In short
- According to our Digital Twin Market Report 2023–2027, the digital twin market is expanding, with a projected CAGR of 30% between 2023 and 2027.
- 29% of global manufacturing companies have either fully or partially implemented their digital twin strategies. Further, job posts related to digital twins have increased by 11% compared to October 2021, while openings for other tech topics have declined in the same timeframe.
- The report notes eight notable trends helping to advance and promote digital twins, four of which are discussed in this article.
Why it matters
- For vendors: The trends in this article show how end users are using digital twins to meet their goals, how partnerships with hyperscalers have helped vendors broaden their customer base, and what steps are being taken for digital twin interoperability.
- For adopters: These trends provide insight into how companies use digital twins to meet their sustainability goals, the benefits of hyperscaler and OT/simulation partnerships, and efforts made for digital twin interoperability.
Digital twin market snapshot
Data from our Digital Twin Market Report 2023–2027 indicates that 29% of global manufacturing companies have either fully or partially implemented their digital twin strategies, marking a noticeable increase from 20% in 2020. Moreover, the proportion of these companies not contemplating the implementation of digital twins appears to have reduced to 9% in 2023, down from 33.6% in 2020.
Supporting this trend, an analysis of job postings on SimplyHired suggests a growing demand for digital twin expertise. Postings mentioning “digital twin” increased by 11% in October 2023 compared to just two years prior, while openings for most other tech topics declined in the same timeframe. Notably, among the 60 tech-related skill sets we tracked, digital twin-related skills experienced one of the most significant growths.
Based on these observations and additional insights from our report, our current projection estimates that the global digital twin market could grow at a CAGR of approximately 30% between 2023 and 2027.
Against the backdrop of this growing market, the report notes eight trends that help promote the advancement and adoption of digital twins. Here, we will focus on four:
- Digital twins deployed to meet sustainability goals
- Digital twins employed as virtual sensors in complex conditions
- Partnerships between cloud hyperscalers and OT and simulation specialists
- Initiatives promoting interoperability of digital twins across multifaceted systems
Before we dive into these trends, and to provide context, it is helpful to understand how IoT Analytics defines digital twins and the digital twin market……………….
Digital twin market: Analyzing growth and emerging trends