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Rising Automobile Demand Accelerates AI Integration In Manufacturing: A Key Catalyst Accelerating AI in Manufacturing Market Growth in 2025
AI in Manufacturing Market
AI in Manufacturing Market Size Valuation Forecast: What Will the Market Be Worth by 2025?
The market size of AI in manufacturing has witnessed rapid expansion in the past few years. It is projected to increase from $4.11 billion in 2024 to $5.82 billion in 2025, following a compound annual growth rate (CAGR) of 41.5%. Factors contributing to this growth during the historic period include improvements in energy efficiency and sustainability, heightened customization and personalization, cost cutting strategies, enhancement of workforce skills and training, and optimization of supply chain.
AI in Manufacturing Market Size Forecast: What's the Projected Valuation by 2029?
In the coming years, the market size of AI in manufacturing is predicted to witness significant expansion, reaching $25.23 billion in 2029 with a 44.3% compound annual growth rate (CAGR). The growth during this forecast period is largely due to the embrace of edge computing, initiatives towards green manufacturing, emphasis on cybersecurity, improved collaboration between humans and machines, and supply chain resilience. The major trends for this period encompass the integration of robotics and automation, enhanced quality control and defect detection, use of augmented reality applications, data-centered decision-making, and self-governing manufacturing processes.
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What Are the Drivers Transforming the AI in Manufacturing Market?
The continued rise in demand for vehicles is projected to fuel the expansion of AI within the manufacturing industry. Frequently referred to as a car or motorcar, an automobile is a wheeled transportation device primarily intended for carrying people or goods on roads. The automotive industry employs AI in various capacities, including autonomous car development, scheduled maintenance forecasting, data accumulation and evaluation, and control over product quality and review. The use of AI in this industry enables the designing of the automobile, as well as the tools and robots used in its manufacture. AI is presently employed in several aspects of the car business, such as manufacturing, supply chain, post-production, and design. For example, the European Automobile Manufacturers Association, a trade group based in Belgium, reported in May 2023 that the total worldwide production of motor vehicles in 2022 was 85.4 million, a 5.7% increase from 2021. Consequently, the surging demand for automobiles is a key driver of AI growth in the manufacturing market.
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What Long-Term Trends Will Define the Future of the AI in Manufacturing Market?
Technological progress is emerging as a leading trend in the AI in manufacturing market. To maintain their market standing, firms in the AI in manufacturing industry are concentrating on new technology adoption. As an example, the U.S.-based software development firm, Leela AI, unveiled its first 'commonsense' visual AI platform, the Leela Platform, in March 2023 to bolster manufacturing productivity. The Leela Platform enables manufacturers to uncover production process insights that are typically obscured from Industrial Internet of Things (IIOT) sensor analytics. The software provides insights that facilitate the comparison of productivity across different shifts, workstations, and sites, pinpoint bottlenecks, and determine the best practices. The Leela Platform can be utilized and be advantageous for industrial engineers, CI officers, and line supervisors. By observing and tracking frontline activities as individuals interact with equipment, machinery, parts, and products, the Leela Platform acts as a continuous time-and-motion study.
Which Segments in the AI in Manufacturing Market Offer the Most Profit Potential?
The AI in manufacturing market covered in this report is segmented -
1) By Offering: Hardware, Software, Services
2) By Technology: Machine Learning, Natural Language Processing, Context-Aware Computing, Computer Vision
3) By Deployment: Cloud, On-Premise
4) By Application: Predictive maintenance and machinery inspection, Material Movement, Production Planning, Field Services, Quality Control, Cybersecurity, Industrial Robots, Reclamation
5) By Industry: Automobile, Energy And Power, Semiconductor And Electronics, Pharmaceutical, Heavy Metal And Machine Manufacturing, Food And Beverage, Other Industries
Subsegments:
1) By Hardware: Sensors, Robots, Processors, Automation Systems, IoT Devices
2) By Software: Machine Learning Software, Data Analytics Software, Quality Control Software, Supply Chain Management Software, Customer Relationship Management (CRM) Software
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Which Firms Dominate the AI in Manufacturing Market by Market Share and Revenue in 2025?
Major companies operating in the AI in manufacturing market report are Nvidia Corporation, The International Business Machines Corporation, Siemens AG, General Electric Company, SAP SE, Amazon Inc., Mitsubishi Electric Corporation, Rockwell Automation Inc., Robert Bosch GmbH, Google LLC, Intel Corporation, Micron Technology Inc., Oracle Corporation, Cisco Systems Inc., Microsoft Corporation, Hilscher Gesellschaft für Systemautomation GmbH, Beckhoff Automation GmbH, Phoenix Contact GmbH & Co. KG, Veo Robotics, Automation Anywhere, Machina Labs Inc., Advanced Micro Devices Inc., SoluLab, Keyence Corporation, LeewayHertz, Citadel Analytics, Omron Corporation, Yokogawa Electric Corporation, Cognex Corporation, Bosch Rexroth AG
Which Regions Offer the Highest Growth Potential in the AI in Manufacturing Market?
Asia-Pacific was the largest region in the AI in manufacturing market in 2024. It is expected to be the fastest-growing region in the global AI in manufacturing market report during the forecast period. The regions covered in the ai in manufacturing market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa
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