Digital Lifescapes

The industrial sector is on the eve of a wireless transformation, driven by an urgent demand for greater network capacity, reliability, and deterministic performance. Historically, manufacturers and mission-critical operations have relied on wired networks — favoring their predictability — because spectrum congestion in legacy 2.4GHz and 5GHz bands limited confidence in wireless for operational technology (OT) environments. However, with the introduction and rapid adoption of the 6GHz spectrum, compounded by significant advances in Wi-Fi standards, industrial facilities are now poised to embrace wireless LANs as the backbone for automation and digital innovation. Industrial WLAN Market Development Recent research from ABI Research forecasts that over 70 percent of industrial-grade wireless LAN access points (WLAN APs) shipped in 2030 will support the 6GHz band. This is a leap from 2 percent in 2023, highlighting a rapid and profound technological shift. The market for ruggedized indust...

As an independent advisory consultant, I've observed the rapid evolution of connectivity solutions in manufacturing. The recent survey by ABI Research highlights a significant shift towards private cellular networks, an emerging era in industrial digitization. The manufacturing sector is already undergoing a transformation, driven by the need for enhanced operational efficiency, reliability, and scalability. Wireless technology is an enabler. Private cellular networks, particularly 4G and 5G technologies, are at the forefront of this change, reshaping the connectivity landscape in factories and production facilities. Private Cellular Network Market Development The latest worldwide ABI Research survey provides compelling evidence of this trend. The study, which encompassed manufacturer decision-makers reveals some striking stats: 44 percent are already in the early stages of deploying 4G private networks. An impressive 75 percent of manufacturers are considering 5G implementation. 4...

The market for industrial facilities networking is undergoing a significant transformation. Operational Technology (OT) networks, traditionally reliant on wired connections, increasingly embrace wireless solutions. This shift is driven by several factors, including the need for greater flexibility, improved efficiency, and the emergence of new applications fueled by the Internet of Things (IoT).  At the forefront of this transformation lies a utilization of the 6 GHz band in industrial Wireless Local Area Networks (WLANs), a communication innovation. Industrial WLAN Market Development According to the latest worldwide study by ABI Research, they forecast a surge in industrial WLAN access points supporting the 6 GHz spectrum, with shipments rising from 2 percent in 2023 to 71 percent by 2030. The growth of industrial WLANs can be attributed in large part to the limitations of traditional wired networks. Dense deployments of sensors, robots, and other connected devices create a const...

Digital transformation goals continue to influence large enterprise IT spending. Generative Artificial Intelligence (GenAI) has now emerged as a transformative technology. Its ability to create entirely new business models or designs holds immense promise across industries. Still, a recent market study by ABI Research, presented at the 'Hannover Messe 2024' event, paints a somewhat cautious picture of GenAI adoption in the global manufacturing sector. ABI Research highlighted a strong presence of GenAI at the event, with industrial software vendors showcasing its application in the form of AI assistants and co-pilots. They forecast revenue from GenAI use cases in manufacturing will reach $10.5 billion by 2034. Manufacturing GenAI Market Development "The dominant use cases leverage core strengths of Large Language Models (LLMs) for Programmable Logic Controller (PLC) programming, code generation, step-by-step work instructions, and data enrichment and consolidation," ...

In an evolving era of rapid advancement, market demand for innovative technology in the industrial and manufacturing sectors is skyrocketing. Leaders are recognizing the immense potential of digital transformation and are driving initiatives to integrate technologies into their business operations.  These initiatives aim to enhance efficiency, reduce costs, and ultimately drive growth and competitiveness in an increasingly digital business upward trajectory. The industrial and manufacturing sectors have been the backbone of the Global Networked Economy, contributing $16 trillion in value in 2021. Industrial and Manufacturing Tech Market Development   This growth represents a 20 percent increase from 2020, highlighting the resilience and adaptability of these sectors in the face of unprecedented challenges, according to the latest worldwide market study by ABI Research . The five largest manufacturing verticals -- automotive, computer and electronic, primary metal, food, and ma...

The quest for digital transformation is bringing both enormous opportunities and challenges for industrial organizations. As more processes embrace connectivity through initiatives like Industry 4.0, they are also being exposed to growing cybersecurity threats. This is prompting executives and industrial stakeholders across manufacturing, energy, mining, utilities, and other business sectors to re-evaluate how they secure critical infrastructure operations.  According to the latest worldwide study by Juniper Research, the market for industrial endpoint cybersecurity solutions is poised for massive growth in the coming years. Endpoint Cybersecurity Market Development Endpoint security refers to the processes used to monitor, manage and secure the various connected devices like PLCs, HMIs, engineering workstations, and more found within industrial facilities. Juniper analysts forecast that 210 million industrial endpoints will be utilizing endpoint cybersecurity services by 2028. Thi...

