Smart Manufacturing & Industry 5.0 Market Valued at $140 Billion in 2025, Set to Grow at a 14.0% CAGR

Smart manufacturing & industry 5.0 market was valued at $140 billion in 2025 and is projected to reach $518.7 billion by 2035, growing at a CAGR of 14.0% during the forecast Period (2026-2035). Government initiatives are increasingly playing a pivotal role in accelerating the adoption of smart manufacturing and Industry 5.0 by strengthening the innovation ecosystem and improving access to long-term growth capital. By reducing funding gaps for deep-tech and advanced manufacturing solutions, these policy-led efforts enable faster technology development, pilot deployments, and large-scale commercialization of AI-enabled systems, industrial automation, and digitally integrated production platforms. Such structured financial support not only encourages private investment participation but also creates a sustainable pipeline of innovation aligned with Industry 5.0 objectives, thereby reinforcing overall market expansion. For instance, in February 2026, the Government of India approved the second phase of the Startup India Fund of Funds 2.0 with a total corpus of $1.2 billion. This scheme is designed to mobilize venture capital for deep-tech, advanced manufacturing, high-technology startups, and other innovation-driven ventures, which are key components of smart manufacturing and Industry 5.0 innovation. Additionally, Fund of Funds (FoF) supports India’s startup ecosystem by investing in Alternative Investment Funds (AIFs), which then back individual startups.

Browse the full report description of “Smart Manufacturing And Industry 5.0 Market Size, Share & Trends Analysis by Component (Hardware, Software, and Services), By Technology (Artificial Intelligence (AI) & Machine Learning (ML), Internet of Things (IoT), Robotics (Including Cobots & AMRs), Digital Twin, 3D Printing / Additive Manufacturing, Augmented Reality (AR) & Virtual Reality (VR), Industrial Sensors, Cloud Computing, and Big Data & Advanced Analytics), By Organization Size (Large Enterprises, and Small & Medium Enterprises (SMEs)), By End-User (Manufacturing, Automotive, Healthcare, Energy & Utilities, Aerospace & Defense, Food & Beverages, Electronics & Semiconductor, Oil & Gas, and Others), Forecast Period (2026-2035)” at https://www.omrglobal.com/industry-reports/smart-manufacturing-and-industry-market

Rising Investment Momentum in Human-Centric and Collaborative Robotics

• In February 2026, Humanoid robotics company Apptronik raised $520 million in a Series A extension, led by strategic backers including Google, Mercedes-Benz, B Capital, and Qatar Investment Authority, pushing its total Series A funding to $935 million. The capital is earmarked for scaling production of its collaborative Apollo humanoid robots in manufacturing and logistics environments.

Market Coverage

• The market number available for – 2025-2035
• Base year- 2025
• Forecast period- 2026-2035
• Segment Covered-
  • By Component
  • By Technology
  • By Organization Size
  • By End?User
• Regions Covered-
  • North America
  • Europe
  • Asia-Pacific
  • Rest of the World
• Competitive Landscape - ABB Ltd., Honeywell International Inc., Rockwell Automation, Schneider Electric SE, Siemens AG.

Key questions addressed by the report.

• What is the market growth rate?
• Which segment and region dominate the market in the base year?
• Which segment and region will project the fastest growth in the market?
• Who is the leader in the market?
• How are players addressing challenges to sustain growth?
• Where is the investment opportunity?

Global Smart Manufacturing & Industry 5.0 Market Report Segment

By Component

• Hardware
• Software
• Services

By Technology

• Artificial Intelligence (AI) & Machine Learning (ML)
• Internet of Things (IoT)
• Robotics (Including Cobots & AMRs)
• Digital Twin
• 3D Printing / Additive Manufacturing
• Augmented Reality (AR) & Virtual Reality (VR)
• Industrial Sensors
• Cloud Computing
• Big Data & Advanced Analytics

By Organization Size

• Large Enterprises
• Small & Medium Enterprises (SMEs)

By End?User

• Manufacturing
• Automotive
• Healthcare
• Energy & Utilities
• Aerospace & Defense
• Food & Beverages
• Electronics & Semiconductor
• Oil & Gas
• Others (Logistics, Retail)

Global Smart Manufacturing & Industry 5.0 Market Report Segment by Region

North America

• United States
• Canada

Europe

• UK
• Germany
• Italy
• Spain
• France
• Russia
• Rest of Europe

Asia-Pacific

• China
• India
• Japan
• South Korea
• Australia and New Zealand
• ASEAN Economies
• Rest of Asia-Pacific

Rest of the World

• Latin America
• Middle East & Africa

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