Yet while the results reveal a sector that sees robotics and autonomous production as the key priorities, the survey also uncovered that for the greatest commercial edge, these technologies must interconnect rather than be deployed in isolation.

The findings come following a recent poll of more than 100 engineering and manufacturing professionals who were asked where they believe industrial automation investment will deliver the greatest competitive advantage for their business over the next five years.

Robotics and autonomous production topped the poll at 41%, followed by smart/connected factories at 33%. Meanwhile, AI-driven predictive maintenance was selected by 14%, and sustainability-focused investment completed the picture with 12%.

Respondents also highlighted that these four investment areas are deeply interconnected. Several pointed to the role of data and AI as an essential layer that underpins the value of every other investment, from enabling predictive maintenance that tackles unplanned downtime to making connected factories genuinely intelligent rather than simply networked. Others framed the four areas as a value chain, with each contributing to an overall reduction in total cost of ownership and linked the trajectory to the broader shift from Industry 4.0 into Industry 5.0 production environments.

The results highlight the continued pressure on manufacturers to increase output, improve efficiency and maintain flexibility while operating with leaner teams and tighter cost controls.

Daniel Coetzee, Vice President: Growth, Industrial Automation for IMI, comments: “What stands out from these results isn’t just that robotics leads the poll, it’s that several technologies need to work together to truly drive commercial benefits. Our customers are telling us that the competitive advantage won’t come from any single investment, but from the intelligence and connectivity built around it.

“That aligns with what we see across our customer base. The businesses making the most progress aren’t necessarily those making the largest capital commitments; they’re the ones taking a more targeted approach, using smarter components, better data and more connected systems to unlock meaningful, measurable gains from their existing operations. A good example is the impact of linking the performance insight produced by technologies such as sensors and actuators as part of an engineered system to the potential of AI to derive increased value from plant devices.

“For many industrial businesses, the opportunity isn’t a wholesale transformation, it’s about making incremental, well-judged improvements that compound over time. That’s where we see the greatest competitive advantage being built right now.”

IMI’s Industrial Automation sector works with customers globally to develop application-specific automation solutions that help improve productivity, efficiency and responsiveness, helping businesses realise the benefits of smarter automation without unnecessary complexity or disruption.

The strategic investment strengthens Comau’s position in a rapidly expanding market, projected to grow by approximately 13% annually over the next three to five years, where customers are increasingly demanding integrated solutions that seamlessly connect production, storage, and material flow.

Together with Automha, the addition of Invent broadens Comau’s ability to support the evolving requirements of distribution centres, fulfilment operations, and industrial logistics facilities with end-to-end automation capabilities. By leveraging Invent’s software-driven warehouse orchestration approach, Automha’s automated storage technologies and Comau’s automation expertise, the companies will be able to deliver increasingly intelligent and connected intralogistics solutions. Where Automha primarily specializes in pallet handling and automated storage systems, Invent brings advanced expertise in box handling, order fulfilment and logistics orchestration, enabling Comau to offer a robust, comprehensive intralogistics portfolio.

As supply chains become more dynamic and order fulfilment requirements continue to increase, companies are looking for technologies that can improve visibility, responsiveness, and operational efficiency. The combination of Comau, Automha and Invent creates a comprehensive portfolio capable of managing end-to-end material flows, from automated storage and order preparation through execution, movement, and process optimisation.

The acquisition also enhances Comau’s footprint in strategic growth regions. In addition to strengthening the company’s presence in Latin America, Invent provides valuable access to the U.S. mid-market intralogistics segment, where demand for automation solutions continues to accelerate (up to 15% annual growth in the US; up to 17% in Brazil over the next 3 to 5 years).

Invent will continue to operate with its existing organization, leadership team and strategic direction, ensuring continuity for customers, partners and employees while benefiting from the scale and global reach of the broader Comau ecosystem.

Pietro Gorlier, CEO of Comau said. “Our acquisition of Invent represents another milestone in Comau’s journey to build a comprehensive automation platform capable of supporting customers in one of the most dynamic segments of the logistics market – a market that is also undergoing a profound transformation driven by digitalization, e-commerce growth and the need for greater operational flexibility. Integrating Invent within our global network allows Comau to expand its market presence while adding highly complementary technologies and software expertise, strengthening our ability to deliver intelligent, end-to-end solutions connecting manufacturing, warehousing, and material handling operations.”

“This new chapter allows us to accelerate the development and deployment of our technologies while maintaining the innovative spirit and customer focus that have characterized Invent since its foundation,” added Leonardo Araki, CEO of Invent. “By becoming part of Comau, we gain access to global resources, industrial expertise and new market opportunities that will help us further enhance our solutions and create additional value for customers operating in increasingly complex logistics environments.”

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EUROPAMA, (the Processing & Packaging EU Federation) has been founded as the European umbrella organisation for the processing and packaging machinery industry. The federation unites leading national trade associations to advocate for the sector’s interests with EU institutions, fostering collaboration and knowledge exchange in relation to industrial policy, sustainability, and technological transformation.

Created with the intention of providing a stronger collective voice and influence at a European level, the federation was established at Interpack 2026 in Dusseldorf by Automate UK alongside founding members VDMA (Germany), UCIMA (Italy), Evolis (France), AMEC (Spain) and Swissmem (Switzerland).

EUROPAMA aims to use its voice to address a wealth of core issues including sustainability regulations, Packaging and Packaging Waste Regulation (PPWR), industrial competitiveness, automation and robotics policy and trade and manufacturing policy at a time when regulation and AI are reshaping the landscape of manufacturing. EUROPAMA will assist its members in dealing with new regulations so that they in turn can support their own membership.

Dan Thombs, Chief Executive Officer at Automate UK, said: “The creation of EUROPAMA marks a significant milestone in strengthening ties between British and European manufacturing innovation communities. With two thirds of all machines worldwide being made in Europe, it leads the future of processing and packaging machinery and is uniquely placed to align industry leadership with EU policy priorities whilst driving productivity and growth within the sector.

“Post-Brexit, it is vital that UK automation and packaging machinery businesses retain influence over regulations that affect European supply chains and exports, and it is our intention that in collaborating with our partners within Europama, our members will have a place in the discussions despite the UK no longer being an EU member.”

Scott McKenna, Chief Operating Officer, added: “Automate UK has evolved in recent years, proving itself to be far more than an events organisation committed to supporting the manufacturing and automation sector and increasingly cementing its position as a policy and productivity body.

“The establishment of EUROPAMA represents our continued commitment to ensuring that UK businesses remain firmly connected to European manufacturing innovation networks.

“By creating stronger links between European automation and packaging machinery associations, we can in turn help members navigate increasing regulation and sustainability requirements, and provide them with the access, insight, and relationships they need to thrive in an increasingly competitive global marketplace,” he added.

EUROPAMA will offer member organisations access to a wide network of European counterparts, industry intelligence, regulatory guidance, and opportunities to participate in trade events across the continent.

Combining autonomous forklifts, tugs and movers on one platform, ABB Robotics enables customers to automate a broader range of material-handling and intralogistics processes. Offering market-leading accuracy, the F712 is designed for demanding material handling, end-of-line storage and warehouse operations across industries including automotive manufacturing, helping increase efficiency, flexibility and scalability.

“Across intralogistics operations, businesses are being asked to process greater volumes in less time, while working with increasingly limited resources,” said Marc Segura, President, ABB Robotics. “They are under pressure to move goods faster and with greater flexibility, while labour availability is becoming a critical constraint. As part of our journey to more autonomous and versatile robotics (AVR), we have combined advanced vision, mobility and intelligence in the Flexley Stack F712 forklift AMR, completing our scalable, AI-powered AMR portfolio.”

F712 is versatile, capable of handling multiple load types and sizes – including open and closed pallets, containers or racks- up to 2,000 kg and reaching heights of 8.5 metres.

The Flexley Stack AMR F712 joins the Flexley Tug and Flexley Mover in ABB Robotics’ growing Visual SLAM AMR portfolio. Applications include intralogistics tasks such as warehouse storage and retrieval, as well as line supply, end-of-line handling, body- and press-shop and drive-in and light buffer in the automotive and industries sector.

F712 uses Visual SLAM to map and navigate its environment, eliminating the need for pre-installed infrastructure like markers or reflectors. The AI-enabled Visual SLAM supports the autonomous decisions required to operate in complex, dynamic warehouse operations with a market-leading positional accuracy of ±10 mm. Together with AMR Studio, this shortens commissioning times by up to 20 percent and creates a versatile and reliable system that can adapt instantly when a warehouse or production floor layout changes. Certified to the latest ISO and ANSI safety standards, Flexley Stack F712 can safely operate at class-leading speeds of up to 1.7 m/s while loaded.

F712 is fully integrated with AMR Studio and is VDA5050 compatible, enabling seamless integration with ABB Robotics’ Visual SLAM AMRs and existing systems within a unified project. This makes it easy to manage complex projects and integrate different types of mobile robots. The no-code, drag-and-drop software suite supports rapid setup, fleet coordination, traffic management and real-time visualisation, allowing ABB Robotics’ tugs, movers and forklifts to operate together in the same layout for scalable turnkey automation projects.

Visit the ABB Robotics website for more information

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1. Getting started is straightforward with the right supplier

Installation, programming, and commissioning are legitimate considerations for first-time buyers. The answer is to choose a supplier like Intertronics that is an expert in adhesives first – one that can integrate the two disciplines and provide training to instil confidence in the operating team.

2. The return on investment can come quickly

ROI on dispensing robots can be achieved in as little as six months, and almost always within two years. Crucially, the time to value is immediate: from the moment a system is installed and running, the manufacturer benefits from improved throughput, reduced waste, and more consistent output.

3. Robots can be acquired at sensible costs

Entry-level dispensing robots start at around £6,000. A complete installation – including enclosures and ancillary equipment – typically comes in between £10,000 and £20,000. For a system that might run day in and day out across a production line, that is a modest outlay.

4. Performance can be proven before you commit

A good automated dispensing supplier will support trials before any purchase decision is made. Intertronics operates a Technology Centre in Oxfordshire where customers can visit and run their own processes on equipment they’re considering. This kind of evidence-based approach to the investment decision removes the guesswork entirely.

5. Robots are highly flexible assets

Modern dispensing systems are designed to be reprogrammed and redeployed. A system specified for one adhesive application today can be retooled for a different process tomorrow – sometimes with nothing more than a tooling change and a new programme.

6. Robots deliver value even when used selectively

Most users do not run their dispensing robots around the clock, and they do not need to. A robot deployed for a single shift, or brought into use for specific batch runs, still delivers the speed and consistency advantages that manual dispensing cannot match.

7. Robots improve health and safety

Safety enclosures are standard on dispensing robot installations. A 2026 IFR research paper shows that automation typically delivers a net improvement in workplace health and safety: fatality and injury rates across 18 EU countries fell by 4.3 per cent and 3.2 per cent respectively between 2011-2019.

8. Robots improve job satisfaction

The 2025 paper ‘Human factors in digital manufacturing technology adoption: a workforce perspective’ found that workers in manufacturing companies where digital manufacturing technologies (DMTs) have already been implemented reported increased skills, autonomy, and number of interesting tasks, as well as decreased fatigue levels, physical workload, and stress.

9. Robots create jobs

2025 research by Fang et al., published in Asia and the Global Economy, shows that increased industrial robot installation is associated with a reduction in unemployment. Competitive manufacturers grow, and growing manufacturers hire. Dispensing robots move people away from repetitive, chemical-adjacent tasks and into work that is more skilled, varied, and fulfilling, improving morale, staff retention, and often company performance.

10. Why wait?

Henry Ford put the underlying logic plainly: “If you need a machine and don’t buy it, then you will ultimately find that you have paid for it, but don’t have it.”

For manufacturers still running adhesive dispensing by hand, the case for automation is not about novelty or scale – it is about repeatability, waste reduction, and building a production process that holds up as volumes grow and products change.

Not every dispensing application justifies automation. However, for manufacturers facing increasing quality, throughput, or labour challenges, it is worth examining whether a dispensing robot could deliver measurable benefits.

ISO 10218:2025 is the updated industrial robot safety standard and will become mandatory for CE-marked products under the new European Machinery Regulation. The legal transition is expected around 2027, although weakness in European manufacturing demand and potential cost pressures on SMEs may push full implementation beyond this timeline. Unlike Europe’s binding CE framework, the equivalent US standard update is voluntary, though effective compliance remains commercially necessary.

Established global vendors are largely prepared, while mid-sized and emerging suppliers show notable gaps in their readiness. Once adopted, the new standard is expected to strengthen established vendors’ competitive position and increase market access risks for those suppliers that are less well prepared.

A regulatory transition is already underway

The regulatory picture is shifting in a clear direction. In Europe, the current legislative instrument, Machinery Directive 2006/42/EC, will be superseded by Machinery Regulation EU 2023/1230 on 20 January 2027. However, the timing of one critical supporting step remains uncertain: the formal listing of ISO 10218:2025 in the Official Journal of the European Union (OJEU). This is a prerequisite for the standard to obtain full legal effect under the new regulation. Once this process is complete, ISO 10218:2025 will become a mandatory requirement for market access in Europe.

Historically, when the 2011 edition of ISO 10218 was introduced, the harmonisation process and OJEU listing took more than a year to complete. If a similar timeline is followed, the 2025 revision sits close to the 2027 regulatory transition deadline, with the process still ongoing as of mid-2026.

In the US, the A3 Association and the American National Standards Institute (ANSI) jointly released the updated safety standard R15.06-2025 in September 2025, aligning it with the international ISO standards. However, unlike the European framework, ANSI standards are voluntary consensus standards and do not represent legally binding market access requirements.

A market under pressure

The European robotics market is currently operating in a relatively subdued demand environment. The market experienced contraction from 2023 to 2025, constrained by a slowdown in the overall manufacturing industry, particularly the automotive sector. Industrial end-users have adopted a cautious investment approach and face ongoing cost pressures, particularly among small and mid-sized enterprises (SMEs).

In the near-term, the safety standard update requires additional investment from robot vendors to achieve compliance. However, suppliers that absorb this transition effectively will be better positioned to serve an increasingly safety-conscious European customer base, particularly as demand recovers.

In the US market, the new safety standard is comparatively more flexible as a voluntary industry framework. However, major customers and system integrators often require ANSI/RIA compliance in procurement specifications, and regulatory bodies such as OSHA (Occupational Safety and Health Administration) may use it as a reference benchmark in enforcement. In practice, failure to follow these standards can still result in heavy penalties if an accident occurs, and, as a result, compliance is realistically necessary for vendors targeting the US market.

Although the US robotics market has shown signs of recovery since the second half of 2025, external pressures, particularly geopolitical tensions and high oil prices, continue to weigh on the pace of improvement. Within this environment, regulatory alignment and compliance efforts represent one of several operational considerations for market participants.

Preparedness varies sharply across suppliers

Our interviews with robot manufacturers reveal a clear divergence in readiness for the new safety standard:

• Established global vendors, including the major international players and leading collaborative robot brands, are well aware of the upcoming changes and broadly claim to be prepared for the new standard.
• Mid-sized and emerging suppliers show significant awareness gaps. Even some manufacturers based in Europe appear less prepared, with limited visibility into the specific requirements of ISO 10218:2025.
• Emerging Asian suppliers, particularly those from China entering or looking to expand in the European market, are notably less prepared. For many of these, compliance requirements and associated R&D costs represent a significant and underestimated barrier.

