Smart Machines Market Size, Share, Opportunities, And Trends By Component (Hardware, Software, Services), By Technology (Robotics, Cloud Computing, Cognitive Technology, Internet Of Everything, Others), By Type (Autonomous Car, Wearable Device, Robots, Drones, Others), By Application (Aerospace And Defense, Healthcare, Logistics And Transportation, Consumer Electronics, Banking, Automotive, Others), And By Geography - Forecasts From 2024 To 2029

The smart machine market is predicted to grow from US$1,107.141 billion in 2024 to US$2,184.939 billion in 2029 at 14.56% (CAGR).

Smart machines are embedded with machine-to-machine cognitive computing technologies such as machine learning and Artificial Intelligence (AI), based on innovative algorithms that enable them to reason, make decisions, and initiate actions. These machines are finding their way into various applications, such as autonomous driving vehicles, smart factories and workstations, logistics, and consumer wearables.

The bolstering growth in new technological innovations that address the varied industrial complexities has greatly boosted the demand and usage of smart machines. Owing to their creative technological environment, smart gadgets may gather information about the physical world without the direct involvement of humans. This lightens the overall workload and assists employees in concentrating on other strategic tasks. Additionally, the booming internet penetration, 5G adoption, and favorable initiatives implemented to archive industrial automation, such as “Industry 4.0,” are set to pave the way for future market expansion.

Smart Machines Market Drivers:

• Increasing robotics installation is expected to propel the overall market growth.

Industrial productivity depends on the efficiency of the working personnel, and organizations are emphasizing an intensive approach to improving their productivity, which involves using more machines and fewer humans. Adopting such a modern approach has laid a new path for installing smart machines such as robotics and other cognitive computing systems, which is projected to drive the overall market growth.

According to the International Federation of Robotics, the global robotics industrial installation reached 5,60,000 in 2023, an increase of 30,000 over 2022’s installation. As per the same source, the installation is anticipated to reach 7,18,000 by 2026, thereby showcasing a 7% growth. Major sectors such as electronics, automotive, metal & machinery, and plastic employ robotics to increase their production output.

• Favorable investment in autonomous vehicles followed by technological innovations drives market expansion.

Over the years, traffic congestion in countries has grown significantly, increasing the risk of road safety. With the ongoing increase in consumer demand for modern vehicles, the consumption scale is anticipated to witness an upward trajectory. Modern technological innovations such as autonomous vehicles are an effective solution to address such issues since they are equipped with features such as lane departure warning and blind spot monitoring.

Such an option would reduce the overall traffic congestion and fuel consumption, thereby holding high growth potential in the coming years. Hence, companies are investing in such innovations to optimize the opportunity. For instance, in May 2024, Isuzu Motors Limited collaborated with Gatik AI Inc. to develop mobility services based on level-4 autonomous driving. Under the partnership, Isuzu Motors will invest US$30 million in Gatik in developing middle-mile autonomous vehicles.

Smart Machines Market Segment Analysis

• Robotics is projected to hold a considerable share of the market.

Based on technology, the smart machine market is characterized by robotics, cloud computing, cognitive technology, Internet of Everything (IoE), and others. Robotics is expected to hold a remarkable market share. It is poised for a constant expansion fueled by the favorable investment to bolster automation in industrial operations, especially in electronics, automotive, and manufacturing.

The International Federation of Robotics specified that in 2023, industrial robotics installation in the United States experienced a 12% growth, with 44,000 units installed. Moreover, the same source stated that installation witnessed 37% growth in the electronics sector, 6% in metals & machinery, and 5% in plastic & chemical products.

Likewise, cloud computing and cognitive technology are estimated to show steady growth, attributable to the growing cloud ecosystem in major developed economies. Favorable government investments back it up to bolster cloud computing in industrial establishments.

Asia Pacific will hold a considerable market share and will grow at a constant rate.

Geography-wise, the smart machine market is analyzed in North America, South America, Europe, the Middle East, Africa, and Asia Pacific. The APAC region is poised for constant growth. It will constitute a remarkable market share fuelled by the growing robotics installation in major economies, namely China, Japan, and South Korea, followed by smart manufacturing and logistics investments. As per the International Federation of Robotics, Asia accounted for 73% of industrial installations in 2023. Additionally, the same source specified that China constituted 52% of the total global installation in 2022.

Smart Machines Market Key Developments:

• In April 2024, Hyundai Motor Company, in collaboration with Kia Corporation, revealed a new design of the “DAL e-Delivery” robot to improve overall delivery performance in complex settings such as shopping malls and offices by offering reliable parcel services. The innovations meet the company's vision of implementing infrastructure interworking in various workspaces, including restaurants, malls, and offices.
• In February 2024, NEC Corporation India, as part of Global Smart City Suite, launched a series of enhanced technology products, including NEC-Mi City, NEC Mi-WareSyn, and NEC Mi-Command. These products aim to bolster transparency, decision-making, and efficient management, ensuring seamless operations among organizations.
• In February 2024, Lenovo showcased its AI device, infrastructure solutions, software, and two proof-of-concept devices at MWC 2024. These devices mark the future of AI-fueling multi-devices, software, and services and offer a modern approach over smartphone and traditional PC form factors.
• In February 2024, OMRON Automation Americas launched its advanced autonomous robots, “MD Series”, specifically designed to enhance efficiency in material transport applications. The product features “OMRON Fleet Manager” software that integrates 100 mobile robots into a single platform, eliminating the multiple fleet management system. The rugged industrial-grade design with a topping speed of 2.2 m/sec and an easy set-up & integration make the MD series an ideal choice for warehousing and logistics applications.

The Smart Machines market is segmented and analyzed as follows:

• By Component
  • Hardware
  • Software
  • Services
• By Technology
  • Robotics
  • Cloud Computing
  • Cognitive Technology
  • Internet of Everything (IoE)
  • Others
• By Type
  • Autonomous Cars
  • Wearable Devices
  • Robots
  • Drones
  • Others
• By Application
  • Aerospace and Defense
  • Healthcare
  • Logistics and Transportation
  • Consumer Electronics
  • Banking 
  • Automotive
  • Others
• By Geography
  • North America
    • USA
    • Mexico
    • Canada
  • South America
    • Brazil
    • Argentina
    • Others
  • Europe
    • Germany
    • France
    • United Kingdom
    • Italy
    • Others
  • Middle East and Africa
    • Saudi Arabia
    • UAE
    • Others
  • Asia Pacific
    • India
    • China
    • Japan
    • South Korea
    • Taiwan
    • Thailand
    • Indonesia
    • Others