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The smart manufacturing platform market is projected to grow from $4.4 billion in 2019 to $10.8 billion by 2024; it is expected to record a compound annual growth rate (CAGR) of 19.7%. The rising importance of Industry 4.0 and the smart factory are the major factors driving the market growth, increasing interests of automation players in the platform market, strategic partnerships of automation players with cloud service providers provide an opportunity for the market.
Performance optimization segment to hold a major share of smart manufacturing platform market during the forecast period
Different smart manufacturing platforms are flexible systems that are used to optimize performance across a broader network in real time and autonomously run the entire production process. Performance optimization mainly focuses on digitizing, securing, and optimizing assets, operations, and employee workflow. The smart manufacturing platform's application of performance optimization is significant in industries such as automotive, electronics & semiconductor, energy & power, and oil & gas. Platforms used for performance optimization enables real-time analytics for all processes, optimize machine utilization, increasing machine performance and reducing downtime to take timely corrective action and reduce safety incidents with real-time insights of operations of critical industries which in turn results in plant efficiency.
Process industry to dominate smart manufacturing platform market during the forecast period
Oil & gas, pharmaceuticals, energy & power, chemicals, food & beverages, and metals & mining are among a few major process industries. Industrial field devices and assets can be connected to smart manufacturing platform that collects and transfer relevant machine and plant data. Many process industries are required to monitor the entire process, for example, in the oil & gas industry from exploration to refining. Also, companies in process industries are forced to reduced operational costs, for instance, oil & gas producers are required to bring down their production costs due to a decrease in crude oil prices. Platforms can be used in various applications, including exploration of oil activities, optimize field work, servicing equipment, and ensuring work safety & predictive maintenance in refineries.
APAC to grow at a high rate for smart manufacturing platform market during the forecast period
Major factors driving the smart manufacturing market growth in APAC include the rising demand for smart tools due to the increasing adoption of automation in the industry; increasing penetration of technologies such as Industry 4.0, smart factory, IoT, and IIoT; and rising needs to optimize productivity and improve maintenance efficiency. Government support in various APAC countries to drive industrialization is one of the essential factors that will boost demand for platform in the coming years. Initiatives like China's Made in China 2025, Japan's Industrial Value Chain Initiative (IVI), South Korea's The Manufacturing Innovation Strategy 3.0 (Strategy 3.0), and India's Samarth Udyog Bharat 4.0 would play a significant role in industrial advancement. Major industries that drive the growth of the market include power & energy, oil & gas, automotive, chemical, electronics, and pharmaceutical.