Blockchain in Manufacturing Market Size
|Study Period:||2018 - 2028|
|Fastest Growing Market:||Asia Pacific|
|Largest Market:||North America|
*Disclaimer: Major Players sorted in no particular order
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Blockchain in Manufacturing Market Analysis
The Blockchain in Manufacturing Market will register a CAGR of 76.26% over the forecast period. Blockchain technology in manufacturing provides immutable quality control documentation and manufacturing procedures for data, as well as the ability for customers to track and trace incoming parts across the supply chain. Every transaction, update, and quality control is automatically recorded in the blockchain by the industrial industry's database of blockchain technology.
- Blockchain is increasingly used for logistics and supply chain management, counterfeit management, quality control, and compliance. Manufacturers are working on blockchain implementations that improve operational efficiency, give them more insight into their supply chains, and enable them to track assets with never-before-seen accuracy. Blockchain technology can completely change how manufacturers develop, engineer, produce, and scale their goods.
- In addition, blockchain technology can change the overall identification of the traditional manufacturing sector as the growing use of AI-enabled machinery, and automation in the manufacturing industry further increases the demand for blockchain technology in the manufacturing sector in the upcoming years.
- Moreover, the market is anticipated to develop due to rising demand from the industrial sector, the energy and electricity sectors, and consumers in general. Energy and power companies are encouraged by the rise in global energy demand to investigate blockchain technologies that could increase production while minimizing maintenance and downtime.
- Market growth is anticipated to be significantly constrained by factors such as the risk of compromising sensitive and essential information about a company's core operational procedures, a lack of blockchain experts in the manufacturing sector, the unpredictability of regulatory standards and landscape, and the absence of a set of uniform requirements.
- The COVID-19 epidemic caused significant disruptions to the supply chain systems since many essential tools and materials are heavily reliant on imports from other nations. In addition, the strict directives of the governing authorities to adhere to social distance standards pushed the industries to operate with a small workforce, which resulted in a decline in the sectors' production rates. All of these elements thus have a detrimental impact on the development of blockchain technology in the manufacturing industry.
Blockchain in Manufacturing Industry Segmentation
Blockchain technology, based on peer-to-peer technology, is a distributed ledger that allows data storage globally, allowing any user on the network to see prior entries in real-time.
The Blockchain in Manufacturing Market is segmented by Application (Logistics and Supply Chain Management, Counterfeit Management, Quality Control, and Compliance), End-user Vertical (Automotive, Aerospace and Defense, Pharmaceutical, Consumer Electronics), and Geography (North America, Europe, Asia-Pacific, Rest of the World)
The market sizes and forecasts are provided in terms of value (USD million) for all the above segments.
|Logistics and Supply Chain Management|
|Quality Control and Compliance|
|Aerospace and Defense|
|Other End-user Verticals|
|Rest of the World|
Blockchain in Manufacturing Market Trends
This section covers the major market trends shaping the Blockchain in Manufacturing Market according to our research experts:
Automotive Vertical is to Witness the Significant Growth
- A blockchain-based system can enable greater transparency in accurate information between different parties involved in the manufacturing the supply of the product. Multiple parties controlling various steps in the supply chain include a heavy flow of paperwork, faster processing of export/import, and banking documentation that can pace up the processes.
- Inbound logistics and smart manufacturing with blockchain can increase the efficiency of the automotive supply chain. Individual component tracking in the inbound supply chain is still a complex process. The coordination among third-party logistics, multi-tier suppliers, and transportation organizations through the manufacturing plant is essential for the effective functioning of the overall value chain. Adopting blockchain ensures the availability of accurate and real-time information amongst different parties.
- In vehicle manufacturing, blockchain can effectively prevent counterfeit issues, as every vehicle part can have a unique identity number. This will further help in issuing a less complicated recall.
- Blockchain solutions can address this problem by generating a unique ID for every different part, together with an immutable timestamp from when the part is manufactured. These tags will connect to the blockchain and can be set into the position to add another level of authenticity protection.
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North America is Expected to Dominate the Market
- Due to the region's rapid adoption of blockchain technology in the manufacturing sector, North America is anticipated to have the largest share.
- However, the region has a strong foothold on blockchain vendors, contributing positively to the market's growth. Some include IBM Corporation, Microsoft Corporation, Amazon Web Services (AWS), and Oracle Corporation.
- The market's growth potential is further attributed to the early adoption of technological advancements and infrastructure, such as IoT, big data, DevOps, and mobility. Such high penetration levels of advanced technologies signify the preparedness of the manufacturers in the region to integrate blockchain technologies into their processes.
- Moreover, revenue growth in the North American market is mainly attributed to the growing adoption of blockchain technology in the manufacturing sector in the region. The region has steady and well-established economies, allowing it to invest significantly in developing new technologies in the manufacturing industry.
