Factory Automation 2026: From Automation to Autonomy

Robot density adds an automation intensity benchmark across regions and sectors. The global average robot density rose to 162 robots per 10 000 employees, more than doubling from 74 per 10 000 measured seven years earlier.

In 2024, the total operational stock of industrial robots worldwide reached 4.6 million units, up 9% year-over-year.

Moreover, McKinsey’s 2024 global AI survey found 65% of respondents say their organizations regularly use generative AI.

Growth Trajectories Across Automation Hardware and Industrial Software

According to Markets and Markets, the industrial control and factory automation market is expected to reach USD 435.24 billion by 2030. It will grow at a compound annual growth rate (CAGR) of 9.6% between 2025 and 2030.

 

On forward demand, robot installations are expected to be around 541 000 units in 2024, with growth expected to accelerate in 2025-2027. Moreover, North America exceeded the 50 000-unit annual installation mark in 2024.

“The new World Robotics statistics show 2024 the second highest annual installation count of industrial robots in history – only 2% lower than the all-time-high two years ago,” says Takayuki Ito, President of the International Federation of Robotics. Moreover, it estimates the global robot installations to grow to 700 000 units by 2028.

 

Credit: IFR

 

On the other hand, the industrial automation software market stands at USD 40.83 billion in 2025 and is projected to grow from USD 43.87 billion in 2026 to USD 62.9 billion by 2031.

 

 

 

Selected High-Impact Startups in Factory Automation and Industrial Controls

Botics creates Industrial Control Systems

US-based startup Botics manufactures industrial control systems and automation solutions that combine software-based configurations with electrical and mechanical components.

It engineers standalone control panels, integrated panel-and-field hardware systems, and turnkey automation platforms by translating process needs into compliance schematics, hardware layouts, and programmed control logic.

The startup builds UL 508A-certified panels leveraging enclosures, tested components, and detailed documentation to support reliable operation in industrial environments.

Further, it offers integration services that include PLC programming, installation, commissioning, and operator training to maintain consistent system performance across production lines.

Botics’ automation system supports manufacturers in the automotive, industrial, and utility sectors.

Movana builds Factory Automation Solutions

Singaporean startup Movana offers factory automation solutions for industrial environments. It deploys automated storage and retrieval systems (ASRS), smart production lines, automated guided vehicles (AGV), autonomous mobile robots (AMR)-based material handling, and custom automation machinery.

These solutions combine mechanical equipment with a warehouse management system (WMS), a warehouse control system (WCS), and a manufacturing execution system (MES) software. This enables digital inventory management, real-time monitoring, and coordinated control.

The startup designs its solutions to reduce reliance on manual processes, standardize operations with predefined parameters, and support unmanned transport across storage and manufacturing areas.

Movana enables manufacturers in the logistics, new energy, electronics, food and beverage, and industrial sectors to improve operational accuracy, warehouse efficiency, and production control.

The Mobile Robot Company manufactures a Self-Driving Pallet Jack

Danish startup The Mobile Robot Company develops the J1600 self-driving pallet jack, a dual-mode autonomous robot for moving pallets in factories and warehouses.

It allows operators to manually drive the robot once, record routes and locations on an interface, and then launch autonomous delivery tasks without system integration.

The startup’s robot combines 3D LiDAR navigation, onboard AI computing, and human-in-the-loop control to move pallets weighing up to 1600 kg across dynamic environments. It switches between manual and autonomous operation as required.

In addition, the Mobile Robot Company supports quick deployment with about 30 minutes of training, CE-compliant safety features, and automatic return or parking after operations are complete.

GONSTERS makes Digital Twin Platform

German startup GONSTERS creates an intelligent ecosystem that combines the Pentagon production monitoring platform, the Hexagon predictive maintenance engine, and the Octagon supply chain digital twin platform.

It integrates data from legacy PLCs, sensors, machines, and cloud systems into a unified namespace. This creates a live 3D digital twin that tracks performance, detects anomalies, and simulates operational scenarios in real time.

