Research Report on the In-Depth Development and Future Trends of Programmable Logic Controllers PLCs

This report examines both the advanced evolution and prospective directions of programmable logic controllers (PLCs). It provides a comprehensive analysis of their in-depth development, highlighting key trends that shape their future trajectory.

1. Introduction

As a foundational element in industrial automation technologies, Programmable Logic Controllers (PLCs) have consistently served as a central controlling function across diverse industrial applications since their introduction. In response to the global manufacturing sector's transformation towards intelligent systems integration, networked solutions, and enhanced flexibility capabilities, PLC technology itself is undergoing continuous innovation. This report seeks to provide an in-depth exploration of technological advancements across current internationally recognized brands (Siemens, Rockwell Automation, Mitsubishi Electric, Beckhoff, ABB, Schneider Electric, Omron) as well as domestic manufacturers (Inovance and Guangcheng), while analyzing future trends in technology adoption, market expansion opportunities, and application potential for the next 1-5 years. Particular emphasis will be placed on key sectors such as industrial automation, automotive industries,and hydrogen energy generation technologies. Additionally,the report will consider both global market dynamics as well as regional-specific developments (especially focusing on China), offering insights into emerging opportunities for PLC technologies within these sectors.

2. PLC Market Overview and Competitive Landscape

2.1 Market Size and Growth

Global PLC markets exhibit consistent growth trends as per recent data reports

The Chinese market is a crucial component of the global PLC market and is growing faster than the global average. The size of the Chinese PLC market is estimated to reach CNY 16.54 billion in 2023. Although the market size slightly decreased to CNY 16.986 billion in 2022, the Chinese market still holds long-term potential. For instance, in 2020, large and medium-sized PLCs and small PLCs in China achieved growth rates of 18% and 7% respectively. Some reports predict that the size of the Chinese PLC market will grow to CNY 6.92 billion by 2026 (this data may pertain to a specific market segment or have unit discrepancies, requiring interpretation in conjunction with the CNY 16 billion+ data based on the specific report context, but the trend is growth), with a relatively high average annual compound growth rate. Other data shows that the size of the Chinese PLC market grew from CNY 12.131 billion in 2018 to CNY 15.091 billion in 2022, with a CAGR of 5.61%, and reached CNY 17.66 billion in 2024.

The main drivers of market growth include:

Continuous improvement in the level of industrial automation.

Rising labor costs prompting enterprises to invest in automation.

Steady progress of national strategies such as "Made in China 2025".

Support for policies relating to intelligent manufacturing and industrial automation.

The strong demand for programmable logic controllers (PLCs) from various emerging industries, including new energy vehicles, semiconductors, lithium batteries, and hydrogen energy systems, is notable. The annual growth rate of this technology in lithium battery production equipment has reached a staggering 34%, solidifying its position as the most significant expanding sector in the industry.

2.2 Competitive Landscape

全球PLC市场高度集中,主要由国际巨头所主导.西门子占据全球首位(约40%,2023年),并列第二的是Rockwell Automation、Omron和Schneider Electric.

The Chinese market is a key hub where global manufacturing firms vie for dominance. The competitive environment mirrors that of Europe、North America、and Japan、with companies like Siemens commanding a significant portion of the industry. Approximately 40% of China's PLC installations are attributed to Siemens alone. In contrast、the combined output of Mitsubishi and Schneider Electric forms a substantial part of China's industrial automation sector. On average、the companies represented by Siemens、Schneider Electric、and Rockwell Automation offer comprehensive product ranges that span from compact to large-scale industrial control systems. Meanwhile、Mitsubishi Electric and Omron are recognized leaders specifically within smaller industrial automation applications

近年来，在小型PLC市场中，国产品牌凭借高性价比、灵活的商业模式以及定制化能力等优势实现了持续的本地化进程。其中，在 inverters、servo motors 和 PLCs 等三大核心领域中表现突出的技术创新公司——"Inovance Technology"占据了国内市场的主导地位。据最新数据显示，在2023年上半年"Inovance Technology"的PLC业务收入达人民币7.85亿元（CNY 785 million），较上年同期实现了17%的增长率（同比上涨17%），这一增长主要得益于光伏、储能、化工、汽车以及半导体等行业规模的扩大。此外，在这一领域表现突出的技术应用公司还有Supcon、HollySys和Baoxin Software等其他民族品牌也各有特色

尽管国内品牌在小型PLC市场表现良好,但在中大型及高端技术领域的PLC市场与国际巨头仍存在差距. 截至2020年,在中国的PLC市场上外资品牌的市场份额已超过七成九. 然而在国内工业控制系统安全需求不断增加的情况下,国内替代现象已开始显现.

The Programmable Logic Controllers (PLCs) can be categorized into small-sized (which are primarily used in the OEM market), medium-sized, and large-scale models (typically employed in project-oriented markets) based on their Input/Output points. Structurally, they can also be divided into block-type, racked structures, and modular designs.

