Delray Beach, FL, Nov. 04, 2024 (GLOBE NEWSWIRE) -- The global cyber-physical systems market is expected to grow from USD 124.1 billion in 2024 to USD 255.3 billion by 2029, growing at a CAGR of 15.5% from 2024 to 2029.
A cyber-physical system (CPS) merges physical activities with digital technology, making it possible for the real and virtual worlds to interact seamlessly. This market caters to several verticals, such as manufacturing and oil & gas, where it improves productivity, security, and sustainability. The demand for CPS systems is mainly driven by the development of the Internet of Things (IoT), artificial, robotic, and data analytical technologies to cut costs and make better decisions.
Major vendors in the Cyber-Physical Systems companies include
- ABB (Switzerland),
- Honeywell International Inc. (US),
- Rockwell Automation (US),
- Schneider Electric (France),
- Siemens (Germany),
- Continental AG (Germany),
- General Electric Company (US),
- Hitachi, Ltd. (Japan),
- Toshiba Corporation (Japan), and
- Robert Bosch GmbH (Germany).
Cyber-Physical Systems Market Segmentation:
Digital twin segment to register highest CAGR during forecast period
Digital twins are emerging as one of the transformative forces in the cyber-physical systems market due to the creation of virtual replicas of physical assets, processes, or systems with high precision. Such a technology would equip organizations with real-time simulation and analytics that optimize operations by drawing insight from performance and condition data about physical assets. This technology helps enhance decision-making and enables superior operational efficiencies and strategic planning based on data-derived insights.
Smart grid segment held largest share of cyber-physical systems market in 2023
The smart grid segment held the largest share in the cyber-physical systems market in 2023 due to technological advancements in energy management systems. The smart grid provides real-time monitoring and integration of energy sources, enhancing grids’ reliability and efficiency. The rapidly increasing population and urbanization have also significantly increased the global energy demand. Smart grids are essential in meeting high energy demand by optimizing distribution networks with minimal energy losses.
Manufacturing segment captured second-largest share of cyber-physical systems market in 2023
The manufacturing sector is a key vertical in the cyber-physical system market, holding the second-largest share in 2023. Most manufacturing operations rely on advanced technologies to increase the value of the production process. Furthermore, cyber-physical systems in manufacturing allow real-time monitoring and control of production lines, resulting in increased resource management and process optimization efficiency.
Cyber-Physical Systems Market: Regional Analysis
Asia Pacific to Exhibit Highest CAGR in Cyber-Physical Systems Market During Forecast Period
The cyber-physical systems industry has been observing a faster growth rate in Asia Pacific, owing to rapid industrialization, surging investments in smart infrastructures, and upscaling adoption of sophisticated technologies among key sectors. Nations, such as China, Japan, South Korea, and India, lead in integrating CPS technologies, including the Industrial Internet of Things (IIoT), smart grids, and digital twins, into manufacturing, automotive, and energy industries. This region’s persistent digital transition is aligned with government initiatives, and zoning research & development (R&D) resources stimulate acceptance of CPS to boost operational effectiveness and competitiveness.
Global Cyber-Physical Systems Market Ecosystem Analysis
The cyber-physical systems market is dominated by established and financially sound manufacturers with extensive experience in the industry. These companies have diversified product portfolios, cutting-edge technologies, and strong global sales and marketing networks. The adoption of cyber-physical systems (CPS) in various applications, and the impact of emerging technologies have been provided below. Furthermore, the system component providers, networking and communication solutions providers, systems integrators, and verticals are major entities involved in the ecosystem of cyber-physical systems market.
AI Impact on Cyber-Physical Systems Market
AI is revolutionizing CPS by improving their abilities to process data, make decisions, and perform tasks autonomously. This is possible as some of the systems that make up CPS can process enormous amounts of data in real time and perform tasks, such as predictive maintenance and adaptive control. AI technology significantly increases the efficiency of industrial management technologies by improving decision-making ability and precise control over the industrial process. AI-based smart systems used in industries, such as manufacturing, healthcare, and aerospace, are integrating physical and digital components to enhance operational efficiency in the CPS framework.
Attractive Opportunities in the Cyber-Physical Systems Market
- Government initiatives and policies support digital transformation and smart technology adoption.
- Growing focus on sustainability and energy efficiency boost the adoption of smart grids and digital twins across the region.
- Expansion of smart city projects presents significant opportunities for CPS applications in urban infrastructure.
- Increasing investment in advanced manufacturing technologies offers potential for CPS innovations for industrial automation applications.
