Market Challenges And Opportunities

Global IoT in Manufacturing Market Drivers:

Increasing technological developments in data analytics to drive growth of the market

The adoption of connected devices and sensors is increasing rapidly all over the world, and it is enabling M2M communication. With this, the amount of data produced in the manufacturing industry is growing significantly. This data can be of different kinds, ranging from metric showing time required for a material to pass through one cycle of process or even more advanced data, like calculating the material stress capability in the automotive industry. As a result, the need for advanced data analytics solutions is increasing in manufacturing industry, which is expected to drive growth of the global IoT in manufacturing market over the forecast period.

Constant evolution of value chain to fuel the market growth

Manufacturing is an important component of end-to-end supply chain of any company. There is a shift among value chain stakeholders such as inventor managers, raw material suppliers, and manufacturers from manual product, tracking to using barcode scanners. These stakeholders are also investing in novel technologies such as sensors and RFID for monitoring production processes, stock, and ascertain the need for maintenance in order to take action before the quality of production gets affected. In turn, the need for IoT is increasing in manufacturing sector, which is further projected to drive growth of the global IoT in manufacturing market over the forecast period.

Global IoT in Manufacturing Market Opportunities:

Growing adoption of IoT in manufacturing sector is expected to create growth opportunities in the global IoT in manufacturing market over the forecast period. Manufacturers are increasingly adopting IoT technologies to increase production efficiency, reduce lead times, and to deliver customized products to their consumers. Due to this the adoption of IoT along with other digital transformation technologies is increasing among manufacturers to maintain a competitive edge in the market. This in turn is creating various lucrative opportunities in the market.

Rise in adoption of mobile IoT devices across several companies is projected to offer growth opportunities in the global IoT in manufacturing market over the forecast period. With increasing number of connected devices, the adoption of IoT mobile devices is likely to increase across companies to enable digitalization in factory assets, such as processes, vehicles, equipment. The use of IoT devices is also likely to enable connectivity of factory with the third-party suppliers, which forms a connected ecosystem of smart manufacturing facilities in the world. Thus, the market is expected to witness growth opportunities in the market.

Global IoT in Manufacturing Market Restraints:

Security concerns are likely to hinder the market growth

Manufacturing is one of the industries which is highly vulnerable to cyber attackers due to presence of vital data linked to government and company. As per the 2021 Manufacturing and Distribution Report, 550 organizations impacted by data breaches that occurred between March 2021 and March 2022. Attackers seek to steal intelligence on any novel technology, process, or product that can be used for selling them at a lower costs for improving profit margins. Due to this, the market growth is likely to be hindered in the coming future.

Lack of infrastructure, capital, and awareness to hamper the market growth

Many regions lack capital, infrastructure, and awareness about IoT and other advanced technologies. Several brands have lost their business in the pandemic period due to which they were left with the only option of surviving on limited resources of capital. This factor in turn is impacting the market growth adversely. Moreover, semi-automatic alternatives having affordable pricing is also restraining growth of the market.