PUBLISHER: Global Industry Analysts, Inc. | PRODUCT CODE: 1509417
PUBLISHER: Global Industry Analysts, Inc. | PRODUCT CODE: 1509417
Global Virtualization in Industrial Automation Market to Reach US$2.2 Billion by 2030
The global market for Virtualization in Industrial Automation estimated at US$1.9 Billion in the year 2023, is expected to reach US$2.2 Billion by 2030, growing at a CAGR of 2.4% over the analysis period 2023-2030. Process Industry End-Use, one of the segments analyzed in the report, is expected to record a 2.7% CAGR and reach US$1.3 Billion by the end of the analysis period. Growth in the Discrete Industry End-Use segment is estimated at 2.1% CAGR over the analysis period.
The U.S. Market is Estimated at US$510.4 Million While China is Forecast to Grow at 4.9% CAGR
The Virtualization in Industrial Automation market in the U.S. is estimated at US$510.4 Million in the year 2023. China, the world's second largest economy, is forecast to reach a projected market size of US$440.7 Million by the year 2030 trailing a CAGR of 4.9% over the analysis period 2023-2030. Among the other noteworthy geographic markets are Japan and Canada, each forecast to grow at a CAGR of 0.6% and 1.8% respectively over the analysis period. Within Europe, Germany is forecast to grow at approximately 1.2% CAGR.
Virtualization in Industrial Automation - Key Trends and Drivers
Virtualization in industrial automation involves utilizing virtual environments and virtual machines to control and operate industrial processes and systems. The technology enables multiple virtual instances to run on a single physical machine by abstracting the physical hardware. This allows for the independent operation of various operating systems and applications on a single server, which can be remotely located. Essentially, virtualization transforms the hardware resources of one computer, like CPU, RAM, and network adapters, into multiple virtual machines that mimic physical hardware components. This technology is vital for the progression towards cloud infrastructure, enhancing flexibility, efficiency, and resource utilization.
The market for virtualization in industrial automation is driven primarily by cost efficiency, as virtualization reduces the need for physical hardware, leading to significant savings in both capital expenditures and operational costs. This reduction in hardware also cuts down on energy consumption and maintenance needs. Another driver is the growing demand for high availability and robust disaster recovery solutions, which virtualization can provide through efficient backup, replication, and failover mechanisms. Additionally, the scalability and flexibility offered by virtualized environments allow businesses to quickly adapt to changing demands, which is essential for industries with variable workloads. Virtualization's integration with Industrial IoT (IIoT) platforms also enhances data collection and analysis, promoting its adoption. Ongoing advancements in technology, particularly in containerization and software-defined infrastructure, further improve the efficiency and robustness of virtualization solutions, making them more appealing to industrial operators.
Significant trends in the virtualization in industrial automation market include the rising use of edge computing, which brings computing resources closer to industrial devices, thereby reducing latency and enhancing data processing capabilities. The integration of artificial intelligence (AI) and machine learning with virtualized environments is also on the rise, improving predictive maintenance and process optimization, and making industrial operations smarter and more efficient. Cybersecurity is becoming increasingly important, with enhanced measures being developed to protect virtualized industrial systems from threats. The adoption of hybrid cloud solutions, which blend on-premises infrastructure with public and private clouds, is growing due to the need for seamless integration and management. Efforts to improve interoperability and standardization in virtualization technologies are making it easier to integrate different systems and vendors. Furthermore, the expansion of virtual training and simulation environments offers cost-effective and risk-free training options. These trends are driving the ongoing evolution and growth of the virtualization in industrial automation market, ensuring its continued importance and development.
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