A study by IDC showed that manufacturing firms across the region are forecast to invest $88.7bn in IoT solutions for discrete manufacturing by 2025
IoT spending in the smart manufacturing sector in the Asia-Pacific excluding Japan (APEJ) region is forecast to reach $140.6 billion by 2025, compared to a total spending of $100.7 billion expected for 2022, according to a recent study by IDC.
Meanwhile, manufacturing firms across the APEJ region are expected to invest $88.7 billion in IoT solutions for discrete manufacturing by 2025, up compared to $60.9 billion in 2022.
According to IDC, discrete manufacturers all over the world are actively investigating how to leverage the IoT to link their supply chains, equipment, and products in a better way. In a recent report, IDC revealed that manufacturing is currently the most common target of infrastructure cybercrime, accounting for one-third of all assaults. Additionally, the level of competitiveness is also increasing and so does the expectations of the client which demands improved personalization, rapid information, and better assistance.
“Most traditional manufacturing plants were not built with cybersecurity in mind. With the advancement of hacking technology, every point of connection increases the danger of cyberattacks and cybercrime, which can result in interference, remote access, intellectual property theft, and data loss or change,” said Piyush Singh, senior market analyst for IoT at IDC Asia-Pacific.
According to the consultancy firm, China is relying on the Industrial Internet of Things (IIoT) to boost production and efficiency by simplifying and automating manufacturing processes.
IDC also highlighted that industries have seen several benefits with the retrofitting of machines and equipment in manufacturing plants. Some of these benefits include the fact that retrofitting increases the value of immovable and moveable assets, while IoT enablement prevents capital equipment obsolescence. Additionally, ata analytics helps with quick decision-making.
“Retrofitting machinery with IoT capabilities is a cost-effective solution to update outdated pieces of equipment, especially when compared with totally replacing them,” Singh added.
The IDC report also forecasts that the total IoT spending in process manufacturing in the APEJ region will reach $51.9 billion in 2025, compared to $39.8 billion in 2022.