Model Based Enterprise Market Forecasts to 2030 – Global Analysis By Offering (Solutions, Services and Hardware), Deployment Mode, End User and By Geography

Model Based Enterprise Market Forecasts to 2030 – Global Analysis By Offering (Solutions, Services and Hardware), Deployment Mode, End User and By Geography

According to Stratistics MRC, the Global Model Based Enterprise Market is accounted for $11.6 billion in 2023 and is expected to reach $34.7 billion by 2030 growing at a CAGR of 16.9% during the forecast period. Model-Based Enterprise (MBE) is an approach to product lifecycle management (PLM) that emphasizes the use of digital models as the central source of information for designing, manufacturing, and managing products. In an MBE environment, 3D digital models serve as the authoritative source of product data, replacing traditional 2D drawings and documents. This approach promotes collaboration, reduces errors, improves communication across teams, and enhances decision-making throughout the product lifecycle.

According to a World Bank estimate, the North American GDP, which was USD 32.32 trillion in 2023, is predicted to increase by 1.5% in 2023-24, suggesting that corporate activity and possible model-based enterprise solutions investments are projected to flourish.

Market Dynamics:

Driver:

Rising adoption of IoT and cloud-based platforms

The market is witnessing a surge in IoT and cloud-based platform adoption. This trend is driven by the need for enhanced connectivity, data analytics, and collaboration across manufacturing processes. IoT technologies enable real-time monitoring and control, while cloud platforms offer scalable infrastructure for storing and analyzing vast amounts of data generated by systems. This convergence is poised to revolutionize how enterprises design, produce, and manage products, driving efficiency and innovation.

Restraint:

Lack of awareness

Many businesses, especially smaller ones, remain uninformed about how adopting these enterprises can streamline processes, improve collaboration, and enhance product quality. This lack of awareness often leads to resistance to change and a reluctance to invest in these technologies and training programs, hindering the widespread adoption of these innovative approaches in the industry. Thus, the lack of awareness is the factor restraining the growth of the market.

Opportunity:

Growing need for efficiency and productivity

With industries increasingly relying on digital models for design, manufacturing, and collaboration, optimizing processes has become paramount. Stakeholders are leveraging advanced tools and technologies to streamline workflows, enhance communication, and minimize errors, driving a relentless pursuit of operational excellence. This emphasis on efficiency is reshaping how businesses operate and innovate within the ecosystem, fueling rapid advancements and competitive differentiation.

Threat:

Cost of implementation

In the market, the cost of implementation varies widely depending on factors like the complexity of the organization's processes, the scale of implementation, software and technology requirements, and training needs. Small to medium-sized enterprises may spend tens of thousands to hundreds of thousands of dollars, while larger corporations with extensive integration requirements and customization could invest millions in MBE implementation. These costs encompass software licensing, consulting services, infrastructure upgrades, and ongoing maintenance.

Covid-19 Impact:

The COVID-19 pandemic significantly impacted the market. It accelerated digital transformation in manufacturing, with companies adopting virtual collaboration tools and digital twin technologies for remote work. The demand for MBE solutions surged as businesses sought efficient ways to manage supply chains and streamline operations amidst disruptions. However, challenges such as workforce adjustments and initial investment constraints slowed down market growth initially, but the long-term outlook remains optimistic due to increased awareness and integration of MBE strategies.

The services segment is expected to be the largest during the forecast period

The services segment is expected to be the largest during the forecast period. These services include 3D modeling and simulation, CAD/CAM software solutions, digital twins for virtual prototyping, product lifecycle management (PLM) systems, and consulting services for implementing MBE strategies. Additionally, MBE providers offer training and support to help businesses transition to a model-centric approach, improving efficiency, collaboration, and innovation across the entire product lifecycle.

The healthcare segment is expected to have the highest CAGR during the forecast period

The healthcare segment is expected to have the highest CAGR during the forecast period. MBE methodologies like digital twin technology enable healthcare organizations to streamline operations, enhance patient care, and drive innovation through data-driven decision-making. By integrating advanced modelling and simulation techniques, MBE transforms healthcare delivery, supporting personalized treatments, predictive analytics for disease management, and overall improvement in patient outcomes.

Region with largest share:

North America is projected to hold the largest market share during the forecast period. Companies are increasingly adopting strategies to streamline product development, enhance collaboration, and improve efficiency across the manufacturing lifecycle. Key factors such as rising demand for automation, emphasis on quality control, and the need for cost-effective solutions are fueling market expansion. Major players in the region are investing in innovative solutions, further contributing to market growth and competitiveness.

Region with highest CAGR:

Asia Pacific is projected to hold the highest CAGR over the forecast period. Many countries are known for their manufacturing prowess. By implementing these strategies, these manufacturers can enhance their competitiveness, improve product quality, reduce time to market, and optimize production processes. The automotive and aerospace industries are expanding, driving the demand for solutions. These sectors benefit significantly from MBE's ability to streamline design, simulation, manufacturing, and maintenance processes.

Key players in the market

Some of the key players in Model Based Enterprise market include General Electric Company, PTC Inc., Dassault Systèmes SE, Siemens AG, SAP SE, HCL Technologies Ltd., Wipro Limited, ANSYS, Inc., General Electric Company, Cisco Systems, Inc., Oracle Corporation, HCL Technologies, OpenText Corporation, Penta Technologies, Bentley Systems, Autodesk Inc. and Aras Corporation.

Key Developments:

In February 2024, Autodesk Inc. announced that the company had launched Autodesk Informed Design. This cloud-based solution connects design and manufacturing workflows to streamline the building design and construction process.

In February 2024, Aras announced that Johnson Matthey (JM) selected Aras Innovator to modernize its global PLM infrastructure and support its digital transformation strategy. Aras Innovator SaaS will be deployed as part of a multi-stage rollout beginning in the first quarter of 2024.

Offerings Covered:
• Solutions
• Services
• Hardware

Deployment Modes Covered:
• On-Premise
• Cloud
• Hybrid

End Users Covered:
• Aerospace & Defense
• Automotive
• Power & Energy
• Construction
• Healthcare
• Other End Users

Regions Covered:
• North America
US
Canada
Mexico
• Europe
Germany
UK
Italy
France
Spain
Rest of Europe
• Asia Pacific
Japan
China
India
Australia
New Zealand
South Korea
Rest of Asia Pacific
• South America
Argentina
Brazil
Chile
Rest of South America
• Middle East & Africa
Saudi Arabia
UAE
Qatar
South Africa
Rest of Middle East & Africa

What our report offers:
- Market share assessments for the regional and country-level segments
- Strategic recommendations for the new entrants
- Covers Market data for the years 2021, 2022, 2023, 2026, and 2030
- Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
- Strategic recommendations in key business segments based on the market estimations
- Competitive landscaping mapping the key common trends
- Company profiling with detailed strategies, financials, and recent developments
- Supply chain trends mapping the latest technological advancements