Global Model-based Enterprise Market Overview:
Model-based Enterprise Market Size was valued at USD 21.6 Billion in 2023. The model-based enterprise market industry is projected to grow from USD 25.1 Billion in 2024 to USD 70.8 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 16.00% during the forecast period (2024 - 2032). A few significant market drivers in the model-based enterprise market are the expanding digitalization of the aerospace and military sectors as well as the emergence of the concepts of digital twin and digital thread technologies.
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Model-based Enterprise Market Trends
Increasing use of digital thread and twin technologies is driving market growth
Market CAGR is being driven by the increasing use of digital thread and twin technologies. The advantages of digital twins in terms of technology, data and analytics, and innovation support the growth of numerous global industries. Currently, in order to improve their performance agility, many businesses are changing their IT infrastructure, organization, data collecting and analytics. The digital twin concept and framework aid in the development of unique digital projects for businesses and organizations.
The idea of the digital twin may steer numerous businesses' other digital endeavors. Furthermore, simulation tools and 3D models were used to develop the concept of the digital thread. These tools are getting easier to use and can be connected via the digital thread as a result of the advancement of new technologies. These digital threads offer the communications infrastructure necessary for an integrated view of the asset data at every stage of its life cycle, complete with revision control, analysis, and structuring. Model-based manufacturing and model-based inspection tasks are completed using model-based definition (MBD), which was developed by the engineering function.
Software capabilities are continually growing. Examples of this include developing new features for it or deleting outdated functionality. Analysis of changes, release planning, execution, and customer delivery are all parts of the evolution process. Many of the issues that firms have while digitizing their design process and making the switch from 2D to 3D are resolved by a number of innovations from vendors. For instance, in November 2020, Siemens Digital Industries Software launched the latest version of their NX software.
This version had capabilities that let companies define models using knowledge- and rule-based techniques, which incorporate best practices and leverage AI to boost productivity dramatically. The creation of desktop and mobile applications will be made possible by cross-platform software development platforms, such as Microsoft's Cimarin and Google's Flutter, which are now available on the market.
The enhanced technologies will have the capability to use native APIs and user interfaces fully. A number of platforms have already integrated AI capabilities to facilitate and expedite development. This integration of AI capability will fuel the market need for the model-based enterprise industry. Thus, driving the model-based enterprise market revenue.
Model-based Enterprise Market Segment Insights:
Model-based Enterprise Offering Insights
The Model-based Enterprise Market segmentation, based on offering, includes Solutions and Services. In 2023, the solutions segment dominated the market. The complexity of product development and production processes is rising due to factors including customization, globalization, and quick technical improvements. MBE solutions offer a unified platform for product and process design, simulation, and optimization, assisting enterprises in managing this complexity.
Model-based Enterprise Deployment Type Insights
The Model-based Enterprise Market segmentation, based on deployment type, includes Cloud and On-premise. In 2023, the on-premise segment dominated the market. Some businesses, especially those in heavily regulated sectors like aerospace, defense, and healthcare, are required by law to maintain sensitive data on-site due to strict data security and compliance regulations. Using MBE solutions on-site gives businesses more control over their data.
Figure 1: Model-based Enterprise Market, by Deployment Type, 2023 & 2032 (USD Billion)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Model-based Enterprise Industry Insights
The Model-based Enterprise Market segmentation, based on industry, includes Aerospace, Retail, Automotive, Construction, Food & Beverages, Life Sciences & Healthcare, Power & Energy, Marine, Oil & Gas, Electronics & Telecommunications, and Other Industries. The aerospace category generated the most income in 2023. Products used in the aerospace industry, like missiles, aircraft, and satellites, are extremely sophisticated and complicated, with many different parts, systems, and subsystems. MBE solutions enable aerospace firms to handle the complexities of product development, manufacturing, and lifecycle management by offering a complete digital representation of these goods, including 3D models, specifications, and metadata.
Model-based Enterprise Regional Insights
By region, the study provides the market insights into North America, Europe, Asia-Pacific and the Rest of the World. The North American model-based enterprise market area will dominate this market because more people are buying automobiles and because more people are aware of the model-based enterprise. The growing usage of digitalization and automation in manufacturing processes. The quantity of competent workers in North America is one element driving increasing the demand for MBEs.
Further, the major countries studied in the market report are the US, Canada, Germany, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.
Figure 2: Model-based Enterprise Market SHARE BY REGION 2023 (USD Billion)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Europe model-based enterprise market accounts for the second-largest market share. Organizations in Europe are leaders in the field of technology adoption, embracing cutting-edge developments like cloud computing, 3D modeling, and simulation with lightning speed. Because of this, they want MBE solutions to help them integrate various technologies and improve their processes for developing new products. Further, the German model-based enterprise market held the largest market share, and the UK model-based enterprise market was the fastest growing market in the European region.
The Asia-Pacific Model-based Enterprise Market is expected to grow at the fastest CAGR from 2024 to 2032. The Asia-Pacific area is industrializing quickly since so many of its nations have made significant investments in manufacturing and infrastructure. Because of this, there is a growing need for advanced manufacturing techniques like MBE, and many businesses are vying for market share in sectors of the economy that are expanding quickly. Moreover, China’s model-based enterprise market held the largest market share, and the Indian model-based enterprise market was the fastest growing market in the Asia-Pacific region.