Uneven readiness will lead to new competitive dynamics

If ISO 10218:2025 is formally adopted in Europe ahead of the 2027 deadline, the compliance dynamic is likely to reinforce the market position of established global players, which have the resources and institutional knowledge to manage the transition. For newer Asian entrants, it creates a meaningful headwind at a time when many are investing heavily in European market expansion.

That said, broader weakness in European manufacturing demand and potential cost pressures on SMEs may push full legal transition beyond 2027.

In the US, the robotics market remains dominated by established suppliers such as Fanuc. The new safety standard is likely to add incremental pressure for emerging players, alongside existing challenges such as tariffs and geopolitical uncertainty, but it is not the sole determining factor. Overall, the standard update is expected to favour better-prepared, established vendors and further strengthen their market positions.

In our view, the direction of travel is clear. ISO 10218:2025 reflects improved safety requirements that are in the long-term interest of the industry and robot end-users. In Europe, it remains uncertain whether full legal transition will be completed by 2027, given subdued market conditions. However, once implementation occurs, suppliers that are well prepared will be positioned to benefit, while underprepared companies may face market access disruption. As a result, robot manufacturers and system integrators of all sizes should treat preparation as a strategic priority rather than a compliance afterthought.

LG Motion (Stand 46) will be showcasing Techman Robot (TM Robot) collaborative robots at MachineBuilding.South with a number of demos, along with electro-mechanical motion control systems. LG Motion managing director Gary Livingstone has also authored a book: Lean Robotic Automation provides a clear and practical framework for implementing robotics successfully, combining proven Lean principles with real-world automation experience.

“Robots can deliver incredible results, but only when they’re applied in the right way,” said Gary. “This book is about taking a structured, Lean approach to robotic automation so projects are simpler, outcomes are clearer, and businesses get real value from their investment.”

For its part, OMRON (Stand 70) has expanded its TM S Series collaborative robot portfolio with three new models and a major software update, supporting manufacturers facing labour shortages and increasing requirements for flexible, high-mix production. The TM30S, TM20S and TM6S extend the series’ payload and reach capabilities for applications such as palletising, machine tending and precision handling.

Across the S Series, OMRON has introduced upgrades to increase durability and support faster redeployment. All robot arms now feature an IP65 rating for use in washdown or dust-prone environments. Higher-payload units (TM25S, TM30S) incorporate an integrated joint 6 force-torque wrist sensor for improved force-controlled processes. The updated Landmark 2.0 vision-based positioning system is designed to reduce recalibration time when moving robots between stations.

OMRON has also released TMflow 2.22, an update to its no-code programming environment. The new version introduces more granular safety configuration options, expanded remote monitoring and diagnostics, and a higher-fidelity simulation engine. Integrated vision tools have been strengthened to support inspection and pick-and-place tasks with greater accuracy.

With the TM30S, TM20S, and TM6S alongside crucial upgrades like IP65 certification and the integrated joint 6 force torque sensor, OMRON says it is empowering customers to automate their most challenging, heavy-duty tasks with greater safety, precision, and flexibility than ever before. TMflow 2.22 ensures that this immense power remains easy to program and manage, upholding OMRON’s commitment to harmonious automation.

JAKA Robotics (Stand 78) is emphasising the wide range of applications for collaborative robots, including picking, packing, machine tending, and quality inspection. Their flexibility allows businesses to deploy them across different roles and processes, making them incredibly versatile tools that can enhance productivity in multiple aspects of production.

JAKA continues to advance the conversation around collaborative robotics, arguing that, with proven adaptability, safety measures and intelligence, cobots are crucial allies for any business looking to enhance productivity and workforce safety, no matter the size of operations.

Delta robots

Following its new partnership with Englert Robotics, HMK (Stand 41) is excited to be overviewing delta robot technology on the stand – perfect for high-performance handling applications. Englert’s modular platform offers exceptional flexibility, with a wide range of sizes, payloads, and configurable options, including different material combinations to suit hygiene-critical, high-speed or harsh environments. This flexibility makes the robots ideal for applications across packaging, food, pharma, electronics, logistics and recycling.

