Industrial Analytics Global Market Report 2024

The industrial analytics market size has grown rapidly in recent years. It will grow from $26.27 billion in 2023 to $30.47 billion in 2024 at a compound annual growth rate (CAGR) of 16.0%. The growth during the historical period can be attributed to efficiency and optimization, predictive maintenance, cost reduction strategies, globalization, and supply chain optimization, along with regulatory compliance.

The industrial analytics market size is expected to see rapid growth in the next few years. It will grow to $57.52 billion in 2028 at a compound annual growth rate (CAGR) of 17.2%. The anticipated expansion during the forecast period can be credited to an emphasis on cybersecurity, the incorporation of edge computing, and tailoring solutions to meet industry-specific requirements. Key trends expected in this period encompass the integration of sensor technologies, widespread adoption of Industry 4.0 principles, incorporation of digital twins, integration of IoT sensors, and enhanced cybersecurity measures for industrial systems.

The industrial analytics market is expected to experience growth, driven by the rising demand from the e-commerce sector. The surge in online commerce is attributed to factors such as increased smartphone adoption, easy access to technology, and the convenience of making purchases from any location at any time. The COVID-19 pandemic has further accelerated this trend, with people opting for e-commerce platforms to fulfill their goods and services needs. For example, in November 2023, retail e-commerce sales in the United States reached an estimated $284.1 billion, reflecting a significant 7.8% growth compared to the same period in 2022. Hence, the increasing demand for e-commerce is a key factor propelling the growth of the industrial analytics market.

The industrial analytics market is poised for growth, propelled by the increasing adoption of cloud-based apps. Cloud adoption involves the integration and utilization of cloud computing services and technologies by individuals, organizations, or businesses. Cloud-based apps are transforming industrial analytics by efficiently scaling with data volume and processing demands, accommodating large datasets and complex calculations. A survey by O'Reilly Media Inc. in December 2021 revealed that 90% of 2,834 global respondents' organizations currently use cloud-based applications. Looking ahead, 48% plan to shift over half of their apps to the cloud within the next year, with 20% aiming for a complete migration. Therefore, the growing adoption of the cloud-based apps sector is a key driver for the industrial analytics market.

Major players in the industrial analytics market are investing in innovative software such as analytics enterprise to enhance their market profitability. Analytics enterprise refers to specific technology or software solutions that offer centralized data management, analysis tools, and workflow automation for organizations. In November 2022, the US-based technology provider, The International Business Machines Corporation (IBM), launched IBM Business Analytics Enterprise. This software is designed to help enterprises break down data and analytics silos, facilitating data-driven decision-making and improving adaptability to unforeseen disruptions. IBM Business Analytics Enterprise provides organizations with an integrated performance view, customizable dashboards, AI-driven analytics for accurate forecasts, and streamlined, governed workflows for better decision-making and planning processes.

Major players in the industrial analytics market are introducing new AI-powered platforms to enhance their market profitability. An AI platform for industrial analytics refers to a comprehensive technology solution designed specifically for analyzing and interpreting data generated within industrial settings. In March 2023, LYTT, a UK-based sensor fusion analytics platform provider, launched an Industrial AI Sensor Platform aimed at revolutionizing the industrial sector by converting big data into actionable insights. This platform ensures unprecedented operational visibility, driving efficiency and profitability. By leveraging AI and machine learning, businesses can extract real-time insights from sensor data, optimizing operations, reducing costs, and improving their bottom line. LYTT's commitment to delivering industrially proven solutions is evident in this launch, particularly benefiting businesses in the energy and utilities sectors, empowering them to maximize data value and achieve operational excellence.

In November 2021, Camo Analytics, a Norway-based industrial analytics company, was acquired by Aspen Technology, a US-based industrial software company, for an undisclosed amount. This acquisition is expected to enhance AspenTech’s portfolio with Process Analytical Technology (PAT) and Overall Equipment Effectiveness (OEE) solutions, ensuring compliance, reducing waste, and facilitating improvement.

Major companies operating in the industrial analytics market report are Robert Bosch GmbH, Hitachi Ltd., Amazon Web Services Inc., Siemens AG, General Electric Company, Microsoft Corporation, International Business Machines Corporation (IBM), Cisco Systems Inc., Oracle Corporation, Schneider Electric SE, Honeywell International Inc., SAP SE, ABB Ltd., Hewlett Packard Enterprise Company, Emerson Electric Co., Rockwell Automation Inc., Yokogawa Electric Corporation, SAS Institute Inc., Splunk Inc., PTC Inc., TIBCO Software Inc., Fair Isaac Corporation, Software AG, Altair Engineering Inc., Aspen Technology Inc., OSIsoft LLC, Telit Communications PLC, Cognite AS, Seeq Corporation, Uptake Technologies Inc.

North America was the largest region in the industrial analytics market in 2023. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the industrial analytics market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the industrial analytics market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The primary types of industrial analytics include predictive, prescriptive, descriptive, and diagnostic analytics. Predictive analytics utilizes statistics and modeling techniques based on current and historical data to forecast future performance and predict outcomes. Its applications extend to determining customer responses for promoting cross-sell opportunities and purchases. Industrial analytics can be deployed on the cloud or on-premises, with components comprising software and services. It finds application across small, medium, and large organizations in various sectors such as information technology, telecom, energy, utilities, transportation, logistics, retail, consumer goods, manufacturing, and others.

The industrial analytics market research report is one of a series of new reports that provides industrial analytics market statistics, including industrial analytics industry global market size, regional shares, competitors with an industrial analytics market share, detailed industrial analytics market segments, market trends and opportunities, and any further data you may need to thrive in the industrial analytics industry. This industrial analytics market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The industrial analytics market includes revenues earned by entities by providing analytics for promoting efficient business processes and industry operations. The market value includes the value of related goods sold by the service provider or included within the service offering.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.