenance needs in advance. This helps reduce unplanned downtime and associated costs.

Industrial robots demand is surging to handle automated production processes driven by their enhanced capabilities through integration with IoT sensors. IoT enabled robots help improve production line throughput.

Market Opportunities

growing demand for cobots or collaborative robots that can easily and safely interact, cooperate and work alongside human workers will drive greater opportunities.

Operational data analytics is gaining adoption to gain real-time operational insights and continuously optimize manufacturing processes for higher efficiencies through IoT connectivity of assets.

Impact of COVID-19 on IoT in Manufacturing Market

The COVID-19 pandemic has significantly impacted the growth of IoT in manufacturing market. The imposition of lockdowns across various countries led to temporary closure of manufacturing facilities. This disrupted supply chains and reduced manufacturing output. This adversely affected the adoption of IoT technologies in manufacturing sector during 2020 and 2021.

However, with gradual lifting of lockdowns and resumption of manufacturing activities, the IoT in manufacturing market is witnessing renewed growth opportunities. There is a growing need amongst manufacturers to ensure operational continuity and efficiency even during crisis situations like pandemic. IoT enables remote monitoring of manufacturing operations and supply chains. This allows manufacturers to identify bottlenecks and take corrective actions even when employees cannot access facilities physically.

Post COVID-19, IoT is playing a vital role in helping manufacturers institute safety measures like social distancing on production lines through use of sensors and analytics. It is also helping enhance productivity and yield through predictive maintenance of equipment. Major manufacturing companies are increasingly investing in IIoT technologies like predictive quality, predictive maintenance, robotics process automation and digital twin simulations to build resilience.

The pandemic has accelerated digital transformation trends and many companies are fast tracking their IoT implementation plans. While short term growth was impacted, analysts forecast strong growth in the IoT in manufacturing market over the long term as industries recognise IoT's contribution to business continuity.

Concentration of IoT in Manufacturing Market by Geographical Regions

In terms of value, North America region accounts for the largest share of around 35% of the global IoT in manufacturing market. This is attributed to high technology adoption rates and presence of major manufacturing companies in countries like the US. Europe is another prominent regional market with over 25% share.

However, the Asia Pacific region is emerging as the fastest growing market for IoT in manufacturing globally. Countries like China, India, Japan, South Korea are industrial powerhouses with huge manufacturing bases. Rapid industrialisation and government initiatives to transform industries digitally are driving significant investments in Industrial Internet of Things (IIoT) technologies. Lower costs and availability of skilled resources are additional factors that are accelerating IoT deployments across Asia Pacific manufacturing facilities. The market in Asia Pacific is expected to expand at a CAGR of over 35% during the forecast period.

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