Impact Analysis of Covid-19
The complete version of the Report will include the impact of the COVID-19, and anticipated change on the future outlook of the industry, by taking into the account the political, economic, social, and technological parameters.
Smart mining is the approach of using information, autonomy, and technology to attain enhanced safety, better productivity, and minimize operational costs. Smart mining includes Integrated Communications Technology (ICT) for all levels including mining operations to supply chain management, thus enabling efficient connectivity among supervisors, workers, technicians to allow optimal efficiency and production. The current mining industry is moving towards more rapid, non-toxic, and more precise manufacturing practices with harmless as well as ecologically-friendly landscape. Moreover, the cost-cutting strategy has provided a competitive edge and encouraged organizations to adopt new technologies, which ensure improved operations and output, both in quantity and quality. The global smart mining market is segmented into automated equipment and component.
The global smart mining market is estimated to be valued at US$ 15,119.7 million in 2021 and is expected to exhibit a CAGR of 16.3% over the forecast period (2021-2028).
In August 2021, Simens AG, a Germany based technology company launched a Virtual Smart Mining Forum in order to explore new market trends & technology in the mining sector.
In July 2019, ABB, a Switzerland based technology company launched digital application for real-time integration in open-pit and underground mines.
In February 2021, Kalmar, part of Cargotec, a Finland based engineering company made agreement with Companhia Siderúrgica Nacional (CSN), Brazil based Steel production company to supply of nine Kalmar Rubber-Tyred Gantry Cranes (RTGs)
Figure 1. Global Smart Mining Market Value (US$ Mn), by Region, 2020
Asia Pacific held dominant position in the global smart mining market in 2020, accounting for 38.6% share in terms of volume, followed by North America and Europe respectively.
Global Smart Mining Market-Drivers
Rising concerns regarding the environment are expected to drive growth of the global smart mining market during the forecast period. Mining industry is actively deploying environment-friendly mining technologies that facilitate the maximization of mineral and ore recovery with reduced waste. These technologies allow operators to monitor and control pollution by evaluating air and water quality, which in turn, helps mining companies to comply with regulatory policies. For instance, Copper NuWave deployed an ore processing technology at the Kennecott Utah Copper mine in the U.S., which maximizes mineral recovery and reduces waste, energy and water consumption.
Growing adoption of big data analytics is expected to propel the global smart mining market growth over the forecast period. Big data analytics has become a major technology in the IT and mining industry. Big data analytics offer real-time data analytics and predictive analytics, in order to enhance quality and efficiency of regular operations. It is done by providing data on equipment history such as equipment maintenance and repair history, and fuel consumption rates in real-time. Hence, multiple mining companies are increasingly implementing an analytics solution, in order to improve machine reliability and efficiency, which is encouraging smart mining solution providers to introduce advanced analytic solutions. For instance, in 2014, IBM introduced a big data analytics tool, through which mining companies can easily track wear and tear, ensuring the uninterrupted performance of mining equipment and preventing failure.
Smart Mining Market Report Coverage
||Market Size in 2021:
||US$ 15,119.7 Mn
|Historical Data for:
||2017 to 2020
||2021 to 2028
|Forecast Period 2021 to 2028 CAGR:
||2028 Value Projection:
||US$ 43,511.2 Mn
- North America: U.S. and Canada
- Latin America: Brazil, Argentina, Mexico, and Rest of Latin America
- Europe: Germany, U.K., France, Italy, Spain, Russia, and Rest of Europe
- Asia Pacific: China, India, Japan, Australia & New Zealand , South Korea, and Rest of Asia Pacific
- Middle East and Africa: GCC Countries, South Africa, and Rest of Middle East and Africa
- By Type: Automated Equipment (Driller & Breaker, Load Haul Dump (LHD), Mining Excavator, Robotic Truck, Other Equipment), Component (Hardware, Solution, Service)
- By Solution: Data & Operation Management Software, Analytics Solution, Connectivity Solution, Other Solutions
- By Service: Engineering & Maintenance, Consulting Services, Production Training Service, Implementation & integration Service
ABB Ltd., Komatsu Ltd., Sandvik Mining and Construction, Atlas Copco, Alcatel-Lucent, Caterpillar Inc., Cisco Systems Inc., Hitachi Construction Machinery Co. Ltd., Outotec Oyj, and Joy Global Inc.
