Operational Technology Market
Operational Technology Market Size, Share & Trends Analysis Report by Component (Human-Machine Interface, and Control Systems), by Networking Technology (Wired, and Wireless), and by Industry (Process Industry, and Discrete Industry) Forecast Period (2024-2031)
Operational technology market is anticipated to grow at a significant CAGR of 6.5% during the forecast period (2024-2031). The adoption of operational tech (OT) solutions is being driven by factors such as increasing automation, IT/OT convergence, cybersecurity concerns, the need for real-time data and analytics, government regulations, and a focus on energy efficiency and sustainability. Companies are investing in these systems to enhance automation, monitor real-time data, and boost productivity. The rise of IIoT is transforming traditional OT environments by improving monitoring and predictive maintenance capabilities. Additionally, organizations are prioritizing operational resilience to withstand disruptions. The trend of smart manufacturing, incorporating advanced technologies such as, AI, machine learning, and robotics, is further increasing the demand for sophisticated OT solutions.
Market Dynamics
Technological Advancements in Manufacturing
Robotics technology advancements, including AI and machine learning, are enhancing robot versatility and performance, attracting industries such as, automotive and electronics to adopt the technologies, driving market growth. According to the International Federation of Robotics Org., in April 2024, US manufacturing companies increased automation investments, with total industrial robot installations reaching 44,303 units in 2023. The car industry was the top adopter, followed by electrical and electronics. The automotive segment saw a 1% increase in robot installations, with 33% of all installations.
Rising Cybersecurity and Risk Management
Cybersecurity and risk management are essential in the growing operational tech (OT) market, as essential infrastructure, such as energy grids and transportation networks, becomes increasingly vulnerable to cyber threats that drives the market growth. For instance, in April 2024, Critical Start launched a tailored managed detection and response (MDR) service for operational technology (OT), a critical area of risk for industrial organizations. The service combines OT-specific threat detection capabilities with existing infrastructure and tools to address unique challenges faced by industrial organizations. It offers immediate visibility and risk reduction, a scalable solution that grows with an organization's OT security needs, end-to-end visibility for IT/OT convergence, and tailored rules of engagement and product integrations. The MDR for OT helps overcome barriers to OT security monitoring, providing a cost-effective, flexible solution that can be implemented quickly and scaled over time.
Market Segmentation
- Based on the component, the market is segmented into human-machine interface, and control systems.
- Based on the networking technology, the market is segmented into wired, and wireless.
- Based on the industry, the market is segmented into process industry, and discrete industry.
Wireless Segment is projected to Hold the Largest Market Share
Intelligent wireless capabilities and 5G connectivity are essential for low-latency, high-speed data transmission in OT environments, benefiting industries such as, energy, transportation, and manufacturing with reliable communication driving market growth. For instance, in February 2023, VMware expanded its SD-WAN and SASE offerings to include OT with a new software client offering. The company offers enhanced remote worker/device connectivity and intelligent wireless capabilities, and has partnered with Intel to deliver edge appliances with 5G connectivity. The company enhances application reliability and supports various transport services.
Control Systems Segment to Hold a Considerable Market Share
Cybersecurity threats are increasing, particularly in essential infrastructure sectors relying on control systems, requiring robust measures and high-profile incidents to highlight OT environments' vulnerability. For instance, in October 2023, the National Security Agency (NSA) released a repository of signatures and analytics called ELITEWOLF, which aims to secure OT by detecting potential malicious cyber activity. This capability, a follow-up to protect operational technologies and control systems against cyberattacks cybersecurity advisory, enables defenders to protect their OT environments.
Regional Outlook
The global operational technology market is further segmented based on region including North America (the US, and Canada), Europe (the UK, Italy, Spain, Germany, France, and the Rest of Europe), Asia-Pacific (India, China, Japan, South Korea, and Rest of Asia-Pacific), and the Rest of the World (the Middle East & Africa, and Latin America).
Growing Demand for Smart Manufacturing In the North American Region
The increasing demand for smart manufacturing is primarily driven by the need for advanced OT solutions to optimize processes and enhance efficiency. For instance in March 2023, Optiv, offers a full suite of operational technology services to help businesses secure their critical hardware, systems, and processes. The services include advisory, deployment, and management, ensuring safety, uptime, and resiliency for businesses. The company works closely with technology partners to provide expert racking, stacking, tuning, and integration.
Global Operational Technology Market Growth by Region 2024-2031
Asia-Pacific Holds Major Market Share
Regulatory bodies are increasing cybersecurity standards for critical infrastructure, requiring robust measures and specialized support from organizations to ensure compliance and drive market growth. For instance, in August 2023, Kyndryl launched a Global Security Operations Center in Bengaluru, India, which uses artificial intelligence and machine learning to provide comprehensive support and advanced protection capabilities for the entire cyber threat lifecycle. The center collaborates with Kyndryl's global network of cybersecurity experts, offering a hybrid model for organizations to outsource certain cybersecurity functions or fully outsource end-to-end operations management.
