SMART MACHINES MARKET ANALYSIS

The global smart machines market accounted for US$ 143.6 Mn in terms of value in 2023 and is expected to grow at a CAGR of 18.5% during the forecast period (2023-2030). A smart machine is an intelligent device embedded with machine-to-machine technology to perform various tasks autonomously, without human intervention. These machines use deep learning, machine learning, and artificial intelligence to reason, make decisions, problem-solve, and take action. Smart machines include robots, drones, smart wearables, self-driving cars, and other cognitive computing systems. Robots are automated machines used in various industrial verticals to make the process automated. Robots are built with artificial intelligence and natural language processing. They can be trained to carry out processes and learn from their surroundings. Moreover, autonomous cars are fully driverless cars integrated with different sensors such as geo sensors and advanced technologies such as IoT.

Global Smart Machines Market: Regional Insights

North America region dominated the global smart machines market in 2022, accounting for a 31.6% share in terms of value, followed by North America, Europe, MEA, and Latin America, respectively. In North America the United States and Canada were likely leading the way in terms of smart machines adoption, particularly in advanced robotics, AI applications, and autonomous vehicles. The region has a strong focus on research and development in AI and machine learning, with companies like Google, Microsoft, Amazon, and Tesla driving innovation.Smart Machine Market growth in Asia-Pacific has increased in recent years. Because of the large and expanding populations of China and India, there is an increasing demand for smart machines, including the growing use of automation and artificial intelligence technology. To further develop creation effectiveness, quality, and wellbeing producing centers are utilized in China and India district.

Figure 1: Global Smart Machines Market Share (%), By Region, 2022

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Global Smart Machines Market Drivers:

Increasing requirement for enhanced data accessibility in various industries

Smart machines are deployed to improve networked resources and incorporate distributed intelligence in manufacturing industries. Integration of devices provides more flexibility and accessibility. Smart machines can be connected to a broader network of connected devices, thereby facilitating the user to share data on several devices. Furthermore, this also facilitates users to connect and access their devices from anywhere and anytime.For instance, Google Inc is the American serach engine company which is offers syncing and accessing of data across all devices supporting Android and iOS. Hence, the need for improved data accessibility is expected to boost the global smart machines market growth during the forecast period.

Adoption of innovative technology in numerous industry verticals

Artificial intelligence and cognitive computing are essential technologies used for the manufacturing of smart machines. These technologies have ability to learn from their surroundings and interact, and reprogram themselves. Various industries around the world are rapidly replacing conventional machines with smart machines, which in turn, is accelerating the growth of the market. For instance, Rethink Robotics designs and markets robots that can be easily trained and modified, even by a non-technical person. Their robot, Baxter, built using cognitive computing and artificial intelligence has already been deployed in many factories. Therefore, these factors are expected to support the market growth over the forecast period.

Global Smart Machines Market Opportunities:

Integration of speech recognition

Smart machines integrated with speech recognition systems have gained significant popularity among users though they are available in limited languages. Increasing use of smart-speech integrated devices is expected to offer excellent growth opportunities for market players in the near future. For instance, Virtual assistants such as Apple Inc.’s Siri continues to expand their linguistic abilities. Moreover, technologies used in smart machines are as basic as detecting leaks, cracks, etc. Technology providers can integrate sensor technology in the near future in smart machines, which can enhance user’s senses and help them to be more aware of the surrounding. For instance, BAE Systems offers products embedded with smart sensors such as its Striker Helmet.

Introduction of autonomous technology by various enterprises

Autonomous robots are being used in various industries such as manufacturing, automobile, and others, in order to increase efficiency and productivity. Organizations are frequently introducing autonomous cars and drones in the global market. Autonomous drones for the military are being accepted as a replacement for fighter planes. Enterprises are collaborating with the automation industry to produce better autonomous vehicles. For instance, in January 2023, Hyundai Motor Group's Supernal collaborates with Microsoft to advance critical technology for Advanced Air Mobility

COVID-19 Impact Analysis:

COVID-19 has a large effect that can be felt all around the world. The epidemic is having the most impact on markets in Asia, North America, and Europe. The virus spread quickly around Europe, and as a result of the lockdown, production activities there were negatively impacted. During the initial stages of the pandemic, several industries faced disruptions in production, supply chain, and workforce availability due to lockdowns and social distancing measures. This situation likely affected the adoption and implementation of smart machines across various sectors. Companies may have delayed or scaled down their investments in automation and smart technologies to prioritize immediate survival and cost-cutting measures. The development and deployment of AI and smart machines might have been affected by research disruptions, supply chain challenges for hardware components, and delays in technology upgrades due to global restrictions. However, it is also possible that the pandemic prompted increased research and innovation in the field of robotics and artificial intelligence, leading to advancements in smart machines and their applications.

