Market Update: Industrial Automation & IoT Q3 2022
The manufacturing industry has long been an early adopter and driving force of many new technologies. Manufacturing was one of the first industries to embrace and implement business computing when it was introduced in the 1960s and was an early adopter of advancements such as time-keeping systems and production tracking software. However, the industry has been one of the slowest movers in adopting and integrating cloud computing to reach the manufacturing floor. Over the past 24 months, we have seen a shift occur, particularly since the peak of the COVID pandemic, as manufacturing companies have accelerated their use of cloud computing to help increase their productivity, agility, and resilience.
Cloud computing represents an essential component for manufacturers as they continue the transition to smart manufacturing and smart factories. Among a host of operational applications, cloud computing can help manufacturers manage their businesses with better intelligence through the expanded use of data analytics. At the enterprise level, cloud computing impacts how companies manage their operations and helps bridge the gap between OT and IT. Additionally, cloud computing directly impacts modern manufacturing by facilitating the integration of data stemming from IoT-enabled production equipment on the factory floor.
Top manufacturing firms have led the charge of cloud adoption within the industry through acquisition and integration of cloud-based platforms and partnering with top cloud services providers. Siemens partnered with Google Cloud, Rockwell Automation has acquired Plex Systems to help expand its industrial cloud software offerings, and Honeywell entered into an agreement with Microsoft to become a key provider of manufacturing software.
7MA has recently completed several M&A transactions for companies with Industrial Automation & IoT products, software platforms, and service offerings and has developed unparalleled deal expertise and knowledge of the industry trends, valuation trends, and most active strategic and financial buyers. Please contact John Cooper, Ben Garber, Sydney Scadden, Conor Smith, or Tyler Ratterree if you would like to learn more about Industrial Automation & IoT.