Factory Automation Market 2030: Harnessing the Cloud for Efficiency...

Factory Automation Market 2030: Harnessing the Cloud for Efficiency

Posted 2025-09-11 07:29:54

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Factory Automation Market Growth & Trends

The global factory automation market size is anticipated to reach USD 67.17 billion by 2030 and is expected to expand at a CAGR of 11.1% during the forecast period, according to a new report by Grand View Research, Inc. A confluence of technological advancements and evolving industrial demands is driving the market. Integrating artificial intelligence (AI), machine learning, and the Industrial Internet of Things (IIoT) has revolutionized manufacturing processes, enabling predictive maintenance, real-time monitoring, and enhanced operational efficiency. These innovations allow factories to optimize production lines, reduce downtime, and improve resource utilization, significantly boosting productivity and profitability.

Moreover, the growing emphasis on energy efficiency and sustainability prompts industries to adopt automation solutions that minimize waste and reduce carbon footprints. Automated systems are increasingly being deployed to streamline workflows, monitor energy consumption, and ensure compliance with environmental regulations. This shift is particularly evident in sectors such as automotive, food and beverage, pharmaceuticals, and electronics, where precision and consistency are paramount.

The global labor landscape is also influencing the adoption of factory automation. Labor shortages, rising wages, and the need for safer working environments encourage manufacturers to invest in automated technologies that can perform repetitive or hazardous tasks with minimal human intervention. The COVID-19 pandemic further accelerated this trend, as companies sought resilient and scalable solutions to maintain operations amid workforce disruptions.

Rapid industrialization in emerging economies, particularly across the Asia Pacific, fuels demand for automation systems. Countries such as China, India, and Indonesia are witnessing increased investments in infrastructure and manufacturing, supported by government initiatives to modernize production capabilities. This regional growth, coupled with the rising popularity of cloud-based automation platforms and smart manufacturing practices, is expected to sustain the market’s upward trajectory through the forecast period.

Order a free sample PDF of the Factory Automation Market Intelligence Study, published by Grand View Research

Further key findings from the report suggest:

By component, software segment is expected to witness the fastest CAGR of over 14% from 2025 to 2030
By component, hardware segment dominated the market with a revenue share of over 57% in 2024
By end use. the manufacturing segment accounted for the largest revenue share in 2024
North America factory automation market accounted for a significant share of over 27% in 2024
The factory automation market in the U.S. dominated with a share of over 81% in 2024

Factory Automation Market Segmentation

Grand View Research has segmented the global factory automation market based on component, technology, end use, and region: