A recent survey by BITKOM shows that "Industry 4.0" is one of the trend topics in 2015. This creates huge demands regarding IT security and Big Data and therefore is a great chance to enter a new market.
For the German IT market, Industry 4.0 is a new trend topic of the year 2015. Industry 4.0 promotes the computerization of the manufacturing industry. The goal is the intelligent factory (Smart Factory), which is characterized by adaptability, resource efficiency and ergonomics as well as the integration of customers and business partners in business and value processes. It includes adopting the Internet-of-Things (IoT) for manufacturing plants and processes.
In a recent trend survey by the German high-tech association BITKOM, "Industry 4.0" was ranked on position 4 with 42 percent of the questioned companies naming the topic as very relevant for them. This is a massive improvement compared to last year's result when the topic just emerged on position 10 with 22 percent of mentions.
Industry 4.0 great chance to enter a new market
"Industry 4.0 has the most dynamic development at the moment", says BITKOM president Prof. Dieter Kempf. He further claims: "The digitization of the manufacturing industry is of existential importance for the competitiveness of the German economy."
"Industry 4.0 is a great chance for IT companies to enter a huge new market", Bernd Hoeck, founder of Go-to-market Consultancy bloodsugarmagic, agrees. "The topic requires a smart combination of embedded systems with modern web and integration technology. It will create huge demands regarding IT security and Big Data. No wonder that these two topics also rank on top of the trend agenda."
"Cloud Computing", "IT Security" and "Big Data" still very important for German IT market
The topics "Cloud Computing", "IT Security" and "Big Data" are again on the top three positions of the ranking: "Cloud Computing" with 64 percent of mentions, "IT security" with 61 percent and "Big Data" with 48 percent.
At the end of the top 5, "Mobile Computing" lost two ranks in comparison to the previous year but is still named by 40 percent of the questioned companies as being an important trend. Of further importance is also the use of social networks and other IT-supported forms of cooperation in enterprises and other organizations, discussed as "Enterprise 2.0". 28 percent of the questioned IT managers named this topic.
"Social Media" and "Social Business" on the other hand, external communication using social media, have lost significance: while 28 percent ranked this topic as being important in 2014, only 16 percent find it meaningful for 2015.
Naturally though, small and medium-sized enterprises (SMEs) differ in the assessment of their priorities in comparison to the big companies. "Big Data" for example is much more important for large IT companies while SMEs are more interested in "Mobile Computing". "Industry 4.0" is of a high priority for 52 percent of the big enterprises but only for 39 percent of the SMEs.
Industry 4.0 as a strategic project for industrial strength in Germany
"Highly automated industrial manufacturing and engineering is one of the cores of the German economy. Industry 4.0 is a strategic project backed by the government as well as many major players in Germany. There are many hopes that Industry 4.0 will be the fundament of industrial strength for the next decades to come" says Hoeck. "We therefore expect much interest and investment into the topic. IT companies from embedded technologies, artificial intelligence, process automation, Big Data and security can use this initiative to enter the German market. German machine engineering ranks top around the world and has a very high reputation. If your software products can make it there, they can make it anywhere."
bloodsugarmagic is monitoring the Industry 4.0 trend very closely and will continue to publish market insight regarding this hot topic. Foreign IT companies considering a market entry in Germany or interested in learning more on Industry 4.0 are welcome to engage with the bloodsugarmagic experts.
German IT Market Research eBook to be published in 2015
This market insight is a pre-publication from the upcoming eBook „German IT Market Compendium 2015“ that will cover more market research information for the IT services, software and hardware market in Germany and practical advice on how to enter the IT market in Germany.