The global Industrial Automation Software market size was valued at USD 42.29 billion in 2023 and is projected to expand at a compound annual growth rate (CAGR) of 8.1% during the forecast period, reaching a value of USD 58.4 billion by 2030.
Industrial Automation Software market research report by Future Data Stats, offers a comprehensive view of the market's historical data from 2018 to 2021, capturing trends, growth patterns, and key drivers. It establishes 2022 as the base year, analyzing the market landscape, consumer behavior, competition, and regulations. Additionally, the report presents a well-researched forecast period from 2023 to 2030, leveraging data analysis techniques to project the market's growth trajectory, emerging opportunities, and anticipated challenges.
MARKET OVERVIEW:
Industrial Automation Software refers to a set of computer programs designed to control and monitor industrial processes, machinery, and manufacturing systems. This software plays a crucial role in optimizing efficiency, enhancing productivity, and ensuring seamless operations within various industries. By automating repetitive tasks and integrating real-time data, Industrial Automation Software empowers businesses to achieve higher levels of precision and consistency in their processes. It enables the seamless coordination of different components within a manufacturing environment, leading to reduced downtime, improved quality control, and overall cost savings.
In essence, Industrial Automation Software acts as the technological backbone that enables the automation of tasks traditionally performed by humans, ranging from simple operations to complex manufacturing processes. Through the utilization of sensors, controllers, and sophisticated algorithms, this software facilitates the efficient control of machinery, ensuring a synchronized and streamlined workflow. As industries continue to evolve towards greater automation and connectivity, Industrial Automation Software remains a pivotal tool, fostering innovation and driving advancements in modern manufacturing practices.
MARKET DYNAMICS:
Industrial Automation Software enables organizations to automate manual processes, optimize workflows, and reduce human intervention, thereby significantly improving overall efficiency. The quest for improved productivity and cost-effectiveness has become a compelling driver, urging businesses to adopt automation solutions, contributing to the expansion of the Industrial Automation Software market.
Despite the positive momentum, the market faces certain restraints that necessitate consideration. Cybersecurity concerns emerge as a critical challenge, as the reliance on interconnected systems exposes industrial processes to potential cyber threats. The need for robust cybersecurity measures and the assurance of data integrity pose as barriers to the widespread adoption of Industrial Automation Software. However, addressing these challenges presents an opportunity for innovation and the development of secure, resilient automation solutions.
INDUSTRIAL AUTOMATION SOFTWARE MARKET SEGMENTAL ANALYSIS
BY TYPE:
SCADA (Supervisory Control and Data Acquisition) stands out as a crucial component, offering real-time monitoring and control capabilities. This technology enables industries to supervise and manage various processes efficiently, enhancing overall operational visibility. Distributed Control System (DCS) is another key player, providing a centralized platform for managing complex processes across different locations. DCS facilitates seamless communication between various components, ensuring coordinated and synchronized operations.
Programmable Logic Controller (PLC) serves as a fundamental building block in the Industrial Automation Software landscape. It is designed to control and automate manufacturing processes, offering flexibility and adaptability. Manufacturing Execution System (MES) plays a pivotal role in optimizing production by providing real-time insights into manufacturing operations. MES enhances decision-making processes and ensures that the production line operates at peak efficiency. Human-Machine Interface (HMI) is the interface through which humans interact with machines and systems. It plays a vital role in enhancing user experience, enabling operators to monitor and control industrial processes intuitively.
BY APPLICATION:
In the manufacturing sector, the adoption of automation software is pivotal for optimizing production processes, reducing downtime, and enhancing overall operational efficiency. The seamless integration of Industrial Automation Software in manufacturing facilities results in increased productivity, improved quality control, and better resource utilization, contributing to the sustained growth of the market.
The Oil and Gas industry stands as another major application domain where Industrial Automation Software plays a crucial role. In this sector, the software is employed to monitor and control complex processes involved in exploration, extraction, and refining. Automation enhances safety measures, minimizes operational risks, and ensures the efficient management of resources. The demand for advanced Industrial Automation Software solutions in the Oil and Gas industry is driven by the need for real-time data analysis, predictive maintenance, and the optimization of production workflows.
Chemicals, Automotive, and Pharmaceuticals industries also contribute significantly to the dominance of Industrial Automation Software. In the chemicals sector, the software aids in process optimization, ensuring precise control of chemical reactions and reducing wastage. In automotive manufacturing, the software streamlines production lines, enhances precision in assembly processes, and supports quality assurance measures.
