Smart engines
The market size for smart motors was estimated at $2.31 billion in 2023 and is expected to grow at a compound annual growth rate (CAGR) of 6.8% between 2024 and 2030. The global increase in sales of both passenger and commercial vehicles has led to a significant increase in demand for smart engines within the automotive sector. Smart motors are integral components used in various automotive applications, including window and electric seat systems.
Smart motors are advanced electric motors integrated with sensors, connectivity and control intelligence, enabling energy efficiency, predictive maintenance, automation optimization and real-time performance monitoring across all industries.
DataM Intelligence unveils its latest report on the ‘Smart Motors Market Size 2025’, providing an in-depth analysis of market trends, growth drivers, competitive landscape and regional dynamics. The research covers the market size in value and volume, CAGR forecasts and emerging opportunities that can guide companies in harnessing the growth potential and developing winning strategies. Packed with data-driven insights on current developments and future trends, this report is essential for companies that want to stay ahead in the competitive market.
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United States: key developments in the sector (2025)
✅ March 2025: Industry reports show that the US smart motor market is growing rapidly due to the widespread adoption of IIoT-enabled diagnostics and predictive maintenance, with more than 41% of US facilities integrating smart motor intelligence for automation and energy optimization.
✅ February 2025: Major manufacturers accelerated IoT-connected motor solutions for industrial automation, HVAC and electrical powertrain systems, with US manufacturing hubs reporting higher integration rates of smart motors into robotics and production lines.
✅ January 2025: Market data shows a significant increase in the use of smart motors in the automotive and commercial sectors, driven by the expansion of electrification initiatives and energy efficiency mandates in industrial facilities.
Japan: key developments in the sector (2025)
✅ October 2025: Market analysis shows Japan’s smart industrial motor market reached $2.8 billion in 2025, powered by IoT and AI-integrated motors used in factory automation and sustainability programs.
✅ September 2025: Japanese manufacturers accelerated the deployment of IoT-enabled smart motors for robotics, high-precision manufacturing and automotive parts as part of broader Industry 4.0 initiatives, increasing demand for connected motor modules.
✅ July 2025: Japanese reports predict that the domestic smart motor market will maintain strong growth over the next decade, with continued innovation linked to energy efficiency and automation in the industrial sectors.
📌 Smart motorcycle market 2025-26 M&A deals
→ In November 2025, EBARA Corporation agreed to acquire Mitsubishi Electric’s Three-Phase Motor Business, including manufacturing facilities in Japan and Thailand. The agreement strengthens EBARA’s offering of high-efficiency motors for industrial machines and energy-saving solutions.
→ In August 2025, WEG SA acquired Volt Electric Motors, a Turkish manufacturer, for almost $500 million. This strengthens WEG’s position in the global electric motor market amid electrification trends.
→ In July 2025, WEG SA acquired Regal Rexnord Corporation’s industrial electric motor and generator business for $400 million. The acquisition expands the capabilities of smart motors and increases market share in the automation sectors.
Smart Motors Market Drivers: –
⏩ Data insight: Adoption of IIoT platforms increased by 39%, and production automation grew by 45% in facilities deploying smart engine systems.
⏩ Story angle: Manufacturers are increasingly replacing traditional motors with smart motors to achieve higher throughput, reduce downtime and support automated workflows that can diagnose and adjust themselves in real time.
⏩ Trend: Smart motors generally deliver energy savings, significantly reducing consumption compared to conventional motors.
⏩ Smart motors are increasingly being installed in HVAC systems, pumps, compressors and transportation systems to meet strict energy targets and reduce carbon footprint.
⏩ Market trend: Integration of AI and machine learning improves operational efficiency by analyzing sensor and performance data, allowing engines to self-adjust based on real-time conditions.
⏩ Operational benefit: Predictive maintenance platforms reduce downtime and maintenance costs, with predictive capabilities increasing by 34% among smart engine users.
⏩ Increasing adoption of EV/HV means greater demand for high-efficiency engine control systems in automotive manufacturing and vehicle powertrain applications.
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Major players in smart motors:-
Including Turntide Technologies, Schneider Electric, Technosoft SA, Siemens AG, Rockwell Automation, Inc, Somfy Systems, Inc, Moog Inc., WattLogic, Dunkermotors GmbH and HSD Sp.
Highlights of Key Players:-
1) Siemens AG – 12% global share
Siemens AG is a German leader in industrial automation and smart infrastructure offering IoT-connected smart motor solutions with predictive maintenance in the manufacturing and energy sectors. Siemens and Schneider together controlled more than 22% of the market in 2023.
2) Schneider Electric SE – 10+% global share
Schneider Electric is a French multinational company specializing in energy management and motor control systems, with advanced variable speed drives and energy monitoring functions; a significant part of the combined 22% market share with Siemens.
3) ABB Ltd. – 14% market influence
ABB is a Swiss engineering group with a strong global reach in smart motors, which has strong applications in automated industrial applications for energy optimization and IIoT integration.
4) Rockwell Automation, Inc. – 7%
Rockwell Automation, an American automation company, integrates smart control and analytics into motor systems, with a focus on improved operational performance in industrial environments.
5) General Electric – Major player 9%
General Electric (GE) remains a major global supplier of smart motors, especially in the industrial and energy sectors, and is cited in some market analyzes as one of the largest by combined share.
Smart engines Regional highlights
North America
North America holds approximately 33.7% of the global market share for smart motors.
Strong adoption of automation and advanced IIoT-enabled smart engines in manufacturing and automotive sectors.
Continued investments in digital transformation and predictive diagnostics are accelerating market expansion.
Europe
Europe accounts for approximately 29% of the global market share of smart motors.
Growth driven by energy efficiency mandates (EU efficiency classes) and smart factory expansions.
Increasing integration in the packaging, automotive and infrastructure automation industries.
Asia Pacific
Asia Pacific holds approximately 42%+ of the global smart motor market share, making it the largest region.
Rapid industrialization and widespread adoption in China, India, Japan and Southeast Asia.
Major growth due to factory automation, EV production and demand for energy-efficient solutions.
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Segmentation of smart engines:
The smart motor market is segmented by component, offering and end user. By component, it includes motors integrated with variable speed drives, motor control centers, sensors and other controls that enable efficiency and automation. By offering, the market includes smart engine products and related services such as installation, monitoring and maintenance. Smart motors are widely adopted by end users in automotive, water and wastewater treatment, oil and gas, chemical, metal and mining, food and beverage, building and construction and other industrial sectors to improve energy efficiency, reliability and operational control.
Frequently asked questions
Question 1: What is driving growth in the smart motor market?
A: Growth is driven by energy efficiency regulations, industrial automation and the increasing adoption of IoT-enabled engine systems.
Question 2: Which industries are the key adopters in the Smart Motors market?
A: The manufacturing, HVAC, oil and gas, water and wastewater, and automotive sectors are the major customers.
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