We use cookies to enhance your experience. By continuing to visit this site you agree to our use of cookies . More info.
X

Software Defined Automation Market

Software Defined Automation Market by Deployment, by Application by End User by Region Global Forecast to 2030

Report Code: UC-SE-6834 May, 2025, by marketsandmarkets.com

The Software Defined Automation (SDA)  represents a transformative shift in how automation systems are designed, implemented, and managed across industries. Unlike traditional automation approaches, which rely heavily on proprietary hardware and fixed control systems, SDA leverages a software-centric model that decouples control systems from physical devices. This approach offers unprecedented flexibility, scalability, and cost-efficiency, making it an attractive solution for manufacturers, service providers, and industries seeking to modernize their automation infrastructure. At its core, SDA utilizes virtualization technologies, enabling industrial control systems to operate on general-purpose hardware such as industrial PCs, servers, or cloud platforms. This decoupling not only simplifies the deployment of automation systems but also allows for faster reconfiguration and updates through software, without requiring downtime or significant hardware investments. Recent trends are amplifying SDA's potential. It now integrates seamlessly with cutting-edge technologies like the Industrial Internet of Things (IIoT), Artificial Intelligence (AI), Machine Learning (ML), and Edge Computing. These additions improve real-time data processing, predictive maintenance, and process optimization. . Its ability to handle complex systems while enhancing performance positions it as a game-changer for industries aiming to stay competitive.

Impact Of AI on Software Defined Automation Market

Artificial Intelligence (AI) is revolutionizing the software-defined automation (SDA) market by enhancing operational efficiency, decision-making, and scalability. AI-driven algorithms enable real-time data processing, predictive maintenance, and self-optimization of automation systems, reducing downtime and improving productivity. Machine learning models integrated into SDA platforms allow systems to adapt to dynamic industrial requirements, fostering agility and resilience. Moreover, AI-powered analytics transform raw operational data into actionable insights, facilitating better resource utilization and energy efficiency. The proliferation of AI is also driving the adoption of advanced technologies like digital twins, enabling accurate simulations and testing before deployment, reducing errors and costs. As industries move toward Industry 4.0, AI's influence on SDA accelerates the shift to intelligent, interconnected systems, unlocking new opportunities for innovation and market growth.

Increasing adoption of Smart Manufacturing Technologies driving the Software Defined Automation Market

Increasing adoption of smart manufacturing technologies has played a crucial role in driving the growth of Software Defined Automation (SDA). As part of Industry 4.0,  technologies integrate advanced solutions like the Industrial Internet of Things (IIoT), Artificial Intelligence (AI), and Machine Learning (ML) into manufacturing processes, creating smarter, more flexible, and efficient systems. SDA facilitates this shift by offering a decentralized, open automation architecture that decouples control systems from physical hardware. This allows manufacturers to integrate new technologies easily and enhances interoperability across systems. By using virtualization, SDA enables the deployment of control systems on standard hardware platforms like industrial PCs and servers, reducing both costs and complexity while enhancing scalability and flexibility—key components for adapting to dynamic market needs. SDA further enhances manufacturing efficiency through the use of digital twin models, enabling manufacturers to test and optimize machine solutions in a virtual environment before real-world implementation. This reduces commissioning time, minimizes errors, and speeds up time-to-market. By enabling real-time data analytics and predictive maintenance, SDA helps businesses optimize resource utilization, improve machine performance, and reduce downtime. Additionally, SDA supports IT/OT convergence by adopting IT best practices like DevOps and continuous integration in the OT space, improving both agility and safety. As the manufacturing sector continues to evolve, SDA remains central to enabling smart factories, responding rapidly to market shifts, and fostering innovation while enhancing sustainability.

Challenges in Integrating Software Defined Automation with Legacy Systems

One significant challenge for Software Defined Automation (SDA) is the integration complexity with existing legacy systems. Many manufacturing facilities still rely on traditional, proprietary control systems and hardware that were not designed for flexibility or interoperability. Integrating SDA into these legacy environments can be difficult and time-consuming, requiring significant modifications to both hardware and software. This integration challenge can result in extended downtime, increased costs, and potential disruptions to ongoing operations as manufacturers transition to more modern, software-centric automation systems. Moreover, ensuring compatibility between new SDA technologies and older systems often requires specialized knowledge and expertise, which can strain resources and slow down the implementation process.

Some players in the Software Defined Automation market includes Siemens (Germany), Schneider Electric (France), Yokogawa Electric Corporation (Japan), Emerson Electric Co (US), Honeywell International Inc. (US).

