Digital Twins

2 min read

INSIGHTS

  • The global market size for digital twins was $1.8 billion as of 2016.
  • The global market for digital twins is projected to grow at a rate of 37.87% CAGR through 2023, with an industrially-focused market share of roughly 30%.
  • The 2018 market size for industrially-focused digital twins is estimated to be $1.03 billion.

OVERVIEW

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A review of the research indicates that the 2018 global market size for industrially-focused digital twins is an estimated $1.03 billion, with a projected
growth rate of 37.87% CAGR through 2023. The overall digital twins market is projected to reach a size of $15.66 billion by that year. You'll find a deep dive of our research below.

MARKET SIZE
Based on a cross-reference of multiple market research reports on the digital twins' industry, we've determined that the global market size for digital twins was $1.8 billion as of 2016. This market is projected to grow at an annual CAGR of 37.87% through 2023, to reach a market size of $15.66 billion that year. Using this CAGR calculator, we can use the 2016 market value and the CAGR to estimate the 2018 market value of $3.42 billion.

To determine the market size for industrially-focused digital twins specifically, we looked at data from this market research report. We have assumed that industrially-focused means that the technology needs to be involved in manufacturing. According to the TechSci Research report, we can estimate that manufacturing accounts for roughly 30% of the total market. The rest of the market segments constitute of healthcare, consumer goods, aerospace, manufacturing, transportation Therefore, if 30% of the market is industrially-focused, that's a market size of this segment of $1.03 billion as of 2018 (75% of $3.42 billion).

The key drivers of growth in this market include rapid Industrial Internet of Things adoption, rising global demand for connected devices and smart technology, the use of data analytics and mining in manufacturing, and demand for data security.

CONCLUSION
To wrap up, the 2018 market size for industrially-focused digital twins is an estimated $1.03 billion, with a projected growth rate of 37.87% CAGR through 2023.

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