The service robotics market is estimated to be valued at USD 54.51 Bn in 2024 and is expected to reach USD 145.85 Bn by 2031, growing at a compound annual growth rate (CAGR) of 15.1% from 2024 to 2031. Increased demand for service robots from industries such as healthcare, defense, logistics and inspection & maintenance is driving the growth of the service robotics market.

Market Driver - Increasing Demand for Robotics in Healthcare, Logistics, and Agriculture

The demand for service robotics is steadily rising across various industries as businesses aim to streamline operations and improve productivity through automation. In the healthcare sector, service robots are proving invaluable in assisting medical professionals with routine tasks. Hospitals are deploying robots for tasks such as disinfecting rooms, delivering meals, and assisting the elderly or disabled.

Logistics companies are also adopting robotics solutions for warehouse operations and last-mile delivery. Automated warehouses and delivery bots speed up the sorting and transportation of goods, helping companies meet stringent customer demand while controlling operational costs.

In the agriculture industry, farmers are leveraging robots for plowing fields, sowing seeds, monitoring crop health as well as picking fruits and vegetables. Service robotics also facilitates selective harvesting, identifying ripe produce amid foliage, and harvesting them carefully without damaging crops.

Overall, service robotics adoption in these industries presents significant long-term benefits by improving workflow efficiencies and optimizing resource usage. Advantages like enhanced safety, reduced turnaround times, and improved round-the-clock operations will boost growth of the service robotics market.

Market Driver - Advancements in Artificial Intelligence and 5G Propelling Robotic Capabilities

Rapid technological progress is continually augmenting the capabilities of service robots. Advancements in artificial intelligence are allowing robots to mimic human cognition and movement, enabling them to perform more intricate automated tasks. Sophisticated computer vision, coupled with deep learning algorithms, allows robots to visually perceive their surroundings, recognize objects, track motion, and make intelligent decisions like humans.

Service robotic systems can now leverage powerful AI technologies like machine learning, neural networks and natural language processing to continuously learn from experiences, adapt to new environments and even understand and respond to basic human commands.

In parallel, the rollout of 5G mobile networks is poised to revolutionize robotics by providing dedicated high-speed internet access. 5G will facilitate reliable, real-time transmission of massive volumes of data between networked devices. This will transform robot operation by supporting complex processes that require precise coordination between multiple machines. Overall, advancements in AI and 5G are vastly improving the decision making, coordination, and responsiveness of robots, expanding their viability across new domains. This will further catalyze commercialization of service robotics solutions.

Market Challenge - High Cost of Implementation and Maintenance

One of the major challenges currently inhibiting the growth of the service robotics market is the high cost of implementation and maintenance associated with these robotic systems. Service robots can have significant upfront capital costs, often ranging from tens of thousands to several hundred thousand dollars depending on the complexity and functionality of the robot.

Additionally, service robots require ongoing maintenance to perform routine checkups, software and hardware updates, and repairs. Certified technicians specialized in robotics need to be employed which further increases maintenance costs. The need for specialized skills and technical expertise to operate and repair robots makes their total cost of ownership quite high.

Additionally, the high maintenance costs negatively impact the ROI prospective clients can expect from deploying service robots. Unless solutions can be found to drive down costs throughout the product lifecycle, the addressable segment in the service robotics market may remain limited.

Market Opportunity - Expansion in Underdeveloped Economies due to Lack of Skilled Labor

One significant opportunity for growth in the service robotics market is the potential for expansion in underdeveloped and emerging economies that are facing acute skilled labor shortages. Many developing nations lack adequate skilled human resources due to issues such as low education levels, poor training infrastructure, and outward migration of skilled workers. Service robots present an attractive solution by supplementing or replacing human workers, especially for repetitive, hazardous, or physically demanding jobs that are shunned by potential employees.

The deployment of collaborative and assistive robots allows industries in underdeveloped regions to function more efficiently without relying on scarce human capital. It is estimated that service robots could create several million new jobs in developing economies by 2030. As these nations experience strong GDP growth and rising incomes, their demand for automated systems will also increase dramatically to overcome shortages of human workers and boost productivity.

Collaboration and Partnerships: Collaboration has been a major strategy for success in this market. For instance, in 2020, Anthropic partnered with Boston Dynamics to expand the capabilities of their AI and expand into new domains like robotics.

Product Innovation: Continuous innovation helps companies stay ahead of the curve. In 2019, iRobot launched its Roomba s9+ robot vacuum with smart mapping capabilities and 40x more powerful suction. This made the vacuum more automated and powerful.

Acquisitions: Acquisitions have enabled companies to rapidly supplement their capabilities and offerings. In 2021, Anthropic acquired Constitutional AI to strengthen its model verification capabilities and address safety issues. This positions Anthropic as a leader in AI safety.

Focus on Applications: Targeting specific applications where robots offer maximum value has driven success. For example, by focusing on surgical robotics, Intuitive Surgical was able to dominate this segment with its da Vinci system, performing over 5 million surgeries globally.

Insights, By Type: Rise of Automation in Industries Paves the Way for Professional Service Robots

In terms of type, professional service robots contributes 68.4% share of the service robotics market owing to the rise of automation across various industrial verticals. In the manufacturing sector, collaborative robots or cobots are enabling small and medium enterprises to automate assembly and quality control tasks at lower costs.

Furthermore, professional medical robots are revolutionizing surgeries through minimally invasive procedures, thus reducing risks, recovery time, and health costs. Defense forces across nations are also finding military robots useful for material handling, bomb detection, firefighting and surveillance applications in hazardous areas. The construction industry as well has embraced 3D printing robots and remote-controlled demolition excavators to achieve higher productivity and mitigate workplace dangers.

Going forward, advanced technologies like AI, ML, and 5G connectivity are expected to further augment capabilities of professional service robots. Thereby, this will strengthen their value proposition across industries, boosting growth of the service robotics market.

Insights, By Application: Rapid Growth of E-Commerce Escalates Demand for Logistics Robots

In terms of application, industrial/commercial segment contributes 56.7% share of the service robotics market in 2024, led by strong growth in the logistics and warehousing sector. With rising e-commerce activities worldwide, the demand for logistics robots is increasing considerably to facilitate efficient order fulfillment operations.

Mobile fulfillment robots are being extensively adopted by retailers and third-party logistics providers for automating pick, pack and sorting applications inside warehouses. Their customizable arrangements and customizable payloads allow optimal utilization of facility space.

Going forward, advanced technologies around Internet of Things, computer vision and 5G will further enhance functionalities of logistics robots through real-time inventory tracking and guided navigation across dynamic warehouse layouts. This will bolster their utility for handling complex distribution and reverse logistics requirements of the e-commerce industry.

Insights, By Environment: Ground Robots Dominate Commercial Applications Due to Mature Technologies

In terms of environment, ground service robotics contributes the highest share of the service robotics market led by mature technologies and diverse commercial use cases. Ground robots have significant advantages over other types as their designs are uncomplicated for terrestrial locomotion.

Additionally, commercial ground robots are available with versatile designs like wheeled, legged, humanoid etc. to suit diverse industrial functions including material handling, sanitization, delivery and inspection. Mature technologies enable their customization with grippers, arms and sensors as per precise application needs.

Furthermore, businesses have extensively commercialized applications of ground robots for defense, law enforcement, agriculture, infrastructure management and more. Going forward, 5G enabled communication, and AI/ ML capabilities will enhance autonomy, task flexibility and safety of ground robots. Thus, they will continue dominating commercial space over other environments in the service robotics market over the near future.

• COVID-19 Response in Healthcare: The pandemic accelerated the deployment of service robots in healthcare settings. Robots were used for disinfection, delivery of medical supplies, and patient interaction to minimize infection risks among healthcare workers.
• Agricultural Automation: Farmers increasingly adopted field robots for planting, harvesting, and monitoring crop health. These robots help in increasing yield efficiency and addressing labor shortages in the agricultural sector.
• Adoption in Domestic Settings: There has been a growing acceptance and adoption of service robots in homes, particularly vacuum cleaning robots, which have become more affordable and technologically advanced.
• Investment Trends: Venture capital investment in robotics startups has increased, focusing on innovative applications like eldercare, hospitality, and retail assistance, indicating strong confidence in the service robotics market's future.

The major players operating in the service robotics market include iRobot Corporation, Intuitive Surgical Inc., Honda Motor Co., Ltd., Panasonic Corporation, Samsung Electronics Co., Ltd., DeLaval Inc., Robert Bosch GmbH, AB Electrolux, Aethon Inc., Yujin Robot Co. Ltd., DJI Innovations, KUKA AG, SoftBank Robotics, and Lely Holding S.à r.l.

• In March 2024, when Intuitive Surgical, Inc. received FDA clearance for the da Vinci 5, their fifth-generation robotic system. This system introduced over 150 enhancements, such as improved precision, force-sensing technology, and advanced 3D imaging, further solidifying Intuitive's leadership in medical service robotics market.
• In September 2021, iRobot launched the Roomba® j7+ robot vacuum, equipped with PrecisionVision Navigation and powered by iRobot Genius™ 3.0 Home Intelligence. This model is designed to identify and avoid obstacles, such as cords and pet waste, thereby improving user experience and cleaning efficiency.

• By Type
  • Professional Service Robots
    • Medical Robots
    • Logistics Robots
    • Field Robots
    • Defense, Rescue, and Security Robots
    • Construction Robots
    • Others
  • Personal Service Robots
    • Domestic Robots
    • Entertainment and Leisure Robots
    • Education and Personal Robots
• By Application
  • Industrial/Commercial
    • Medical
    • Construction & Demolition
    • Defense
    • Agriculture & Forestry
    • Transportation & Logistics
    • Others (e.g., Retail, Public Relations)
  • Domestic
• By Environment
  • Ground
  • Aerial
  • Marine
• By Component
  • Hardware
    • Airframe
    • Sensors
    • Cameras
    • Actuators
    • Power Supply
    • Control Systems
    • Navigation Systems
    • Propulsion Systems
  • Software