The global IoT in manufacturing market size was valued at US$ 198.8 billion in 2022 and is anticipated to witness a compound annual growth rate (CAGR) of 18.4% from 2023 to 2030.
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.
The key opportunities in the Iot In Manufacturing Market Forecast include increased operational efficiency, reduced maintenance costs, optimized asset utilization, minimized waste and downtime, real-time visibility into manufacturing operations, and remote monitoring capabilities. Emerging technologies boosting IoT adoption are 5G networks, edge computing, AI/ML, big data analytics and low-power wireless technologies.
Market drivers
The key driver for IoT adoption in manufacturing is the improved productivity, safety, and operational efficiency it enables. By connecting industrial equipment with IoT solutions, manufacturers gain real-time data insights to optimize production flow, quality checks, inventory management and predictive maintenance schedules. This helps reduce downtimes, optimize resource utilization, and improve throughput. IoT also enhances workplace safety by enabling remote monitoring of machinery and environmental conditions. With IoT, manufacturers can scale operations flexibly based on real-time demand while maintaining high service levels. This makes manufacturing plants future-ready to address Industry 4.0 transformations.
Current challenges in IoT in Manufacturing Market:
The IoT in manufacturing market is facing several key challenges currently. Cybersecurity threats are a major concern as manufacturing environments become more connected. Ensuring security of devices, networks and data to prevent issues like hacks, data breaches is difficult at large scale. Integration of legacy systems with new IoT technologies and platforms remains challenging due to differences in protocols, data formats etc. Ensuring reliability, availability and performance of IoT systems across global supply chains is another hurdle. Lack of standards and interoperability makes it tough to connect diverse set of devices from multiple vendors. High initial investment costs and long payback periods deter many manufacturers from full-fledged adoption of IoT technologies. Shortage of skilled workforce with expertise across both operational technology and information technology domains is also limiting wider deployment of IoT solutions.
SWOT Analysis
Strength: IoT enables real-time monitoring of assets and processes, predictive maintenance capabilities help reduce downtime. The use of sensors and connectivity improves visibility, efficiency and productivity across shops floors.
Weakness: Initial investments required are very high for large scale IoT deployments. Integration challenges exist with legacy production systems. Maintaining security and privacy of data generated across IoT networks is complex.
Opportunity: IoT offers opportunities to develop new digital business models like outcome-based pricing, pay-per-use models. Analytics of IoT data helps improve processes, reduce costs through data-driven decision making. The growing demand for personalized, customized products also favors IoT-driven flexible manufacturing.
Threats: Standards and technologies may change rapidly requiring frequent upgrade of solutions. Dependency on networks and technologies of third parties introduce single points of failure. Growing cybersecurity threats to connected industrial systems pose risks of disruptions, data/IP theft.
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