- In June 2023, India launched its first critical infrastructure security framework, the National Cybersecurity Reference Framework, which guided organizations in seven major sectors, including telecommunications, power, energy, banking, transportation, strategic entities, government enterprises, and healthcare.
Market Players Outlook
*Note: Major Players Sorted in No Particular Order.
The major companies serving the operational technology market include ABB Group, Siemens AG, Schneider Electric, Honeywell International Inc., Rockwell Automation, and others. The market players are increasingly focusing on business expansion and product development by applying strategies such as collaborations, mergers and acquisitions to stay competitive in the market.
Recent Developments
- In February 2024, Mitsubishi Electric partnered with Dispel LLC to expand its operational technology security business. The partnership aims to address security risks associated with remote maintenance, which involves monitoring production lines from remote locations. The agreement aims to address the challenges of cyberattacks and the need for dedicated communication paths.
- In May 2021, Accenture acquired Electro 80, a leading Australian provider of operational technology, expanding its digital OT capabilities to enhance safety and efficiency in asset-intensive manufacturing and production operations.
The Report Covers
- Market value data analysis of 2023 and forecast to 2031.
- Annualized market revenues ($ million) for each market segment.
- Country-wise analysis of major geographical regions.
- Key companies operating in the global operational technology market. Based on the availability of data, information related to new products, and relevant news is also available in the report.
- Analysis of business strategies by identifying the key market segments positioned for strong growth in the future.
- Analysis of market-entry and market expansion strategies.
- Competitive strategies by identifying ‘who-stands-where’ in the market.
1. Report Summary
• Current Industry Analysis and Growth Potential Outlook
1.1. Research Methods and Tools
1.2. Market Breakdown
1.2.1. By Segments
1.2.2. By Region
2. Market Overview and Insights
2.1. Scope of the Report
2.2. Analyst Insight & Current Market Trends
2.2.1. Key Industry Trends
2.2.2. Recommendations
2.2.3. Conclusion
3. Competitive Landscape
3.1. Key Company Analysis
3.2. Honeywell International, Inc.
3.2.1. Overview
3.2.2. Financial Analysis
3.2.3. SWOT Analysis
3.2.4. Recent Developments
3.3. Schneider Electric SE
3.3.1. Overview
3.3.2. Financial Analysis
3.3.3. SWOT Analysis
3.3.4. Recent Developments
3.4. Siemens AG
3.4.1. Overview
3.4.2. Financial Analysis
3.4.3. SWOT Analysis
3.4.4. Recent Developments
3.5. Key Strategy Analysis
4. Market Segmentation
4.1. Global Operational Technology Market by Component
4.1.1. Human-Machine Interface
4.1.1.1. Industrial Valves
4.1.1.2. Transmitters
4.1.1.3. Industrial Sensors
4.1.1.4. Actuators
4.1.2. Control Systems
4.1.2.1. SCADA
4.1.2.2. PAM
4.1.2.3. MES
4.1.2.4. WMS
4.1.2.5. DCS
4.1.2.6. Other
4.2. Global Operational Technology Market By Networking Technology
4.2.1. Wired
4.2.2. Wireless
4.3. Global Operational Technology Market by Industry
4.3.1. Process Industry
4.3.1.1. Oil and Gas
4.3.1.2. Food and Beverages
4.3.1.3. Pharmaceuticals
4.3.1.4. Chemical
4.3.1.5. Metal and Mining
4.3.1.6. Other
4.3.2. Discrete Industry
4.3.2.1. Automotive
4.3.2.2. Aerospace and Defense
4.3.2.3. Semiconductor and Electronics
4.3.2.4. Medical Device
4.3.2.5. Other
5. Regional Analysis
5.1. North America
5.1.1. United States
5.1.2. Canada
5.2. Europe
5.2.1. UK
5.2.2. Germany
5.2.3. Italy
5.2.4. Spain
5.2.5. France
5.2.6. Rest of Europe
5.3. Asia-Pacific
5.3.1. China
5.3.2. India
5.3.3. Japan
5.3.4. South Korea
5.3.5. Rest of Asia-Pacific
5.4. Rest of the World
5.4.1. Latin America
5.4.2. Middle East and Africa
6. Company Profiles
6.1. 3DEXPERIENCE Co.