BY END-USER:
Process Industries, which include sectors like chemical manufacturing, oil and gas, and food processing, rely heavily on Industrial Automation Software for the continuous and uninterrupted control of ongoing processes. The software ensures precision in handling raw materials, monitoring chemical reactions, and maintaining optimal conditions, leading to enhanced efficiency and productivity in process-oriented environments.
On the other hand, Discrete Industries, encompassing sectors such as automotive, aerospace, and electronics, leverage Industrial Automation Software to manage discrete manufacturing processes. In these industries, the software contributes to the automation of assembly lines, quality control, and production scheduling. It plays a pivotal role in improving the accuracy of manufacturing operations, reducing errors, and increasing the overall speed of production processes. The demand for Industrial Automation Software in Discrete Industries is driven by the need for advanced technologies that streamline complex manufacturing tasks.
BY COMPONENT:
Software stands as a cornerstone in the industrial automation landscape, providing the intelligence and algorithms necessary for controlling and optimizing various processes. From SCADA systems to MES platforms, the software component serves as the brain behind efficient industrial automation, enabling seamless integration and real-time decision-making.
Hardware, as a critical component in the Industrial Automation Software market, encompasses the physical devices and equipment used for automation. This includes sensors, controllers, actuators, and other machinery that form the operational backbone of automated systems. The reliability and performance of these hardware components are essential for ensuring the smooth functioning of industrial processes. The demand for robust and advanced hardware solutions is indicative of the emphasis on durability, speed, and precision within the industrial automation sector.
Services complete the trio of dominant factors in the Industrial Automation Software market. Professional services, including consulting, implementation, and support, play a crucial role in the successful deployment and maintenance of automation solutions.
BY INDUSTRY 4.0 INTEGRATION:
IoT facilitates the seamless connection of devices and sensors, enabling real-time data exchange and communication within industrial systems. The integration of IoT in Industrial Automation Software leads to enhanced monitoring, predictive maintenance, and data-driven decision-making, contributing significantly to the overall efficiency of industrial processes.
Big Data Analytics emerges as another key factor in the Industrial Automation Software market, transforming vast amounts of data into actionable insights. The incorporation of advanced analytics allows industries to make informed decisions, optimize processes, and identify patterns that might go unnoticed. By leveraging Big Data Analytics within Industrial Automation Software, businesses can gain a competitive edge through improved operational efficiency and strategic decision-making.
Artificial Intelligence (AI) plays a crucial role in advancing the capabilities of Industrial Automation Software. AI algorithms enable the software to learn from data, adapt to changing conditions, and optimize processes autonomously. This integration results in predictive maintenance, intelligent automation, and improved overall system performance. Cloud Computing is the fourth dominant factor, providing a scalable and flexible infrastructure for the deployment of Industrial Automation Software. Cloud-based solutions offer accessibility, collaboration, and data storage capabilities, fostering a more agile and connected industrial ecosystem.
REGIONAL ANALYSIS:
In North America, the market showcases robust growth driven by a strong emphasis on technological innovation and a well-established industrial base. The adoption of advanced automation solutions in manufacturing and process industries propels the market, with a focus on enhancing operational efficiency and staying competitive in the global landscape.
Europe, as another key player in the Industrial Automation Software market, exhibits a similar trend with an increased emphasis on Industry 4.0 integration. The region's manufacturing sector is leveraging automation software to optimize production processes, reduce energy consumption, and adhere to stringent environmental regulations. In Asia Pacific, rapid industrialization and a surge in manufacturing activities contribute to a thriving market. The growing demand for automation solutions in countries like China and India underscores the region's pivotal role in the global Industrial Automation Software market.
COVID-19 IMPACT:
The initial phases of the pandemic led to temporary halts in manufacturing activities, affecting the adoption of automation solutions. However, as industries adapted to the new normal, there was an accelerated realization of the importance of automation in maintaining operational continuity and ensuring resilience in the face of disruptions. Companies increasingly turned to Industrial Automation Software to enable remote monitoring, control, and optimization of processes, mitigating the challenges posed by lockdowns and social distancing measures.
The pandemic underscored the significance of Industrial Automation Software in enhancing flexibility and adaptability within industries. The need for contactless operations, coupled with the growing importance of data-driven decision-making, further boosted the adoption of automation solutions.
INDUSTRY ANALYSIS:
Mergers & Acquisitions:
- Honeywell acquires Sparta Systems: (October 2023) This acquisition strengthens Honeywell's position in the asset performance management (APM) software market, providing Sparta's expertise in risk management and regulatory compliance.
