Digital Twin Market Overview
Digital Twin Market Size was valued at USD 6.5 billion in 2021. The Digital Twin market industry is projected to grow from USD 8.6 Billion in 2022 to USD 64.76 billion by 2030, exhibiting a compound annual growth rate (CAGR) of 33.30% during the forecast period (2024 - 2030). The surge in adoption of 3D printing technology and pharmaceutical industries, and the growing propensity toward the adoption of IoT solutions across various industries are the key market drivers enhancing the market growth.
Figure 1: Digital Twin Market Size, 2022-2030 (USD Billion)
Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review
Digital Twin Market Trends
Adoption of Product Twin across Healthcare & Life Science to boost market growth
The incorporation of twin solutions across the healthcare & life science sector is considered one of the emerging trends. These solutions are increasingly deployed across the pharmaceutical sector to estimate the conclusion of procedures, resulting in fewer physical and real-world tests or process completions. These factors assist healthcare users in developing and authenticating drug applicants. According to the Swedish Digital Twin Consortium, product twin solutions are in the emerging phase and could be used to personalize healthcare treatment. The aim is to develop secure network models and then match those twins computationally. With the rise in awareness of digital solutions, key players are engaged in developing digital life science research and development models. For instance, Hewlett Packard Enterprise used its supercomputer to create digital models of the brain for research purposes in collaboration with Ecole Polytechnique Federale de Lausannes (EPFL). Thus, growing developments and increasing demand for advanced technology in the industry will increase the digital twin market share. Additionally, digital twins technology helps improve physical product design for the entire product lifecycle through pre-analysis of the actual product in its development stage. In the Industrial Internet of Things (IIoT), digital twin technology discovers errors and changes in large machinery equipment through its analytic software connected with IoT components such as smart sensors and networks.
The tools for building digital twins are growing in power and sophistication. It is now possible to design complex what-if simulations, backtrack from detected real-world conditions, and perform millions of simulation processes without overwhelming systems. Further, with the number of vendors increasing, the range of options continues to grow and expand. Moreover, data from real-time asset monitoring technologies such as LiDAR (light detection and ranging) and FLIR (forward-looking infrared) can now be incorporated into digital twin simulations. Therefore, such medical condition has enhanced the Digital Twin market CAGR across the globe in the recent years.
However, increasing adoption of 3D Simulation and 3D printing software is another factor driving the growth of the Digital Twin market revenue.
Digital Twin Market Segment Insights
Digital Twin Type Insights
The Digital Twin market segmentation, based on type, includes parts twin, product twin, process twin, and system twin. The product twin segment held the majority share in 2021 contribution to around ~40% in respect to the Digital Twin market revenue. The growth is attributed to the rising demand for IoT sensors and electronic manufacturing devices across the healthcare industry. According to IoT World Today, virtual twin is highly adopted across the healthcare industry to develop advanced product twin applications. In healthcare, technology has begun to aid doctors with a better understanding of patients’ diseases, including the corona virus effect on lungs.
Figure 2: Digital Twin Market, by Type, 2021 & 2030 (USD Million)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Digital Twin Technology Insights
The Digital Twin market segmentation, based on technology, includes IoT and IIoT, 5G, big data analytics, blockchain, and artificial. The IoT segment dominated the market in 2021 and is projected to be the faster-growing segment during the forecast period, 2022-2030. IoT devices provide additional benefits to companies as it is refined and digital twin contexts include less complicated objects. Digital twins of complex assets and hierarchical structures can be designed, managed, and visualized using lot. Hence, rising applications for Digital Twin positively impacts the market growth.
Digital Twin End-user InsightsThe Digital Twin market data has been bifurcated by end-user into aerospace & defense, automotive & transportation, manufacturing, healthcare, retail, energy & utilities, home & commercial, it and telecom, and others. The automotive & transportation segment dominated the market in 2021 and is projected to be the faster-growing segment during the forecast period, 2022-2030. The increasing demand for 3D simulation and 3D printing software across applications such as fleet management, vehicle designing & simulation is likely to surge the demand.
Aerospace & defense was the fastest growing. The growth is owing to the rising adoption of automation technologies such as Robotic Process Automation (RPA), industry 4.0, and others. The adoption of these technologies would create opportunities for key players to develop customized solutions to cater to end-users.
Digital Twin Regional Insights
By Region, the study provides the market insights into North America, Europe, Asia-Pacific and Rest of the World. North America Digital Twin market accounted for USD 0.88 billion in 2021 and is expected to exhibit a significant CAGR growth during the study period. As end-users across industries, such as healthcare, home & commercial, among others, of the U.S. are investing in adopting parts twin and product twin, this is likely to drive the market growth. Moreover, the U.S. and Canada mark the presence of key providers such as IBM Corporation, Microsoft Corporation, Oracle Corporation, Cisco Systems, Inc., and others.
Further, the major countries studied in the market report are: The U.S, Canada, Germany, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.
Figure 3: Digital Twin MARKET SHARE BY REGION 2021 (%)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Europe Digital Twin market accounts for the second-largest market share due to the availability of cutting-edge treatment facilities, government backing for the growth of the healthcare industry, an ageing population, and an increase in incidence of degenerative disc disease, rheumatoid arthritis, and osteoarthritis. Further, the Germany Digital Twin market held the largest market share, and the UK Digital Twin market was the fastest growing market in the European region.
