The global IO-link market value was US$ 6 billion in 2020. The global IO-link market value is forecast to reach US$ 74.06 billion by 2030, with a growing compound annual growth rate (CAGR) of 28% during the forecast period from 2021-2030.

IO-link is an open standard serial communication protocol that allows sensors and devices that support it and are connected to a master to exchange data bidirectionally. As an IO-link gateway, the masterworks can connect up to eight devices including, sensors, valves, or binary IO modules. IO-link masters can transmit data over various networks, field buses, or backplane buses, making the data available to an industry information system for immediate action or long-term analysis. IO-link sensors have IO device descriptions (IODD) that list their capabilities and describe their IO-link capabilities.

Factors Influencing Market Growth

IO-link market size is forecast to rise due to factors including the ability to support Fieldbus and Ethernet communication protocols at much higher levels and the surge in demand for Industry 4.0.
The awareness of the benefits of IO-link has led to an increase in automation. As a result, government initiatives toward the adoption of industrial automation drive growth in the IO-link market.
Consumption of compact machines is a significant obstacle to the growth of the IO-link market.
The continuous adoption of next-generation connected technologies like IoT, industrial robots, and cloud technologies is one of the major factors set to boost the market for IO-links during the forecast period.
The availability of cloud interfaces in IO-link and the release of safety specifications will boost the growth of global IO-link market revenue.
Impact Analysis of COVID-19

The COVID-19 pandemic has impacted players in the IO-link market significantly. The demand for IO-link solutions decreased dramatically as a result of the lockdown across all manufacturing plants, public places, and offices. Due to the lockdown imposed by various governments to contain the spread of COVID-19, the demand for electronic devices such as sensors, switches, and actuators has decreased significantly worldwide. This negatively impacted the market growth for IO-link.

As the automotive sector stabilizes, the latter half of the year should see normalization in inventory levels and increased demand for IO-link products. A slowdown in OEM production and a reduction in demand has slowed the growth of the global IO-link market. In addition, global supply chains have been affected by shortages of materials and components. Additionally, a reduction in various capital budgets and delays in planned projects in various industries have hindered the global economy.

In contrast, the rollout of vaccines across the globe, along with the decline of COVID-19 cases, particularly in North America and Europe, is forecast to boost the recoveries of the global IO-link market.

Regional Insights

The IO-link market in Europe is dominated by automotive, aerospace & defense, and industrial manufacturing verticals. A number of major economies are growing in this region, including the UK, Germany, and France, resulting in significant growth opportunities for the IO-link industry.

Leading Competitors

The leading prominent companies in the global IO-link market are:

Balluff GmbH
Banner Engineering Corp.
Emerson Electric Co.
Hans Turck GmbH & Co. KG
Ifm electronic GmbH
Omron Corporation
Pepperl+Fuchs
Rockwell Automation, Inc.
SICK AG
Siemens
Other Prominent Players
Scope of the Report

The global IO-link market segmentation focuses on Type, Component, Application, Industry Vertical, and Region.

Segmentation based on Type

IO-link Wired
IO-link Wireless
Segmentation based on Component

IO-link Master
IO-link Devices
Sensor Nodes
Position Sensor
Temperature Sensor
Pressure Sensor
Vibration Sensor
Others
Modules
Actuators
RFID Read Heads
Others
Segmentation based on Application

Machine Tool
Handling & Assembly Automation
Intralogistics
Packaging
Segmentation based on Industry Vertical

Oil & Gas
Energy & Power
Automotive
Aerospace & Defense
Pharmaceuticals
Chemicals
Others
Segmentation based on Region

North America
The U.S.
Canada
Mexico
Europe
Western Europe
The UK
Germany
France
Italy
Spain
Rest of Western Europe
Eastern Europe
Poland
Russia
Rest of Eastern Europe
Asia Pacific
China
India
Japan
Australia & New Zealand
ASEAN
Rest of Asia Pacific
Middle East & Africa (MEA)
UAE
Saudi Arabia
South Africa
Rest of MEA
South America
Brazil
Argentina
Rest of South America