The startup leverages AI models trained on the company’s operational data to predict failures, remaining useful life, and recommend actions that balance uptime, cost, and output.

Further, its modular products support real-time OEE tracking, automated downtime analysis, predictive maintenance, and supply chain simulation without replacing existing systems.

Olive IoT offers Sustainable Intelligent IoT

Indian startup Olive IoT builds Industry 5.0 artificial intelligence of things (AIoT) solutions that combine IoT, automation, and vision systems to support data-driven industrial operations.

It connects sensors, machines, and infrastructure to cloud-based platforms that apply AI to monitor, operate, and anticipate industrial, energy, and environmental systems in real time.

The startup offers smart energy monitoring, water management, industrial data logging, vision-based analysis, and carbon and emission tracking. These solutions standardize data collection and improve operational clarity.

Also, its modular AIoT architecture enables custom deployment that aligns automation, analytics, and sustainability objectives without disrupting existing workflows.

Emerging Technologies Reshaping Industrial Control Architectures

The patent filings for industrial robotics reached 12 400 in 2024, with 34% focusing on AI motion planning and 28% addressing human-robot safety. This rise in patent activity highlights growing innovation that materializes across key automation trends such as mobile robots, IIoT gateways, and AI-driven inspection systems.

 

Mobile Industrial Robots is a key trend in factory automation and the industrial controls market. They support flexible material handling, warehouse automation, and intralogistics operations in manufacturing facilities. More than 230 companies are actively involved in the sector, employing 12 300 workers. Further, it has an annual growth rate of 4.01%.

The Industrial Internet of Things (IIoT) Gateway segment involves 120+ companies that enable data aggregation, protocol conversion, and secure connectivity between industrial assets and digital platforms. It employs over 10 600 people, and the annual growth rate for the IIoT gateway stands at 0.54%.

Advanced Pattern Recognition includes more than 110 companies. They employ over 4500 workers that supports applications such as quality inspection, anomaly detection, and predictive maintenance in automated factories. The annual growth stands at 11.32%, which shows rising demand for data-driven decision-making within industrial control systems.

Investment & Capital Flows Shaping the Automation Ecosystem

The investment in the industrial robots sector remains strong. The deal value surged to USD 7.3 billion in H1 2025.

Automation demand includes factory build-out, since new or expanded plants typically pull controls, robotics, and digital commissioning into scope. The St. Louis Fed’s FRED series shows US manufacturing construction spending at USD 214 137 million in October 2025.

For strategic deals that expand the industrial automation software stack, Emerson announced it completed the acquisition of the remaining shares of AspenTech. The transaction strengthens Emerson’s automation and software capabilities in process industries. It aids with automation-to-autonomy, where optimization, digital twins, and AI-assisted operations are becoming part of controls.

Siemens stated that it closed the acquisition of Altair after agreeing on an all-cash deal at USD 113 per share with an enterprise value of about USD 10 billion. This deal highlights simulation, digital threads, and AI-ready engineering data that determines time-to-commission and time-to-changeover performance.

Further, SoftBank announced plans to acquire ABB’s robotics business for USD 5.375 billion. Similarly, the European Investment Bank signed a EUR 50 million financing agreement with Comau, an industrial automation and robotics company.

Doosan participated in Contoro Robotics’ USD 12 million Series A round in March 2025. 8VC led Bedrock Robotics’ USD 60 million Series A round in July 2025.

Likewise, Eclipse Ventures participated in the USD 126 million Series C round of Bright Machines, a manufacturing automation company. Trinity Capital provided USD 45 million in growth capital to Rapid Micro Biosystems, a life sciences technology company that provides mission-critical automation solutions.

Scope and Market Definition

This factory automation and industrial controls outlook is built on proprietary intelligence from the StartUs Insights Discovery Platform, which tracks 9M+ companies, 25K+ technologies and trends, and 150M+ patents, news articles, and market reports worldwide. Rather than approaching automation as a broad manufacturing theme, this analysis is structured around the industrial technology stack that actually determines competitiveness on the shop floor.