In this article, we will take a look at the 12 biggest industrial software companies in the world. If you want to explore similar companies, you can also take a look at 5 Biggest Industrial Software Companies in the World.
The industrial software industry is a rapidly growing field, driven by the need to stay ahead of the curve in industrial process optimization. Technology is being used to automate and streamline manufacturing operations, with the ultimate goal of maximizing efficiency and reducing costs. Industrial software products can range from simple data tracking and analysis platforms to complex process control systems that utilize machine learning and artificial intelligence.
The industrial software industry is also changing the way companies think about their operations. By leveraging the power of industrial software, companies can create a data-driven culture that is focused on continuous improvement. This shift in mindset can help companies gain a competitive edge by improving their operational efficiency and reducing costs. Today, industrial software is used in a variety of industries, ranging from manufacturing and engineering to power generation and healthcare.
An Analysis of the Global Industrial Software Industry: Size, Drivers, Challenges, and Regional Insights
According to a report by Research and Markets, the global industrial software market was worth $92.58 billion in 2021, and is expected to grow to $157.41 billion by 2027, at a compound annual growth rate of 9.25% from 2022 through 2027.
The industrial software market is experiencing expansion due to the increasing popularity of industrial cloud computing technology. With cloud computing, IT services are accessible via web-based applications instead of connecting to a server directly. Industrial cloud computing allows the transmission of data to the software programs that automate workflows and the applications used on computers or mobile devices. Additionally, the growth of the market is attributed to various factors, such as the rise in spending on software, the development of industry 4.0, the increasing need for operational efficiency, the growing electronics industry, and the digital transformation of businesses.
Moreover, the industrial software market is expected to grow due to the integration of AI with industrial software, the rising adoption of Industrial Internet of Things (IIoT), and the implementation of digital twins. Businesses use digital twins to reduce equipment failure risk and automate repairs. This leads to scalable, cost-effective, and agile supply chain operations.
However, there are some challenges the global industrial software industry is faced with. These include hefty initial investments and cybersecurity. While the integration of cloud, mobile, IoT, and AI streamlines industrial processes, it also creates greater security, compliance, and data protection challenges. IoT and cloud computing help industrial software run smoothly but these technologies also make data more vulnerable to getting hacked.
According to the Research and Markets, North America held the largest market share of the industrial software market in 2021 due to increasing adoption of industrial software by SMEs, and the increased investments by vendors in tech-driven software. The Asia Pacific region is expected to expand over the forecasted period due to a booming manufacturing industry and SMEs. Additionally, government support for IT infrastructure in the region is expected to fuel market growth further.
The industrial software industry is expected to continue to grow as companies continue to look for ways to improve their operations. As technology advances, the demand for more efficient and effective industrial software solutions will increase. As a result, companies are investing in new software products and solutions to help them meet the growing demand for industrial software. Some of the biggest industrial software companies in the world include General Electric Company (NYSE:GE), Honeywell International Inc. (NASDAQ:HON), and SAP SE (NYSE:SAP). These, among others, are discussed in detail below.
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Our Methodology
To come up with the biggest industrial software companies in the world, we studied industry reports to identify major players in the space, and extensively researched for similar companies that provide software solutions for automating industrial and manufacturing processes. For our rankings, we considered both public and private companies.
For public companies, we included the companies with the largest market caps, as of February 2. For private companies, we included the companies that had the largest revenue in their most recent fiscal quarter. The biggest industrial software companies are public, so we finalized our list to the 12 companies that had the highest market caps and ranked them in ascending order.
12 Biggest Industrial Software Companies in the World
12. Hexagon AB (publ) (OTC:HXGBY)
Market Cap: $32.58 Billion
Hexagon AB (publ) (OTC:HXGBY) is a Swedish based company that provides software solutions for the industrial sector. Their software offerings cover a wide range of applications including CAD/CAM, CAE, GIS and PLM. Their software solutions are used in a variety of industries such as aerospace, automotive, energy, manufacturing and construction. In addition to being one of the biggest industrial software companies in the world, Hexagon AB (publ) (OTC:HXGBY) is also one of the most valuable Swedish companies in the world.
In addition to Hexagon AB (publ) (OTC:HXGBY), some of the biggest industrial software companies in the world include General Electric Company (NYSE:GE), Honeywell International Inc. (NASDAQ:HON), and SAP SE (NYSE:SAP).
