Industrial Artificial Intelligence Market

Industrial Artificial Intelligence Market by Offering (Hardware, Software), Technology (Deep Learning, Computer Vision, Context Awareness, and Natural Language Processing), Application, Industry, and Geography - Global Forecast to 2023

Report Code: UC 1806 May, 2024, by marketsandmarkets.com

Manufacturing to Witness a Paradigm Shift, By Virtue of Artificial Intelligence

The industrial Artificial Intelligence (AI) market is witnessing significant growth because of the extensive usage of big data, industrial robots, and Internet of Things (IoT). AI-based solutions are adopted in manufacturing facilities to improve the productivity by maximizing asset utilization, minimizing downtime, and improving machine efficiency. Moreover, industrial AI is expected to enhance productivity through quality control by detecting defects and help in the predictive maintenance of factory machinery. The Industrial AI market was valued at USD 272.5 Million in 2016 and is expected to reach USD 4,882.9 Million by 2023, growing at a CAGR of 52.42% between 2017 and 2023.

Extensive use of robotics in manufaturing is expected to be a major factor driving the industrial AI market.

The adoption of automation to ensure quality production and meet the market demand has led to rise in robotics market. The AI based system can instruct the robots in the real-time scenario and has autonomous decision-making functionalities. Furthermore, artificial intelligence (AI) is also redefining the responsibilities of robots in manufacturing setups, which use intelligent robots that possess functionalities such as vision recognition, sound and movement detection, and torque control sensing. Such advancements have transformed the traditional factories into smart factories. Therefore, the adoption of robotics acts as a major driver for the growth of the industrial AI market.

Convergence of Big Data and AI

The digitization in the manufacturing industry has increased the capacity to access, analyze, and manage vast volumes of data while rapidly developing the information architecture in the factory. The data plays a critical role in the successful operation of a manufacturing plant. A strongly coupled digitized system in the manufacturing industry improves the overall quality and reduces the cost by improving defect tracking and forecasting abilities. The introduction of artificial intelligence technology further enhances the big data technology. The AI-based system brings various actionable solutions, such as predictive maintenance, production planning, field service and material movement, which is actually derived from big data technology.

Utilizing AI to develop new industry solutions

The predictive maintenance and machinery inspection is the regular and systematic application of artificial intelligence, which ensure their proper functionality of the equipment, and reduce their rate of deterioration. The use of artificial intelligence in production planning leads to standardization of the product and process sequence, dedicated special purpose machines having higher production capacities and output rates, large volume of products, shorter cycle time of production, perfectly balanced production lines, flow of materials, and easy material handling.

Partnerships, agreements, collaborations, and joint ventures to be the largest strategy adopting by companies in the industrial AI market.

Partnerships, agreements, collaborations, and joint ventures expected to be the major strategy adopted by companies in industrial AI market. Companies are collaborating to develop solutions for industrial operations and machines to extract the data, analyze that data, and perform the required task resulting in greater uptime, speed and yield for industrial customers.

Table of Contents

1 Introduction (Page No. - 16)
    1.1 Objectives of the Study
    1.2 Market Definition
    1.3 Scope of the Study
           1.3.1 Markets Covered
           1.3.2 Years Considered for the Study
    1.4 Currency
    1.5 Limitations
    1.6 Stakeholders

2 Research Methodology (Page No. - 20)
    2.1 Research Data
           2.1.1 Secondary and Primary Research
                    2.1.1.1 Key Industry Insights
           2.1.2 Secondary Data
                    2.1.2.1 List of Major Secondary Sources
                    2.1.2.2 Key Data From Secondary Sources
           2.1.3 Primary Data
                    2.1.3.1 Primary Interviews With Experts
                    2.1.3.2 Breakdown of Primaries
                    2.1.3.3 Key Data From Primary Sources
    2.2 Market Size Estimation
           2.2.1 Bottom-Up Approach
                    2.2.1.1 Approach for Capturing the Market Share By Bottom-Up Analysis (Demand Side)
           2.2.2 Top-Down Approach
                    2.2.2.1 Approach for Capturing the Market Share By Top-Down Analysis (Supply Side)
    2.3 Data Triangulation
    2.4 Research Assumptions
    2.5 Demand- and Supply-Side Analysis of Market
           2.5.1 Introduction
           2.5.2 Demand-Side Analysis
                    2.5.2.1 Growth in Business Outlook in the Manufacturing Sector
                    2.5.2.2 Shortage of Skilled Labor
                    2.5.2.3 Rising Wages of Labor
           2.5.3 Supply-Side Analysis
                    2.5.3.1 Cross-Industry Partnership in the Manufacturing Domain