6.2. ABB Ltd.
6.3. Beckhoff Automation GmbH & Co. KG
6.4. Cisco Systems, Inc.
6.5. Emerson Electric Co.
6.6. FANUC CORP.
6.7. Fuji Electric Co., Ltd.
6.8. General Electric Co.
6.9. Hewlett Packard Enterprise Co.
6.10. Hitachi, Ltd.
6.11. IBM Corp.
6.12. Mitsubishi Electric Corp.
6.13. Oracle Corp.
6.14. Rockwell Automation Inc.
6.15. SAP Group
6.16. Schweitzer Engineering Laboratories, Inc.
6.17. Toshiba Corp.
6.18. Yokogawa Electric Corp.
1. Global Operational Technology Market Research And Analysis By Component, 2023-2031 ($ Million)
2. Global Operational Human-Machine Interface Technology Market Research And Analysis By Region, 2023-2031 ($ Million)
3. Global Industrial Valves For Operational Technology Market Research And Analysis By Region, 2023-2031 ($ Million)
4. Global Transmitters For Operational Technology Market Research And Analysis By Region, 2023-2031 ($ Million)
5. Global Industrial Sensors For Operational Technology Market Research And Analysis By Region, 2023-2031 ($ Million)
6. Global Actuators For Operational Technology Market Research And Analysis By Region, 2023-2031 ($ Million)
7. Global Operational Control Systems Market Research And Analysis By Region, 2023-2031 ($ Million)
8. Global SCADA For Operational Technology Market Research And Analysis By Region, 2023-2031 ($ Million)
9. Global PAM For Operational Technology Market Research And Analysis By Region, 2023-2031 ($ Million)
10. Global MES For Operational Technology Market Research And Analysis By Region, 2023-2031 ($ Million)
11. Global WMS For Operational Technology Market Research And Analysis By Region, 2023-2031 ($ Million)
12. Global DCS For Operational Technology Market Research And Analysis By Region, 2023-2031 ($ Million)
13. Global Other For Operational Technology Market Research And Analysis By Region, 2023-2031 ($ Million)
14. Global Operational Technology Market Research And Analysis By Networking Technology, 2023-2031 ($ Million)
15. Global Wired Operational Technology Market Research And Analysis By Region, 2023-2031 ($ Million)
16. Global Wireless Operational Technology Market Research And Analysis By Region, 2023-2031 ($ Million)
17. Global Operational Technology Market Research And Analysis By Industry, 2023-2031 ($ Million)
18. Global Operational Technology For Process Market Research And Analysis By Region, 2023-2031 ($ Million)
19. Global Operational Technology For Oil and Gas Market Research And Analysis By Region, 2023-2031 ($ Million)
20. Global Operational Technology For Food and Beverages Market Research And Analysis By Region, 2023-2031 ($ Million)
21. Global Operational Technology For Pharmaceuticals Market Research And Analysis By Region, 2023-2031 ($ Million)
22. Global Operational Technology For Chemical Market Research And Analysis By Region, 2023-2031 ($ Million)
23. Global Operational Technology For Metal and Mining Market Research And Analysis By Region, 2023-2031 ($ Million)
24. Global Operational Technology For Other Market Research And Analysis By Region, 2023-2031 ($ Million)
25. Global Operational Technology For Discrete Market Research And Analysis By Region, 2023-2031 ($ Million)
26. Global Operational Technology For Automotive Market Research And Analysis By Region, 2023-2031 ($ Million)
27. Global Operational Technology For Aerospace and Defense Market Research And Analysis By Region, 2023-2031 ($ Million)
28. Global Operational Technology For Semiconductor and Electronics Market Research And Analysis By Region, 2023-2031 ($ Million)
29. Global Operational Technology For Medical Device Market Research And Analysis By Region, 2023-2031 ($ Million)
30. Global Operational Technology For Other Market Research And Analysis By Region, 2023-2031 ($ Million)
31. North American Operational Technology Market Research And Analysis By Country, 2023-2031 ($ Million)
32. North American Operational Technology Market Research And Analysis By Component, 2023-2031 ($ Million)
33. North American Operational Technology Market Research And Analysis By Region, 2023-2031 ($ Million)
34. North American Operational Technology Market Research And Analysis By Industry, 2023-2031 ($ Million)
35. European Operational Technology Market Research And Analysis By Country, 2023-2031 ($ Million)
36. European Operational Technology Market Research And Analysis By Component, 2023-2031 ($ Million)
37. European Operational Technology Market Research And Analysis By Region, 2023-2031 ($ Million)
38. European Operational Technology Market Research And Analysis By Industry, 2023-2031 ($ Million)
39. Asia-Pacific Operational Technology Market Research And Analysis By Country, 2023-2031 ($ Million)
