Artificial Intelligence in Manufacturing Market
The manufacturing industry is widely known for its quick adoption of technologies. Manufacturing enterprises are among the earliest adopters of automated processes & robots and have been utilizing sensor-based technologies for decades, although without realizing their full potential. In the present scenario, manufacturers are facing various challenges such as shorter innovation cycle, high resource volatility, high customer expectations, and increasing competition in terms of differentiation. To address these challenges, manufacturing enterprises have prioritized technology-driven innovation. Thus, advanced data processing technologies, new analytical forecasting models, and IoT are likely to drive a significant change in the manufacturing industry in the next few years.
The scope of the manufacturing industry is expanding from chip manufacturing to system level integration, showcasing the technological advancements of the industry. The industry is already dedicated towards technology, and the global trend of connectivity is making the manufacturers invest in autonomous and connected manufacturing. Altogether, the machine-to-machine communication abilities, autonomous vehicles, predictive maintenance, and product as a service are likely to spur significant investments in the industrial IoT.
In the present scenario, the pressure on manufacturers is to remain competitive in the rapidly changing market landscape, and continually innovate to improve their products, processes, and services. Furthermore, manufacturers are also striving to achieve operational efficiency, reduce operational costs, and reach to the customers with innovative and more enhanced qualitative products. The manufacturers are giving more importance to the inclusion of a new product line in their product portfolio and are gaining access to various global markets as part of their first growth plan in AI.
Verticals under manufacturing such as automobile, energy and power, pharmaceuticals, heavy metals and machine manufacturing, semiconductor and electronics are moving towards market maturity and are facing high pressure with respect to pricing and future growth. Therefore, manufacturers are looking towards the reduction of operational costs, entry into untapped markets, and various adjacent sectors that promise high growth opportunities. In the next 5–10 years, artificial intelligence is likely to play a major role in operational optimization, establishing loyal customer relationships, and increasing customer lifetime value.
Major industrial technology companies and cloud vendors such as Cisco, GE, Microsoft, and IBM consider artificial intelligence and machine learning in heavy machinery, automotive and electronics as a vital component of their future business strategies. Few of the prominent vendors such as IBM, Microsoft, Apple, Dell, and Preferred Networks, Inc. among others are providing AI-powered solutions in manufacturing. For instance, IBM’s Watson for AI-powered manufacturing and Google’s DeepMind for mining data.
Sr. Research Analyst,