3 Executive Summary (Page No. - 34)

4 Premium Insights (Page No. - 41)
    4.1 Global Industrial AI Market
    4.2 Industrial AI Market By Offerings
    4.3 Industrial AI Market By Technology
    4.4 Industrial AI Market, By Application and Geography
    4.5 Industrial AI Market By Geography in 2016

5 Market Overview (Page No. - 45)
    5.1 Introduction
           5.1.1 Drivers
                    5.1.1.1 Big Data Technology in Manufacturing
                    5.1.1.2 Industrial IoT in Manufacturing
                    5.1.1.3 Extensive Usage of Robotics in Manufacturing
                    5.1.1.4 Computer Vision Technology in Manufacturing
                    5.1.1.5 Significant Increase in Venture Capital Investments
           5.1.2 Restraints
                    5.1.2.1 Reluctance Among the Manufacturers to Adopt AI-Based Technologies
           5.1.3 Opportunities
                    5.1.3.1 Significant Growth Opportunities for AI-Based Technology in Emerging and Developed Countries
                    5.1.3.2 Improving Operational Efficiency of Manufacturing Plants
           5.1.4 Challenges
                    5.1.4.1 Concerns Regarding Data Privacy

6 Industry Trends (Page No. - 51)
    6.1 Introduction
    6.2 Value Chain Analysis of Industrial AI
    6.3 Funding

7 Industrial Artificial Intelligence Market, By Offering (Page No. - 54)
    7.1 Introduction
    7.2 Hardware
    7.3 Software
           7.3.1 AI Platform
           7.3.2 AI Solution

8 Industrial Artificial Intelligence Market, By Technology (Page No. - 66)
    8.1 Introduction
    8.2 Computer Vision
    8.3 Deep Learning
    8.4 Natural Language Processing (NLP)
    8.5 Context Awareness

9 Industrial Artificial Intelligence Market, By Application (Page No. - 75)
    9.1 Introduction
    9.2 Predictive Maintenance and Machinery Inspection
    9.3 Material Movement
    9.4 Production Planning
    9.5 Field Services
    9.6 Quality Control
    9.7 Reclamation

10 Industrial Artificial Intelligence Market, By Industry (Page No. - 88)
     10.1 Introduction
     10.2 Automobile
     10.3 Energy and Power
     10.4 Pharmaceuticals
     10.5 Heavy Metals and Machine Manufacturing
     10.6 Semiconductor and Electronics
     10.7 Food and Beverages
     10.8 Others

11 Geographic Analysis (Page No. - 99)
     11.1 Introduction
     11.2 North America
             11.2.1 US
             11.2.2 Canada
             11.2.3 Mexico
     11.3 Europe
             11.3.1 Germany
             11.3.2 France
             11.3.3 UK
             11.3.4 Rest of Europe
     11.4 APAC
             11.4.1 China
             11.4.2 Japan
             11.4.3 South Korea
             11.4.4 India
             11.4.5 Rest of APAC
     11.5 Rest of the World
             11.5.1 South America
             11.5.2 Middle East and Africa

12 Competitive Landscape (Page No. - 123)
     12.1 Overview
     12.2 Market Ranking Analysis in Industrial AI Market
     12.3 Competitive Leadership Mapping, 2016
             12.3.1 Visionary Leaders
             12.3.2 Dynamic Differentiators
             12.3.3 Innovators
             12.3.4 Emerging Companies
     12.4 Competitive Benchmarking
             12.4.1 Business Strategy Excellence (For All 25 Players)
             12.4.2 Strength of Product Portfolio (25 Companies)