40. Asia-Pacific Operational Technology Market Research And Analysis By Component, 2023-2031 ($ Million)
41. Asia-Pacific Operational Technology Market Research And Analysis By Region, 2023-2031 ($ Million)
42. Asia-Pacific Operational Technology Market Research And Analysis By Industry, 2023-2031 ($ Million)
43. Rest Of The World Operational Technology Market Research And Analysis By Region, 2023-2031 ($ Million)
44. Rest Of The World Operational Technology Market Research And Analysis By Component, 2023-2031 ($ Million)
45. Rest Of The World Operational Technology Market Research And Analysis By Networking Technology, 2023-2031 ($ Million)
46. Rest Of The World Operational Technology Market Research And Analysis By Industry, 2023-2031 ($ Million)
1. Global Operational Technology Market Share By Component, 2023 Vs 2031 (%)
2. Global Operational Human-Machine Interface Technology Market Share Analysis By Region, 2023 VS 2031 (%)
3. Global Industrial Valves For Operational Technology Market Share By Region, 2023 Vs 2031 (%)
4. Global Transmitters For Operational Technology Market Share By Region, 2023 Vs 2031 (%)
5. Global Industrial Sensors For Operational Technology Market Share By Region, 2023 Vs 2031 (%)
6. Global Actuators For Operational Technology Market Share By Region, 2023 Vs 2031 (%)
7. Global Operational Control Systems Market Share By Region, 2023 Vs 2031 (%)
8. Global SCADA For Operational Technology Market Share By Region, 2023 Vs 2031 (%)
9. Global PAM For Operational Technology Market Share By Region, 2023 Vs 2031 (%)
10. Global MES For Operational Technology Market Share By Region, 2023 Vs 2031 (%)
11. Global WMS For Operational Technology Market Share By Region, 2023 Vs 2031 (%)
12. Global DCS For Operational Technology Market Share By Region, 2023 Vs 2031 (%)
13. Global Other For Operational Technology Market Share By Region, 2023 Vs 2031 (%)
14. Global Operational Technology Market Share By Networking Technology, 2023 Vs 2031 (%)
15. Global Wired Operational Technology Market Share By Region, 2023 Vs 2031 (%)
16. Global Wireless Operational Technology Market Share By Region, 2023 Vs 2031 (%)
17. Global Operational Technology Market Share By Industry, 2023 Vs 2031 (%)
18. Global Operational Technology For Process Market Share By Region, 2023 Vs 2031 (%)
19. Global Operational Technology For Oil and Gas Market Share By Region, 2023 Vs 2031 (%)
20. Global Operational Technology For Food and Beverages Market Share By Region, 2023 Vs 2031 (%)
21. Global Operational Technology For Pharmaceuticals Market Share By Region, 2023 Vs 2031 (%)
22. Global Operational Technology For Chemical Market Share By Region, 2023 Vs 2031 (%)
23. Global Operational Technology For Metal and Mining Market Share By Region, 2023 Vs 2031 (%)
24. Global Operational Technology For Other Market Share By Region, 2023 Vs 2031 (%)
25. Global Operational Technology For Discrete Market Share By Region, 2023 Vs 2031 (%)
26. Global Operational Technology For Automotive Market Share By Region, 2023 Vs 2031 (%)
27. Global Operational Technology For Aerospace and Defense Market Share By Region, 2023 Vs 2031 (%)
28. Global Operational Technology For Semiconductor and Electronics Market Share By Region, 2023 Vs 2031 (%)
29. Global Operational Technology For Medical Device Market Share By Region, 2023 Vs 2031 (%)
30. Global Operational Technology For Other Market Share By Region, 2023 Vs 2031 (%)
31. Global Operational Technology Market Share By Region, 2023 Vs 2031 (%)
32. US Operational Technology Market Size, 2023-2031 ($ Million)
33. Canada Operational Technology Market Size, 2023-2031 ($ Million)
34. UK Operational Technology Market Size, 2023-2031 ($ Million)
35. France Operational Technology Market Size, 2023-2031 ($ Million)
36. Germany Operational Technology Market Size, 2023-2031 ($ Million)
37. Italy Operational Technology Market Size, 2023-2031 ($ Million)
38. Spain Operational Technology Market Size, 2023-2031 ($ Million)
39. Rest Of Europe Operational Technology Market Size, 2023-2031 ($ Million)
40. India Operational Technology Market Size, 2023-2031 ($ Million)
41. China Operational Technology Market Size, 2023-2031 ($ Million)
42. Japan Operational Technology Market Size, 2023-2031 ($ Million)
43. South Korea Operational Technology Market Size, 2023-2031 ($ Million)
44. Rest Of Asia-Pacific Operational Technology Market Size, 2023-2031 ($ Million)
45. Latin America Operational Technology Market Size, 2023-2031 ($ Million)
46. Middle East And Africa Operational Technology Market Size, 2023-2031 ($ Million)
