Skip to main content

Digital Twin Apps in Industrial Markets Gain Momentum

The concept of a Digital Twin is important within the industrial sector, as stakeholders throughout the supply chain ecosystem seek to harness technology to increase efficiency. Digital Twins are also essential elements of the evolving Internet of Things (IoT) platforms market.

Examples of these virtual connected objects include connected cars, airplane turbines, smart cities, and commercial buildings. The objects are usually first created and modeled via computer-aided-design (CAD) software, which is used by engineers in the early stages of product development.

Digital Twin Market Development

IT innovations, such as Big Data analysis, machine learning, artificial intelligence (AI), software analytics and cloud solutions -- as well as the growing demand for sensors to capture and process data -- have been significant drivers for the adoption of Digital Twin use cases.

According to the latest worldwide market study by Juniper Research, the forecast total global spending on Digital Twins will reach $12.7 billion by 2021 -- that's an increase of 17 percent from $10.8 billion in 2019.

So, what exactly are those industrial applications? Digital Twins are a digital representation of physical assets that utilize IoT data; enabling use cases such as predictive maintenance when combined with AI.


Furthermore, despite the negative impact of the COVID-19 pandemic on overall IT investments, Juniper is anticipating a mere 1 percent drop in Digital Twins solutions spending during 2020.

Investment in Digital Twins is driven by valuable efficiency gains, which are increasingly essential in uncertain times. The market study identified that under these circumstances, return on investment is still achievable, primarily due to extensive links Digital Twins have to the wider IoT ecosystem.

The new research also identified that Digital Twins are not generally standalone products, and must be implemented as part of a wider Industrial IoT strategy. While IoT sensors generate enormous amounts of data in the industrial setting, interpreting this data and putting it into operation requires a collaborative approach based on open platforms.

"Digital Twins are only as valuable as the quality of data that enters the platform. As such, the most successful vendors in the market will be those that use partnerships to pair existing platform ecosystems with innovative Digital Twins solutions," said Nick Maynard, lead analyst at Juniper Research.

Outlook for Digital Twin Applications Growth

According to the Juniper analyst assessment, manufacturing will be the single biggest sector for Digital Twins deployment -- accounting for 34 percent of total spending in 2021, followed by energy and utilities at 18 percent.

Juniper forecasts that the North American market will dominate spending -- accounting for 67 percent of manufacturing IT investment in 2021. The study findings show that the U.S. market has had successful partnerships in the IoT ecosystem driving adoption, which is an approach that can be replicated in other markets.

Popular posts from this blog

Mobile Device Market Still Awaiting Recovery

The mobile devices market has experienced three years of unpredictable demand. The global pandemic, geopolitical pressures, supply chain issues, and macroeconomic headwinds have hindered the sector's consistent growth potential. This extremely challenging environment has dramatically affected both demand and supply chains. It has led to subsequent inflationary pressures, leading to a worsening global cost of living crisis suppressing growth and confidence in the sector. In tandem, mobile device industry stakeholders have become more cautious triggering market uncertainties. Mobile Device Market Development Operating under such a backdrop, the development of mobile device ecosystems and vendor landscapes have been impacted severely. Many of these market pressures persisted throughout 2022 and now into 2023, borne chiefly by the smartphone market. According to the latest worldwide market study by ABI Research, worldwide smartphone shipments in 2022 declined 9.6 percent Year-over-Year

Global Digital Business and IT Consulting Outlook

Across the globe, CEOs and their leadership teams continue to seek information and guidance about planned Digital Transformation initiatives and the most effective enterprise organization change management practices. Worldwide IT and Business Services revenue will grow from $1.13 trillion in 2022 to $1.2 trillion in 2023 -- that's a 5.7 percent year-over-year growth, according to the latest market study by International Data Corporation (IDC). The mid-term to long-term outlook for the market has also increased -- the five-year CAGR is forecast at 5.2 percent, compared to the previous 4.9 percent. Digital Sevices & Consulting Market Development IDC has raised the growth projection despite a weak economic outlook, because of vendor performances across 2022, growth indicators from adjacent markets, increased government funding, and inflation impacts. The actual 2022 market growth was 6.7 percent (in constant currency), which was 87 basis points higher than forecast last year, alth

Digital Talent Demand Exceeds Supply in Asia-Pac

Even the savviest CEO's desire for a digital transformation advantage has to face the global market reality -- there simply isn't enough skilled and experienced talent available to meet demand. According to the latest market study by IDC, around 60-80 percent of Asia-Pacific (AP) organizations find it "difficult" or "extremely difficult" to fill many IT roles -- including cybersecurity, software development, and data insight professionals. Major consequences of the skills shortage are increased workload on remaining digital business and IT employees, increased security risks, and loss of "hard-to-replace" critical transformation knowledge. Digital Business Talent Market Development Although big tech companies' layoffs are making headlines, they are not representative of the overall global marketplace. Ongoing difficulty to fill key practitioner vacancies is still among the top issues faced by leaders across industries. "Skills are difficul