Restraints:

Certain performing issues with self-learning machines

Smart machines are built to learn from their mistakes though it requires special training to implement this mechanism. If smart machines cannot recognize their mistakes and rectify them and rather learn the wrong things, it could lead to severe problems for the end user. For instance, Microsoft Corporation launched a chat bot on Twitter, with the name Tay. Although Tay was created for casual and fun chatting, its self-learning algorithm started causing malfunctioning in it. In fact, it started picking up people’s opinions and learning from them and was soon posting inappropriate comments on Twitter. Hence, such factors are expected to hinder the market growth in the near future.

Global Smart Machines Market Trends:

Paradigm shift from individual devices to synced devices

Currently, customers are focused on more connectivity, especially in the case of wearable and hand-held gadgets. Syncing of smartphones, tablets, cars, and wearable devices leads to generation of vast amounts of data (big data). Hence, this big data creates enormous opportunities for various enterprises to improve their business processes. For instance, tech giants such as Apple Inc. are introducing better accessibility to their customers by connecting all devices. Moreover, this trend is expected to continue during the forecast period.

IoT integration:

Innovative concepts such as smart cities can be implemented with the use of the Internet of Everything (IoE), which helps to enhance the work environment and productivity in the commercial sectors. IoT enables smart machines to connect and communicate with each other, as well as with other devices and systems, creating a network of interconnected devices. This connectivity allows for real-time data collection, analysis, and decision-making. For example, in a smart factory, machines can communicate with each other and adjust their operations based on the production demand and supply chain requirements. The integration of smart machines with IoT is driving the concept of Industry 4.0, where interconnected systems optimize efficiency and productivity.

Figure 2: Global Smart Machines Market Share (%), By Machine Type, 2022

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Global Smart Machines Market Segmentation:

The global Smart machines market report is segmented into component, machine, technology, and vertical

Among the component segment, hardware, software, and services are included.The software segment is the largest segment. Based on machine, the market is segmented as Robotic, Autonomous cars,Drones,Wearable devices that are designed to work through task without human interventions.Robotic segment held in dominant position in smart machines market in 2022, accounting for 29.8% share in terms fo value. by technology the global smart machines market divided into Cloud Computing Technology, Big Data Technology, Internet of Everything, Robotics, Cognitive Technology, Affective Technology.cloud computing technology represented the largest segment. the cloud computing sub-segment dominated the global market in 2022,followed by robotics, cognitive technology, big data, affective technology, internet of everything, respectively.On the basis of verticals market is segmented into manufacturing, transportation & logistics, healthcare, consumer goods and retail, aerospace & defense others.consumer goods and retail is the largest market share.

Global Smart Machines Market: Key Developments

In June 2023, Google rolls out AI-powered Smart Compose to Chat. Smart Compose is a machine learning-based predictive text system that offers users tailored phrases.The feature first debuted in Gmail and Google Docs. It lets you complete sentences quicker by letting you add phrases and words with one tap.

In June 2023, IBM Expands Partnership with Adobe To Deliver Content Supply Chain Solution Using Generative AI. IBM Consulting is launching a new portfolio of Adobe consulting services to help clients navigate the complex generative AI landscape, bringing together innovation, technology and design to digitally re-invent customer interactions.

In October 2022, Age UK collaborated with Creative Virtual to Better Meet the Charity’s Goals with Conversational AI. Available to the public on the Age UK website, the virtual assistant is powered by Creative Virtual’s V-Person technology, improves the discoverability of a large amount of online content; gives people more ways to easily interact with and find information; resolve easy-to-answer queries online to reduce Advice Line calls; and be proactive in testing innovations to better meet the charity’s objectives.

Global Smart Machines Market: Key Companies Insights

Key players operating in the global smart machines market are Google Inc., Apple Inc., Rethink Robotics, BAE Systems, Narrative Science Inc., Creative Virtual Ltd., Microsoft Corporation, Digital Reasoning Systems, Inc., and IBM Corporation.

*Definition: Smart machine implies a machine that is better connected, more flexible, more efficient, and safe. Based upon a collection of smart, connected products, it maximizes efficiency via intuitive collaboration with its users.