Skip to main content

Factory Simulation Software Revenue will Reach $4.1B

Simulation software applications have more upside growth potential across the globe. Industrial companies have already applied the software for use cases to build manufacturing systems, deploy new production lines, and evolve factory planning methodologies.

While no single manufacturing technology drives this transformation movement, simulation software now holds the potential to act as a significant catalyst for a new Industry 4.0 platforms.

Simulation Software Market Development

If simulation software can accurately predict the effects of other technologies on the core goals of manufacturers -- i.e. more production, more uptime, improved time to market, improved quality, fewer delays, more efficiencies, greater utilization of assets, all at lower costs -- then companies will deploy more technologies at scale with greater confidence.

The market for factory simulation software products will grow at a compound annual growth rate of 11 percent to reach $4.1 billion for over 172,000 users in 2030, according to the latest worldwide market study by ABI Research.

Vendor revenue includes software that uses computer modeling to analyze how production might work in any given factory or situation, and implement virtual commissioning to test proposed changes and upgrades before they're put into effect.

"Today, many manufacturing enterprises have started to use simulation software, but most have not yet realized the added benefits of using simulation software as part of a larger smart manufacturing platform or to virtually test other new technologies," said Nick Finill, principal analyst at ABI Research.

Cloud-based platforms can help to provide a similar user interface for simulations from the different points of view of process engineers, operations support managers, plant engineers, and control engineers.

Companies can assign user roles so that engineers only see and modify the details and information that they need for their job or level of expertise, and engineers in different locations can work on different parts of the same model.

The new research uncovered that this customization process increases manufacturing data security, speeds up the simulation process, and makes the product easier to use.

Outlook for Automotive Simulation Apps Growth

According to the ABI assessment, the automotive industry represents the largest opportunity globally, with $1.8 billion in factory simulation software revenues forecasted for 2030.

"Automotive manufacturing leads the way for many transformative technologies and therefore has a higher demand to simulate those technologies. It also has an edge on most industries in sheer size and organizational transformation, with more holistic solution deployments due to cross-functional technology transformation teams," concludes Finill.

Popular posts from this blog

AI Supercycle: Server Market Growth Surge

The worldwide server market has entered a new phase defined almost entirely by artificial intelligence (AI) infrastructure economics rather than traditional enterprise refresh cycles.   The latest market data shows robust growth and a structural shift in where value is created, who captures it, and which architectures are setting the pace for the next decade. IDC reports that worldwide server revenue reached a record $112.4 billion in the third quarter of 2025, representing a striking 61 percent year-over-year increase compared to the same quarter in 2024. For context, this means the market is adding tens of billions of dollars in incremental quarterly spend, driven overwhelmingly by AI and accelerated computing requirements.  IT Server Market Development Over the first three quarters of 2025, server revenue has already reached $314.2 billion, meaning the market has nearly doubled in size compared to 2024, underscoring how AI buildouts have compressed several years of exp...