3. Technical Trends in PLC In-Depth Development (1-5 Years)

The technical advancement in programmable logic controllers (PLCs) is progressing toward enhanced operational efficiency、greater system openness、increased computational intelligence、and heightened security levels. This evolution aims to integrate advanced control strategies with modern communication networks while maintaining high reliability. The core objective lies in optimizing operational performance through comprehensive system design principles that ensure scalability and adaptability for diverse industrial applications.

3.1 Hardware Layer Development

The foundation of PLC performance and functionality lies in its H hardware. In the future, these systems will feature increased processing power and enhanced versatility.

Application of Multi-core CPUs: To process increasingly complex tasks such as control operations, data handling, and AI algorithm execution, industrial control systems are increasingly adopting multi-core processors. For instance, Beckhoff's TwinCAT software is equipped with a multitasking operating system featuring parallel processing capabilities, enabling the deployment of diverse functional modules including control logic, artificial intelligence applications, and data processing onto multi-core architectures. This setup allows a single industrial control system to efficiently manage both real-time control functions and non-realtime computational tasks simultaneously.

Embedding Edge Computing Features: The integration of edge computing capabilities into PLCs or tightly coupled edge devices is becoming a notable trend. This approach enables data processing and analysis to occur closer to the manufacturing site, thereby reducing reliance on cloud services, enhancing real-time performance, and minimizing network bandwidth demands. B&R's X-series industrial controllers are designed to seamlessly integrate real-time applications with general-purpose computing by leveraging ARM architecture integrated SoC chips. This innovative solution facilitates seamless integration of high-frequency tasks with IT applications such as data storage, artificial intelligence, image recognition, and human-machine interaction. The new type of PLC can be categorized as an IPIC (Intelligent Programmable Industrial Controller).

Customized Chips and Hardware Acceleration: To improve the performance of specific functions such as motion control and AI inference, PLC manufacturers or their partners are creating customized chips or integrating hardware acceleration units. Inovance Technology has independently developed and designed a drive control integrated SIP chip that combines the main control MCU, storage, motion control algorithms, and industrial real-time Ethernet IP. Chips with on-chip NPUs, such as Rockchip RK3588, provide hardware support for embedding lightweight AI models in PLCs, theoretically capable of running lightweight AI models and offering a hardware foundation for "PLC core enhancement." NXP's i.MX RT industrial drive platform also aims to provide robust security, motor control algorithms, and network bandwidth, supporting TSN communication, data logging, and fault detection. The platform plans to obtain IEC 62443-4-1 SL3 certification.

Integration of Control and Drive Systems: Combining PLC control systems with execution layer functions, such as servo drives, into a unified hardware platform or tightly coupled modules, can significantly lower both the system cost and volume while improving overall system performance. It is recognized as a critical advancement direction for manufacturers of industrial automation control equipment within the sector.

Integration of Sensing, Computing, Control, and Intelligence: Modern PLCs are advancing toward integrating sensing technologies with computing power to realize comprehensive functions encompassing control logic and intelligence processing. This integration implies that sensor functions with computing and control capabilities being integrated onto a single platform or operating in tandem. As a result, these systems can not only satisfy industrial automation's real-time operational demands but also offer intelligent edge computing capabilities while simultaneously collaborating with cloud systems. Such configurations address enterprise requirements for seamless data integration across systems while enhancing collaboration efficiency. Additionally, this capability enables modernized solutions that can rapidly deploy highly customized services tailored to specific customer needs. Furthermore integrated systems provide advanced predictive maintenance features ensuring optimal operational performance through timely system optimization actions.

3.2 Software and Firmware Layer Development

Software and firmware play a crucial role in determining the functionality and flexibility of a PLC system. Future PLC software will benefit from enhanced openness, scalability, and a user-friendly interface.

**开放软件生态系统与App商店：**传统的PLC软件生态系统相对封闭,阻碍了第三方开发与创新.未来的新一代PLC将构建开放软件生态系统,并支持第三方开发者开发控制算法与应用,并通过App商店进行发布.这一举措将有助于推动控制算法的市场化及其创新.

Cloud-Defined Control: PLC函数与配置将逐步通过云平台实现定义、开发、管理与维护。云定义控制涵盖了云开发、云控制、云连接、云管理、云运行维护以及云数据管理，并且支持本地以及基于云端的闭环工作模式。基于Web的IDE（Integrated Development Environment）自然支持云开发模式，在此模式下开发者可以从任何地点开展云开发、仿真及调试活动

Virtual化与容器技术：虚拟化技术和容器技术（如Docker、Wasm）实现了PLC功能与特定硬件的解耦，并通过软件定义的方式实现了自动化。虚拟PLC（vPLCs）将传统的PLC硬件设备转化为软件服务，并利用5G网络实现了全面部署和灵活复用。Phoenix Contact推出了基于容器化技术和虚拟化技术开发的Phoenix Contact PLCnext Virtual Control解决方案，该方案实现了软件与硬件的解耦。该解决方案能够方便地部署到客户现有的硬件平台上。这种基于"硬件提供资源、软件定义自动化"的理念大大提升了操作自动化能力，在小批量、多规格生产模式中特别适用。

Application of WebAssembly (Wasm): The WebAssembly standard and technology serve as the core engine for controlling systems like PLCs/CNCs/robots to foster the creation of an open application ecosystem. It supports various programming languages such as IEC61131-3, C/C++, Rust, and TypeScript to offer enhanced runtime efficiency along with improved features like isolation and security. Zhejiang Tsing-Jet Intelligent is developing the WasomePLC platform utilizing WebAssembly as its core engine with the goal of establishing a leading Chinese manufacturer-driven open PLC software ecosystem.

