The global cloud robotics market is growing at CAGR of 32.4% and by the end of 2024, the market valuation is likely to touch $21.9 billion from $1.38 billion earned in 2015, said a report, adding that cybersecurity seems to be biggest challenge but emergence of 5G mobile technology is expected to make cloud robotics safer, faster and speedier.
While the hardware segment is dominating the cloud robotics market with revenue share of 74%, the demand for the software segment is also gradually increasing at a significant rate, thanks to platform as a service (PaaS) and robotics as a service (RaaS) business models, said a report from Transparency Market Research.
Traditionally, North America had the largest share in the market but over the last couple of years Asia Pacific is improving and it is likely to dominate the market as more and more emphasis is given to advanced technologies in emerging countries.
Demand for cloud robotics gaining
The demand for cloud robotics is gaining significantly and it has all the potential to be a hot product like artificial intelligence (AI). According to the report, the application of cloud robotics is being seen in multiple industries including logistics, entertainment, monitoring, and education. For example, swift growth in automation has thrived integration of cloud robotics mainly to improve working efficiency in different industries.
With the use of electrical, software and mechanical systems that are used in cloud robotics together provide precision, speed, and accuracy. Therefore, installations of cloud robotics on regular functioning will significantly improve the working at a larger scale, said the report.
The report also emphasised that the cloud connectivity will provide better and improved data storage capacity, collective learning solutions, and augmented brainpower for businesses.
Cyber Security: Biggest threat to cloud robotics
However, this growth is not as smooth as it seems, according to the report, despite the growing demand in the global cloud robotics market, restraining factors such as the issues with data threats and security, may delay in deploying cloud robotics on regular basis.
5G to make cloud robotics reliable
But the report emphasised that with the development of 5G technology, cloud robotics platform is anticipated to be safer, faster, and speedier. The growing use of 5G technology is expected to grow at a significant rate that will trigger the demand in the global cloud robotics market.
The report said that the presence of a limited number of players has created a consolidated market structure in the global cloud robotics market. The competition among these companies is likely to increase, as they are involved in research and development activities on a large scale. The leading players are focusing on expanding their product portfolio by using advanced technologies. These factors will help the players to get a stronger hold in the market and keep them at par by competing with players.
Top players in cloud robotics
Currently, Kuka AG, Rockwell Automation, ABB Group, Yaskawa Electric Corporation, Fanuc Corporation, Tend.ai, Universal Robotics A/S, Rapyuta Robotics Co. Ltd., HotBlack Robotics Srl, Calvary Robotics, and Motion Controls Robotics are some of the leading players operating in the market.