Warehouse Automation Market Scale-Up: Tapping Growth Hotspots
Author : kumar shrey | Published On : 25 Feb 2026
Astute Analytica has recently published an in-depth report on the global Warehouse Automation Market , offering a thorough examination of the current and future market landscape. This report provides valuable insights into various dimensions of the Warehouse Automation Market industry, including market size, share, and competitor segmentation. It also presents an overview of key manufacturers, geographic regions, product categories, and application areas, aiming to equip clients with the knowledge necessary to navigate and leverage market trends effectively for their businesses.
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According to the International Federation of Robotics (IFR), around 200 start-ups based out of the U.S. are working on the advancement of professional warehouse automation. Consequently, the professional warehouse automation has become one of the focus areas owing to the continued strong growth of the industry.
The global warehouse automation market is estimated to witness a CAGR of 15% during the forecast period 2023-2031. The key factors supporting the market growth are increasing warehousing labour costs and strong macro and industry growth drivers of eCommerce fulfilment. Trends in complex global supply chains, omni-channel retailing and consignment inventory demand warehouses to increase throughput, cost-cut and reduce inventory cycles. These factors demand the warehouse automation to smooth out the workflow.
Robust Growth of the Global ICT Industry
The global Warehouse Automation Market industry is experiencing significant growth, with projections indicating continued expansion well into 2025 and beyond. Key trends driving this growth include increased spending on digital transformation initiatives, particularly in advanced areas such as artificial intelligence (AI), cloud computing, and cybersecurity. The market is also witnessing a rapid surge in the adoption of 5G technology and the proliferation of connected devices. While certain segments may encounter challenges due to prevailing economic conditions, the overall ICT sector is expected to remain a vital driver of economic growth and innovation.
As we approach the mid-decade mark, the tech sector appears well-positioned for further growth. Analysts project that global IT spending will increase by 9.3% in 2025, with data center and software segments anticipated to experience double-digit growth rates. Furthermore, spending on AI is expected to grow at an impressive compound annual growth rate of 29% from 2024 to 2028. Although the trend of layoffs in the tech industry persisted through 2024, the rate of reductions has notably slowed compared to the previous year.
The Impact of AI and Machine Learning on ICT Growth
The ICT landscape has been continuously evolving over the past few decades, and the emergence of artificial intelligence (AI) and machine learning (ML) has significantly accelerated this growth. Nearly every sector of the global economy, including banking and financial services (BFSI), healthcare, consumer goods, electronics, automotive manufacturing, and food and beverages, has been positively impacted by these technological innovations. AI is being widely utilized across these industries to enhance productivity and improve output quality without increasing costs or time. Meanwhile, machine learning has enabled IT companies to develop software applications that facilitate predictive analysis and forecasting, further enhancing operational efficiency.
ICT Industry Outlook 2025: Innovations and Strategies for Growth
The information and communications technology (ICT) sector stands as one of the most rapidly expanding areas within the global economy. The increasing penetration of internet services and the rising dependence on networking-based solutions have greatly broadened the industry's scope. Additionally, substantial investments in research and development for emerging technologies by private companies, governments, universities, and other stakeholders have propelled the growth and success of the ICT domain. Key trends and market strategies adopted by major players within the sector are anticipated to play a significant role in its expansion throughout 2025.
Favorable Conditions through Innovations and Connectivity Technologies
The continuous rise of the ICT landscape has been further accelerated by the emergence of AI and ML technologies. These innovations have influenced nearly every sector of the global economy, significantly enhancing operational efficiencies and productivity. In addition to AI and ML, many developed and developing countries have launched 5G services in recent years, creating a robust platform for futuristic technologies such as augmented reality (AR), edge computing, and the Internet of Things (IoT). The introduction of 5G technology aims to connect even the most remote areas, enabling marginalized communities to participate in the mainstream economy.
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Key Players Insights
The warehouse automation market is highly competitive in nature, with a balance of start-ups and well-established companies. Several start-ups have come up to develop robotic solutions for warehousing with huge explosion of various mobile robotic systems along with different degrees of autonomy. ABB Ltd., Amazon Robotics, Automation Tooling Systems, Fetch Robotics, Inc., FANUC Corporation, Geodis, and Locus Robotics Honeywell International, Inc., IAM Robotics, Kuka AG, Locus Robotics, Magazino GmbH, Omron Corporation, SSI Schaefer AG, Yaskawa Electric Corporation, Inc. and Wynright Corp. among others are some major players included in the research study of the global warehouse automation market.
Segmentation Overview
The global warehouse automation market is segmented on the basis of technology, function and industry vertical. These major market segments are further categorized into various sub-segments to study the market in detail.
By Technology:
- AGV/AMR
- AS/RS
- Automatic Identification and Data Capture
- Conveyors
- MRO Services
- Order Picking
- Overhead Systems
- Palletizing & Depalletizing
- Sortation
- WMS/WES/WCS
By Function:
- Inbound
- Picking
- Outbound
By Industry Vertical:
- 3PL
- Apparel
- E-Commerce
- Food & Beverage
- General Merchandise
- Grocery
- Pharma
Advancements in Edge and Quantum Computing to Drive the ICT Industry
The ICT sector is also witnessing exciting developments in edge and quantum computing. Edge computing is a modern IT architecture that processes data at the network's periphery, maintaining closer proximity to the data source. This framework aims to enhance response times and bandwidth availability, improving the network's capability to perform high-end tasks. One of the primary advantages of edge computing is its ability to significantly reduce latency, allowing applications to process data and deliver necessary outputs swiftly. Consequently, edge computing is poised to become a critical component of advanced technologies like augmented reality (AR), virtual reality (VR), and the Internet of Things in the coming years.
In addition to these trends and technological advancements, the ICT sector is expected to experience substantial growth in 2025, driven by strategic alliances forged by industry leaders. For instance, Verizon Communications, the world's second-largest telecommunications company, has announced plans to acquire Frontier Communications for $20 billion, with the deal expected to close by late 2025. Similarly, Swisscom, a prominent telecommunications firm based in Switzerland, has reported its acquisition of Vodafone Italia for $22.5 billion, with the formalities anticipated to be completed in early 2025. Industry experts view these acquisitions as significant moves within the landscape, reflecting the ongoing consolidation and expansion efforts within the ICT sector.
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