A key advantage is the open, standards‑based approach to control integration, supporting Siemens, KEBA and other leading control platforms. This gives OEMs full freedom to align with their existing architectures while avoiding vendor lock‑in.

As the UK partner for Englert Robotics, HMK offers OEMs multiple delivery options – from mechanical‑only Delta robot systems, through mechanics supplied with motors and drives, to fully engineered and integrated mechatronic solutions. By combining Englert’s advanced mechanical design with HMK’s control, motion and systems expertise, HMK provides flexible, high‑performance and cost‑optimised robotic solutions tailored to each requirement.

A key requirement for robotics applications is some sort of end-of-arm gripper, and PIAB (Stand 83) offers a huge range of suction cups, including the recently introduced BCP40 is a suction cup dedicated to automated handling of corrugated cardboard boxes in packaging and intralogistics. BCP40 combines long stroke, high stability and sustainable materials in a cost‑efficient design optimized for high‑throughput box handling.

Another innovative product in the PIAB range is new 3-finger piSOFTGRIP 40-3, developed for the food and chocolate industry. Based on the proven piSOFTGRIP 30-3, the new model increases gripping capacity up to 40 mm while keeping the same concept and ease of use.

The vacuum-based soft gripper safely handles sensitive, lightweight products with irregular shapes or surfaces. Its one-piece, sealed design with three gripping fingers is robust, dust-insensitive, and allows easy adjustment of gripping force via the vacuum level – ensuring gentle and reliable handling across a wider range of applications.

(l-r) Mike Hoban (iconsys), Jeroen Baas (Tebulo Robotics) and Rhys Morgan (iconsys)

UK manufacturers looking to reduce operational risk and address labour shortages have received a boost today with news that iconsys has signed a strategic partnership agreement with a leading global robotics expert. The Telford-based industrial automation specialist has committed to working with Tebulo Robotics to accelerate the deployment of advanced robotic automation solutions across heavy industry in this country.

The agreement will see the two parties combine controls, automation and machine safety expertise with decades of robotic systems’ experience to deliver robotic cell solutions for applications, including automated destrapping and coil handling, blade coating, dross removal, and integrated marking and labelling systems.

Available solutions also feature intelligent end-of-arm tooling, machine vision and sensing technologies – all fully engineered with safety systems firmly in mind.

“We recognised very quickly that there was a strong alignment between our two businesses,” explained Andy Bunce, Technical Sales Director at iconsys.

“Tebulo Robotics brings extensive expertise in advanced robotic applications for heavy industry, whilst we provide the systems integration and machine safety capabilities needed to successfully deploy those technologies into complex manufacturing environments.”

He continued: “UK industry has historically been slower to adopt robotics than many European competitors, but manufacturers are now facing increasing pressure around productivity, labour availability, safety and operational resilience.

“What makes this partnership particularly powerful is that every solution is engineered around the customer’s operational challenges. We are designing fully integrated robotic solutions that fit within existing production environments whilst improving safety, consistency and performance in the process.”

As a technology-independent systems integrator, iconsys will support the integration of Tebulo Robotics’ technologies into both existing and new manufacturing environments, covering software, electrical systems, functional safety, mechanical guarding, installation and commissioning.

The two companies believe there is significant potential for this partnership and have already started to collaborate on a major automation project for a leading UK steel manufacturer.

Jeroen Baas, Account Manager at Tebulo Robotics, concluded: “The UK represents a major growth market for advanced industrial robotics, particularly within heavy industry where manufacturers are increasingly looking to modernise operations and improve competitiveness.

“We have already seen how effectively our technologies and engineering capabilities complement the integration expertise of iconsys. This partnership gives UK manufacturers greater access to proven robotic technologies that are already delivering results across demanding industrial applications throughout Europe.”

Founded in 1974, Tebulo Robotics has been involved in industrial robotics since the 1990s and now has more than 500 robotic systems installed across Europe.