*Top 25 Companies Analyzed for This Study are - Nvidia Corporation, IBM Corporation, Intel Corporation, Alphabet Inc., Siemens Ag, General Electric Company, Microsoft Corporation, Datarpm, Clearpath Robotics Inc., Sight Machine, General Vision Inc., Rockwell Automation Inc., Skymind, Inc., Preferred Networks Inc., Kespry, Inc., Omron Adept Technologies, Inc, Aibrain, Inc., Vicarious Inc., Cloudminds Technologies, Citrine Informatics, Datarobot, Ubtech Robotics Corp., Arimo, Inc., Tamr, Inc., Darktrace

13 Company Profiles (Page No. - 129)
(Business Overview, Products Offered, Product Offering Scorecard, Business Strategy Scorecard, Recent Developments, Key Relationships)*
     13.1 Introduction
     13.2 Siemens AG
     13.3 Intel Corporation
     13.4 Nvidia Corporation
     13.5 Alphabet Inc.
     13.6 IBM Corporation
     13.7 Microsoft Corporation
     13.8 General Electric (GE) Company
     13.9 Datarpm
     13.10 Sight Machine
     13.11 General Vision, Inc.
     13.12 Aibrain
     13.13 Rockwell Automation Inc.
     13.14 Cisco Systems, Inc.
     13.15 Mitsubishi Electric Corporation
     13.16 Oracle Corporation
     13.17 SAP SE
     13.18 Start-Up Ecosystem
             13.18.1 Preferred Networks, Inc.
             13.18.2 Vicarious Inc.
             13.18.3 Skymind, Inc.
             13.18.4 Citrine Informatics
             13.18.5 Cloudminds Technologies
             13.18.6 Ubtech Robotics Corp.

*Details on Business Overview, Products Offered, Product Offering Scorecard, Business Strategy Scorecard, Recent Developments, Key Relationships Might Not Be Captured in Case of Unlisted Companies.

14 Appendix (Page No. - 181)
     14.1 Insights From Industry Experts
     14.2 Discussion Guide
     14.3 Knowledge Store: Marketsandmarkets’ Subscription Portal
     14.4 Introducing RT: Real-Time Market Intelligence
     14.5 Available Customizations
     14.6 Related Reports
     14.7 Author Details


List of Tables (61 Tables)