- Schneider Electric acquires AVEVA: (March 2023) This mega-deal creates a leading industrial software player with combined expertise in industrial automation, engineering design, and asset management.
- Rockwell Automation acquires Plex Systems: (January 2023) This deal expands Rockwell's capabilities in cloud-based manufacturing execution systems (MES), enabling them to offer a wider range of solutions for discrete manufacturers.
- Emerson Electric acquires Aspen Technology: (July 2022) This acquisition merges Emerson's automation expertise with Aspen's leading asset optimization software, creating a powerhouse in industrial software solutions.
New Product Launches:
- Siemens launches Xcelerator platform: (April 2023) This open and integrated platform provides tools for industrial design, engineering, simulation, and operations, supporting end-to-end digitalization.
- ABB unveils Ability Genix Industrial Analytics cloud platform: (June 2023) This platform offers data analytics and AI capabilities for optimizing industrial processes and improving asset performance.
- GE Digital releases Predix Edge industrial edge computing platform: (October 2023) This platform enables real-time analytics and decision-making on-site, closer to the data source.
- Honeywell introduces Forge Cybersecurity Suite: (November 2023) This suite provides comprehensive cybersecurity solutions for industrial automation systems, addressing increasing security concerns.
KEY MARKET PLAYERS:
- Siemens AG
- ABB Ltd
- Schneider Electric SE
- Rockwell Automation, Inc.
- Mitsubishi Electric Corporation
- Honeywell International Inc.
- Emerson Electric Co.
- General Electric Company
- Yokogawa Electric Corporation
- Bosch Rexroth AG
- Omron Corporation
- Fanuc Corporation
- Johnson Controls International plc
- Schneider Electric
- Texas Instruments Incorporated
- Advantech Co., Ltd.
- Dassault Systèmes
- PTC Inc.
- Hitachi, Ltd.
- IBM Corporation
- Aspen Technology, Inc.
- Software AG
- National Instruments Corporation
- B&R Industrial Automation
- Keyence Corporation
Table of Contents
Introduction
Executive Summary
Market Overview
Definition and Scope
Key Drivers
Restraints and Challenges
Opportunities
Market Dynamics
PESTLE Analysis
Porter's Five Forces Analysis
Impact of COVID-19
Market Segmentation
Type-based Segmentation
Application-based Segmentation
End-user-based Segmentation
Component-based Segmentation
Geography-based Segmentation
Industry 4.0 Integration Segmentation
Competitive Landscape
Market Share Analysis
Key Players
Mergers and Acquisitions
Collaborations and Partnerships
Industry Outlook
Regional Analysis
North America
Europe
Asia-Pacific
Latin America
Middle East and Africa
Future Trends
Conclusion
Industrial Automation Software Market Segmentation
By Type:
- SCADA (Supervisory Control and Data Acquisition)
- DCS (Distributed Control System)
- PLC (Programmable Logic Controller)
- MES (Manufacturing Execution System)
- HMI (Human-Machine Interface)
By Application:
- Manufacturing
- Oil and Gas
- Chemicals
- Automotive
- Pharmaceuticals
By End-user:
- Process Industries
- Discrete Industries
By Component:
- Software
- Hardware
- Services
By Industry 4.0 Integration:
- IoT (Internet of Things)
- Big Data Analytics
- Artificial Intelligence
- Cloud Computing
By Geography:
- North America (USA, Canada, Mexico)
- Europe (Germany, UK, France, Russia, Italy, Rest of Europe)
- Asia-Pacific (China, Japan, South Korea, India, Southeast Asia, Rest of Asia-Pacific)
- South America (Brazil, Argentina, Columbia, Rest of South America)
- Middle East and Africa (Saudi Arabia, UAE, Egypt, Nigeria, South Africa, Rest of MEA)
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RESEARCH METHODOLOGY
With a collective industry experience of about 70 years of analysts and experts, Future Data Stats encompasses the most infallible research methodology for its market intelligence and industry analysis. Not only does the company dig deep into the innermost levels of the market, but also examines the minutest details for its market estimates and forecasts.
This approach helps build a greater market-specific view of size, shape, and industry trends within each industry segment. Various industry trends and real-time developments are factored into identifying key growth factors and the future course of the market. The research proceeds are the results of high-quality data, expert views & analysis, and valuable independent opinions. The research process is designed to deliver a balanced view of the global markets and allows stakeholders to make informed decisions, to attain their highest growth objectives.
