Market Size of Europe Industrial Automation Software Industry
Study Period | 2019 - 2029 |
Base Year For Estimation | 2023 |
Market Size (2024) | USD 21.84 Billion |
Market Size (2029) | USD 32.47 Billion |
CAGR (2024 - 2029) | 8.26 % |
Market Concentration | Medium |
Major Players*Disclaimer: Major Players sorted in no particular order |
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Europe Industrial Automation Software Market Analysis
The Europe Industrial Automation Software Market size is estimated at USD 21.84 billion in 2024, and is expected to reach USD 32.47 billion by 2029, growing at a CAGR of 8.26% during the forecast period (2024-2029).
Industrial automation helps in reducing the machine hours required for the respective operations, which can be made possible only through robust software.
- Recent developments in artificial intelligence (AI) and robotics aim to assist, or even completely automate, many clerical and social interaction tasks. Along with industrial robots, the use of service robots is increasing in the fast-developing market of the European region.
- Many of the EU's research & innovation (R&I) programs have constantly supported the development of solutions and technologies that enable the European manufacturing sector to utilize digital opportunities fully. Many of the projects are financed by the Factories of the Future Public-Private Partnership as they cover areas such as digital automation, process optimization of manufacturing assets, simulation and analytics technologies, and ICT innovation for manufacturing SMEs.
- The market in Europe experiences high investments in terms of new developments, partnerships, and acquisitions. Further investment by various regional governments is expected to increase the need for client-based software solutions to meet the rising demands of SMEs and larger organizations.
- The COVID-19 pandemic brought significant adoption of Industry 4.0, which utilizes several smart manufacturing technologies. Digital workflows and automation are no longer goals; they are becoming necessary requirements. IoT devices offered manufacturers a path toward preserving revenue streams during the pandemic. Rising demand for smart manufacturing products and services in response to the public health crisis is expected to drive further growth.
Europe Industrial Automation Software Industry Segmentation
Industrial automation software controls machinery and processes that replace human beings in performing specific functions. The technological advancements impacting the industry floor, such as in-process control and robotic equipment, are increasing, driving the demand for industrial automation solutions.
The study characterizes the market based on the type of operating software, such as manufacturing execution systems (MES), asset performance management (APM), advanced process control (APC), product lifecycle management (PLM), operator training simulator (OTS), and industrial control systems software (operational and cybersecurity). The end-user segmentation includes oil and gas, chemical and petrochemical, power, water and wastewater, food and beverage, automotive and transportation, and other end-user industries. The segmentation by country includes Germany, France, the United Kingdom, Italy, Eastern Europe (including Russia and Turkey), and the Rest of Western Europe.
The study considers the impact of the COVID-19 pandemic on the market to arrive at the market size and growth rates of various segments.
The market sizes and forecasts are provided in terms of value (USD million) for all the above segments.
Type of Software | |
Manufacturing Execution Systems (MES) | |
Asset Performance Management (APM) | |
Advanced Process Control (APC) | |
Product Lifecycle Management (PLM) | |
Operator Training Simulator (OTS) | |
Industrial Control Systems Software (Operational and Cybersecurity) |
End-user Industry | |
Oil and Gas | |
Chemical and Petrochemical | |
Power | |
Water and Wastewater | |
Food and Beverage | |
Automotive and Transportation | |
Other End-user Industries |
Country | |
Germany | |
France | |
United Kingdom | |
Italy | |
Eastern Europe (Including Russia and Turkey) | |
Rest of Western Europe |
Europe Industrial Automation Software Market Size Summary
The Europe industrial automation software market is poised for significant growth, driven by advancements in artificial intelligence and robotics, which are increasingly automating clerical and social interaction tasks. The European Union's research and innovation programs, particularly those funded by the Factories of the Future Public-Private Partnership, are pivotal in enhancing digital automation and process optimization in manufacturing. These initiatives are crucial as they support the region's manufacturing sector in leveraging digital opportunities, thereby fostering a robust environment for industrial automation software. The market is further bolstered by high investments in new developments, partnerships, and acquisitions, with regional governments playing a supportive role in meeting the rising demand for client-based software solutions among SMEs and larger organizations.
The demand for industrial automation software in Europe is also fueled by regulatory pressures on energy consumption and the need for local processing, as seen in initiatives like the European Commission's REPowerEU Plan. This plan aims to reduce reliance on Russian fossil fuels and accelerate the clean energy transition, thereby driving the need for automation solutions. The automotive industry, a significant sector in the region, is experiencing increased demand for automation software due to the shift towards electric vehicles and the need for efficient manufacturing processes. The market is moderately consolidated, with key players like Siemens AG, ABB Ltd., and IBM Corporation leading the charge. These companies are actively engaging in strategic partnerships and acquisitions to enhance their market presence and drive innovation in industrial automation solutions.
Europe Industrial Automation Software Market Size - Table of Contents
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1. MARKET INSIGHTS
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1.1 Market Overview
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1.2 Global Industrial Automation Software Market Analysis
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1.3 Industry Attractiveness - Porter's Five Forces Analysis
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1.3.1 Bargaining Power of Suppliers
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1.3.2 Bargaining Power of Consumers
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1.3.3 Threat of New Entrants
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1.3.4 Threat of Substitutes
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1.3.5 Intensity of Competitive Rivalry
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2. MARKET SEGMENTATION
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2.1 Type of Software
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2.1.1 Manufacturing Execution Systems (MES)
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2.1.2 Asset Performance Management (APM)
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2.1.3 Advanced Process Control (APC)
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2.1.4 Product Lifecycle Management (PLM)
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2.1.5 Operator Training Simulator (OTS)
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2.1.6 Industrial Control Systems Software (Operational and Cybersecurity)
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2.2 End-user Industry
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2.2.1 Oil and Gas
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2.2.2 Chemical and Petrochemical
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2.2.3 Power
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2.2.4 Water and Wastewater
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2.2.5 Food and Beverage
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2.2.6 Automotive and Transportation
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2.2.7 Other End-user Industries
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2.3 Country
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2.3.1 Germany
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2.3.2 France
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2.3.3 United Kingdom
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2.3.4 Italy
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2.3.5 Eastern Europe (Including Russia and Turkey)
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2.3.6 Rest of Western Europe
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Europe Industrial Automation Software Market Size FAQs
How big is the Europe Industrial Automation Software Market?
The Europe Industrial Automation Software Market size is expected to reach USD 21.84 billion in 2024 and grow at a CAGR of 8.26% to reach USD 32.47 billion by 2029.
What is the current Europe Industrial Automation Software Market size?
In 2024, the Europe Industrial Automation Software Market size is expected to reach USD 21.84 billion.