Industrial robots in the age of AI: New demand, new capabilities

THE GLOBAL industrial robot market started to recover in 2025, growing 5.1% in shipments and 0.8% in revenue, driven primarily by Asian markets. Over the next five years, the market is projected to grow steadily as robots are adopted across more manufacturing processes and emerging industries, and as AI-related applications generate new sources of demand. In this insight, we will discuss how the rapid development of AI is impacting the outlook for industrial and collaborative robots, and how robot manufacturers are positioning themselves to capture new opportunities.

AI is driving robot demand in two directions

We see AI influencing robot demand along two distinct axes. First, the growth of AI supply chain industries is generating direct demand for robots in manufacturing. Second, AI-powered software is enhancing robot capabilities and ease of use, enabling robots to perform tasks they previously couldn’t, thereby creating demand in markets that were difficult to penetrate.

The growth of AI-adjacent manufacturing is opening up sales opportunities across several segments:

- Semiconductor manufacturing: AI-driven chip demand is accelerating automation in semiconductor production. We predict robot sales to the semiconductor industry to grow at an average annual growth rate of 7.8% through 2030, outpacing most other sectors. Light-payload articulated and SCARA robots are the primary beneficiaries, while mobile collaborative robots (mobile cobots) used for wafer handling are also rapidly gaining traction. Demand for these emerging mobile cobots is concentrated in Asia, particularly Taiwan, mainland China, and South Korea, and key suppliers in this segment include Universal Robots, Fanuc, Techman, and Jaka.

- Data centre equipment manufacturing: The manufacture of AI data center equipment, from server cabinets to printed circuit boards, is driving robot demand across the supply chain. In addition to traditional industrial robots, collaborative robots are increasingly used for inspection and component handling, valued for their flexibility and ability to work alongside people.

- Humanoid robots as a cobot customer segment: Cobot vendors are supplying robot arms to humanoid robot manufacturers, particularly in China, where some emerging companies prefer to focus on software development and source hardware off the shelf. Cobot vendors serving this market include Rokae, Jaka, and Fairino.

AI enhancing robot capabilities

In the meantime, AI is making robots more capable and easier to use – an important development, as difficulties relating to programming and integration complexity are among the barriers to robot adoption most often cited. In our recent Voice of Market research, integration complexity emerged as the top obstacle to automating material transport in factories, surpassing even upfront cost concerns.

Specifically, we notice four key areas where AI is applied in robotics: (1) AI-powered machine vision for robot guidance (2) AI-enabled robot instruction and programming (3) AI-driven path optimization and multi-robot coordination, and (4) emerging applications in remote robot monitoring and maintenance.

AI allows robots to understand and respond to human language and supports low-code or no-code programming, making robots easier to use. It also empowers robots to handle complex tasks in flexible environments. For example, Fanuc demonstrated AI-powered dual control of two cobot arms sorting cables, which is a task traditionally difficult for robots, and showcased AI-powered robots tracking moving parts for precision tasks such as screw tightening, highlighting the potential of AI to improve robot adaptability.

That said, AI-driven robotics is still in its early stages and faces challenges, such as cybersecurity risks in remote monitoring, limitations of low-code programming for complex tasks, and high R&D costs for AI-enhanced software. Broad commercialization will take time and depend on further innovation, as well as demonstrated value across a range of industrial applications.

How robot vendors are responding

Industry leaders are actively capitalizing on the opportunities created by advances in AI. On the one hand, robot manufacturers are launching new solutions tailored to the electronics and semiconductor industries. For example, ABB introduced its Lite+ small robot series in 2025, with electronics identified as one of its key target sectors, while STEP recently launched dedicated wafer handling robots.

On the other hand, robot vendors are increasingly integrating AI capabilities into their products to improve performance, flexibility, and ease of use, helping them remain competitive. For instance, both Universal Robots and Fanuc have announced collaborations with NVIDIA to develop AI-powered robot programming and simulation tools.

These developments reflect manufacturers’ efforts to address key barriers to robot adoption, particularly the challenges associated with robot integration and programming.

Final thoughts

AI is proving to be both a demand driver and a capability multiplier for the robotics industry. The expansion of semiconductor and data center manufacturing provides a robust new customer base, while AI-powered software is steadily lowering the integration barriers that have historically limited robot deployment beyond highly-structured environments. To capture these opportunities, robot manufacturers are actively investing in tailored solutions for AI-related industries, while embedding AI into their existing products. Through our ongoing discussions with industry participants, we will continue to watch the commercial adoption of AI-powered robots and assess how AI shapes the broader growth story of the robotics market.

Samantha Mou is a senior analyst at Interact Analysis

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