AC Servo Motors and Drives Market Size, Share, Trends, Growth, Analysis, Forecast, 2027

According to Fortune Business Insights™, the global AC servo motors and drives market was valued at USD 6.80 billion in 2019 and is projected to reach USD 10.79 billion by 2027, exhibiting a CAGR of 6.64% during the forecast period. The rising adoption of industrial robots, smart machines, and Industry 4.0 technologies is driving demand for advanced AC servo systems worldwide.

Market Overview

An AC servo system is a closed-loop control solution comprising a servo motor and drive, designed to deliver precise speed, motion, and positioning. The drive acts as an electric amplifier, regulating the motor’s performance in real-time. With benefits like superior stability, high efficiency, and reduced sensitivity to parameter variations, these systems are increasingly integrated into modern manufacturing lines, robotics, and aerospace applications.

Market Segmentation

By Product Type:
Servo motors (synchronous & induction) dominate due to their precision and efficiency, especially in aerospace for powering hydraulic pumps and wing flaps. Servo drives are growing rapidly with the development of compact, high-power models.

By Voltage Range:
Low-voltage (<230V) systems lead the market, favored for mobile robotics and compact automation, thanks to their cost-effectiveness and easy maintenance.

By Phase Type:
Three-phase AC servo motors are preferred for heavy-duty automation due to their high torque and speed control.

By Communication Protocol:
Fieldbus currently dominates, but Industrial Ethernet (supporting EtherCAT, PROFINET, EtherNet/IP) is set for strong growth as industries adopt real-time communication and advanced connectivity.

By End-Use Industry:

• Automotive & Transportation – largest share, driven by robotic assembly lines.

• Semiconductor & Electronics – growing fast with smart devices and IoT expansion.

• Aerospace & Defense – using servo systems in flight controls and component manufacturing.

• Food & Beverage, Printing & Packaging, Chemicals & Petrochemicals – increasing adoption for automation and efficiency.

Key Takeaways

• Industrial automation and robotics remain the primary growth drivers.

• Low-voltage and three-phase systems are dominating demand.

• Asia Pacific leads globally, while North America and Europe show strong growth potential.

• Next-gen Industrial Ethernet protocols are set to transform servo system integration.

Market Drivers

1. Rising Adoption of Industrial Robots
   The International Federation of Robotics reports that more than 373,000 industrial robots valued at USD 13.8 billion were installed worldwide in 2019. With strong demand in the automotive (28%) and electronics (24%) sectors, AC servo systems have become indispensable for high-precision and high-volume manufacturing.

2. Growing Demand for Smart Servo Systems
   As industries transition to smart factories, the need for flexible, durable, and high-performance servo systems is accelerating. AC servo solutions align with Industry 4.0 standards, supporting real-time motion control, faster operations, and enhanced machine efficiency.

Information Source:

https://www.fortunebusinessinsights.com/ac-servo-motor-market-103513

Regional Insights

• Asia Pacific: Largest market (USD 2.35 billion in 2019), led by China, Japan, and South Korea. Major players like Yaskawa Electric, Mitsubishi Electric, and Fuji Electric drive innovation.

• North America: Strong adoption of robotics in automotive and electronics. The U.S. remains a hub for smart manufacturing.

• Europe: Growth supported by advanced automotive and packaging sectors. Investments by companies like Yaskawa Electric underline regional confidence.

• Rest of the World: Moderate growth as industries embrace automation and energy-efficient machinery.

Competitive Landscape

The market is consolidated, with global players focusing on R&D, product innovation, and strategic partnerships.

Key Companies:

• ABB Group (Switzerland)

• Delta Electronics, Inc. (Taiwan)

• FANUC Corporation (Japan)

• Fuji Electric Co., Ltd. (Japan)

• Kollmorgen Corporation (USA)

• Mitsubishi Electric Corporation (Japan)

• Nidec Corporation (Japan)

• Rockwell Automation, Inc. (USA)

• Schneider Electric SE (France)

• Siemens AG (Germany)

• Yaskawa Electric Corporation (Japan)

Recent Developments

• July 2020 – Kollmorgen Corporation introduced a new motion package comprising the AKD2G servo drive, 2G Motion System, and AKM2G single-cable servo motors. The AKD2G drive supports three communication protocols—EtherCAT, CANopen, and FSoE—enabling enhanced connectivity. This integrated package is designed to boost machine performance and operational efficiency.