How Digitalization Will Help Advance the Global Robotics Sector

According to the International Federation of Robotics (IFR), factories worldwide installed over 542,000 industrial robots in 2024 alone — more than double the annual volume recorded a decade earlier. The market value of those installations reached an all-time high of US$16.7 billion, and global installations are projected to reach 575,000 units in 2025, with the 700,000 mark expected before the end of the decade.

Behind these numbers is a single, powerful force: digitalization. The integration of connected sensors, cloud computing, artificial intelligence, and data analytics into robotic systems is transforming robots from isolated machines into intelligent, networked assets. This shift is not only expanding what robots can do — it is reshaping entire industries and opening the door to automation for businesses that previously considered it out of reach.

 

 

What Digitalization Means for Robotics

At its core, digitalization in robotics means connecting physical machines to digital systems that collect, process, and act on data in real time. Where traditional industrial robots operated in isolation — programmed once and left to repeat fixed tasks — digitalized robots are part of a broader ecosystem. They communicate with other machines, share data with cloud platforms, and adjust their behaviour based on what they learn.

This connectivity is enabled by several foundational technologies working in concert. The Industrial Internet of Things (IIoT) embeds sensors throughout production equipment, creating continuous streams of operational data. Cloud and edge computing platforms process that data and feed insights back to the factory floor. AI and machine learning algorithms turn raw data into actionable intelligence — predicting equipment failures, optimising production sequences, and enabling robots to adapt to changing conditions without manual reprogramming. Digital twin technology takes this a step further by creating virtual replicas of physical production environments, allowing manufacturers to simulate, test, and optimise processes before implementing changes on the real factory floor.

 

 

The Rise of the Smart Factory

The concept of the smart factory — a fully digitized production facility where machines, systems, and people are seamlessly connected — has moved from aspiration to reality. The global smart factory market was valued at approximately US$142 billion in 2025 and is projected to reach US$265 billion by 2031, growing at a compound annual rate of nearly 11%.

What distinguishes a smart factory from a conventional automated facility is the depth of integration. In a smart factory, robots don’t just execute tasks — they are part of a closed-loop system where sensors detect conditions, AI platforms analyse and decide, and automated equipment adjusts accordingly. The entire production line begins to function, as some industry observers have described it, like a single large-scale robot.

Early adopters are already demonstrating what this looks like in practice. Companies like BMW are expanding their use of collaborative robots that work directly alongside human technicians, reducing strain while improving accuracy. Foxconn is using AI and digital twin simulations to automate precision tasks that rule-based robots previously found too challenging, cutting deployment times by 40% and improving cycle times by 20–30%. Amazon’s warehouse operations combine AI-driven logistics with robotic picking and packing to accelerate fulfilment while reducing errors.

 

 

How Digitalization Is Expanding Robotics Adoption

One of the most significant effects of digitalization is that it is making robotics accessible to a much wider range of industries and business sizes. Historically, industrial robots were concentrated in automotive and electronics manufacturing — large-scale operations with the capital and technical expertise to justify the investment. That is changing rapidly.

Beyond Traditional Industries

While the electronics sector now leads global robot installations (with nearly 129,000 units deployed in 2024), adoption is accelerating in sectors like food and beverage, pharmaceuticals, logistics, construction, and agriculture. Digitalization makes this possible because software-driven robots are easier to reconfigure for new tasks, reducing the barrier to entry for industries with smaller batch sizes or more variable production requirements.

Collaborative Robots and Smaller Manufacturers

Collaborative robots — cobots — are a direct product of digitalization. Equipped with force-limiting sensors, vision systems, and intuitive programming interfaces, cobots can work safely alongside human operators without the need for safety cages or exclusion zones. For small and mid-sized enterprises (SMEs) that cannot afford full-scale automation lines, cobots offer a practical entry point into robotic manufacturing. They are increasingly deployed for tasks such as machine tending, quality inspection, packaging, and assembly.

AI-Driven Autonomy

The IFR identifies AI-powered autonomy as one of the top global robotics trends heading into 2026. Analytical AI enables robots to detect patterns, anticipate equipment failures, and optimise path planning and logistics. Generative AI is pushing the boundary further, allowing robots to learn new tasks autonomously by generating their own training data through simulation. Agentic AI — where systems not only flag issues but actively resolve them under human supervision — represents the next frontier. A recent industry survey found that 56% of manufacturing executives report their organisations are already using AI agents to drive autonomous factory operations.