Robotics have become the cornerstone of modern manufacturing, revolutionizing many industries across the globe. The applications span from automating repetitive tasks to enhancing precision and efficiency in complex operations. With the relentless pursuit of operational excellence, and the increasing need for production agility and cost-effectiveness, the demand for industrial robots continues to surge. Based on current estimates, there are already well over three million industrial robots installed worldwide, and the pace of installation is increasing rapidly. Industrial Robotics Market Development Moreover, robotics use cases are proliferating from shelf stacking, to cleaning, and various forms of manufacturing. Robots are important to economic growth, as nations struggle with labor shortages and aging populations. Against this growing applications backdrop, the robotics market is forecast to reach $218 billion by 2030, according to the latest worldwide study by GlobalData. Numerous ...

In the manufacturing industry, cloud computing can help leaders improve their production efficiency by providing them with real-time data about their operations. This has gained the attention of the C-suite. Total forecast Industrial Cloud platform revenue in manufacturing will surpass $300 billion by 2033 with a CAGR of 22.57 percent, driven by solution providers enhancing platform interoperability while expanding partner ecosystems for application development. ABI Research found the cloud computing manufacturing market will grow over the next decade due to the adoption of new architectural frameworks that enhance data extraction and interoperability for manufacturers looking to maximize utility from their data. Industrial Cloud Computing Market Development "Historically, manufacturers have built out their infrastructure to include expensive data housing in the form of on-premises servers. The large initial upfront cost of purchasing, setting up, and maintaining these servers is ...

Climate change has already driven many CFOs and other senior executives to explore the most effective ways to ensure access to electricity that meets demand in the Global Networked Economy. Escalating energy prices pose a formidable obstacle to business leaders worldwide. During 2023, those prices will surge to a global $1.73 trillion enterprise spend on electricity consumption -- which considers the electrification acceleration of vehicle fleets and robots. As a result, the C-suite is now compelled to reassess their energy purchase agreements with utilities, contemplate installing renewable micro-grid systems, and prioritize energy efficiency. To do so, enterprises will invest $70 billion on smart energy solutions by 2030. Smart Energy Market Development In response, ABI Research has launched its Smart Energy for Enterprises and Industries research service to guide leaders on navigating the globally disrupted energy markets, achieving energy independence, and transitioning to renewabl...

Executive leaders of fast-moving consumer goods (FMCG) are seeking guidance on how to apply new business technology in their manufacturing operations. CIOs and CTOs are tasked with gaining insight into the best solutions for digital transformation. ABI Research evaluated the impact politics, regulation, the economy, supply chain, ESG, and technology are having on FMCG, pharma, producers of steel, chemicals, pulp and paper -- as well as the mining and oil & gas sectors. Digital Transformation Market Development "Our assessment found that the FMCG sector is under pressure from all sides," says Michael Larner, industrial & manufacturing research director at ABI Research . Securing raw materials is challenging considering lockdowns in China and limited grain supplies from Ukraine. Supply shocks are raising input costs, and operating costs are rising with higher energy costs coupled with the pressure to pay higher wages and work sustainably. "We all hoped that with th...

Across the globe, mobile network operators continue to invest in public network infrastructure to support the growing demand for new applications. Moreover, there is an increasing need for purpose-built private cellular networks that enable the deployment of new Internet of Things (IoT) apps. The fourth-generation (4G) long-term evolution (LTE) mobile technology standard and the fifth-generation (5G) standard are the foundation for these new emerging wireless network use cases. Private LTE/5G infrastructure is any 3GPP-based LTE and/or 5G network deployed for a specific enterprise or industrial customer that provides 'dedicated access'. Private Wireless Network Market Development It includes networks that may utilize dedicated -- licensed, unlicensed, or shared -- spectrum, dedicated infrastructure, and private devices embedded with unique subscriber identity module (SIM) chips.  Furthermore, private LTE/5G infrastructure carries traffic native to a specific organization, with ...

Commercial wireless communications have evolved rapidly over the last decade. Also, private cellular connectivity differs between enterprise verticals. Exploring the various applications and industry use cases provides an important indication of where infrastructure deployment will occur next. With fifth-generation (5G) wireless technology maturing, the importance of private networking solutions for the enterprise domain will continue to grow. Looking ahead, the growing demand for private network deployments will be driven primarily by heavy industry verticals. Industrial manufacturing, energy production (including mining, oil and gas, and logistics) alone will generate private network revenues of $32.38 billion by 2030, representing half of the $64 Billion overall private network revenues, according to the latest worldwide market study by ABI Research. Private 5G Network Market Development "These findings show the importance of private networks, particularly for automating missio...

Across the globe, many forward-thinking leaders continue to provide funds for Information Technology (IT) innovation that's intended to fuel their digital growth. Some apply proven ways to reduce their Communication Services spend, which is typically the largest IT expense, and thereby reinvest that budget. As an example, despite the disruptive impacts of the COVID-19 global pandemic, 47 percent of organizations plan to increase their investments in the Internet of Things (IoT), according to the latest worldwide market study by Gartner. Following the COVID-19 lockdown, the survey found that 35 percent of organizations reduced their investments in IoT, while a larger number of organizations are planning to invest more in IoT implementations. IoT and AI Market Development One reason behind the increase is that while companies have a limited history with the Internet of Things use cases, those implementers did produce a predictable ROI within a specified timeframe. "They use key ...