AI is driving robot demand in two directions

Samantha Mou, Senior Analyst at Interact Analysis, says: “We see AI influencing robot demand along two distinct axes. First, the growth of AI supply chain industries is generating direct demand for robots in manufacturing. Second, AI-powered software is enhancing robot capabilities and ease of use, enabling robots to perform tasks they previously couldn’t, thereby creating demand in markets that were difficult to penetrate.”

The growth of AI-adjacent manufacturing is opening up sales opportunities across several segments:

Semiconductor manufacturing: AI-driven chip demand is accelerating automation in semiconductor production. “We predict robot sales to the semiconductor industry to grow at an average annual growth rate of 7.8% through 2030, outpacing most other sectors. Light-payload articulated and SCARA robots are the primary beneficiaries, while mobile collaborative robots (mobile cobots) used for wafer handling are also rapidly gaining traction. Demand for these emerging mobile cobots is concentrated in Asia, particularly Taiwan, mainland China, and South Korea, and key suppliers in this segment include Universal Robots, Fanuc, Techman, and Jaka.”

Data centre equipment manufacturing: The manufacture of AI data centre equipment, from server cabinets to printed circuit boards, is driving robot demand across the supply chain. “In addition to traditional industrial robots, collaborative robots are increasingly used for inspection and component handling, valued for their flexibility and ability to work alongside people.”

Humanoid robots as a cobot customer segment: Cobot vendors are supplying robot arms to humanoid robot manufacturers, particularly in China, where some emerging companies prefer to focus on software development and source hardware off the shelf. Cobot vendors serving this market include Rokae, Jaka, and Fairino.

AI enhancing robot capabilities

In the meantime, AI is making robots more capable and easier to use – an important development, as difficulties relating to programming and integration complexity are among the barriers to robot adoption most often cited. “In our recent Voice of Market research, integration complexity emerged as the top obstacle to automating material transport in factories, surpassing even upfront cost concerns,” says Mou.

“Specifically, we notice four key areas where AI is applied in robotics: (1) AI-powered machine vision for robot guidance; (2) AI-enabled robot instruction and programming; (3) AI-driven path optimisation and multi-robot coordination; and (4) emerging applications in remote robot monitoring and maintenance.”

AI allows robots to understand and respond to human language and supports low-code or no-code programming, making robots easier to use. It also empowers robots to handle complex tasks in flexible environments. For example, Fanuc demonstrated AI-powered dual control of two cobot arms sorting cables, which is a task traditionally difficult for robots, and showcased AI-powered robots tracking moving parts for precision tasks such as screw tightening, highlighting the potential of AI to improve robot adaptability.

“That said, AI-driven robotics is still in its early stages and faces challenges, such as cybersecurity risks in remote monitoring, limitations of low-code programming for complex tasks, and high R&D costs for AI-enhanced software. Broad commercialisation will take time and depend on further innovation, as well as demonstrated value across a range of industrial applications.”

Industry leaders are actively capitalising on the opportunities created by advances in AI. On the one hand, robot manufacturers are launching new solutions tailored to the electronics and semiconductor industries. For example, ABB introduced its Lite+ small robot series in 2025, with electronics identified as one of its key target sectors, while STEP recently launched dedicated wafer handling robots.

On the other hand, robot vendors are increasingly integrating AI capabilities into their products to improve performance, flexibility, and ease of use, helping them remain competitive. For instance, both Universal Robots and Fanuc have announced collaborations with NVIDIA to develop AI-powered robot programming and simulation tools.

These developments reflect manufacturers’ efforts to address key barriers to robot adoption, particularly the challenges associated with robot integration and programming.

“AI is proving to be both a demand driver and a capability multiplier for the robotics industry,” Mou concludes. “The expansion of semiconductor and data centre manufacturing provides a robust new customer base, while AI-powered software is steadily lowering the integration barriers that have historically limited robot deployment beyond highly-structured environments. To capture these opportunities, robot manufacturers are actively investing in tailored solutions for AI-related industries, while embedding AI into their existing products.”

Global humanoid robot production exceeded 20,000 units in 2025, a tenfold increase from fewer than 2,000 units in 2024. However, the vast majority were used for research, data collection and entertainment. Only around 10% of units produced were deployed in real-world applications. While this represents a substantial increase from dozens of units in 2024, growth was driven more by an expanding customer base and increasingly diversified pilots than by scaled commercial deployments.

By the end of 2025, most real-world application projects remained small-scale proof-of-concept (POC) deployments, predominantly driven by government subsidies, strategic investments, and supply chain partnerships. The market still lacks large-scale, long-term deployments based purely on commercial rationale. Although cost reduction and efficiency improvements through automation may have been the original intent of many pilot projects, most had not progressed beyond short-term demonstrations and small-scale controlled operations.

Autonomous operation, return on investment realisation (requiring sufficient efficiency and task success rates), and multi-task-level generalisation capabilities still appear to form the “impossible triangle” that humanoid robots struggle to break through.

Chinese vendors lead humanoid robots production

China was the engine of both supply and the early adoption of humanoid robots during 2025. In terms of overall unit production, Chinese vendors’ share exceeds 90%, with the remainder largely from US manufacturers. In terms of adoptions, about 75% of humanoid robots were delivered in China. The disparity between domestic production and demand in China during 2025 is primarily due to significant overseas sales achieved by several Chinese humanoid robot manufacturers, with demand driven mainly by academic research and entertainment use.

The vendor landscape is also highly concentrated in China. The top five producers in 2025 were all Chinese manufacturers, collectively accounting for approximately 70% of global humanoid robot production. Unitree and Agibot each produced and shipped over 5,000 units, together surpassing 11,000 units and representing more than 50% of the global market.

However, today’s market concentration and leadership are driven by early research demand (including data collection for physical AI training), attempts to gain media attention, and curiosity-driven trials, rather than by proven commercial deployments. The robust material support provided by the Chinese government for humanoid robotics is the primary reason behind the aggressive expansion of Chinese vendors and the domestic market in 2025.

Marco Wang, Market Analyst at Interact Analysis, says: “We believe the competitive landscape is far from settled, given that both the market and the underlying technology remain in a very nascent, immature phase. It could still experience substantial dynamical change, with more established cross-industry players joining the field, such as leading automotive and consumer electronics vendors.”

Large-scale commercial inflection point

Looking ahead, Interact Analysis believes the market is likely to continue growing, with annual volumes reaching thousands of units. The share of units deployed for real-world applications will increase gradually over time. However, in the short run, growth won’t be entirely driven by rational commercial considerations. It is primarily driven by numerous small-scale pilots at present, rather than large-scale commercial projects. Customers will be concentrated among well-capitalised companies and enterprises with capital and supply chain ties to humanoid robot companies, and government involvement will play a key role.

“We believe that near-term deployments will remain predominantly semi-autonomous, with certain specific tasks still requiring rule-based control or human teleoperation,” says Wang. “The latter is expected to achieve the first actual commercial deployment of humanoid robots in hazardous work scenarios and regions with significant regional labour cost disparities. In contrast, highly autonomous, AI-driven humanoid robots will initially be adopted in scenarios with greater tolerance for task speed and error rates.

“Our field observations indicate deploying humanoid robots at scale for tangible workforce value remains constrained by critical usability gaps (including task reliability and efficiency insufficient to achieve ROI, and limited multi-tasking capabilities). Technical bottlenecks span immature embodied AI, severe physical data scarcity, and inadequate hardware endurance. Meanwhile, the absence of established safety standards and regulatory frameworks constitutes a key barrier to expanding humanoid robots into human-machine interactive settings.

“Consequently, we expect the market will struggle to achieve a large-scale commercial inflection point across multiple domains within the next five years. A commercial inflection point is forecast post-2032, contingent on breakthroughs in autonomous and reliable task execution, acceptable ROI, and clearer regulatory environments. By 2035, global shipments for real-world applications are projected to exceed 700,000 units, with market revenue reaching approximately $15 billion.”