About the report
The IT OT Convergence Insights Report 2024 is part of IoT Analytics’ ongoing coverage of Industrial IoT. The information presented in this report is based on the results of secondary research and qualitative research, i.e., interviews with multiple stakeholders from the IT and OT domain between December 2023 and September 2024. The document includes the definition of IT-OT convergence, drivers and challenges of IT-OT convergence, 27 unique convergence themes grouped into seven categories, and more than 70 corresponding examples of IT-OT convergence implementation.
The main purpose of this document is to help our readers understand the IT-OT convergence phenomenon by appreciating the various ways in which IT and OT are converging, which are explained throughout the document with real-world examples.
IT OT convergence market
The global IT/OT convergence market is set to experience substantial growth, projected to exceed $1 trillion by 2030. As of 2023, the combined market for IT software, OT software, and OT hardware, influenced by IT/OT convergence, was valued at $720 billion.
The IT/OT Convergence Insights Report 2024 forecasts a compound annual growth rate (CAGR) of approximately 8.5% until 2030, driving the market to reach $1.3 trillion by the end of the decade. This growth is attributed to factors such as increasing digital transformation initiatives and the integration of IT and OT systems.
27 key themes that drive IT OT convergence
IT-OT convergence integrates IT and OT to enhance industrial operations. IT-OT convergence involves combining IT systems that manage data with OT systems that control physical processes. The need for real-time data and flexible infrastructure drive the convergence. Companies are adopting convergence solutions to access real-time data and overcome legacy OT limitations. Key benefits include better visibility, security, and adaptability in operations. The following key themes are driving IT-OT Convergence:
- Agile, DevOps, Modularity and as-a-service models brings flexibility to OT software development and deployment.
- Popular IT technologies are getting adopted in OT. Examples include High-level programming languages, Low-code tools, use of AI, APIs such as REST and GraphQL, software marketplaces, containerization and AR (Augmented Reality)
- Several IT cybersecurity principles like Zero Trust, TPM (Trusted Platform Module), Network segmentation are coming to OT. IEC-62443 integrates IT cybersecurity principles.
- IT and OT software applications running in the cloud and at the edge. IT applications at the OT edge enhance real-time processing. OT applications in the cloud offer scalability.
- IT-OT data integration enabled by Protocol converters, Message brokers, Advanced wireless technologies, Industrial DataOps, Digital twins, IoT data integration platforms, and Device management solutions is central in IT-OT convergence.
- Collaborative IT-OT teams, Cross-domain training and Interdisciplinary hiring lead to IT-OT COnvergence.
- OT hardware is becoming more IT-like by advancements like Hardware/software decoupling, OT hardware virtualization and Advanced computing at the edge.
Questions answered
- What is IT-OT convergence?
- What are the drivers and challenges of IT-OT convergence?
- What is the overall addressable IT-OT convergence market?
- What are the key IT-OT convergence categories and themes?
- What are key examples of IT technologies adopted in OT settings?
- Which new organizational and technological themes are emerging to foster IT-OT collaboration?
- How is OT hardware evolving to cope with future IT-OT convergence?
- What are some key examples of vendors offering solutions for IT-OT convergence?
- What are some key examples of industrial companies and manufacturers adopting IT-OT convergence topics?
Companies mentioned
AWS Airbus Base Automation Beckhoff Bosch Rexroth Critical Manufacturing Crosser Electrolux HighByte HiveMQ Inductive Automation Integration Objects Litmus Microsoft PTC Palo Alto Networks Phoenix Contact Schneider Siemens Software Defined Automation TURCK Toyota Tulip Uniper Energy
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