 

 

The IT/OT Convergence: Connecting the Digital and Physical

A foundational element of digitalization in robotics is the convergence of information technology (IT) and operational technology (OT). Traditionally, IT systems (enterprise software, cloud platforms, data analytics) and OT systems (factory equipment, PLCs, robotic controllers) operated in separate silos. Digitalization is breaking down those barriers, creating a seamless flow of data between the digital and physical worlds.

This convergence has significant practical benefits. Production data can be analysed in real time to identify bottlenecks. Maintenance schedules can be driven by actual equipment condition rather than fixed intervals. Supply chain systems can automatically adjust production plans based on demand signals. For manufacturers, this means faster decision-making, less waste, and greater agility in responding to market changes.

However, it also introduces new challenges — particularly around cybersecurity. As factories become more connected, they become more vulnerable to digital threats. The IFR has flagged cybersecurity as a growing concern, citing an increase in hacking attempts targeting robot controllers and cloud platforms. Manufacturers investing in digitalization must invest equally in robust cybersecurity frameworks to protect their operations.

 

 

From Industry 4.0 to Industry 5.0: A Human-Centred Approach

The narrative around industrial automation is evolving. While Industry 4.0 focused primarily on connectivity, data, and efficiency, the emerging Industry 5.0 framework places greater emphasis on human-centricity, sustainability, and resilience. Rather than pursuing fully “lights-out” factories, leading manufacturers are prioritising technologies that augment human capabilities — using collaborative robots, digital upskilling tools, and AI-assisted workflows to make human workers more productive and their jobs more rewarding.

This is particularly relevant in contexts where skilled labour is scarce. Globally, manufacturers are struggling to fill specialised roles, and an ageing workforce is compounding the problem. Robotics and digitalization offer a practical solution: they don’t eliminate the need for human workers but they do change what those workers need to know. Factory operators are increasingly becoming data technicians. Maintenance teams are learning to interpret sensor-driven insights. Supervisors are balancing leadership with human-machine collaboration. Investing in workforce training alongside automation is essential to realising the full value of digital transformation.

 

 

What This Means for South African Manufacturers

South Africa’s manufacturing sector stands at an inflection point. Global supply chains are being restructured, with nearshoring and regional manufacturing gaining momentum. At the same time, local manufacturers face persistent challenges: energy instability, skills shortages, rising input costs, and the need to meet increasingly stringent export quality standards.

Digitalization and robotics offer a direct path to addressing these challenges. Automated production lines reduce dependency on scarce skilled labour. IoT-enabled energy management can optimise consumption in environments where power supply is unreliable. AI-powered quality control ensures products meet international standards consistently. And cloud-based production monitoring gives managers real-time visibility into operations, enabling faster, data-driven decisions.

The businesses that act now — investing in the right robotic and digital tools — will be the ones best positioned to compete as Africa’s manufacturing base continues to grow.

 

 

Yaskawa: Your Partner in Digital Transformation

Yaskawa has been at the forefront of industrial automation for over a century, and our commitment to digitalization is built into everything we do. Through our i³-Mechatronics concept, we integrate robotics, motion control, and data intelligence to help manufacturers collect, analyse, and act on production data in real time.

Our robotic solutions span a wide range of manufacturing applications, including palletizing and depalletizing, arc welding, spot welding, material handling, assembly, pick-and-place, and collaborative automation. Each solution is backed by 2D and 3D vision software, specialised tooling, and application-specific programming tailored to your production needs.

Through the Yaskawa Academy, we provide comprehensive training programmes to ensure your team can operate, maintain, and get the most from your robotic systems. From initial consultation through to installation, commissioning, and ongoing support, Yaskawa South Africa is your trusted partner in building a smarter, more competitive manufacturing operation.

Ready to take the next step? Contact us today to discuss how Yaskawa’s robotic and digital solutions can help your business grow.

Phone: +27 11 608 3182

Email: andrew@yaskawa.com

Website: www.yaskawa.za.com