03 August, 2021
Robotics has become a key strategy in the implementation of Industry 4.0. It helps save on labor costs, improve productivity, and increase efficiency in manufacturing.
Raleigh, North Carolina, Aug 03: The Robotics industry has witnessed significant growth in demand as it has become a key strategy in the implementation of Industry 4.0. The shortage of human resources in developed countries, the need to adopt labor safety standards, and the emergence of Artificial Intelligence (AI) are the influencing factors in the growth of the Robotics industry.
"From a business strategy standpoint, access to technological advancements and the ability to optimize cost through improving productivity and efficiency are key factors to improve business sales. The development of the robotics market can be attributed to the demand in end-use sectors such as automotive, defense, medical, space, and entertainment," said Vignesh Premkumar, Research Analyst at Beroe. "Despite the booming growth of robots, high initial investments, combined with high-tech research and development cost, has constrained industry growth."
The robotics market witnessed significant growth during 2017-19, primarily owing to the industrial, automotive, defense, and medical sectors. The market is expected to grow from $43 billion in 2018 to $70.84 billion in 2021 at a CAGR of 10.5 percent. The Asia-Pacific region tops in overall demand for robotics at 39 percent, followed by Europe at 25 percent, and the Americas at 24 percent. Major players in the robotic industry are involved in the production of high-performance and highly competitive robots. Optimization of design enables manufacturers to offer competitive prices and increase market share.
The factors pushing demand for robotics are demand from electronics, electric vehicle market, and automotive industries in Asia, automotive and manufacturing industries in Europe, and the demand for automation in the Americas due to these industries relying on newer technologies in the race toward Industry 4.0.
The different types of robots available in the market include articulated, cylindrical robots, SCARA, and Cartesian robots. Among industrial robots, the highest share is occupied by articulated robots. They have high payload capacity and working efficiency. They are currently used in many operations such as welding, assembly, material handling, packaging, and casing. Robotics finds greater applications in automotive, electronics defense, aerospace, metals, chemicals, and food industries. In these industries, customized robots have already been deployed as per their requirement. The Automotive industry accounts for 41 percent of industrial demand, followed by electrical and electronics at 20 percent, the metal industry at 13 percent, and chemical, rubber, and plastics industries at 9 percent. Robots are now widely used in the manufacturing sector where they play an important role in assembling, welding, and material handling of automotive parts with the objective of reducing labor power.
“The Robotics market is witnessing phenomenal growth. More companies are developing partnerships with other players that offer the Internet of Things and Artificial Intelligence. Moreover, the competition among manufacturers will further bolster the adoption of robotics,” said Vignesh Premkumar, Research Analyst at Beroe. “In all this, artificial intelligence is expected to play a critical role. As with anything, the robotics market isn’t perfect. There are gaps that restrict its growth and adoption rate. AI can play a game-changer in addressing the key constraints and filling the gaps.”
For more such market insights, procurement intelligence, supplier analysis, price, and cost benchmarking, please log on to Beroe LiVE.Ai: https://www.beroeinc.com/beroe-live-ai/
Beroe is the world's leading provider of procurement intelligence and supplier compliance solutions. We provide critical market information and analysis that enables companies to make smart sourcing decisions — leading to lower costs, greater profits, and reduced risk. Beroe has been providing these services for more than 15 years and currently works with more than 10,000 companies worldwide, including 400 of the Fortune 500 companies. For more information about Beroe Inc., please visit https://www.beroeinc.com/.
CPO Talk: Join us on May 17, Maximizing Value Delivery Beyond Savings