Model-based Enterprise Key Market Players & Competitive Insights
Leading market players are investing heavily in research and development in order to expand their product lines, which will help the model-based enterprise market, grow even more. Market participants are also undertaking a variety of strategic activities to expand their global footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, model-based enterprise industry must offer cost-effective items.
Manufacturing locally to minimize operational costs is one of the key business tactics used by manufacturers in the global model-based enterprise industry to benefit clients and increase the market sector. In recent years, the model-based enterprise industry has offered some of the most significant advantages to production processes. Major players in the model-based enterprise market are attempting to increase market demand by investing in research and development operations, including Siemens AG, Dassault Systèmes SA, Oracle Corporation, PTC Inc., Aras Corporation, Autodesk Inc., Ansys Inc., Bentley Systems, Incorporated, SAP SE, and IBM Corporation.
The 3D experience platform, software, and services are provided by Dassault Systemes SE (Dassault), a division of Groupe Industriel Marcel Dassault SA. In the areas of design, deployment, maintenance, training, and engineering services, the organization provides consulting services. Licenses, subscriptions, and support services are also offered. Dassault uses a network of agents, distributors, system integrators, and value-added resellers to promote its goods. The integration of Dassault Systèmes' expanded 3DEXPERIENCE Works portfolio with Cadence Design Systems, Inc.'s Al-driven Cadence OrCAD X and Allegro X was announced in February 2024 as part of the ongoing strategic cooperation between the two companies for SOLIDWORKS clients, both current and prospective.
Software for enterprise applications and associated services are offered by SAP SE (SAP). Among the many solutions it offers are network, intelligent technologies, analytics, spend management, customer relationship management, people engagement, digital supply chain, corporate resource planning, financial management, and customer experience. SAP continues to work with Google Cloud as of May 2023. Business data will become more valuable and accessible thanks to our collaboration. Additionally, enterprise Al development will be advanced by it.
Key companies in the model-based enterprise market include
Model-based Enterprise Industry Developments
September 2023: The company Tech Soft 3D, which makes engineering software development toolkits, released iBase-t, a solution that helps users build and maintain complicated products more easily. It connected the CAD import and export library HOOPS Exchange to the Solumina iSeries Manufacturing Operations Platform from iBase-t.
May 2023: Agacad, a Lithuanian company that develops cutting-edge solutions for building information modeling and management (BIM), purchased SBS Group, a Lithuanian software company that primarily makes tools for project management, budgeting, and quantification for the construction and engineering industries. With the addition of tested tools for the fourth and fifth dimensions of BIM time (project planning) and prices, the acquisition broadened its offering of 3D design and data management solutions.
March 2023: PTC released the tenth version of its Creo CAD software and its Creo+ software as a service (SaaS) for computer-aided design (CAD). With new cloud-based capabilities to enhance design collaboration and streamline CAD administration, Creo+ offers the tried-and-true features of Creo.
Model-based Enterprise Market Segmentation:
Model-based Enterprise Offering Outlook
Model-based Enterprise Deployment Type Outlook
Model-based Enterprise Industry Outlook
Model-based Enterprise Regional Outlook
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North America
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Europe
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Germany
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France
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UK
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Italy
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Spain
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Rest of Europe
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Asia-Pacific
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China
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Japan
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India
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Australia
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South Korea
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Rest of Asia-Pacific
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Rest of the World
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Middle East
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Africa
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Latin America
| Report Attribute/Metric |
Details |
| Market Size 2023 |
USD 21.6 Billion |
| Market Size 2024 |
USD 25.1 Billion |
| Market Size 2032 |
USD 70.8 Billion |
| Compound Annual Growth Rate (CAGR) |
16.00% (2024-2032) |
| Base Year |
2023 |
| Market Forecast Period |
2024-2032 |
| Historical Data |
2019-2022 |
| Market Forecast Units |
Value (USD Billion) |
| Report Coverage |
Revenue Forecast, Market Competitive Landscape, Growth Factors, and Trends |
| Segments Covered |
Offering, Deployment Type, Industry, and Region |
| Geographies Covered |
North America, Europe, Asia Pacific, and the Rest of the World |
| Countries Covered |
The US, Canada, Germany, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil |
| Key Companies Profiled |
Siemens AG, Dassault Systèmes SA, Oracle Corporation, PTC Inc., Aras Corporation, Autodesk Inc., Ansys Inc., Bentley Systems, Incorporated, SAP SE, and IBM Corporation. |
| Key Market Opportunities |
Growing Adoption and Utilization of Digital Twins |
| Key Market Dynamics |
Growth in Industry 4.0 Investment Increase in Smartphone Adoption |
Frequently Asked Questions (FAQ) :
The Model-based Enterprise Market size was valued at USD 21.6 Billion in 2023.
The global market is projected to grow at a CAGR of 16.00% during the forecast period, 2024-2032.
North America had the largest share in the global market
The key players in the market are Siemens AG, Dassault Systèmes SA, Oracle Corporation, PTC Inc., Aras Corporation, Autodesk Inc., Ansys Inc., Bentley Systems, Incorporated, SAP SE, and IBM Corporation.
The on-premise category dominated the market in 2023.
The aerospace category had the largest share in the global market.
