Coherent Market Insights

The Industrial Robotics Market is estimated to be valued at USD 33.78 billion in 2024.

The Industrial Robotics Market is estimated to be valued at USD 33.78 billion in 2024. - Coherent Market Insights

Publish In: Mar 14, 2024

The industrial robotics market is estimated to be valued at USD 33.78 billion in 2024, growing at a CAGR of 13.6% over the forecast period (2024-2031). With continuous advancements in artificial intelligence and machine learning, industrial robots are becoming more intelligent and capable of handling complex tasks. Furthermore, increasing labor costs and shortage of workforce are compelling manufacturers to adopt automation solutions like industrial robots.

Market Dynamics:

Rising labor costs: Labor costs have witnessed a steady rise across major economies worldwide over the past decade. The average wage per hour in manufacturing industries has increased substantially, posing challenges for businesses. Industrial robots provide an economical alternative to human labor as their deployment helps reduce dependence on human workforce and lowers overall operational costs in the long run.

Penetration of collaborative robots: Collaborative robots, commonly known as cobots, allow humans and robots to work in close collaboration & perform tasks jointly. Their installation has picked up pace across SMEs as well as large manufacturing facilities looking to advance human-robot collaboration. Cobots facilitate enhanced productivity while maintaining a high level of workplace safety. Their growing deployment will further stimulate demand in the industrial robotics market during the forecast period.

Market Drivers for Industrial Robotics

  • Increasing Labor Costs: One of the key drivers for the growth of industrial robotics is the rising labor costs across many countries and industries. As wages increase due to higher costs of living and inflation, companies are looking for ways to cut down on production costs. Implementing industrial robots allows companies to reduce their dependency on human labor for repetitive and physically demanding tasks. This helps lower overall operational expenses. Many companies in industries like automotive, electronics, and food & beverage have started adopting collaborative robots or cobots in significant numbers to replace human workers for tasks like assembling, material handling, packaging, etc.
  • Improving Capabilities of Industrial Robots: Another major driver has been the continuous improvements in the capabilities of industrial robots. Earlier robots were big, expensive, and could only perform simple repetitive tasks. However, advances in robotics technology have led to more compact, affordable and intelligent robots. Modern robots have increased payload capacities, improved sensors for visual perception, better end-of-arm tooling and enhanced simulation software. This has enabled their usage for complex applications like welding, painting, palletizing etc. Beyond basic tasks, collaborative robots are now capable of doing jobs that require dexterity, flexibility and decision making. Their evolving functionalities are allowing more industries and SMEs to leverage robotics.

Market Restraints in Industrial Robotics

  • High Upfront Capital Investment: One of the major challenges in wider adoption of industrial robots is their high initial capital cost. While ROI can be achieved over the long run through productivity gains and cost savings, the large upfront investment required deters many companies, especially SMEs. Robots need to be purchased, installed, integrated and programmed - which involves substantial costs. Per-robot costs typically range from tens of thousands to over hundred thousand dollars depending on payload, range of motion and complexity. Additional expenses are also involved in robotics integration, programming, safety equipment and ongoing maintenance support. This high initial investment remains a deterrent, especially for industries with low to medium production volumes.
  • Need for Specialized Programming and Integration: Another restraint is the expertise required to program and integrate industrial robots in production lines. While ease-of-use is improving, advanced robot programming still demands specialized skills that are not widely available. Companies need skilled professionals like robot programmers, system integrators, engineers, etc. to seamlessly deploy robots. The costs associated with training current employees or hiring new experienced staff add to project expenditures. For many SMEs, acquiring such specialized talent remains a challenge. This technical barrier limits the scope of applications that some companies can pursue using robotics without external support.

Key Market Opportunities in Industrial Robotics

  • Growing Demand from SMEs: With collaborative robots becoming more affordable, compact, and user-friendly, a big opportunity lies in targeting small and medium enterprises. Earlier robotics was seen as an option only for big automation-intensive industries. But reducing price points combined with increasing functional capabilities of robots is making them viable even for low volume production environments like many SMEs across various industries. Robot manufacturers are customizing solutions and offering pay-per-use models to address financing constraints of SMEs. This wider accessibility will help expand the industrial robotics market into new applications and sectors outside traditional heavy industries.
  • Rising Adoption across New Application Areas: Beyond traditional heavy automation, industry experts predict significant growth potential in new non-traditional areas like services, logistics & warehouses. With improved dexterity, portable mobile robots are starting to perform tasks like inspecting infrastructure, assisting patients in hospitals, stock taking in retail stores and delivery operations. Advances in vision, grasp, navigation and edge computing will allow collaborative robots to help humans in semi-structured environments requiring cognition and decision making. The expansion into non-manufacturing domains will open huge untapped opportunities and drive the next phase of growth for robotics technology.

Link: https://www.coherentmarketinsights.com/market-insight/industrial-robotics-market-4175

Key Developments:

  • In June 2023, ABB Robotic expanded its GoFa cobot family by introducing new variants, GoFa 10 and GoFa 12. These collaborative robots feature enhanced efficiency, increased payload capacity, and other improvements. ABB Robotic is a well-established global player in robotics and automation solutions.
  • In July 2022, ABB and SKF entered into a Memorandum of Understanding (MoU) to explore potential collaboration in manufacturing process automation. The aim was to enhance manufacturing and processing capabilities, particularly in the food processing sector, with a focus on improving production efficiency. ABB is a global leader in robotics and industrial automation, while SKF is a leading provider of bearings and rotating technologies.
  • In May 2022, Cornell University unveiled a new 6,000-pound industrial robot designed for 3D printing large-scale buildings. The technology is anticipated to revolutionize the construction industry by improving efficiency and sustainability through reduced waste. The industrial robot, known as IRB 6650S, was installed in February 2022, and Cornell has been conducting tests, including the production of benches and planters.
  • In April 2022, Kawasaki Heavy Industries inaugurated a new innovation hub for robotics development called "Future Lab HANEDA" near Haneda Airport, Tokyo, Japan

Key Market Players:

ABB Ltd., Comau SpA, DAIHEN Corporation, Denso Wave Incorporated, Epson America, Inc., FANUC American Corporation, Hirata, Corporation, Kawasaki Heavy Industries Ltd, KUKA Robotics Corporation, Mitsubishi Electric Corporation, OMRON Corporation, Panasonic Corporation, Seiko Epson Corporation, Teradyne Inc., Toshiba Machine Co. Ltd., Yamaha Motor Co., Ltd., and Yaskawa Electric Corporation are the major players.

Need a Custom Report?

We can customize every report - free of charge - including purchasing stand-alone sections or country-level reports


Want to Buy a Report but have a Limited Budget?

We help clients to procure the report or sections of the report at their budgeted price. Kindly click on the below to avail


Logo

Reliability and Reputation

ESOMAR
DUNS Registered
Clutch
DMCA Protected

9001:2015

Reliability and Reputation

27001:2022

Reliability and Reputation

EXISTING CLIENTELE

Created billion dollars of revenue impact on thousands of clients

trusted clients logo
© 2024 Coherent Market Insights Pvt Ltd. All Rights Reserved.