11. Rockwell Automation, Inc. (NYSE:ROK)
Market Cap: $33.15 Billion
Rockwell Automation, Inc. (NYSE: ROK) is a global leader in industrial automation technology, offering a wide range of products and services for industrial automation. The company provides products and services for a variety of industries, including automotive, aerospace, agriculture, energy, food and beverage, healthcare, life sciences, manufacturing, and transportation. Some of the company’s most popular softwares for industrial automation include FactoryTalk, Logix, and PlantPAx. As of February 2 Rockwell Automation, Inc. (NYSE:ROK) is worth $33.15 billion on the open market and is one of the biggest industrial software companies in the world.
10. Dassault Systèmes SE (OTC:DASTY)
Market Cap: $55.28 Billion
Dassault Systèmes SE (OTC:DASTY) is a French software company that specializes in providing software solutions for industrial and manufacturing applications. The company’s suite of products includes 3D design, simulation, product data management, and engineering solutions. The company’s software is used in a wide range of industries from aerospace and defense to automotive, electronics, and healthcare. Dassault Systèmes SE (OTC:DASTY) is a leading provider of software solutions for industrial and manufacturing applications, enabling customers to optimize their processes, reduce costs, and increase quality. Valued at $55.28 billion, as of February 2, the company is one of the biggest industrial software companies in the world.
9. Cadence Design Systems, Inc. (NASDAQ:CDNS)
Market Cap: $52.5 Billion
Cadence Design Systems, Inc. (NASDAQ:CDNS) is a leading provider of innovative software, IP, and services for the design of electronic systems, semiconductors, and other industrial and manufacturing applications. The company offers a wide range of products and services, including electronic design automation (EDA) software, verification tools, and embedded software development tools. Cadence Design Systems, Inc. (NASDAQ:CDNS) also offers a comprehensive set of solutions for the industrial and manufacturing markets, including semiconductor IP, design tools, and IC packaging and test solutions among others. As of February 2, Cadence Design Systems, Inc. (NASDAQ:CDNS) is worth $52.5 billion on the open market and is placed among the biggest industrial software companies in the world.
8. Emerson Electric Co. (NYSE:EMR)
Market Cap: $53.15 Billion
Emerson Electric Co. (NYSE:EMR) is a Fortune 500 company that provides software solutions for industrial and manufacturing applications. The company’s industrial software offerings include process control solutions, process control for power and water, SCADA software, and more. The company offers scalable and reliable software solutions that are designed to meet the needs of industrial and manufacturing businesses. Emerson Electric Co. (NYSE:EMR) is a leader in providing innovative solutions for the industrial sector and is one of the biggest industrial software companies in the world.
7. Synopsys, Inc. (NASDAQ:SNPS)
Market Cap: $56.76 Billion
Synopsys, Inc. (NASDAQ:SNPS) is an American technology company that specializes in software solutions for industrial and manufacturing applications. They provide comprehensive software tools and services to help businesses design, develop, and verify complex integrated circuits, systems on chips (SoCs), and other electronic components. The company’s portfolio of software solutions includes IC design, verification, and signoff tools, as well as embedded software development tools, design automation tools, and more. Synopsys, Inc. (NASDAQ:SNPS) is one of the largest suppliers of EDA software in the world and is committed to helping customers design and develop the most advanced and cost-effective products on the market. As of February 2, the company is worth $56.76 billion on the open market.
6. ABB Ltd (NYSE:ABB)
Market Cap: $63.71 Billion
ABB Ltd (NYSE:ABB) is a global leader in industrial automation, robotics, and digital solutions for the industrial and manufacturing markets. The company’s software offerings are designed to meet the needs of the modern factory, from monitoring and control, predictive analytics, and digital twins, to machine learning and AI, and more. The company’s software solutions enable customers to optimize their production processes, increase efficiency, and reduce costs. ABB Ltd (NYSE:ABB) is one of the biggest industrial software companies in the world and is valued at $63.71 billion, as of February 2.
Like ABB Ltd (NYSE:ABB), General Electric Company (NYSE:GE), Honeywell International Inc. (NASDAQ:HON), and SAP SE (NYSE:SAP) are helping to revolutionize the industrial and automation industries through their cutting–edge software solutions.
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Disclosure: None. 12 Biggest Industrial Software Companies in the World is originally published on Insider Monkey.