Global Industrial Control and Factory Automation Market Size, Share, Growth & Industry Analysis, By Component (Hardware, Software, Services), By Solution (SCADA, DCS, PLC, HMI, Industrial Robots), By End User (Automotive, Manufacturing, Energy & Utilities, Chemicals, Aerospace & Defense), and Regional Analysis, 2024-2031

Industrial Control and Factory Automation Market: Global Market Share and Growth Trends

Global Industrial Control & Factory Automation Market size was recorded at USD 223.42 billion in 2023, which is estimated to be valued at USD 247.77 billion in 2024 and reach USD 481.96 billion by 2031, growing at a CAGR of 10% during the forecast period.

The industrial control and factory automation market is showing significant growth worldwide, caused due to the development of automation technologies, increasing adoption of Industry 4.0, and the growing demand for efficient manufacturing processes. The market holds a vast range of systems, which include Distributed Control Systems (DCS), Programmable Logic Controllers (PLC), Supervisory Control and Data Acquisition (SCADA), and Human Machine Interface (HMI). These systems are crucial components for automation in manufacturing processes, which facilitates real-time monitoring, accurate controls, and upgrading productivity.

Key Market Trends Driving Technology Adoption

The industrial control and factory automation market is characterized by rapid technological advancements, boosting competition, and developing industrial needs. Key trends that drive market growth are:

• Adoption of Industry 4.0: Smart factories are incorporating IoT, AI, and robotics to improve operational skills and ensure cost reduction.
• Energy Efficiency: Automation systems are sanctioning sustainable production processes and following environmental regulations.
• Cloud-Based Solutions: Going toward cloud-based SCADA and remote monitoring systems are bringing industrial operations on track.
• Cybersecurity Measures: There is an increasing importance on protecting industrial networks from cyber threats through modern solutions for security.
• Robotics Integration: Collaborative robots (cobots) are building up productivity while ensuring the safety of workers in manufacturing settings.

Major Players and Competitive Landscape

The industrial control and factory automation market is run by players such as Siemens AG, ABB Ltd., Schneider Electric SE, Emerson Electric Co., and Honeywell International Inc. The following companies are spending on research and development on a large scale to set out innovative solutions and maintain competition. New entrants are also bringing about a change in the market with specialized innovations and tailored solutions.

Consumer and Industry Behavior Analysis

The adoption of industrial control and factory automation solutions is mainly impacted  by the following factors :

• Operational Efficiency: Lowering downtime, enhancing resource use, and reforming productivity.
• Regulatory Compliance: Abiding to strict safety and environmental rules.
• Cost Reduction: Reducing operational expenses with the help of automated systems and predictive maintenance.
• Customization Needs: Industries are increasingly looking for tailored solutions that meet specific end-use requirements.

Pricing Trends

Pricing in the industrial control and factory automation market depends on factors like system complexity, brand reputation, and scalability. Newly launched solutions with AI and IoT features tend to be expensive, whereas entry-level systems cater to small and medium-sized organizations in need of cost-effective automation solutions. Ongoing studies show that, the global industrial control and factory automation market is expected to grow at a Compound Annual Growth Rate (CAGR) of approximately 10% from 2024 to 2031, reaching a market size of $481.96 billion by 2031

Growth Factors

Various factors pitching in to increase the industrial control and factory automation market are:

• Technological Advancements: Inclusion of AI, IoT, and cloud computing in automation systems.
• Rising Labor Costs: More dependence on automation to tackle high labor costs and address shortages.
• Demand for Smart Factories: Growing use of Industry 4.0 technologies.
• Global Industrial Expansion: A rise in manufacturing activities, mainly in the emerging markets.

Regulatory Landscape

Compliance with strict industrial standards and regulations is crucial for companies operating in the industrial control & factory automation market. These standards have their main focus on workplace safety, energy efficiency, and environmental sustainability, pushing forward businesses to innovate and reform their automation solutions.

Recent Developments/ Market Highlights

The industrial control and factory automation market is going through notable changes, with developments like:

• AI-Driven Systems: The use of machine learning in automation systems for predictive analytics.
• Edge Computing Integration: Enabling faster decision-making in manufacturing operations.
• 5G Connectivity: Upgrading real-time communication in automated processes.
• Robotics Innovations: Upgrades in autonomous and collaborative robotic technologies, respectively.

Current and Potential Growth Implications

• Demand-Supply Analysis: The demand for industrial control systems is increasing, however challenges in the supply chain and semiconductor shortages may influence the availability of these systems.
• Gap Analysis: There are opportunities to strengthen interoperability, promote cybersecurity, and simplify automation systems for small and medium-sized enterprises (SMEs).

Top Companies in the Industrial Control & Factory Automation Market
Some leading companies in the industrial control and factory automation market are:

• Siemens AG
• ABB Ltd.
• Schneider Electric SE
• Emerson Electric Co.
• Honeywell International Inc.
• Rockwell Automation
• Mitsubishi Electric Corporation
• OMRON Corporation
• Yokogawa Electric Corporation
• ABB Ltd.

Industrial Control & Factory Automation Market: Report Snapshot

Industrial Control & Factory Automation Market: High Growth Segments

The following segments are expected to contribute for a remarkable growth of the market:

• SCADA Systems: Refined monitoring and controlling functions.
• Industrial Robots: Increasing use in the automotive and electronics segments.
• Cloud-Based Solutions: Growing need for remote monitoring and scalability.

Potential Challenges and Opportunities

Companies in the industrial control and factory automation market face several challenges including:

• Complex System Integration: Seamless integration across several platforms is crucial.
• High Initial Costs: SMEs identify high cost of implementing automation solutions as major hurdle for this market.
• Cybersecurity Risks: Rising threats to industrial networks hamper the adoption of automation solutions, especially among companies dealing with sensitive data.
• Technological Skill Gap: Hassles in terms of the workforce adjusting to advanced systems.

However, opportunities lie in the expansion of smart factories, the development of cost-effective solutions for SMEs, and the use of AI and IoT for predictive maintenance and advanced analytics.

Kings Research says:

The global industrial control and factory automation market is set to undergo revolutionary growth in the future fueled by the introduction of automation technologies, the growing need for smart manufacturing, and the trend favoring sustainability. Companies that innovate and respond to new opportunities will succeed in this dynamic and changing market.