Top Manufacturing Tech Applications in 2025

“In 2025, we’ll see more focus on the practical applications of AI in manufacturing, particularly in robotics for manufacturing,” said Advanced Robotics for Manufacturing’s Ira Moskowitz. “AI can be enabled in a manufacturing environment like never before because it can now operate in the confluence of digital twins and digital backbones that provide the modeling required for intelligent systems; it is enabled by powerful new sensors for vision and path planning; and it is powered by massive computing available in machines the size of a laptop or in the cloud, with virtually unlimited network storage.”

Fluke Reliability’s Aaron Merkin pointed to the integration of AI and predictive maintenance into supply chain planning to enable demand forecasting for spare parts in advance and with greater precision. “This facilitates a transition from just-in-case to just-in-time MRO inventory management,” he said. “The result is not only a reduction in spare parts inventory levels with the associated capital costs, but it also helps minimize unplanned downtime. With effective inventory management as a major focus, more organizations are moving from spreadsheets or pen-and-paper-based inventories to virtual storerooms that give an accurate, up-to-the-minute picture of supply levels. RFID technology and IIoT (industrial Internet of Things) devices can provide real-time parts tracking. These tools provide workers with real-time visibility into supply levels, enabling them to search for parts quickly, see what’s on hand and where it’s located, and reserve it for their tasks, all from a mobile device. This also benefits multi-site facilities, which can share spare parts and reduce the uncertainty of relying on supply chain vendors. For example, our customer, Hexpol, has been successful in streamlining their supply chain by facilitating inter-plant sharing, circumventing long lead times between plants in neighboring states and driving efficiency.”

Merkin added that he also sees AI as being critical to making recommendations for restocking schedules so that companies have a strategic edge to maintain optimal inventory levels.  

“Utilizing predictive insights, companies gain the foresight needed to restock replacement parts and avoid unexpected downtime due to shipment delays. It’s all about predictability, and every day gained from increased visibility into their operations is another day of avoiding downtime,” he said. “For example, a common challenge facing our customers is how to efficiently maintain assets across the plant floor in single facilities or cross-site operations with a smaller, potentially lower-skilled workforce. Remote condition monitoring solutions powered by AI analytics coupled with wireless sensor technology enables a smaller group of technicians to maintain visibility into asset health that would have previously required a large number of distributed boots on the ground.”

Citing specific operations enhancement applications for AI, Snowflake’s Tim Long expects customized, manufacturing-specific AI solutions will outperform generic options in 2025. “These custom AI systems can be trained on manufacturing-specific data, allowing them to better understand the nuanced processes of individual organizations,” he said. “From supply chain risk assessments to predictive maintenance and design optimization, these customized AI solutions will deliver significantly higher ROI compared to one-size-fits-all approaches.”

Long highlighted AI-powered vision applications as being particularly key to improving manufacturing quality control processes in the near term. “These AI systems will not only aid in product quality improvement but also accelerate production by eliminating bottlenecks associated with manual inspection,” he explained. “Imagine a production line where every product is inspected in milliseconds with a high degree of accuracy and consistency. This is the not-so-distant future, freeing up production workers to focus on higher-level tasks such as root cause analysis or process improvement. Early adopters will see substantial gains in both product quality and production speed.”

Retirements will drive an increase in manufacturing tech adoption

Though industry verticals such as automotive and aerospace have long been leaders of cutting-edge tech use in manufacturing, the industry as a whole has typically taken a more cautious approach. But the growing number of experienced industry retirees, coupled with a dearth of new hires in manufacturing, is expected to change industry’s course when it comes to new tech adoption. This change can be seen in how manufacturing tech is no longer primarily viewed as just a means of improving operations. Instead, it’s increasingly seen as a critical means of maintaining operations as the number of potential workers remains below industry’s need (Merkin’s comments above about remote condition monitoring underscore this point of view).

Glassdome’s Simon D. Kim said, “An entire generation of employees who’ve been with manufacturers for decades are about to retire or have already done so. Starting in 2025, manufacturers will lean on AI, data and other technologies to replace some of this expertise and knowledge that will leave the industry.”

He expects that, in 2025, factories will “continue their digital transition as the crossover between the digital world and manufacturing continues with technologies like AI-powered drones and more robots on factory floors. As AI, automation and machine learning are becoming the norm, data will play an even greater role in the manufacturing process.”

Moskowitz points out, however, that technology alone cannot address the most significant hurdles that manufacturers face amid the current industrial workforce gap. “Not only will we see a growing emphasis on collaborative technologies in 2025, such as collaborative robots that augment workforce gaps, but we’ll also see a growing emphasis on workforce development,” he said. “We’ll see more action around engaging the next generation of manufacturers earlier in their lives. But for more immediate impact, we’ll see more manufacturers looking to upskill their workers to give them the training needed to work alongside advanced technologies. We’ll see more of an emphasis around understanding industry transferrable skills so that those who are looking to make a career change can make the shift into manufacturing more easily.”

Honeywell’s Edwin van den Maagdenberg added that he expects AI to “play a transformative role here to more quickly upskill workers and close critical skills gaps within manufacturing. By harnessing real-time data insights and digital augmentation, AI can enable a two-year novice to quickly develop decision making capabilities more akin to those of a 30-year veteran.”

To enable the fewer workers entering industry to assume the tasks once managed by a larger workforce, Cognizant’s Nishanth Vallabhu said he sees operations data taking center stage as the demand for “servitization” grows in manufacturing. He explained that, historically, “manufacturing has focused on production efficiency and quality control over customer engagement. However, as manufacturers shift toward a servitization model — offering ongoing services throughout a product’s lifecycle, rather than just selling a standalone product — they will need to analyze product use and performance data more extensively. AI will enable manufacturers to generate new revenue streams by providing additional services such as maintenance and predictive analytics to keep customers engaged long after the initial product exits the factory.”

The impact of a new U.S. government and the ongoing focus on sustainability

“The political shifts in the United States and abroad will profoundly affect manufacturing,” said Kim. “I expect more investment in the manufacturing sector in the U.S. in 2025 as the new administration works to boost manufacturing and increase the number of manufacturing jobs. Trump recently promised to fast-track permitting for companies that invest $1 billion in the U.S., and many manufacturers are undoubtedly capable of such an investment. On the flip side, the [new administration’s] emphasis on protectionism may hurt a manufacturing sector that depends on the global supply chain.”

Kim added that, even if the government rolls back climate regulations in the U.S., sustainability will remain relevant to manufacturers in 2025. “Manufacturing companies must consider sustainability to compete globally,” he explained. “Manufacturers that export to the EU or own subsidiaries there will be expected to comply with EU environmental regulations. Additionally, certain states, notably California, New York and other parts of the U.S., will also likely keep rules in place that affect the manufacturing sector.”