PUBLISHER: Grand View Research | PRODUCT CODE: 1751636
PUBLISHER: Grand View Research | PRODUCT CODE: 1751636
The global factory automation market size was estimated at USD 36.01 billion in 2024 and is expected to grow at a CAGR of 11.1% from 2025 to 2030. The industry is primarily driven by the rising demand for operational efficiency, the growth of manufacturing and industrial sectors, and the increasing implementation of autonomous plants and remote operations aimed at reducing costs and boosting productivity.
Additionally, the growing adoption of artificial intelligence (AI) and machine learning (ML) in factory automation systems is revolutionizing manufacturing processes, enabling predictive maintenance, real-time data analysis, and autonomous decision-making, and reducing downtime, which is further fueling the factory automation industry expansion. The growing integration of collaborative robots, or cobots, is another major driver in the factory automation industry. This reflects a shift toward flexible automation where cobots are increasingly used for dynamic, short-run, or high-mix manufacturing tasks. Companies are leveraging cobots' ease of programming and adaptability to respond quickly to changing production demands. Moreover, there's a rising emphasis on safety-certified robotics that supports worker wellbeing while improving operational output, making cobots a central feature of next-generation smart factories.
Additionally, edge computing is emerging as a critical trend in the factory automation industry, enabling faster data processing directly or near the source, such as sensors, machines, or robots, instead of relying solely on cloud infrastructure. This approach significantly reduces latency, enhances real-time control, and increases system reliability in time-sensitive industrial environments. Additionally, it supports localized AI inference, empowering automation systems to make intelligent, autonomous decisions without constant cloud connectivity.
Furthermore, the adoption of digital twin technology is rapidly transforming the factory automation industry. These virtual replicas of physical assets allow manufacturers to simulate operations, test changes, and diagnose issues in real time without disrupting actual production. By enabling predictive maintenance and performance optimization, digital twins help reduce downtime and enhance system efficiency. This trend is especially impactful in complex industries such as aerospace, automotive, and energy, where precision and reliability are critical.
Moreover, factories are increasingly turning to cloud-based platforms to manage automation systems, enabling centralized control, remote monitoring, and data-driven insights across multiple sites. Cloud solutions support faster software updates, real-time analytics, and seamless integration with enterprise IT systems. This shift is also paving the way for new business models such as Automation-as-a-Service, allowing manufacturers to scale operations efficiently with lower capital investment, which is expected to further fuel the factory automation industry in the coming years.
Global Factory Automation Market Report Segmentation
This report forecasts revenue growth at the global, regional, and country levels and provides an analysis of the latest technological trends in each of the sub-segments from 2018 to 2030. For this study, Grand View Research has segmented the global factory automation market report based on component, technology, end use, and region: