Survey Finds 32% of Discrete and Process Manufacturers are Implementing XR Technologies into Their Operations

According to a recent State of Technology in Manufacturing survey conducted by global technology intelligence firm ABI Research, Extended Reality (XR) technologies like smart glasses and VR headsets are in a similar stage and outlook to digital twins, machine vision, and Artificial Intelligence (AI)-enhanced devices among industrial and manufacturing operators. Of over 460 respondents across roles in discrete and process manufacturing, 68% indicated some level of XR consideration, with the other 32% at some stage of actual implementation.

“The value of XR to organizations has been known for years, especially in areas like training, remote workforce enablement, and collaboration. However, the barriers to that value have also been well-known and remain. Device cost, integration concerns, and confusion around offerings are most common,” says Eric Abbruzzese, Research Director with ABI Research.

Most commonly, companies are evaluating XR suppliers. 30% are at some deployment stage, from creating implementation programs (10%) to completing XR integration in all relevant areas (2%). This response pattern is similar to related digital transformation technologies, especially in the evaluation stages. However, XR, on average, is more often in consideration for adoption over the next 12-24 months rather than in active Proofs of Concept (PoC) or supplier evaluation compared to other technologies.

A similar priority for respondents included improving equipment performance and quality levels. While XR is in the early stages of adoption, XR can benefit these areas—remote maintenance, interactive training, and reliable knowledge capture/sharing are proven benefits of XR adoption. At the same time, people and process barriers are common pain points around XR cited in the survey. A lack of time to plan, along with a general lack of expertise in XR, has delayed potential investment and adoption. Both were ranked highly among respondents as barriers. Relatedly, an inability to articulate needs from a solution, along with a lack of clear Return on Investment (ROI), are prominent concerns. This stems from a lack of vendor and market understanding, which for XR is exacerbated by fragmented platform efforts and an ever-changing landscape.

“The XR market has seen plenty of ups and downs over the past decade, which has hindered trust and understanding in the market despite proven value. A lack of clarity among available platforms and paths to market hold back potential adoption. However, the growth of related digital transformation technologies, especially digital twins and machine vision, is a boon for XR and vice versa. Over time, a more holistic view of visual workforce enablement will take hold, rather than a focus on individual technologies, and XR will be an increasing portion of that offering,” concludes Abbruzzese

These findings are from ABI Research’s Industrial and Manufacturing Survey 1H 2024: Extended Reality (XR) report. This report is part of the company’s Extended Reality (XR) Technologies research service, which includes research, data, and ABI Insights.

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