The global robotics market size is estimated to grow by $22.3 billion with a compound annual growth rate of 7.71 percent from 2022 to 2027, according to New York-based research and analytics company Technavio.
The robotics market surge, in part, is being propelled by advancements in AI and cognitive AI, the Technavio report states.
Among the local companies that stand to grow revenue include ABB, which has a new robotics center in Auburn Hills; FANUC Corp., which has operations in Rochester Hills, Auburn Hills, Pontiac, and Shelby Township; and Universal Robots in Novi, among others.
The industrial segment dominates the robotics market, according to the report, driven by its extensive applications in material handling, assembly, welding, cutting, and various other industrial processes.
Meanwhile, European government initiatives with a focus on enhancing industrial efficiency such as Horizon 2020 — a European Union research and innovation funding program from 2014-2020, are driving global market growth.
With an investment of $88.68 billion, Horizon 2020 empowered small and mid-size enterprises (SMEs) to integrate robotics, catalyzing performance improvements and job creation. By bolstering production capacities and competitiveness against low-labor-cost economies, Europe is poised to seize new market opportunities, according to the report.
These initiatives facilitate SMEs in adopting robotics for tasks like metal casting, amplifying market growth prospects. European authorities are thus pivotal, the report says, in propelling industry advancement, heralding “a transformative era of innovation and expansion.”
With consistent growth from 2017 to 2021, fueled by adoption in SMEs across regions like China, Japan, India, and Western Europe, industrial robots are expected to witness further uptake. The Asia-Pacific region is expected to contribute to 49 percent of the growth by 2027.
Manufacturers worldwide are embracing intelligent manufacturing technologies, including robotics, automation, AI, and cloud computing, indicating a promising future for market expansion.
With a focus on efficiency and effectiveness, there’s a rising trend towards organic hardware design to enhance machine capabilities, the report states. This trend is particularly evident in the manufacturing processes of companies like Ford Motor Co. and Maruti Suzuki India.
Digitization plays a crucial role in optimizing robotics and control systems, enabling seamless connectivity and integration of technologies from companies like Siemens and Google Cloud. Partnerships between companies such as Mitsubishi and ANSCER Robotics are leveraging voice commands and operators to streamline operations in warehouses, mitigating concerns over labor costs.
The robotics market has seen a surge in demand for cleaning and disinfection service robots due to uninfected demands and the need for disinfection robots in various settings, including hospitals and manufacturing plants. Companies like Procter & Gamble are at the forefront of developing innovative solutions to address these needs.
In the health care sector, medical robot systems are revolutionizing procedures, with hospitals like Max Super Speciality Hospital in India employing technologies such as the Da Vinci Xi Surgical Robot to assist surgeons. Collaborations between institutions like NIOSH, MIT, and the University of Michigan in Ann Arbor are further advancing the capabilities of surgical robots, says the report.
The rise of aging populations globally has also led to increased demand for eldercare robots, while the push for sustainability has spurred interest in electric or hybrid cars and autonomous drones or robots for various applications, including transportation and surveillance.
For more insights on the historical data (2017 to 2021) and the forecast, request a sample report here.