The Asia-Pacific Digital Twin Market is expected to grow at the fastest CAGR from 2022 to 2030. The growth of this region can be attributed to the well-established manufacturing and automotive industries in countries such as China, India, Japan, and South Korea. Additionally, smart city development projects across the region and the high demand for consumer products are driving the regional market. Moreover, China Digital Twin market held the largest market share, and the India Digital Twin market was the fastest growing market in the Asia-Pacific region.
Digital Twin Key Market Players & Competitive Insights
Major market players are spending a lot of money on R&D to increase their product lines, which will help the Digital Twin market grow even more. Market participants are also taking a range of strategic initiatives to grow their worldwide footprint, with key market developments such as new product launches, contractual agreements, mergers and acquisitions, increased investments, and collaboration with other organizations. Competitors in the Digital Twin industry must offer cost-effective items to expand and survive in an increasingly competitive and rising market environment.
One of the primary business strategies adopted by manufacturers in the Digital Twin industry to benefit clients and expand the market sector is to manufacture locally to reduce operating costs. In recent years, Digital Twin industry has provided medicine with some of the most significant benefits. The Digital Twin market major player such as Cupix, Ansys, Inc. and others are working to expand the market demand by investing in research and development activities.Cupix provides a cloud based software to automatically map 360 photos and create 3D models only with consumer grade 360 cameras. In June 2021, Cupix announced the availability of CupixWorks 2.0, a significant update to its leading product, CupixWorks. CupixWorks 2.0 is the industry’s most advanced 3D digital twin platform, enabling building owners, general contractors, and project managers to build smarter, transforming any construction site into an easy-to-manage project and creating value across the entire life cycle of a property.
Also, Ansys, Inc. is an American multinational company with its headquarters based in Canonsburg, Pennsylvania. It develops and markets CAE/multiphysics engineering simulation software for product design, testing and operation and offers its products and services to customers worldwide. In March 2021, Ansys, a company from the USA, and GlobalFoundries (GF) collaborated to offer silicon photonics solutions to address the growth of data volumes while significantly reducing power consumption.
Key Companies in the Digital Twin market include
Digital Twin Industry Developments
June 2021: FARO Technologies Inc. announced the acquisition of HoloBuilder. HoloBuilder’s SaaS platform will add fast and easy reality-capture photo documentation and remote access capability to FARO’s highly accurate 3D point cloud-based laser scanning to create the industry’s first end-to-end Digital Twin solution.
March 2021: The Lamina Tower, an ultra-luxury residential condominium tower in the Middle East, partnered with Cityzenith LLC to create a multi-purpose digital twin using the SmartWorldOS Digital Twin desktop application to create a 3D view of the property and surroundings, along with other requirements.
Digital Twin Market Segmentation
Digital Twin Type Outlook
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Parts Twin
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Product Twin
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Process Twin
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System Twin
Digital Twin Technology Outlook
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IoT and IIoT
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5G
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Big data analytics
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Blockchain
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Artificial intelligence
Digital Twin End-User Outlook
Digital Twin Regional Outlook
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Germany
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France
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UK
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Italy
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Spain
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Rest of Europe
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Asia-Pacific
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China
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Japan
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India
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Australia
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South Korea
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Australia
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Rest of Asia-Pacific
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Rest of the World
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Middle East
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Africa
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Latin America
| Report Attribute/Metric |
Details |
| Market Size 2021 |
USD 6.5 billion |
| Market Size 2022 |
USD 8.6 billion |
| Market Size 2030 |
USD 64.76 billion |
| Compound Annual Growth Rate (CAGR) |
33.30% (2024-2030) |
| Base Year |
2021 |
| Market Forecast Period |
2024-2030 |
| Historical Data |
2018 & 2020 |
| Market Forecast Units |
Value (USD Billion) |
| Report Coverage |
Revenue Forecast, Market Competitive Landscape, Growth Factors, and Trends |
| Segments Covered |
Type, Technology, End User, and Region |
| Geographies Covered |
North America, Europe, Asia Pacific, and Rest of the World |
| Countries Covered |
The U.S, Canada, Germany, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil |
| Key Companies Profiled |
General Electric (US) AI (US) IBM (US) Siemens AG (Germany) PTC (US) Microsoft Corporation (US) ANSYS (US) Oracle (US) SAP (Germany) Robert Bosch (Germany) |
| Key Market Opportunities |
Emergence of 4.0 |
| Key Market Dynamics |
Increasing demand in healthcare industry |
Digital Twin Market Highlights:
Frequently Asked Questions (FAQ) :
The Digital Twin market size was valued at USD 6.5 Billion in 2021.
The market is projected to grow at a CAGR of 4.7% during the forecast period, 2024-2030.
The Digital Twin market has been expanding quickly over the past few decades, and by 2030, it is estimated to reach USD 64.76 Billion.
North America had the largest share of the market.
The key players in the market are General Electric (US) AI (US) IBM (US) Siemens AG (Germany) PTC (US) Microsoft Corporation (US) ANSYS (US) Oracle (US).
The Parts Twin category dominated the market in 2021.
The automotive & transportation had the largest share in the market.
