Industrial Robotics Procurement Intelligence Report, 2024 - 2030 (Revenue Forecast, Supplier Ranking & Matrix, Emerging Technologies, Pricing Models, Cost Structure, Engagement & Operating Model, Competitive Landscape)

Industrial Robotics Category Overview

The global industrial robotics category is anticipated to grow at a CAGR of 10.5% from 2024 to 2030. Growth of the category can be attributed to increased focus on ensuring workplace safety, rising attention for increasing the productivity of assembly lines supporting high volumes, increasing need for collaborative robots across multiple industries, higher adoption of Industry 4.0, and stringent federal guidelines for handling dangerous goods and materials. However, challenges pertaining to integration and complexities associated with the product offered in the category may hinder the global demand. Interoperability is essential in any manufacturing facility and small & medium enterprises (SMEs) are particularly challenged by interoperability concernsbecause of their exceptional needs and staffing shortages when it comes to setting up sophisticated automation systems.

Technologies that drive the global category include collaborative robots, IIoT (industrial internet of things), industrial cyber security, big data & analytics, and open automation architecture. Collaborative robots are significantly less expensive and can operate along with the humans, safely. Manufacturers with stringent return on investment requirements will be more likely to utilize them as these robots gain more capability in demanding industrial environments over time. In addition, industrial robots are increasingly utilizing smart sensors and actuators to gather data that manufacturers were previously unable to obtain. IIoT makes use of these smart devices and real-time analytics to maximize the data generated over the years by dumb machines in industrial settings. Furthermore, the greater robot connectivity to internal data gathering systems, the higher the risk of cyber security. Manufacturers will need to make significant investments in cyber security and address process weaknesses in order to guarantee dependable and secure output.

The category for industrial robotics is fragmented and witnesses large number of global market players, turning the category to be highly competitive. Key players in the industry are continuously upgrading their existing product offerings and investing in research & development to support the introduction of new products, in order to enhance their product portfolio and stay competitive. In addition, they are adopting the strategies such as expansion of operational presence, joint ventures, mergers & acquisitions, etc. to strengthen their position in the industry. For instance, ABB Robotics recently introduced new variants of its “GoFa” series robots, such as GoFa 10 and 12, which possess improved efficiency, increased payload capacity, and additional features. The category possesses low threat of new entrants as manufacturing these robots require high initial investments, supplemented by knowledge of skilled specialists.

Base price of the robot, peripherals (safety, EOAT, etc.), training, logistics (lead time, shipping, and installation), extended warranty, add-ons (hardware/software), and support packages (premium/basic) are the key cost components that constitute the Total Cost of Ownership (TCO) for the products offered in this category. Although the cost of many industrial robots has decreased over the past ten years, however, manufacturers continue to charge exorbitant prices for consumables, services, and spare parts. Due to the fact that collaborative robots come with more safety and sensing features as standard, their basic prices are typically higher. Peripherals typically include force sensor, vision system, tool changers, end of arm tooling (EOAT), etc. The majority of manufacturers of industrial robots provide thorough training for setup, use, upkeep, and troubleshooting, requiring three to five days of support. A typical training session costs in the range of USD 1,399 to USD 1,599 per day, depending on its extent. In addition, expenses such as project delays, decreased output, and associated travel expenses should also be considered. Purchasing a new industrial robot will cost over USD 24,900 for entry-level options and go up-to over USD 99,900 for higher tech versions.

Asia-Pacific region dominates the global industrial robotics category, holding over 64.9% of global market share. Many firms and sectors in this region utilize industrial robots in their manufacturing operations. Moreover, this region possesses substantial growth potential due to the increasing trend toward artificial intelligence, automation, and the development of other cutting-edge technologies. The Middle East & Africa region is anticipated to witness the fastest growth during the projected timeframe owing to the growing number of industrial initiatives being undertaken by the governments of various nations in this region. For instance, in 2022, the crown prince of Dubai launched a “robotic & automation program” with an objective to boost the adoption of robotics in the nation. Furthermore, assessing if the robotic solution offered by the supplier supports the required application area, thoroughly reviewing the warranty terms offered by the supplier, evaluating if the supplier is capable to offer technical support post sales, negotiating on the best pricing term for the product on offer are some of the best sourcing practices considered in this category.

Industrial Robotics Procurement Intelligence Report Scope