This report identifies key demand-side trends in the manufacturing industry that can help enterprises fine-tune their digital strategies. It also provides an overview of enterprise challenges in this space based on Avasant’s assessment.
Manufacturing enterprises are accelerating digital transformation by embedding agentic and predictive AI across production lines for quality control, maintenance, and R&D optimization. To enhance resilience and operational planning, they are adopting digital twins, immersive simulations, and AR/VR-enabled digital threads across design and service stages. Platform-led modernization is gaining traction through low-code industrial IoT (IIoT) platforms, AI-powered edge, and cloud-based manufacturing execution systems (MES) for real-time visibility and centralized decision-making. Human-machine collaboration is also expanding, with investments in Industry 5.0 technologies such as wearables, voice AI, and collaborative robotics to improve safety and productivity. In parallel, enterprises are strengthening supply chain resilience and sustainability using blockchain, AI, micro factories, and circular manufacturing practices to meet traceability and ESG goals. Manufacturing companies collaborate with service providers for this digital transformation, which requires strong technological expertise and delivery capabilities.
The Manufacturing Digital Services 2025 Market Insights™ helps enterprises in this sector identify important market trends and challenges for any digital project they participate in.
The industry insights presented in this report are based on the following: our ongoing interactions with enterprise CXOs and other key executives; targeted discussions with service providers, subject matter experts, and Avasant Fellows; analyst insights from primary and secondary research; and lessons learned from consulting engagements.
About the report (Page 3)
Executive summary (Pages 4–7)
Demand-side trends (Pages 8–13)
Key contacts (Page 14)
Read the Research Byte based on this report. Please refer to Avasant’s Manufacturing Digital Services 2025 RadarView™ for detailed insights on the service providers and supply-side trends.
Avasant’s research and other publications are based on information from the best available sources and Avasant’s independent assessment and analysis at the time of publication. Avasant takes no responsibility and assumes no liability for any error/omission or the accuracy of information contained in its research publications. Avasant does not endorse any provider, product or service described in its RadarView™ publications or any other research publications that it makes available to its users, and does not advise users to select only those providers recognized in these publications. Avasant disclaims all warranties, expressed or implied, including any warranties of merchantability or fitness for a particular purpose. None of the graphics, descriptions, research, excerpts, samples or any other content provided in the report(s) or any of its research publications may be reprinted, reproduced, redistributed or used for any external commercial purpose without prior permission from Avasant, LLC. All rights are reserved by Avasant, LLC.
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