Table 1 Funding in Industrial AI 2012-2016
Table 2 Industrial AI Market, By Offering, 2014–2023 (USD Million)
Table 3 Industrial AI Market, By Hardware, 2014–2023 (USD Million)
Table 4 Industrial AI Market for Hardware, By Region, 2014–2023 (USD Million)
Table 5 Industrial AI Market for Hardware in North America, By Country, 2014–2023 (USD Million)
Table 6 Industrial AI Market for Hardware in Europe, By Country, 2014–2023 (USD Million)
Table 7 Industrial AI Market for Hardware in APAC, By Country, 2014–2023 (USD Million)
Table 8 Industrial AI Market for Hardware in RoW, By Country, 2014–2023 (USD Million)
Table 9 Industrial AI Market for Offering, By Software, 2014–2023 (USDmillion)
Table 10 Industrial AI Market for Software, By Region, 2014–2023 (USD Million)
Table 11 Industrial AI Market for Software in North America, By Country, 2014–2023 (USD Million)
Table 12 Industrial AI Market for Software in Europe, By Country, 2014–2023 (USD Million)
Table 13 Industrial AI Market for Software in APAC, By Country, 2014–2023 (USD Million)
Table 14 Industrial AI Market for Software in RoW, By Country, 2014–2023 (USD Million)
Table 15 Industrial AI Market, By Technology, 2014–2023 (USD Million)
Table 16 Industrial AI Market for Computer Vision, By Application, 2014–2023 (USD Million)
Table 17 Industrial AI Market for Deep Learning, By Process, 2014–2023 (USD Million)
Table 18 Industrial AI Market for Deep Learning, By Application, 2014–2023 (USD Million)
Table 19 Industrial AI Market for NLP, By Application, 2014–2023 (USD Million)
Table 20 Industrial AI Market for Context Awareness, By Application, 2014–2023 (USD Million)
Table 21 Industrial AI Market, By Application, 2014–2023 (USD Million)
Table 22 Industrial AI Market for Predictive Maintenance and Machinery Inspection, By Region, 2014–2023 (USD Million)
Table 23 Industrial AI Market for Predictive Maintenance and Machinery Inspection, By Technology, 2014–2023 (USD Million)
Table 24 Industrial AI Market for Material Movement, By Region, 2014–2023 (USD Million)
Table 25 Industrial AI Market for Material Movement, By Technology, 2014–2023 (USD Million)
Table 26 Industrial AI Market for Production Planning, By Region, 2014–2023 (USD Million)
Table 27 Industrial AI Market for Production Planning, By Technology, 2014–2023 (USD Million)
Table 28 Industrial AI Market for Field Services, By Region, 2014–2023 (USD Million)
Table 29 Industrial AI Market for Field Services, By Technology, 2014–2023 (USD Million)
Table 30 Industrial AI Market for Quality Control, By Region, 2014–2023 (USD Million)
Table 31 Industrial AI Market for Quality Control, By Technology, 2014–2023 (USD Million)
Table 32 Industrial AI Market for Reclamation, By Region, 2014–2023 (USD Million)
Table 33 Industrial AI Market for Reclamation, By Technology, 2014–2023 (USD Million)
Table 34 Industrial AI Market, By Industry, 2014–2023 (USD Million)
Table 35 Industrial AI Market for Automobile, By Region, 2014–2023 (USD Million)
Table 36 Industrial AI Market for Energy and Power, By Region, 2014–2023 (USD Million)
Table 37 Industrial AI Market for Pharmaceuticals, By Region, 2014–2023 (USD Million)
Table 38 Industrial AI Market for Heavy Metals and Machine Manufacturing, By Region, 2014–2023 (USD Million)
Table 39 Industrial AI Market for Semiconductor and Electronics, By Region, 2014–2023 (USD Million)
Table 40 Industrial AI Market for Food and Beverages, By Region, 2014–2023 (USD Million)
Table 41 Industrial AI Market for Others, By Region, 2014–2023 (USD Million)
Table 42 Industrial AI Market, By Region, 2014–2023 (USD Million)
Table 43 Industrial AI Market in North America, By Country, 2014-2023 (USD Million)
Table 44 Industrial AI Market in US, By Offering, 2014–2023 (USD Million)
Table 45 Industrial AI Market in Canada, By Offering, 2014–2023 (USD Million)
Table 46 Industrial AI Market in Mexico, By Offering, 2014–2023 (USD Million)
Table 47 Industrial AI Market in Europe, By Country, 2014–2023 (USD Million)
Table 48 Industrial AI Market in Germany, By Offering, 2014–2023 (USD Million)
Table 49 Industrial AI Market in France, By Offering, 2014–2023 (USD Million)
Table 50 Industrial AI Market in UK, By Offering, 2014–2023 (USD Million)
Table 51 Industrial AI Market in RoE, By Offering, 2014–2023 (USD Million)
Table 52 Industrial AI Market in APAC, By Country, 2014–2023 (USD Million)
Table 53 Industrial AI Market in China, By Offering, 2014–2023 (USD Million)
Table 54 Industrial AI Market in Japan, By Offering, 2014–2023 (USD Million)
Table 55 Industrial AI Market in South Korea, By Offering, 2014–2023 (USD Million)
Table 56 Industrial AI Market in India, By Offering, 2014–2023 (USD Million)
Table 57 Industrial AI Market in Rest of APAC, By Offering, 2014–2023 (USD Million)
Table 58 Industrial AI Market in RoW, By Region, 2014–2023 (USD Million)
Table 59 Industrial AI Market in South America, By Offering, 2014–2023 (USD Million)
Table 60 Industrial AI Market in Middle East and Africa, By Offering, 2014–2023 (USD Million)
Table 61 Top 5 Players in Industrial AI Market,2016


List of Figures (58 Figures)

