IO-Link Market Analysis

Component Segment Analysis

The IO-link master segment is predicted to hold the largest IO-link market share of about 40% during the stipulated timeframe. Implementation of IO-Link masters with edge computing capabilities is increasing due to industrial requirements for decentralized automation systems and real-time decision operations. The ongoing development of industrial automation systems involves companies that integrate edge computing with IO-Link to create more intelligent and responsive systems. For instance, in February 2024, Hilscher released their sensorEDGE and sensorEDGE FIELD IO-Link masters as devices that unify standard IO-Link sensor interfaces with edge computing functionalities. These devices enable direct interfacing with Ethernet-based IT systems while maintaining existing communication networks and controllers, making IT/OT integration possible without modification. Through local processing, these developments reduce bandwidth usage while achieving better accuracy in a shorter timeframe.

The extensive application range of IO-Link masters is demonstrating their value to multiple industrial domains. Industrial applications widely rely on IO-Link masters as these devices establish uninterrupted connections between control systems and field instrumentation across various manufacturing domains, including automotive operations and process automation. Industrial automation is expanding through the rising demand for IO-Link masters, resulting in improved connected systems technology.

Type Segment Analysis

The OI-link wireless segment is estimated to hold the revenue IO-link market share of about 55% through 2037. The segmental growth is attributed to the formal recognition of IO-Link Wireless as an international standard. This enables the implementation of IO-link wireless systems into current automation systems to bolster their adoption. The standardized wireless communication protocol allows for easy interoperability between devices and improves system flexibility, making it effective for use in automotive, manufacturing, and logistics sectors. The companies are implementing wireless platforms to reduce costs, coupled with improved system scalability is driving increased demand for IO-link wireless solutions, making them essential for Industry 4.0 applications.

The industrial automation sector demands IO-link wireless solutions due to increasing trends toward remote monitoring and connectivity in industrial automation. Industry operations benefit from wireless data collection methods as they enable cost-efficient analysis of information from equipment located at distant sites. The wireless connectivity of IO-Link is making it highly useful for spaces that cannot endure wired components. Real-time data transmission capabilities through wireless channels are a significant driver for IO-link wireless adoption, which benefits multiple industrial sectors.

Our in-depth analysis of the global IO-Link market includes the following segments: