Crystal Ball 2025: More experts predict manufacturing tech trends (Part 1)

This is the first part of a prediction thread for 2025 that Smart Industry opened up to notable experts in new manufacturing technology. The second part appeared Jan. 7.

Tim Gaus, smart manufacturing business lead, Deloitte:

Less proofs of concept, more scaled solutions. Manufacturers need to move the needle on Generative AI investments: While 2024 was the year to test Gen-AI scenarios, 2025 will have manufacturers shifting gears as the C-Suite pushes for more concrete, value-pay applications rather than endless trials.

As Gen-AI evolves and businesses wrestle with governance and ethical challenges, expect to see manufacturers channel their resources into routine Gen-AI applications like maintenance and repair while beginning to move to more complex, robust concepts such as product development and design.

Webinar rewind: Getting the ‘Ts’ to get along

Manufacturing is stepping into its Gen-Z era. While the sector has evolved dramatically since the Industrial Revolution, the new generation often still sees it as grimy and outdated. Gen-Z craves more from their careers than traditional manufacturing roles—the days of loyalty to one company for decades are fading away.

Although retaining talent remains crucial, manufacturers will need to prepare for the inevitable waves of change brought by this dynamic generation. Embracing technology that streamlines operations, enhances training, and simplifies daily tasks will help bridge the generational divide and keep the wheels of industry turning smoothly.

Best of 2024: SI looks back at our favorite features

Software is set to revolutionize manufacturing. Just as it has in the automotive sector, software is poised to redefine the future of manufacturing, addressing the limitations in flexibility and agility inherent in traditional methods.

Companies will start rethinking and redesigning their production lines, paving the way for software-driven manufacturing processes like automation and robotics. By 2025, this shift will become evident, especially with new greenfield projects breaking ground in the U.S., as manufacturers move operations closer to home, spurred by legislative actions like the CHIPS Act.

Prioritizing tech wellness as the foundation for innovation. As manufacturers continue making strides towards “smart” operations, it’s time to revisit two critical pillars: industrial data and manufacturing execution systems (MES).

Podcast: Which industrial technologies are really worth the investment?

While delving into these essentials may not be the most glamorous of trends, it's crucial for mastering new technologies at scale. Fragmented management of both data and MES has left many organizations with varying degrees of digital readiness.

Come 2025, a cohesive technology strategy will be indispensable. This robust foundation will empower manufacturers to harness the potential of AI, Gen-AI, metaverse/digital simulation technologies, and more, driving efficiency and transforming possibilities into reality.

Simulation for success. Over the next 12 months, the use of simulation in the manufacturing industry is expected to increase. With potential business disruptions, the need to control costs, and the rise of AI, digital simulation will become a valuable tool.

Managing the industrial edge: challenges, approaches and solutions

Digital simulation provides organizations with many advantages, including enhanced employee training, improved safety, increased efficiencies, and optimized operations through process and business simulation scenarios. However, implementing these technologies at scale can be complex.

By investing in digital foundations for smart operations and focusing on high-ROI use cases, manufacturers can refine their strategies. More targeted applications such as casual AI, production line simulation, process simulation, and business scenario simulation are anticipated to impact the industry significantly.

Simon D. Kim, CEO and founder of Glassdome:

A “silver wave” in manufacturing will speed up tech adoption. 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 technology to replace some of this expertise and knowledge that will leave the industry. A new, younger class of employees familiar with manufacturing processes and AI and data will enter the workforce, and manufacturing will evolve.

See also: Six ways to incorporate AI into your manufacturing operations

Manufacturing will be a digital workplace. Manufacturers were once considered old-fashioned and traditional. That’s no longer the case. In 2025, factories will continue their digital transition as the crossover between the digital world and manufacturing continues.

Expect manufacturing to use technology to work faster and more intelligently. This includes technology like AI-powered drones and robots on factory floors down the road. As AI, automation and machine learning are becoming the norm, data will play an even greater role in the manufacturing process. The need for interconnectedness will make manufacturers embrace Industry 4.0.

Manufacturing will finally embrace digital twins. A digital twin is a virtual copy of an object, space, or system that can simulate its real-world counterpart. In manufacturing, digital twins take engineering data from various sources, giving it a narrative and context similar to the real world.

This breaks down information silos and offers a holistic view that can be shared throughout the company. Expect digital twins to multiply in the manufacturing space with companies like NVIDIA leading the way with industrial-scale digital twins.

See also: Leveraging smart factories to adopt data-driven approaches

Trump’s election will change the manufacturing landscape. The political shifts in the U.S. and abroad will profoundly affect manufacturing. 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 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 emphasis on protectionism may hurt a manufacturing sector that depends on the global supply chain.

In addition, reports suggest that increased tariffs and trade policy shifts could increase costs and lead to strategic changes in manufacturing.

Sustainability remains relevant. Even if the government rolls back climate regulations in the U.S., sustainability will still be relevant to manufacturers in 2025. Manufacturing companies must consider sustainability to compete globally.

Podcast: Moving the shop floor toward digital manufacturing

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 manufacturing. California already plans to challenge the Trump administration on changes that could affect state laws on the environment and many other issues.

U.S. manufacturers will eye battery business. The United States has a great demand for specialized batteries. Currently, about 80% of lithium batteries are made in China. In 2025, U.S. manufacturers will continue their push to end dependence on Chinese lithium despite challenges. Additionally, domestic lithium processing would be beneficial to the domestic supply chain.

David Parry-Jones, chief revenue officer, DeepL:

The increased awareness of AI in the public consciousness has been a huge accelerant for enterprise adoption, with many organizations testing new solutions to improve their output and team efficiency. We’re going to continue to see this test and learn attitudes from many companies, but 2025 will be the year where more is done to narrow down the tools that are actually being used.

See also: How universities help manufacturers with technology testing, adoption

AI for the sake of AI is likely to reduce, with the onus shifting to whether the solution is solving an actual problem. Organizations with this mindset will also drive down the risk of Shadow AI, where team members use unsanctioned tools. Specialized models are likely to be one of the winners of this shift in attitude, with a growing focus on using the right tools for each scenario.

Ira Moskowitz, CEO, Advanced Robotics for Manufacturing Institute:

One of the most important trends in the future of industrial automation is collaborative robots or “cobots,” further empowered by AI. My prediction is the application of this technology will make great strides in 2025.

However, it’s important to understand that the growth of cobots is not just about robots; it’s about people and robots. In fact, The ARM Institute’s vision is to help lead the way to a future where people and robots work together.

We do not see the future of manufacturing as some kind of dystopian, lights-out factory full of robots; we see a future where manufacturers take further advantage of the unique capabilities of humans, their brains and their creativity, and the unique aspects of robots, which is the ability to do dirty, dull, repetitive, and dangerous jobs without fatigue, as well as jobs that require precision or speed beyond human capability.

See also: IT/OT convergence needs a human-centered approach

Skilled humans trained in robotics competencies must also be there alongside the robots, engaging with them, maintaining them, and programming them.

The key to fully collaborative robots is AI. The ARM Institute’s national member consortium is working on innovative technology projects to turn even large, otherwise dangerous robots into collaborative robots.

We use AI to make cobots easier to integrate into the factory, to make them interoperable with each other, to advance the effectiveness of the human-robot interface, and to make cobots more flexible, adaptable and autonomous in dealing with new situations.

In a future where manufacturers optimize and deploy human intelligence as well as robotic intelligence, this technology and the supporting skills training will help the U.S. produce the world’s greatest products and meet our nation’s greatest challenges.

Grace Nam, strategic solutions manager, Laserfiche:

Empowering workforce satisfaction in 2025

Organizations are increasingly recognizing the value of investing in advanced technologies—not just to streamline operations but also to enhance workforce satisfaction.

See also: A guide to inserting AI into your workflow

This shift is essential for improving staff retention and performance, as it empowers employees with smarter, more productive ways of working. With the growing demand for manufacturing jobs, there is a unique opportunity to attract younger talent and address the impending shortage in STEM fields.

In 2025, reducing burnout caused by repetitive administrative tasks will be a top priority for organizations. We can expect organizations to reposition employees into meaningful roles that better leverage their skills, cultivating a more engaged and motivated workforce.

It is critical to implement technologies that are easily adaptable and able to scale daily processes to maximize digital transformation efforts and support change management.

Driving automation with advanced technologies

Automation is no longer limited to the production floor; it is becoming integral to every function within manufacturing. This shift is fueled by a robust digital infrastructure that enhances resilience, agility, and scalability.

See also: Cybersecurity report shows threats to OT skyrocketing

In 2025, emerging technologies such as AI and machine learning ML will continue to play pivotal roles in managing metadata, structuring documents, and automating repetitive manual workflows that range from simple tasks to complex processes involving multiple stake holders. Seamless integration across platforms will enhance the effectiveness of AI- and ML-driven automation.

Customer service and compliance will define market success

By 2025, customer service and compliance will emerge as key differentiators in the market. Businesses will need to redefine their processes to efficiently access and utilize existing data, ensuring responsive customer interactions while adhering to stringent quality and regulatory standards. Enhanced integration efforts will support digital compliance and document control systems, fostering a secure and reliable operational ecosystem.

Scaling supply chain to better serve customer demands

From contract management and supplier evaluation to procurement, logistics, and shipping, front- and back-end supply chain processes that were overlooked during prior digitization efforts will be critical to driving better agility and resilience.

Podcast: Smart metering—should your plant make the switch?

Organizations will achieve more return on investment through higher efficiency and accuracy in these processes, while strengthening information governance, supporting compliance and adhering to reporting regulations.