Worldwide IoT in Discrete Manufacturing Market - Drivers, Opportunities, Trends, & Forecasts 2016 -2023

IoT in Discrete Manufacturing Market – Drivers, Opportunities, Trends, and Forecasts: 2016–2022
Overview

Manufacturing is on the cusp of IT revolution. The manufacturing sector is one of the earliest adopters of automated processes and robots, and have been utilizing sensor-based technologies for decades, though without realizing their full potential. New technologies are being used not only to make the process more effective but also to radically improve visibility in manufacturing to the point where each production unit will be visible in the entire process.

Product analysis
IoT is considered as an extension of connectivity and automation, mostly in M2M communications. Under IoT, while the sensors are responsible for the generation of data, cyber-physical systems are meant to cooperate & communicate with each other and the humans in real-time. The requirement is to decentralize the decision making across the system and facilitate the cyber-physical system to take decisions on their own.

Market analysis
According to Infoholic Research, the “Worldwide IoT in Discrete Manufacturing Market” is expected to reach $49.85 billion by 2022, growing at a CAGR of around 25.1% during the forecast period 2016–2022. At present, the discrete manufacturers are facing various challenges such as shorter innovation cycle, high resource volatility, customer expectations and competition in terms of differentiation. The manufacturing organizations have prioritized technology-driven innovation to address these challenges. Thus, advanced data processing technologies, analytical forecasting models, and IoT are likely to drive significant change in the manufacturing industry in the next 5–10 years.

Technology analysis
Middleware is an important prerequisite for the organizations opting for IoT across the entire manufacturing process. It acts as an interface between various IoT components and can even connect complex programs. Cloud & Fog platforms with an IoT operating system is another prerequisite to drive the performance and optimization of the processes. Platforms available in the form of PaaS help the developers in the programming of applications and integrating other applications and services. Applications which are relevant to be deployed on these platforms are predictive maintenance, resource optimization, and energy data management. Analytics & data visualization comes bundled with these platforms and are necessary to predict and analyze asset performance and act accordingly.

Regional analysis
At present, North America holds the largest share in the IoT in discrete manufacturing market. The region has a significant presence of manufacturers in discrete manufacturing and a well-developed IoT ecosystem. It also receives good support from the respective central governments and have well planned IoT policies and regulations in place to support the industry. Europe has taken the lead for the development of technology and is likely to register a significant growth rate in the next 5–10 years. The big economies of Europe have experienced Y-o-Y decline in their manufacturing revenues in the past 5 years. As such, rejuvenating the existing manufacturing base remains a top priority for Europe. Asia Pacific is an emerging market for manufacturing and is registering a stable growth rate in the region, more significantly in India and China. The players in the region would be investing in IoT to address the competition in the exports market and to safeguard the manufacturing interests of their respective countries. The central governments in these economies have strategized IoT as a part of the digital economy and would be making significant investments in IoT applications throughout the region.

Key players
The key players in the IoT in discrete manufacturing market are the major IT organizations (hardware and software), pure IoT players, and the major players in manufacturing. The list includes IBM, Microsoft, PTC, Cisco, Zebra Technologies, Stanley Black and Decker, SAP, Wipro, TCS, Siemens, GE, Rockwell Automation, Schneider Electric and ABB. Several of these players are conglomerates and consider IoT as a major part of their strategic business plans.

Competitive analysis
There is a presence of global conglomerates in IT and manufacturing, pure IoT players as well as various start-ups with innovative solutions, in the IoT in discrete manufacturing market. The major vendors and conglomerates in the market have a well-developed ecosystem, which includes various technology partners, resellers, and strategic business partners. Thus, these players have a competitive advantage when it comes to addressing the need of the market. However, the needs of the manufacturers keep on growing day by day and are open to invest in innovative solutions available from small players as well. IoT start-ups have garnered around $8 billion in venture investments over the past 6 years. In addition, few of the start-ups in IoT manufacturing are also being funded by industrial tech organizations (for instance, SmartCloud being funded by Rockwell Automation).

Benefits
IoT is capable of addressing the challenge of growing complexities in supply chain networks, in achieving operational efficiencies, and reducing operational costs. In addition, lean manufacturing has become a common practice among manufacturers who believe that IoT could provide required agility & flexibility across the production, and supply chain environments. In a digital manufacturing environment, everything is likely to revolve around cyber-physical systems and highly capable sensors. Such a system would provide complete visibility of the value chain and control capabilities from remote locations which are considered as the major requirements to move towards smart manufacturing. As such, IoT forms a major part of the Industry 4.0.

Key stakeholders
Manufacturers, logistics players, managed service providers, system integrators, consulting agencies, network providers, cloud service providers, software providers, policy makers, investor community, university researchers, blog writers, and technology magazines.

Table of Contents

1 Industry Outlook 12
1.1 Industry Overview 12
1.2 Industry Trends 13
1.3 PEST Analysis 13
2 Report Outline 15
2.1 Report Scope 15
2.2 Report Summary 15
2.3 Research Methodology 15
2.4 Report Assumptions 16
3 Market Snapshot 16
3.1 Total Addressable Market (TAM) 16
3.2 Segmented Addressable Market (SAM) 17
3.2.1 IoT Discrete manufacturing market by types 17
3.3 Related Markets 17
3.4 IoT in process manufacturing 17
4 Market Outlook 18
4.1 Overview 18
4.2 Market Trends 18
4.3 Market Definition 19
4.4 Market Segmentation 19
4.4.1 Ecosystem – IoT in discrete manufacturing 19
4.4.2 Major technological solutions in the discrete manufacturing market 20
4.5 20
4.5.1 Major IoT solutions 20
4.6 Evolution of technology in manufacturing 21
4.7 Porter 5 (Five) Forces 22
5 Market Characteristics 23
5.1 IoT enabled informed manufacturing 23
5.2 Future impact of IIoT applications in manufacturing 23
5.3 Market Dynamics 23
5.4 Drivers 24
5.4.1.1 Business efficiency and lower operational costs 24
5.4.1.2 Advancements in data analytics 24
5.4.1.3 Rise in use of wireless solutions 24
5.4.1.4 Aggressive growth strategy 25
5.5 Restraints 25
5.5.1.1 Lack of standards and interoperability 25
5.5.1.2 Security concerns 25
5.5.1.3 Lack of technological and ROI understanding 25
5.6 Opportunities 26
5.6.1.1 Growing market in Asia Pacific 26
5.6.1.2 Connected products 26
5.6.2 DRO – Impact Analysis 27
6 Application 28
6.1 Overview 28
6.1.1 Data management 29
6.1.2 Security 30
6.1.3 Monitoring and tracking 31
6.1.4 Predictive maintenance 32
6.1.5 Others 33
7 Software 33
7.1 Overview 33
7.1.1 Applications 35
7.1.2 Analytics & visualization 35
7.1.3 Middleware 36
7.1.4 Security 37
7.1.5 Cloud & fog platform 38
8 Services 39
8.1 Overview 39
8.1.1 System Integration 40
8.1.2 Consulting & knowledge sharing 41
8.1.3 Managed services 42
9 Verticals 43
9.1.1 Overview 43
9.1.2 Machineries 44
9.1.3 Aviation and Aerospace 45
9.1.4 Automotive 46
9.1.5 Computer, equipment & personal electronics 47
9.1.6 Others 48
10 Region 49
10.1 Overview 49
10.1.1 North America 50
10.1.1.1 US 53
10.1.1.2 Canada 53
10.1.2 Europe 53
10.1.2.3 Germany 56
10.1.2.4 France 57
10.1.2.5 Netherlands 57
10.1.2.6 Sweden 58
10.1.2.7 Switzerland 58
10.1.2.8 UK 58
10.1.3 Asia Pacific 59
10.1.3.1 China 62
10.1.3.2 Japan 62
10.1.3.3 India 62
10.1.3.4 South Korea 63
10.1.3.5 Australia 63
10.1.4 Latin America 64
10.1.4.1 Brazil 67
10.1.4.2 Mexico 67
10.1.5 Middle East & Africa (MEA) 67
11 Vendors Profile 70
11.1 PTC 71
11.1.1 Overview 71
11.1.2 Business units 71
11.1.3 Geographic revenue 72
11.1.4 Business Focus 73
11.1.5 SWOT Analysis 73
11.1.6 Business Strategy: 74
11.2 Cisco Systems, Inc. 74
11.2.1 Overview 74
11.2.2 Business units 75
11.2.3 Geographic revenue 76
11.2.4 Business Focus 77
11.2.5 SWOT analysis 77
11.2.6 Business Strategy 78
11.3 Wipro Limited 78
11.3.1 Overview 78
11.3.2 Business units 79
11.3.3 Geographic revenue 80
11.3.4 Business Focus 81
11.3.5 SWOT analysis 81
11.3.6 Business Strategy 81
11.4 Rockwell Automation 82
11.4.1 Overview 82
11.4.2 Business units 83
11.4.3 Geographic revenue 84
11.4.4 Business focus 84
11.4.5 SWOT analysis 84
11.4.6 Business strategies 85
11.5 Siemens AG 85
11.5.1 Overview 85
11.5.2 Business units 86
11.5.3 Geographic revenue 87
11.5.4 Business focus 88
11.5.5 SWOT analysis 88
11.5.6 Business strategy 88
11.6 ABB Ltd 89
11.6.1 Overview 89
11.6.2 Business units 89
11.6.3 Geographic revenue 90
11.6.4 Business focus 91
11.6.5 SWOT analysis 91
11.6.6 Business strategy 91
11.7 General Electric 92
11.7.1 Overview 92
11.7.2 Business units 92
11.7.3 Geographic revenue 93
11.7.4 Business focus 94
11.7.5 SWOT analysis 94
11.7.6 Business Strategy 94
11.8 IBM 95
11.8.1 Overview 95
11.8.2 Business Unit 96
11.8.3 Geographic Revenue 96
11.8.4 Business Focus 97
11.8.5 SWOT Analysis 97
11.8.6 Business Strategy 98
12 Companies to Watch for 99
12.1 Konux 99
12.1.1 Overview 99
12.1.2 Konux Market 99
12.1.3 Konux in IoT in Discrete Manufacturing Market 99
12.2 Veniam 100
12.2.1 Overview 100
12.2.2 Veniam Market 100
12.2.3 Veniam in IoT in Discrete Manufacturing Market 101
Annexure 102
 Abbreviations 102

