Cloud Manufacturing Market

The manufacturing industry across the globe is increasingly using the cloud for managing the day to day processes from the designing stage to production and maintenance. Rising adoption of IoT in manufacturing processes has forced manufacturers to move to cloud-based management platforms such as ERP systems. Large enterprises dominate a large portion of the cloud manufacturing market. Development of technologies such as cloud computing, virtualization, and Internet of things (IoT) has positively impacted the growth of cloud manufacturing market. Cloud-based manufacturing offers manufacturers benefits such as increased productivity and reduced costs.

The global cloud manufacturing market generated a revenue of USD 38.72 billion in 2018 and is expected to reach a market value of USD 111.90 billion by 2024 growing at a CAGR of 19.8%. North America has accounted for more than 40% of the market share in the cloud manufacturing market due to the presence of key market players such as Amazon.com, Inc., Google, Oracle, and SalesForce. The growing adoption of cloud across multiple verticals in the manufacturing industry in the US is driving market growth in the region. Manufacturing industries including automotive and aerospace and defense have shown increased demand for cloud-based manufacturing systems which has positively impacted market growth in the region.

The cloud manufacturing market of Europe acquired ~ 28% market share globally in 2018. Europe has witnessed high adoption of cloud-based ERP systems in the booming automotive industry in countries such as Germany, France, and the UK. Germany is currently dominating the Europe cloud manufacturing market with around 34% market share followed by the UK. The country has witnessed rising adoption of cloud-based ERP systems among large enterprises which has driven market growth in Europe. Growing uncertainties over data privacy and security and implementation of GDPR are expected to hamper the growth of Europe cloud manufacturing market in the coming years.

Asia-Pacific cloud manufacturing market acquired around 19% of the market share in terms of revenue generation as China, India, Japan, South Korea, Malaysia, and Australia are experiencing increased adoption of cloud-based platforms among SMEs as well as large enterprises in the manufacturing sector. Additionally, high growth in semiconductor manufacturing and metal manufacturing industries in countries such as China and India are driving market growth in the Asia-Pacific region.

The Middle East and Africa, and South America have witnessed increased adoption of cloud-based services and platforms in manufacturing industries such as oil and gas, automotive and electronics and semiconductor electronics. Rising adoption of cloud-based manufacturing solutions in countries such as Saudi Arabia, Brazil, and Qatar is expected to drive market growth in these regions