Future Data Stats offers its clients exhaustive research and analysis, based on a wide variety of factual inputs, which largely include interviews with industry participants, reliable statistics, and regional intelligence. The in-house industry experts play an instrumental role in designing analytic tools and models, tailored to the requirements of a particular industry segment. These analytical tools and models distill the data & statistics and enhance the accuracy of our recommendations and advice.
With Future Data Stats calibrated research process and 360° data-evaluation methodology, the clients receive:
- Consistent, valuable, robust, and actionable data & analysis that can easily be referenced for strategic business planning
- Technologically sophisticated and reliable insights through a well-audited and veracious research methodology
- Sovereign research proceeds that present a tangible depiction of the marketplace
With this strong methodology, Future Data Stats ensures that its research and analysis is most reliable and guarantees sound business planning.
The research methodology of the global market involves extensive primary and secondary research. Primary research includes about 24 hours of interviews and discussions with a wide range of stakeholders that include upstream and downstream participants. Primary research typically is a bulk of our research efforts, coherently supported by extensive secondary research. Over 3000 product literature, industry releases, annual reports, and other such documents of key industry participants have been reviewed to obtain a better market understanding and gain enhanced competitive intelligence. In addition, authentic industry journals, trade associations’ releases, and government websites have also been reviewed to generate high-value industry insights.
Primary Research:
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Primary Research
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Desk Research
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Company Analysis
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• Identify key opinion leaders • Questionnaire design • In-depth Interviews • Coverage across the value chain
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• Company Website • Company Annual Reports • Paid Databases • Financial Reports
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• Market Participants • Key Strengths • Product Portfolio • Mapping as per Value Chain • Key focus segment
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Primary research efforts include reaching out to participants through emails, telephonic conversations, referrals, and professional corporate relations with various companies that make way for greater flexibility in reaching out to industry participants and commentators for interviews and discussions.
The aforementioned helps to:
- Validate and improve data quality and strengthen the research proceeds
- Develop a market understanding and expertise
- Supply authentic information about the market size, share, growth, and forecasts
The primary research interview and discussion panels comprise experienced industry personnel.
These participants include, but are not limited to:
- Chief executives and VPs of leading corporations specific to an industry
- Product and sales managers or country heads; channel partners & top-level distributors; banking, investments, and valuation experts
- Key opinion leaders (KOLs)
Secondary Research:
A broad array of industry sources for the secondary research typically includes, but is not limited to:
- Company SEC filings, annual reports, company websites, broker & financial reports, and investor presentations for a competitive scenario and shape of the industry
- Patent and regulatory databases to understand technical & legal developments
- Scientific and technical writings for product information and related preemptions
- Regional government and statistical databases for macro analysis
- Authentic news articles, web-casts, and other related releases to evaluate the market
- Internal and external proprietary databases, key market indicators, and relevant press releases for market estimates and forecasts
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PRIMARY SOURCES |
DATA SOURCES |
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• Top executives of end-use industries • C-level executives of the leading Parenteral Nutrition companies • Sales manager and regional sales manager of the Parenteral Nutrition companies • Industry Consultants • Distributors/Suppliers
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• Annual Reports • Presentations • Company Websites • Press Releases • News Articles • Government Agencies’ Publications • Industry Publications • Paid Databases
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Analyst Tools and Models:
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BOTTOM-UP APPROACH |
TOP-DOWN APPROACH |
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· Arriving at · Arriving at · Market Share · Key Market Players |
· Key Market Players · Market Share · Arriving at · Arriving at |
Industrial Automation Software Market Dynamic Factors
Drivers:
- Growing demand for enhanced operational efficiency across industries.
- Increasing need for seamless integration and real-time data analysis.
- Rise in the adoption of automation solutions for optimizing workflows.
- Industry 4.0 integration driving innovation and technological advancements.
- Emphasis on cost savings and improved productivity in manufacturing processes.
Restraints:
- Cybersecurity concerns posing challenges to widespread adoption.
- Resistance to change and initial investment costs.
- Compatibility issues with existing systems.
- Potential disruptions in case of technical failures.
- Regulatory challenges and compliance requirements.
Opportunities:
- Advancements in cybersecurity measures.
- Integration of IoT, AI, and Big Data Analytics for improved functionality.
- Emerging markets offering untapped growth opportunities.
- Development of secure and resilient automation solutions.
- Increasing demand for cloud-based Industrial Automation Software.
Challenges:
- Resistance to automation in traditional industries.
- Skills gap and the need for specialized training.
- Complexity in integrating diverse automation components.
- Adapting to rapidly evolving technology.
- Addressing ethical concerns related to AI and automation in the workforce.
Frequently Asked Questions
