Southeast
Asia's nascent Industry 4.0 deployments hold key to
unlocking manufacturing potential through digital transformation
and smart factories
NEW
YORK, June 26, 2024 /PRNewswire/ -- Digital
transformation investment in Industry 4.0 solutions by Southeast
Asian manufacturers is expected to grow steadily to reach
US$301.6 billion in 2028, marking a
32.9% CAGR, according to global technology intelligence firm ABI
Research. With most Southeast Asian manufacturers still in the
early stages of digital transformation, this growth in spending
will significantly improve the efficiency and impact of
manufacturing in the region, with the share of manufacturing
factories that have implemented smart solutions growing from 6.3%
currently to 32.8% by 2028 (representing an average year-on-year
growth of 31.6%).
"Thailand, Malaysia, and Singapore are currently leading the way for
digital transformation among manufacturers and are expected to
continue for the next five years. Successful implementations and
demonstrations of improved efficiency and Operational Cost Savings
(OCS) because of these deployments will catalyze greater digital
implementation in the manufacturing sector across the Southeast
Asian region," explains Benjamin
Chan, a Research Analyst at ABI Research. "This represents
an attractive opportunity for key industry players, such as System
Integrators (SIs) and technology vendors, which are keen to tap
into the growing interest in smart manufacturing solutions in the
region."
Industry 4.0 solutions in today's manufacturing sector integrate
and implement a significant network of interconnected solutions and
systems, such as Industrial Internet of Things (IIoT), low-latency
5G-enabled monitoring devices, Artificial Intelligence (AI) and
Machine Learning (ML) modules, and other solutions that include but
are not limited to data analytics, robotics, and worker enablement.
With the growing appetite for AI-based solutions and data analytics
in manufacturing processes, implementing effective solutions
directly targeted at identified operational pain points will be a
key driver to incentivize smart solution spending. By capitalizing
on various analytical outcomes based on data, manufacturers can
leverage a wide range of Industry 4.0 solutions that exponentially
increase productivity and OCS. Some successful case examples
include Smart Automation Manufacturing with Mitsubishi
Electric in its e-F@ctory Thailand facilities.
Additionally, technology solutions providers like
Groundup.AI have demonstrated adaptability by providing
retrofitted AI-powered sound sensors in traditional manufacturing
equipment used in Singapore,
Malaysia, and Vietnam. This proves that the Southeast Asian
market can be untapped for innovators looking to introduce
disruptive technologies into the manufacturing sector.
"The general digital maturity of the Southeast Asian
manufacturing industry, while improving, is still comparatively
low," says Chan. "However, even though digital transformation has
yet to become prevalent in Southeast
Asia, enterprises and businesses will overcome the inertia
as more innovators and innovative companies lead the way in
unlocking demand for smart manufacturing. If they do not,
manufacturers in North-East Asia and the USA will leave them in their wake."
These findings are from ABI Research's Smart Manufacturing in
Southeast Asia market data report.
This report is part of the company's Southeast Asia Digital
Transformation research service, which includes research,
data, and analyst insights.
About ABI Research
ABI Research is a global technology intelligence firm uniquely
positioned at the intersection of technology solution providers and
end-market companies. We serve as the bridge that seamlessly
connects these two segments by providing exclusive research and
expert guidance to drive successful technology implementations and
deliver strategies proven to attract and retain customers.
ABI
Research是一家全球性的技术情报公司，拥有得天独厚的优势，充当终端市场公司和技术解决方案提供商之间的桥梁，通过提供独家研究和专业性指导，推动成功的技术实施和提供经证明可吸引和留住客户的战略，无缝连接这两大主体。
For more information about ABI Research's services, contact us
at +1.516.624.2500 in the Americas, +44.203.326.0140 in
Europe, +65.6592.0290 in
Asia-Pacific, or visit
www.abiresearch.com.
Contact Info:
Global
Deborah
Petrara
Tel: +1.516.624.2558
pr@abiresearch.com
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SOURCE ABI Research