List of Tables

TABLE 1 IOT IN DISCRETE MANUFACTURING MARKET REVENUE BY APPLICATIONS, 2016–2022 ($BILLION) 27
TABLE 2 IOT IN DISCRETE MANUFACTURING MARKET REVENUE BY SOFTWARE, 2016–2022 ($BILLION) 33
TABLE 3 IOT IN DISCRETE MANUFACTURING MARKET REVENUE BY SERVICES, 2016–2022 ($BILLION) 39
TABLE 4 IOT IN DISCRETE MANUFACTURING MARKET REVENUE BY VERTICALS, 2016–2022, ($BILLION) 44
TABLE 5 IOT IN DISCRETE MANUFACTURING MARKET REVENUE BY GEOGRAPHICAL SEGMENTATION, 2016–2022 ($BILLION) 51
TABLE 6 NORTH AMERICA IOT IN DISCRETE MANUFACTURING MARKET REVENUE BY TYPES, 2016–2022 ($BILLION) 52
TABLE 7 NORTH AMERICA IOT IN DISCRETE MANUFACTURING MARKET REVENUE BY SOFTWARE, 2016–2022 ($BILLION) 53
TABLE 8 NORTH AMERICA IOT IN DISCRETE MANUFACTURING MARKET REVENUE BY SERVICES, 2016–2022 ($BILLION) 53
TABLE 9 NORTH AMERICA IOT IN DISCRETE MANUFACTURING MARKET REVENUE BY APPLICATIONS, 2016–2022 ($BILLION) 54
TABLE 10 NORTH AMERICA IOT IN DISCRETE MANUFACTURING MARKET REVENUE BY VERTICALS, 2016–2022 ($BILLION) 54
TABLE 11 EUROPE IOT IN DISCRETE MANUFACTURING MARKET REVENUE BY TYPES, 2016–2022 ($BILLION) 57
TABLE 12 EUROPE IOT IN DISCRETE MANUFACTURING MARKET REVENUE BY SOFTWARE, 2016–2022 ($BILLION) 57
TABLE 13 EUROPE IOT IN DISCRETE MANUFACTURING MARKET REVENUE BY SERVICES, 2016–2022 ($BILLION) 57
TABLE 14 EUROPE IOT IN DISCRETE MANUFACTURING MARKET REVENUE BY APPLICATIONS, 2016–2022 ($BILLION) 58
TABLE 15 EUROPE IOT IN DISCRETE MANUFACTURING MARKET REVENUE BY VERTICALS, 2016–2022 ($BILLION) 58
TABLE 16 ASIA PACIFIC IOT IN DISCRETE MANUFACTURING MARKET REVENUE BY TYPES, 2016–2022 ($BILLION) 63
TABLE 17 ASIA PACIFIC IOT IN DISCRETE MANUFACTURING MARKET REVENUE BY SOFTWARE, 2016–2022 ($BILLION) 63
TABLE 18 ASIA PACIFIC IOT IN DISCRETE MANUFACTURING MARKET REVENUE BY SERVICES, 2016–2022 ($BILLION) 64
TABLE 19 ASIA PACIFIC IOT IN DISCRETE MANUFACTURING MARKET REVENUE BY APPLICATIONS, 2016–2022 ($BILLION) 64
TABLE 20 ASIA PACIFIC IOT IN DISCRETE MANUFACTURING MARKET REVENUE BY VERTICALS, 2016–2022 ($BILLION) 65
TABLE 21 LATIN AMERICA IOT IN DISCRETE MANUFACTURING MARKET REVENUE BY TYPES, 2016–2022 ($BILLION) 68
TABLE 22 LATIN AMERICA IOT IN DISCRETE MANUFACTURING MARKET REVENUE BY SOFTWARE, 2016–2022 ($BILLION) 69
TABLE 23 LATIN AMERICA IOT IN DISCRETE MANUFACTURING MARKET REVENUE BY SERVICES, 2016–2022, ($BILLION) 69
TABLE 24 LATIN AMERICA IOT IN DISCRETE MANUFACTURING MARKET REVENUE BY APPLICATIONS, 2016–2022 ($BILLION) 70
TABLE 25 LATIN AMERICA IOT IN DISCRETE MANUFACTURING MARKET REVENUE BY VERTICALS, 2016–2022 ($BILLION) 70
TABLE 26 MEA IOT IN DISCRETE MANUFACTURING MARKET REVENUE BY VERTICALS, 2016–2022 ($BILLION) 72
TABLE 27 MEA IOT IN DISCRETE MANUFACTURING MARKET REVENUE BY SOFTWARE, 2016–2022 ($BILLION) 73
TABLE 28 MEA IOT IN DISCRETE MANUFACTURING MARKET REVENUE BY SERVICES, 2016–2022 ($BILLION) 73
TABLE 29 MEA IOT IN DISCRETE MANUFACTURING MARKET REVENUE BY APPLICATIONS, 2016–2022 ($BILLION) 74
TABLE 30 MEA IOT IN DISCRETE MANUFACTURING MARKET REVENUE BY VERTICALS, 2016–2022 ($BILLION) 74
TABLE 31 SIEMENS: BUSINESS UNITS 93

