ID: MRFR/ICT/3402-CR | 100 Pages | Author: Ankit Gupta | February 2020
Industrial Ethernet Market size to reach approximately USD 15.56 Billion by 2030 | With an 11.12% CAGR
Industrial Ethernet Market Overview:
The industrial ethernet market size is all set to increase and make way for expansion based on investment and contributions during the forecast period of 2020-2030. During the historic forecast period that ended in 2019 The global industrial ethernet market is expected to reach approximately USD 15.56 Billion by 2030, with an 11.12% CAGR over the forecast period, 2020–2030. Industrial Ethernet (IE) can be understood as the use of an Ethernet in any productive and functional industrial environment with various protocols that help in providing determinism alongside real-time control. Some of the protocols for the market operations include EtherCAT, CC-Link IE, PROFINET, Modbus TCP, POWERLINK, EtherNet/IP, and SERCOS III, amongst others.
The market is witnessing a penetrating need for communication protocols that are fast, reliable, interoperable, and scalable. Also, the market is enjoying the benefits of the increasing government initiatives in the form of regulations and schemes that play an important role for the market especially in developing countries. The support and assistance will help and cater for a wide-scale promotion and adoption of industrial automation. There is increasing popularity of smart automobiles amongst the target audience that will enhance the market operations and size during the forecast period that ends in 2028.
Industrial Ethernet Market COVID 19 Analysis:
The Industrial Ethernet market has also been impacted by the outbreak of the novel coronavirus at worldwide locations. The arrival of the pandemic is forcing all the manufacturing and production companies to shut their operations and also re-evaluate and alter their strategies. The aim behind this is to push them to develop quick responses that will help in stabilizing the supply chain mechanism of the global market. Most of the manufacturing companies and units out there are not only halting their production on a global scale but are also witnessing the damage due to reduced availability of logistic support and skilled workforce since the arrival of the pandemic during the forecast period that ended in 2028.
The first quarter of the pandemic year of 2022 was a major challenge in terms of revenue for the companies and hence, to help the prominent market players cover up the losses, the government is investing in the research and development sector and bringing up schemes and regulations for better productivity and manufacturing ability. Also, the key market players are on the way to develop new products and technologies and move to the international market to launch them during the ongoing forecast period of 2021-2028.
Industrial Ethernet Market Dynamics:
The market services are being recognized as essential when it comes to achieving full transparency while working inside the premises of an industrial plant. Also, these help in introducing and maintaining efficiency amongst the plant alongside the enterprise networks, as well. The Industry 4.0 concept finds a reliable platform for communication networks as the core as the market is largely dependent on real-time operational needs. Hence, there should be a system that is well-equipped and is home to all the features that help in better handling of information in a redundant method. Also, the networks should be scalable and should belong to a piece of wide equipment and operational range for multiple standards that have various kinds of interfaces, as well.
Both the industrial devices and equipment helps in transparent and reliable communication by making use of a variety of interfaces, protocols, and technology. However, there is an absence of standardization that might lead to misuse and misinterpretation of data across numerous verticals during the forecast period that ends in 2028. This can further lead to a rise in complications related to system integrity and end up hindering the use of the plug-and-play features for the systems that are new and unrelated. Though the implementation is wide, there are only a few vendors that offer communication modules that support the protocols available to the market.
Industrial Ethernet Market Technology Analysis:
The 4.0 industry recognizes industrial communication as one of the major aspects for widened operations and the need to develop solutions to cater to large customer demand. The companies on a large scale should consider that there is a huge need for advanced communication technology and the benefits that it brings along. Hence, the market players should aim on achieving the same. The industry is undergoing evolution related to the new digital industrial technology that is packed with an array of features and devices like machines, IT systems, and sensors. These will be connected through a series of networks and will not be bound with a single enterprise only. The connected systems help in better interactions with each other and also help in analyzing data to predict failures and configure the variations accordingly.
Industrial Ethernet Market Segment Overview:
The industrial ethernet market growth relates to the revenue and production potential possessed by various market segments that are functional in various mushrooming regions across the globe. Based on the trends and division of the target audience, the market has been segmented based on the following:
Offering: The market deals in offerings like hardware, software, alongside the market services.
Protocol: The market makes use of a series of protocols like CC-Link IE, POWERLINK, EtherCAT, IP/Ethernet, and others like SERCOS III, and PROFINET.
Market end-users: The industry end-users of the growing industrial ethernet market trends are medical devices, energy, water, paper and pulp, automotive, transportation, aerospace, electronics, defense, oil and gas, food and beverages, mining, and metals amongst others.