- Rising concerns regarding the environment
- Growing adoption of big data analytics
|Restraints & Challenges:
- Decreasing employment in mining sector
- Lack of standardization across mining industry
Global Smart Mining Market: Opportunities
Internet of things (IoT) has become a mainstream technology in the mining industry and is transforming the way this industry operates by enhancing mine productivity and safety. IoT components such as RFID tags, connectivity platforms, and sensing technologies ensure better visibility and traceability of mining operations and allow data to be automatically sent and received over the Internet.
Rising adoption of 3D imaging technology in large mines across the globe is an emerging trend. Mining companies are deploying this technology in order to build 3D geological maps through spatial data captured using lasers. Moreover, 3D imaging technology is increasingly finding application in various other mining-related tasks such as planning and targeting of drill holes.
Intelligent systems such as monitoring and control systems, cellular monitoring, and haulage system for fleet are gaining massive popularity among mining companies due to capabilities such as remote monitoring of mine sites. For instance, in 2014, Rio Tinto Group set up a Processing Excellence Centre in Brisbane, Australia, to monitor and analyze mineral processing data in real-time. Moreover, the RFID tag and sensor category is expected to be the second-fastest in terms of growth, owing to increasing deployment of this hardware by mining companies to track asset location in real-time.
Mining companies are increasingly preferring deployment of integrated data and operation management software to enhance mining performance since this software optimizes manufacturing operations and analyze data collected on automated equipment history and repair rates. Demand for analytics solutions is expected to increase at a considerable rate by the end of 2020. This is primarily due to increasing demand for real-time data and predictive analysis before executing mining operations.
Figure 2. Global Smart Mining Market Share, By , 2020
Key Takeaways of the Graph:
- The Mining Excavator held dominant position in the market and accounted for 4% share in the global smart mining market in 2020. The segment is expected to reach US$ 11,922.1 million in 2028. This is owing to increased demand of materials and minerals.
- The Hardware segment accounted for the largest market share of 0% in 2020 in the global smart mining market and is expected to be valued at US$ 17,839.6 million by 2028, owing ? Growing adoption of big data analytics
Global Smart Mining Market: Restraint
Decreasing employment in mining sector is expected to restrain growth of the global smart mining market during the forecast period. Rising mining in automation in the mining industry has become a major threat to employment since increased automation has reduced the need for human intervention. As a result of this, the rate of unemployment in the mining industry across the globe. According to the Australian Institute of Mining and Metallurgy (AusIMM), in 2014, unemployment rate among mining professionals was around 12.2% in the region, which is twice that of national average unemployment rate of 6.1% in the same year.
Lack of standardization across mining industry is expected to hamper the global smart mining market growth over the forecast period. Currently, standardization for technology and connectivity layers is lacking. Undefined standards in the market are leading to high product differentiation and are expected to act as restraints for growth of the smart mining market to a certain extent.
Key players operating in the global smart mining market are ABB Ltd., Komatsu Ltd., Sandvik Mining and Construction, Atlas Copco, Alcatel-Lucent, Caterpillar Inc., Cisco Systems Inc., Hitachi Construction Machinery Co. Ltd., Outotec Oyj, and Joy Global Inc.
- Key players in the market are focused on product development, in order to expand product portfolio. For instance, in March 2019, ABB Ltd., a Switzerland-based company, introduced digital portfolio ‘AbilityTM MineOptimize’ for Indian mining sector.
- Major companies in the market are involved in mergers and acquisitions, in order to obtain a competitive edge in the market. For instance, in April 2017, Komatsu America Corp., a subsidiary of Komatsu Ltd., acquired Joy Global Inc., a provider of high-productivity mining solutions.