List of  Charts

CHART 1 PEST ANALYSIS OF IOT IN DISCRETE MANUFACTURING MARKET 13
CHART 2 RESEARCH METHODOLOGY OF IOT IN DISCRETE MANUFACTURING MARKET 15
CHART 3 IOT IN DISCRETE MANUFACTURING MARKET REVENUE, 2016-2022 ($BILLION) 17
CHART 4 IOT IN DISCRETE MANUFACTURING MARKET SEGMENT 19
CHART 5 ECOSYSTEM – IOT IN DISCRETE MANUFACTURING 20
CHART 6 MAJOR TECHNOLOGICAL SOLUTIONS IN THE DISCRETE MANUFACTURING MARKET 20
CHART 7 MAJOR IOT SOLUTIONS 21
CHART 8 EVOLUTION OF TECHNOLOGY IN MANUFACTURING 21
CHART 9 PORTER 5 FORCES IN IOT IN DISCRETE MANUFACTURING MARKET 22
CHART 10 MARKET DYNAMICS – DRIVERS, RESTRAINTS & OPPORTUNITIES 24
CHART 11 IOT IN DISCRETE MANUFACTURING MARKET SHARE BY APPLICATIONS, 2016 AND 2022 28
CHART 12 DATA MANAGEMENT MARKET REVENUE, 2016–2022 ($BILLION) 29
CHART 13 SECURITY MARKET REVENUE, 2016-2022 ($BILLION) 30
CHART 14 MONITORING & TRACKING MARKET REVENUE, 2016–2022 ($BILLION) 30
CHART 15 PREDICTIVE MAINTENANCE MARKET REVENUE, 2016–2022 ($BILLION) 31
CHART 16 OTHER APPLICATIONS MARKET REVENUE, 2016–2022 ($BILLION) 32
CHART 17 IOT IN DISCRETE MANUFACTURING MARKET SHARE BY SOFTWARE, 2016 AND 2022 34
CHART 18 SOFTWARE MARKET REVENUE, 2016–2022 ($BILLION) 34
CHART 19 APPLICATIONS MARKET REVENUE, 2016–2022 ($BILLION) 35
CHART 20 ANALYTICS & VISUALIZATION MARKET REVENUE, 2016–2022 ($BILLION) 36
CHART 21 MIDDLEWARE MARKET REVENUE, 2016–2022 ($BILLION) 37
CHART 22 SECURITY MARKET REVENUE, 2016–2022 ($BILLION) 38
CHART 23 CLOUD & FOG PLATFORM MARKET REVENUE, 2016–2022 ($BILLION) 38
CHART 24 IOT IN DISCRETE MANUFACTURING MARKET SHARE BY SERVICES, 2016 AND 2022 40
CHART 25 SERVICES MARKET REVENUE, 2016–2022 ($BILLION) 40
CHART 26 SYSTEM INTEGRATION MARKET REVENUE, 2016–2022 ($BILLION) 41
CHART 27 CONSULTING & KNOWLEDGE SHARING MARKET REVENUE, 2016–2022 ($BILLION) 42
CHART 28 MANAGED SERVICES MARKET REVENUE, 2016–2022 ($BILLION) 43
CHART 29 IOT IN DISCRETE MANUFACTURING MARKET SHARE BY VERTICALS, 2016 AND 2022 44
CHART 30 MACHINERY MARKET REVENUE, 2016–2022 ($BILLION) 45
CHART 31 AVIATION & AEROSPACE MARKET REVENUE, 2016–2022 ($BILLION) 47
CHART 32 AUTOMOTIVE MARKET REVENUE, 2016–2022 ($BILLION) 48
CHART 33 COMPUTER, EQUIPMENT & PERSONAL ELECTRONICS MARKET REVENUE, 2016–2022 ($BILLION) 49
CHART 34 OTHERS MARKET REVENUE, 2016–2022 ($BILLION) 50
CHART 35 IOT IN DISCRETE MANUFACTURING MARKET SHARE BY GEOGRAPHICAL SEGMENTATION, 2016 AND 2022 51
CHART 36 NORTH AMERICA MARKET REVENUE, 2016–2022 ($BILLION) 52
CHART 37 EUROPE MARKET REVENUE, 2016–2022 ($BILLION) 56
CHART 38 ASIA PACIFIC IOT IN DISCRETE MANUFACTURING MARKET REVENUE, 2016-2022 ($BILLION) 62
CHART 39 LATIN AMERICA MARKET REVENUE, 2016–2022 ($BILLION) 68
CHART 40 MEA MARKET REVENUE, 2016–2022 ($BILLION) 72
CHART 41 PTC: OVERVIEW 76
CHART 42 PTC: BUSINESS UNITS 77
CHART 43 PTC: GEOGRAPHIC REVENUE 77
CHART 44 PTC: SWOT ANALYSIS 78
CHART 45 CISCO: OVERVIEW 80
CHART 46 CISCO: BUSINESS UNITS 81
CHART 47 CISCO: GEOGRAPHIC REVENUE 81
CHART 48 CISCO: SWOT ANALYSIS 82
CHART 49 WIPRO: OVERVIEW 84
CHART 50 WIPRO: BUSINESS UNITS 85
CHART 51 WIPRO: GEOGRAPHIC REVENUE 86
CHART 52 WIPRO: SWOT ANALYSIS 87
CHART 53 ROCKWELL AUTOMATION: OVERVIEW 89
CHART 54 ROCKWELL AUTOMATION: BUSINESS UNITS 89
CHART 55 ROCKWELL AUTOMATION: GEOGRAPHIC REVENUE 90
CHART 56 ROCKWELL AUTOMATION: SWOT ANALYSIS 91
CHART 57 SIEMENS: OVERVIEW 92
CHART 58 SIEMENS: GEOGRAPHIC REVENUE 94
CHART 59 SIEMENS: SWOT ANALYSIS 95
CHART 60 ABB: OVERVIEW 96
CHART 61 ABB: BUSINESS UNITS 97
CHART 62 ABB: GEOGRAPHIC REVENUE 98
CHART 63 ABB: SWOT ANALYSIS 99
CHART 64 GE: OVERVIEW 100
CHART 65 GE: BUSINESS UNITS 101
CHART 66 GE: GEOGRAPHIC REVENUE 102
CHART 67 GE: SWOT ANALYSIS 103
CHART 68 IBM COMPANY PROFILE: MARKET OUTLOOK 104
CHART 69 IBM: BUSINESS UNITS 104
CHART 70 IBM: GEOGRAPHIC REVENUE 105
CHART 71 IBM: SWOT ANALYSIS 106
CHART 72 KONUX MARKET 108
CHART 73 VENIAM MARKET 110