- Furthermore, the startup culture that is growing at a fast pace in North America, compared to other regions, coupled with increasing digitalization in manufacturing, is aiding the growth of the market in the area.
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Blockchain in Manufacturing Industry Overview
The blockchain in the manufacturing market is consolidated owing to the presence of limited established and recognized vendors across the industry domain. The manufacturing sector has yet to adopt blockchain technology widely, so few vendors are offering the technology. However, because the market is still in its infancy, manufacturers constantly invest in new technology to gain the largest market share.
In January 2023, Amazon Web Services (AWS) and Ava Labs announced a partnership to bring better adoption of blockchain tech by governments, enterprises, and institutions, where AWS will support Avalanche blockchain infrastructure and decentralized applications (dApps), making it much easier for devs to launch nodes on the Avalanche blockchain. Ava Labs also plans to add a "subnet" deployment feature to the AWS Marketplace, allowing individuals and institutions to quickly launch custom networks within the Avalanche blockchain.
Blockchain in Manufacturing Market Leaders
Amazon Web Services, Inc.
*Disclaimer: Major Players sorted in no particular order
Blockchain in Manufacturing Market News
- June 2022: Shell, Accenture, and American Express Global Business Travel collaborated to launch Avelia, one of the first digital book-and-claim services for sustainable aviation fuel (SAF) backed by blockchain for business travel. The program's pilot phase intends to show the validity of the book-and-claim concept by securing the distribution of SAF's environmental qualities to businesses and airlines after the fuel has been supplied into the fuel network using blockchain technology.
- April 2022: Intel Corporation launched a new Intel Blockscale ASIC. An application-specific integrated circuit (ASIC) will offer the energy efficiency and computational capacity required to achieve scalability and sustainability. Given the characteristics of the silicon powering this technology, Intel will be able to supply it in large quantities without affecting the supply of new CPUs or GPUs. As a result, Intel Blockscale ASIC will play a significant role in assisting bitcoin mining companies in the years to come in achieving their sustainability and hash rate scaling goals.
Blockchain in Manufacturing Market Report - Table of Contents
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET INSIGHTS
4.1 Market Overview
4.2 Industry Value Chain Analysis
4.3 Industry Attractiveness - Porter Five Forces
4.3.1 Bargaining Power of Suppliers
4.3.2 Bargaining Power of Consumers
4.3.3 Threat of New Entrants
4.3.4 Intensity of Competitive Rivalry
4.3.5 Threat of Substitute Products
4.4 Assessment of COVID-19 Impact on the Industry
5. MARKET DYNAMICS
5.1 Market Drivers
5.1.1 Blockchain-as-a-Service Solutions for Enterprises
5.1.2 Simplifies Business Processes and Reduces Cost of Production
5.2 Market Restraints
5.2.1 Absence of Common Set of Standards and Regulatory Bodies
6. MARKET SEGMENTATION
6.1.1 Logistics and Supply Chain Management
6.1.2 Counterfeit Management
6.1.3 Quality Control and Compliance
6.1.4 Other Applications
6.2 End-user Vertical
6.2.2 Aerospace and Defense
6.2.4 Consumer Electronics
6.2.5 Other End-user Verticals
6.3.1 North America
6.3.4 Rest of the World
7. COMPETITIVE LANDSCAPE
7.1 Company Profiles
7.1.1 IBM Corporation
7.1.2 Intel Corporation
7.1.3 Microsoft Corporation
7.1.4 Amazon Web Services Inc.
7.1.5 Wipro Limited
7.1.6 Oracle Corporation
7.1.7 Accenture PLC
7.1.8 Factom Inc.
7.1.9 Advanced Micro Devices Inc.
7.1.10 SAP SE
7.1.11 Infosys Ltd
- *List Not Exhaustive
8. INVESTMENT ANALYSIS
9. FUTURE OF THE MARKET
Blockchain in Manufacturing Market Research FAQs
What is the study period of this market?
The Blockchain in Manufacturing Market is studied from 2018 - 2028.
What is the growth rate of Blockchain in Manufacturing Market?
The Blockchain in Manufacturing Market is growing at a CAGR of 76.26% over the next 5 years.
Which region has highest growth rate in Blockchain in Manufacturing Market?
Asia Pacific is growing at the highest CAGR over 2018 - 2028.
Which region has largest share in Blockchain in Manufacturing Market?
North America holds highest share in 2022.
Who are the key players in Blockchain in Manufacturing Market?
IBM Corporation, Microsoft Corporation, Intel Corporation, Amazon Web Services, Inc., Wipro Limited are the major companies operating in Blockchain in Manufacturing Market.
Blockchain in Manufacturing Industry Report
Statistics for the 2023 Blockchain in Manufacturing market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Blockchain in Manufacturing analysis includes a market forecast outlook to 2028 and historical overview. Get a sample of this industry analysis as a free report PDF download.