Automated Optical Inspection Market size was valued at USD 1.16 billion in 2024 and is expected to exceed USD 13.39 billion by the end of 2037, expanding at over 20.7% CAGR during the forecast period i.e., between 2025-2037. In the year 2025, the industry size of automated optical inspection is evaluated at USD 1.35 billion.
The growth of the market is due to industry 4.0 concepts being integrated, resulting in increased connectivity and data-driven insights in AOI. For instance, spending on the Internet of Things (IoT) in Europe surpassed USD 202 billion in 2021, according to the International Data Corporation's (IDC) Worldwide Semiannual Internet of Things Expenditure Guide. Through 2025, it is anticipated to rise at a double-digit rate. According to projections, the global annual generation of data is expected to surpass 180 trillion gigabytes by 2025. The industries that are enabled by IIoT will produce most of this.
In addition, AOI systems enable real-time error identification, guaranteeing the preservation of the product's quality. These systems can also give the operator feedback based on previous data and production statistics, which helps to streamline the manufacturing process and reduce expenses related to labor, supplies, and time. These factors should encourage market expansion and increase the use of AOI systems in the industrial sectors.
Growth Drivers
Challenges
Base Year |
2024 |
Forecast Year |
2025-2037 |
CAGR |
20.7% |
Base Year Market Size (2024) |
USD 1.16 billion |
Forecast Year Market Size (2037) |
USD 13.39 billion |
Regional Scope |
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Industry (Consumer Electronics, IT & Telecommunications, Automotive, Medical Devices, Aerospace & Defense, Industrial Electronics, Energy & Power)
The automotive segment is anticipated to hold 28% share of the global automated optical inspection market during the forecast period. The segment’s growth is being driven by an increase in demand for robust and high-performing electronic components that improve vehicle safety. Furthermore, the automotive industry now needs more high-end electronics components due to the introduction of technologies like advanced driver assistance systems (ADAS) and anti-lock braking systems (ABS), as well as autonomous and electric vehicle technology. Because there are several large automakers in Germany, France, and Japan, these three nations are the front-runners when it comes to the adoption of AOI systems in the automotive industry. Approximately 85 million automobiles were produced globally in 2022. This amounts to a rise of almost six percent when compared to the prior year. In 2022, the top three countries producing cars and commercial vehicles were China, Japan, and Germany.
Technology (Inline AOI System, Offline AOI System)
The inline AOI system segment in the automated optical inspection market is expected to hold the largest revenue share of about 55% during the forecast period. This is explained by the systems' rapid inspection of a large number of manufactured printed circuit boards. Every step of the production process can benefit from the use of an inline AOI system, which makes it easier to thoroughly verify printed circuit board components for flaws and specifications. The inline technology reduces the need for human interaction to flip the printed circuit boards by scanning both sides of the boards. Because inline AOI systems can scan a large number of printed circuit boards quickly, they are well suited for high-volume production industries like automotive and electronics. In order to expedite the inspection process, the majority of manufacturing organizations equip their production lines with several inline AOI devices.
Our in-depth analysis of the global automated optical inspection market includes the following segments:
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Application |
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Type |
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Technology |
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Industry |
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APAC Market Forecast
The automated optical inspection market in the Asia Pacific region is expected to hold the largest share of about 32% during the forecast period. The adoption of AOI systems is growing in the region as a means of guaranteeing high-precision inspection and flaw identification, which enhances production procedures and product quality. The AOI system market is set to grow, providing both local and foreign producers with profitable prospects as China maintains its position as the world's manufacturing leader. Additionally, growing disposable income has led to a rise in the demand for cars and consumer electronics in nations like China and India, which has fueled the demand for high-quality electronic components and fueled the market's expansion. China's passenger automobile sector produced over 23.8 million vehicles in 2022.
North American Market Statistics
North America automated optical inspection market is projected to hold 28% of the revenue share by 2037. The growth of the region is due to increased technical innovation and breakthroughs in all of the region's manufacturing industries. Growing consumer desire for smartphones and other smaller, faster, and more compact electronics is another factor propelling this market in this region. With more than 310 million smartphone users as of 2023, the US has one of the largest smartphone markets in the world.
Author Credits: Abhishek Verma
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