Figure 1 Industrial AI Market: Segmentation
Figure 2 Industrial AI Market: Research Design
Figure 3 Process Flow of Market Size Estimation
Figure 4 Market Size Estimation Methodology: Bottom-Up Approach
Figure 5 Market Size Estimation Methodology: Top-Down Approach
Figure 6 Data Triangulation
Figure 7 Manufacturing Business Outlook Index in US Between 2013 (First Quarter) and 2017 (First Quarter)
Figure 8 Global Increase in Labor Wages Between 2000 and 2013
Figure 9 Industrial AI Market, By Offering, 2016
Figure 10 Industrial AI Market, By Technology, 2016
Figure 11 Industrial AI Market, By Application, 2016
Figure 12 Industrial AI Market, By Industry, 2016
Figure 13 Industrial AI Market, By Region, 2016
Figure 14 Industrial AI Market Expected to Grow at High CAGR Between 2017 and 2023
Figure 15 Software Segment Expected to Have Largest Share of Industrial AI Market During Forecast Period
Figure 16 Computer Vision Technology Held Largest Share of Industrial AI Market in 2016
Figure 17 Predictive Maintenance and Machinery Inspection Application Held Largest Share of Industrial AI Market in 2016
Figure 18 Asia Pacific Expected to Grow at Highest CAGR in Industrial AI Market Between 2017 and 2023
Figure 19 Industrial AI Market: Drivers, Restraints, Opportunities, and Challenges
Figure 20 Value Chain Analysis of Industrial AI
Figure 21 Software to Hold Largest Share of Industrial AI Market By 2023
Figure 22 US to Hold the Largest Share of Industrial AI Market for Hardware in North America By 2023
Figure 23 China to Hold Largest Share of Industrial AI Market for Hardware in APAC By 2023
Figure 24 AI Platform Expected to Grow at the Highest CAGR in AI Manufacturing Market for Software During 2017–2023
Figure 25 China to Hold Largest Share of Industrial AI for Software in APAC in 2023
Figure 26 Artificial Intelligence in the Manufacturing Market, By Technology
Figure 27 Deep Learning Expected to Be Fastest-Growing Technology in Industrial AI Market Between 2017 and 2023
Figure 28 Quality Control Expected to Be Fastest-Growing Application in Industrial AI Market for Deep Learning Technology Between 2017 and 2023
Figure 29 Predictive Maintenance and Machinery Inspection Application is Expected to Hold Largest Share of Industrial AI Market By 2023
Figure 30 North America Had Largest Share of Industrial AI Market for Material Movement in 2016
Figure 31 North America Had the Largest Share for Field Services in 2016
Figure 32 Deep Learning is Expected to Experience the Fastest Growth in Quality Control During 2017-2023
Figure 33 Automobile Held Largest Share of Industrial AI Market in 2016
Figure 34 North America Expected to Hold Largest Share of Industrial AI for Energy and Power By 2023
Figure 35 APAC Expected to Experience Fastest Growth in Industrial AI Market for Heavy Metals and Machine Manufacturing During the Forecast Period
Figure 36 Europe to Hold Largest Share of Industrial AI for Food and Beverages By 2023
Figure 37 Industrial AI Market Segmentation, By Region
Figure 38 North America Expected to Dominate Industrial AI Market During Forecast Period
Figure 39 Snapshot: Industrial AI Market in North America
Figure 40 Software Segment Expected to Lead Industrial AI Market Based on Offerings in US During the Forecast Period
Figure 41 Snapshot: Industrial AI Market in Europe
Figure 42 Germany Expected to Dominate Industrial AI Market in Europe During Forecast Period
Figure 43 Software Segment to Lead Industrial AI Market in UK During Forecast Period
Figure 44 Snapshot: Industrial AI Market in APAC
Figure 45 Hardware Segment Expected to Grow at Highest CAGR in Industrial AI Market in Japan During 2017–2023
Figure 46 Hardware Segment to Grow at Highest CAGR in Industrial AI Market in South America During 2017–2023
Figure 47 Siemens AG: Company Snapshot (2016)
Figure 48 Intel Corporation: Company Snapshot (2016)
Figure 49 Nvidia Corporation: Company Snapshot (2016)
Figure 50 Alphabet Inc.: Company Snapshot (2016)
Figure 51 IBM Corporation: Company Snapshot (2016)
Figure 52 Microsoft Corporation: Company Snapshot (2016)
Figure 53 General Electric Company: Company Snapshot (2016)
Figure 54 Rockwell Automation Inc.: Company Snapshot(2016)
Figure 55 Cisco Systems, Inc.: Company Snapshot (2016)
Figure 56 Mitsubishi Electric Corporation: Company Snapshot (2016)
Figure 57 Oracle Corporation: Company Snapshot (2016)
Figure 58 SAP SE: Company Snapshot (2016)


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