The applications for the Internet of Things (IoT) technologies has gained new momentum within industrial sectors. With a focus on machine-to-machine (M2M) communication and machine learning, Industrial IoT enables CIOs and CTOs to improve the efficiency and reliability of key operations. The primary sectors served by Industrial IoT solutions include agriculture, energy and utilities, logistics, manufacturing, mining, plus petrochemical oil and gas. Leaders within the Industrial IoT ecosystem must ensure that they implement the most applicable connectivity technologies for each application scenario. These IoT solutions can utilize various available wireless networking technology standards -- such as Wi-Fi, LoRa, Zigbee, Bluetooth, or 5G cellular -- which demonstrates the potential for fragmentation. That said, each of these network types has specific characteristics optimized for different industrial use cases, which can create significant challenges while integrating different communic...

In the past, most CIOs and CTOs would consider Wi-Fi infrastructure as the primary mode of delivering wireless local area network connectivity to their organization. Now, the development of fifth-generation (5G) cellular technologies has created alternative modes of wireless networking. Moreover, the demand for private networks in the enterprise domain continues to rise. According to the latest worldwide market study by ABI Research, private cellular network deployments within the enterprise domain will generate equipment revenues of more than $64 billion by 2030. While very large enterprises will likely drive the market for the next 10 years -- accounting for 50 percent of private networks by 2030 -- companies with annual revenues between $250 million and $1 billion will account for 40 percent of private networks by 2030, with their proportion expected to rise further beyond the forecast period. Private Cellular Network Market Development "These numbers underline the huge momentu...

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 Digit...

More CIOs and CTOs are seeking actionable insight from the new technologies that are driving digital transformation within the industrial and manufacturing sectors. Manufacturing plants generate mountains of data throughout the day, every day. That data is a valuable asset. Traditionally, data has been noted on paper or analyzed in spreadsheets. However, today it can be collected automatically via sensors and analyzed with tools that far exceed spreadsheet capabilities. According to the latest worldwide market study by ABI Research, manufacturers and industrial companies will be spending $19.8 billion on data management, data analytics, and associated professional services by 2026. Data Management and Analytics Market Development "For many manufacturers, there is an appreciation that operational decisions need to be based on empirical evidence rather than guesswork. The challenges are not necessarily capturing and analyzing data, rather what to analyze in the first place,...

The Internet of Things (IoT) has moved into the mainstream by virtue of the rapidly evolving key benefits across a variety of industries. Due to developments in radio technology and falling component costs, the Internet is now being used for machines to communicate with each other and/or directly with humans. Juniper Research has identified private cellular wireless networks as a key driver of the growth of IoT adoption over the next five years. This trend has been slowly establishing itself as LTE networks can be leveraged to do so, offering a wireless data connection. With the introduction of fifth-generation (5G) wireless networking technologies, Juniper Research now anticipates that the infrastructure deployment will serve to accelerate the adoption of private cellular networks over the next five years. IoT Technology Market Development According to the latest worldwide market study by Juniper Research, the total number of IoT connections will reach 83 billion by 2024 -- ri...

According to the latest worldwide market study by IDC, spending on augmented reality and virtual reality (AR/VR) is forecast to be $3.7 billion in 2019 -- that's an increase of 34 percent from the previous year. Asia-Pacific spending on AR/VR products and services will continue this strong growth throughout the forecast period (2018-23), with a five-year compound annual growth rate of 62 percent. This growth is primarily driven by commercial industries which are going to be more than $11 billion larger than the consumer segment by the end of the forecast (2018-23). Despite this, the consumer segment (which is currently at $1.7 billion in 2019) continues to be larger than any other industry segment over the forecasted period. AR and VR Use Case Market Development The high growth in the commercial segment is primarily due to the AR/VR capability to solve complex business problems and streamline operations. The two industries that are seeing the most activities or implementati...

When you think about the applications of big data and analytics, the industrial and manufacturing sector may not be top-of-mind. However, consider that every type of commercial enterprise will become a 'digital business' and it makes sense. Automation and big data analytics will continue to transform key sectors of the global economy. Today's factories run on data. To harness that data, manufacturers are turning to software applications such as Electronic Resource Planning (ERP), Manufacturing Execution Systems (MES), Manufacturing Operations Management (MOM), Product Lifecycle Management (PLM), Inventory Management, and CRM and Demand Planning. Big Data Analytics App Market Development The investment within the industrial and manufacturing sector on these applications is set to grow from $18 billion in 2019 to just over $27 billion in 2024, according to the latest worldwide market study by ABI Research. "Data underpins activities such as onboarding raw mater...