Author:
Kevin Parmenter, Director, Applications Engineering. TSC, America
Date
03/20/2024
PDF
Kevin Parmenter, Director, Applications Engineering. TSC, America
As industries continue to undergo digital transformation and automation, the demand for advanced electronic components and systems within industrial settings has surged, propelling the industrial electronics market to unprecedented heights. According to Cognitive Market Research, the global industrial electronics market will grow at a compound annual growth rate (CAGR) of 5.60% from 2023 to 2030. The market size in 2023 was estimated to be approximately $ 208 billion.
The industrial electronics market encompasses a diverse array of electronic devices and systems used for medical, test and measurement and many other applications. From sensors and actuators to programmable logic controllers (PLCs), human-machine interfaces (HMIs) and industrial robots, sophisticated technologies are optimizing production processes, enhancing operational efficiency, ensuring safety and enabling seamless integration across industrial ecosystems.
A prominent force behind the growth of the industrial electronics market is the relentless pursuit of efficiency and productivity. Industrial automation, powered by sophisticated electronic systems, has revolutionized traditional manufacturing paradigms, enabling faster production cycles, higher throughput, and improved quality control. As industries seek to streamline operations, minimize downtime, and adapt to dynamic market demands, the demand for advanced industrial electronics solutions continues to escalate.
Moreover, the advent of Industry 4.0 and the Industrial Internet of Things (IIoT) has ushered in an era of interconnected smart factories and data-driven decision-making. Embedded sensors, IoT-enabled devices and networked industrial systems facilitate real-time monitoring, predictive maintenance and optimization of industrial processes, unlocking new levels of efficiency, reliability and flexibility. This convergence of digital technologies fuels the industrial electronics market, spurring businesses to invest in innovative solutions to capitalize on the benefits of “Industry 4.0.”
The industrial electronics market is also shaped by innovations in robotics and artificial intelligence. Industrial robots, equipped with advanced sensors and AI algorithms, are increasingly deployed for tasks ranging from assembly and material handling to inspection and quality assurance. Collaborative robots (“cobots”) are gaining traction for their ability to collaborate with human operators. Robotics advancements in AI, machine learning and engineering are expanding the industrial electronics market as networked interfaces require cyber security to protect applications from tampering and unauthorized use.
Furthermore, the global emphasis on sustainability and environmental stewardship is driving regulatory mandates and corporate sustainability in the industrial electronics market. The demand is for eco-friendly industrial electronics that minimize energy consumption, reduce waste, and support sustainable production processes. Meanwhile, many industrial applications must provide dependable operation for lifetimes of at least a decade; thus, opening opportunities for component manufacturers to offer AEC-Q automotive devices for industrial applications since these parts are already qualified for harsh requirements.
Looking ahead, emerging technologies such as 5G connectivity, edge computing, and advanced materials are expected to reshape industrial electronics. As industries worldwide embark on the journey of digital transformation, the demand for advanced electronic components and systems tailored for industrial applications will continue to surge – fueling opportunities in this market for years to come.