Industrial Ethernet Market Regional Analysis:
Owing to the trends, demand, and market operations, the APAC region is expected to emerge as the largest manufacturing hub for the companies functioning and providing automobile and electronic services. The manufacturing companies that are a part of the APAC region are on the way for large-scale adoption of the smart factory concept and helps in the implementation of advanced manufacturing technologies, especially in the factories. This is an innovative concept that is expected to bring major transformations of the manufacturing sector belonging to the APAC region and related countries. Countries like China are winning the pandemic with reduced cases, and manufacturing activities are developing in the region.
Industrial Ethernet Market Competitive Landscape:
The report aims at drawing a major graph depicting the global market competition prevailing amongst the market players and operators. Also, these market players help the market reach the predicted growth during the forecast period of 2021-2028 owing to the recent developments undertaken by them. These are as follows:
These companies are also opting for mergers and acquisitions on a global scale during the forecast period. Also, the companies are signing up agreements and are up for collaborations to help the regional market grow and give proper competition during the international market operations.
Industrial Ethernet Market Recent Developments:
MDS-G4000 Series industrial DIN-rail modular managed Ethernet switches were launched by the home company - Moxa, in June 2020. These help in realizing the next level of services and solutions belonging to network versatility.Moxa has been one of the prominent market players to help the market aim for expansions during the forecast period. In April 2020, the company went on with the introduction of EDS-2000-EL alongside the EDS-2000-ML series to help in creating a brand new lineup of industrial unmanaged Ethernet switches that help with options for 5-18 ports along with the Gigabit combo ports to establish a reliable connection with more nodes promising a higher bandwidth.SICK, another prominent market player, inaugurated a fully functional and well-equipped production side that will be working in the regional Chinese market. This inauguration was held in December 2019 and aims for the expansion of capacities for the local population looking for system construction services belonging to the Chinese region.
Industrial Ethernet Market Report Overview:
The industrial ethernet market report helps the investors get their hands on reliable market insights so that they can make their investment decisions accordingly. The market report discusses the impact of the pandemic on the market operations and the dynamics in the form of drivers and restraints available to the market while aiming for growth during the forecast period of 2021-2028. The report helps in understanding the potential of the market segments by witnessing their production quantum in various regions across the globe during the period. The report also discusses the competitive degree prevailing in the market and the steps taken by the prominent market players to grow as per the predicted CAGR rate during the period that ends in 2028.
|Market Size||USD 15.56 Billion (2030)|
|Forecast Units||Value (USD Billion)|
|Report Coverage||Revenue Forecast, Competitive Landscape, Growth Factors, and Trends|
|Segments Covered||by Component, Software and Service|
|Geographies Covered||North America, Europe, Asia-Pacific, and Rest of the World (RoW)|
|Key Vendors||Beckhoff Automation GmbH & Co. KG (Germany), Cisco Systems, Inc. (US), Rockwell Automation, Inc. (US), Schneider Electric (France), Belden Inc. (US), ACS Motion Control (Israel), General Electric (US), ABB (Switzerland), Analog Devices, Inc (US), B&R (Austria), Moxa Inc. (Taiwan), OMRON Corporation (Japan), Eaton (Ireland), Bosch Rexroth AG (Germany), and Yokogawa Electric Corporation (Japan).|
|Key Market Opportunities||The industrial ethernet market in this region. These are some of the factors responsible for the growth of global industrial Ethernet market during the forecast period in the region.|
|Key Market Drivers||The growing adoption of the Industrial Internet of Things (IIoT) in the manufacturing and process verticals is one of the major factors accountable for the global industrial Ethernet market growth.|
The global industrial Ethernet market is expected to record a market value of USD 15.56 Billion by 2030
The global market for industrial Ethernet is poised to record a CAGR of 11.12% over the review period of 2020 to 2030
The growing adoption of the Industrial Internet of Things (IIoT) in the manufacturing and process verticals is one of the major factors accountable for the global industrial Ethernet market growth.
The high requirement of capital investment to install industrial Ethernet solutions is a limitation for market growth.
Major industry verticals adopting industrial Ethernet solutions are aerospace and defense, IT and telecom, and automotive, among others.
the early adoption of technology, presence of significant market players and high penetration IoT devices is expected to drive the North American market for industrial Ethernet Solutions.
Cisco Systems, Inc. (US), Beckhoff Automation GmbH & Co. KG (Germany), Rockwell Automation, Inc. (US), Schneider Electric (France), are some of the major market players for industrial Ethernet solutions.
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