Recent Developments

Recently, the Software Defined Automation (SDA) market has seen significant progress, driven by key collaborations. In April 2024, Rockwell Automation and Microsoft deepened their partnership to utilize cloud and AI technologies for improving operational efficiency across industries. This collaboration focuses on enabling real-time data analysis, predictive maintenance, and process optimization in manufacturing systems. Additionally, in June 2024, Siemens expanded its partnership with Amazon Web Services (AWS) to integrate SDA solutions into its industrial offerings. This expansion allows customers to deploy scalable and flexible automation solutions powered by AWS's cloud infrastructure and Siemens' industrial expertise, driving digital transformation and optimizing production processes in various industries. These strategic partnerships highlight the growing trend of leveraging advanced technologies like AI and cloud computing to enhance automation capabilities and operational efficiency.

Exclusive indicates content/data unique to MarketsandMarkets and not available with any competitors.

TABLE OF CONTENTS
 
1 Introduction 
    1.1. Study Objectives  
    1.2. Market Definition and Scope 
           1.2.1. Inclusions and Exclusions
    1.3. Study Scope 
           1.3.1. Markets Covered
           1.3.2. Geographic Segmentation
           1.3.3. Years Considered for the study
    1.4. Currency 
    1.5. Limitations 
    1.6. Stakeholders 
 
2 Research Methodology 
    2.1. Research Data 
           2.1.1. Secondary Data
                    2.1.1.1. Major Secondary Sources
                    2.1.1.2. Key Data from Secondary Sources
           2.1.2. Primary Data
                    2.1.2.1. Primary Interviews with Experts
                    2.1.2.2. Key Data from Primary Sources
                    2.1.2.3. Key Industry Insights
                    2.1.2.4. Breakdown of Primaries
    2.2. Market Size Estimation 
           2.2.1. Bottom-Up Approach 
                    2.2.1.1. Approach for Capturing Market Share by Bottom-Up Analysis (Demand Side)
           2.2.2.  Top-Down Approach
                    2.2.2.1. Approach for Capturing Market Share by Top-Down Analysis (Supply Side)
    2.3. Market Breakdown and Data Triangulation 
    2.4. Research Assumptions 
    2.5. Risk Assessment 
    2.6. Limitations of Research 
 
3 Executive Summary 
 
4 Premium Insights 
 
5 Market Overview 
    5.1. Introduction 
    5.2. Market Dynamics 
    5.3. Trends/Disruptions Impacting Customer’s Business 
    5.4. Pricing Analysis 
           5.4.1. Average Selling Price Trend of Key Players, XXXX
           5.4.2. Average Selling Price Trend, By Region
    5.5. Value Chain Analysis 
    5.6. Ecosystem Analysis 
    5.7. Technology Analysis 
           5.7.1. Key Technology
           5.7.2. Complementary Technology
           5.7.3. Adjacent Technology
    5.8. Patent Analysis 
    5.9. Trade Analysis 
    5.10. Key Conferences and Events (2025-2026) 
    5.11. Case Study Analysis 
    5.12. Investment and Funding Scenario 
    5.13. Tariff and Regulatory Landscape 
           5.13.1. Tariff Data 
           5.13.2. Regulatory Bodies, Government Agencies, and Other Organizations
           5.13.3. Key Regulations
    5.14. Porters Five Force Analysis 
           5.14.1. Threat from New Entrants
           5.14.2. Threat of Substitutes
           5.14.3. Bargaining Power of Suppliers
           5.14.4. Bargaining Power of Buyers
           5.14.5. Intensity of Competitive Rivalry
    5.15. Key Stakeholders and Buying Criteria 
           5.15.1. Key Stakeholders in Buying Process
           5.15.2. Buying Criteria
    5.16. Impact of Artificial Intelligence on Software Defined Automation Market 
 
6 SOFTWARE DEFINED AUTOMATION MARKET, BY DEPLOYMENT  
    6.1.  Introduction  
    6.2.  On premises 
    6.3.  Cloud based 
 
7 SOFTWARE DEFINED AUTOMATION MARKET, BY APPLICATION  
    7.1. Introduction 
    7.2. Process Automation  
    7.3. Network Automation 
    7.4. Security Automation 
    7.5. Others 
 
8 SOFTWARE DEFINED AUTOMATION MARKET, BY END USER 
    8.1. Introduction  
    8.2. Manufacturing 
    8.3. Automotive 
    8.4. Chemical 
    8.5. Pharmaceutical 
    8.6. Oil and Gas 
    8.7. Aerospace 
    8.8. Energy & power 
    8.9. Food & Beverages 
    8.10. Electronics & Semiconductor 
    8.11. Others 
 
9 SOFTWARE DEFINED AUTOMATION MARKET, By REGION 
    9.1. Introduction 
    9.2. North America 
           9.2.1. Macro-Economic Outlook
           9.2.2. US
           9.2.3. Canada
           9.2.4. Mexico
    9.3. Europe 
           9.3.1. Macro-Economic Outlook
           9.3.2. Germany
           9.3.3. France
           9.3.4. Rest of Europe
    9.4. Asia Pacific 
           9.4.1. Macro-Economic Outlook
           9.4.2. China
           9.4.3. Japan
           9.4.4. South Korea
           9.4.5. India
           9.4.6. Rest of Asia Pacific
    9.5. RoW 
           9.5.1. Macro-Economic Outlook
           9.5.2. Middle East 
                    9.5.2.1. GCC Countries
                    9.5.2.2. Rest of Middle East
           9.5.3. Africa
           9.5.4. South America
 
10 SOFTWARE DEFINED AUTOMATION MARKET, Competitive Landscape 
     10.1. Introduction 
     10.2. Key player strategies/right to win 
     10.3. Revenue Analysis 
     10.4. Market Share Analysis 
     10.5. Company Valuation and Financial Metrics 
     10.6. Brand/Product Comparison 
     10.7. Company Evaluation Matrix: Key Players, 2023 
             10.7.1. Stars
             10.7.2. Emerging Leaders
             10.7.3. Pervasive Players
             10.7.4. Participants
             10.7.5. Company Footprint: Key Players, 2023
     10.8. Company Evaluation Matrix: Startups/SMEs, 2023 
             10.8.1. Progressive Companies
             10.8.2. Responsive Companies
             10.8.3. Dynamic Companies
             10.8.4. Starting Blocks
             10.8.5. Competitive Benchmarking: Startups/SMEs, 2023 
                        10.8.5.1. Detailed List of Key Startups/SMEs
                        10.8.5.2. Competitive Benchmarking of Key Startups/SMEs
     10.9. Competitive Situation and Trends 
             10.9.1. Product launches
             10.9.2. Acquisitions
             10.9.3. Partnerships, Collaborations, Alliances, and Joint Ventures
 
11 SOFTWARE DEFINED AUTOMATION MARKET, Company Profiles  
     11.1. Key Players 
             11.1.1. Siemens
             11.1.2. ABB
             11.1.3. Schneider Electric
             11.1.4. Rockwell Automation
             11.1.5. Emerson Electric CO.
             11.1.6. Honeywell International Inc.
             11.1.7. Bosch Rexroth AG
             11.1.8. Mitsubishi Electric Corporation
             11.1.9. Yokogawa Electric Corporation
             11.1.10. Cisco Systems, inc.
     11.2. Other Players 
             11.2.1. Amazon Web Services (AWS)
             11.2.2. PTC
             11.2.3. Advantech
             11.2.4. Red Lion Controls
             11.2.5. Stratus Technologies
             11.2.6. Juniper Networks, Inc. 
             11.2.7. Beckhoff Automation GmbH
             11.2.8. Hewlett Packard Enterprise Development LP
 
12 Appendix 
     12.1. Discussion Guide 
     12.2. Knowledge Store: MarketsandMarkets’ Subscription Portal 
     12.3. Available Customizations 
     12.4. Related Reports 
     12.5. Author Details 
              
 

Request for detailed methodology, assumptions & how numbers were triangulated.

Please share your problem/objectives in greater details so that our analyst can verify if they can solve your problem(s).
1 0 8 5 2  
Custom Market Research Services

We will customize the research for you, in case the report listed above does not meet with your exact requirements. Our custom research will comprehensively cover the business information you require to help you arrive at strategic and profitable business decisions.

Request Customization
Report Code
UC-SE-6834
Available for Pre-Book
Choose License Type
Prebook Now
  • SHARE
X
Request Customization
Speak to Analyst
Speak to Analyst
OR FACE-TO-FACE MEETING
PERSONALIZE THIS RESEARCH
  • Triangulate with your Own Data
  • Get Data as per your Format and Definition
  • Gain a Deeper Dive on a Specific Application, Geography, Customer or Competitor
  • Any level of Personalization
REQUEST A FREE CUSTOMIZATION
LET US HELP YOU!
  • What are the Known and Unknown Adjacencies Impacting the Software Defined Automation Market
  • What will your New Revenue Sources be?
  • Who will be your Top Customer; what will make them switch?
  • Defend your Market Share or Win Competitors
  • Get a Scorecard for Target Partners
CUSTOMIZED WORKSHOP REQUEST
knowledgestore logo

Want to explore hidden markets that can drive new revenue in Software Defined Automation Market?

Find Hidden Markets
  • Call Us
  • +1-888-600-6441 (Corporate office hours)
  • +1-888-600-6441 (US/Can toll free)
  • +44-800-368-9399 (UK office hours)
CONNECT WITH US
ABOUT TRUST ONLINE
©2025 MarketsandMarkets Research Private Ltd. All rights reserved
DMCA.com Protection Status
Website Feedback