Standardization and Interoperability: Compliance with globally accepted standards is fundamentally required for attaining system interoperability and openness.

**IEC 60072nd edition serves as an international standard for programmable logic controllers (PLCs) programming language. It plays a crucial role in establishing a level of consistency across control systems worldwide. The IEC TC 54/SCADA/WIA Working Group leads efforts to maintain and expand this edition while encompassing areas like motion control systems, safety automation technologies, OPC UA profiles, and XML-based data structures. Industrial automation companies such as Shanghai Yikong Technology Co., Ltd. are dedicated to supplying industrial automation software solutions that adhere to the IEC 60000 series standards by integrating advanced communication protocols with embedded computing platforms.

OPC UA: OPC UA (Open Platform Communications Unified Architecture), representing a communication protocol that is both open and service-oriented, designed for cross-platform applications, emerges as a critical technology for integrating Programmable Logic Controllers (PLCs) with diverse systems such as Human-Machine Interfaces (HMI), Supervisory Control and Data Acquisition (SCADA), Materials Handling Equipment (MHE), Enterprise Resource Planning (ERP), and cloud-based platforms. The SIMATIC S7-1500 controllers from Siemens implement the standardized OPC UA communication protocol. Furthermore, startup enterprises are increasingly favoring lightweight control solutions built upon the OPC UA standard.

IEC 61499: The IEC 61499 standard is aimed at enhancing support for distributed control systems and industrial automation by focusing on functional modules, an event-driven approach, and services-oriented architecture. Schneider Electric’s EcoStruxure™ Open Automation Platform utilizes the principles of the IEC 61499 standard to provide a robust foundation for industrial automation solutions.

Firmware Updates and Virtual Commissioning: Facilitating convenient firmware updates plays a crucial role in improving the functionality and security of PLCs. Virtual commissioning, such as Siemens PLC SIM Adv, enables software testing and verification without the need for physical hardware setup, thereby enhancing operational efficiency.

Real-Time Operating Systems And Edge Computing Platforms: New PLCs Are Equipped With Open-Edge Computing Platforms, Including Real-Time Linux-Based Systems And Virtualized Container Solutions, Designed To Meet The Strict Timing Demands Of Industrial Automation. These Platforms Enable The Deployment And Execution Of Complex Applications At The Edge. Yikong Technology's nxtos OS Functions As A Standardized Core Operating System For Industrial Controllers, Supporting High-Priority Communication Protocols Such As PROFINET IO Device And EtherCat Alongside Multi-Core Processor Capabilities.

3.3 Integration of AI and Machine Learning

The fusion between AI and machine learning technology through PLCs represents a key direction for achieving industrial intelligence, although it is currently primarily operates within edge computing and system-level application layers.

Integration Levels: There are four levels of AI application in PLCs:

1. 

PLC Core Enhancement: Integrating AI algorithms fully into the PLC core to modify control logic. Actual applications are relatively limited at present; they face challenges related to processing power, real-time performance, and security and are primarily in the research and development phase. The use of hardware acceleration (e.g., built-in neural processing units) offers potential opportunities for this approach.

2. 

基于边缘AI的PLC数据分析升级方案： 利用边缘计算设备运行AI模型分析PLC收集的数据，并将结果反馈至PLC或上层系统。 该方案具有可行性，在应用数量上持续增长，并且更加灵活、易于部署与维护；它可用于预测性维护、过程优化以及质量检验等多种应用场景。

3. 

PLC Engineering Tool Enhancement: Employing AI to improve the functions of PLC programming, debugging, simulation, and maintenance tools significantly elevates engineer productivity. This approach represents among the most commonly utilized levels currently.

4. 

Industrial Automation System-Level AI Applications: AI operates independently while interacting with other automation systems. This level is particularly prevalent, often referred to as the industrial automation integration phase.

Main AI Algorithms and Applications: *

Control Decisions: Adaptive PID controllers, Model Predictive Controllers (MPCs), Reinforcement Learning-based controllers, and other AI-based algorithms have theoretical applicability to the improvement of PLC core functionality through direct involvement in decision-making processes.

Predictive Maintenance (PdM): Processing operational data from machine sensors to identify potential malfunctions, thereby minimizing downtime and operational costs. Festo purchased Resolto to construct the Festo AX platform, which leverages machine learning techniques to derive actionable insights from equipment data for implementing PdM strategies. IMA Active employs MATLAB-based tools to train advanced AI models specifically for generating efficient C/C++ code, which is then deployed onto industrial controllers to ensure comprehensive equipment health monitoring and effective predictive maintenance operations.

Process Optimization Techniques: AI is employed to enhance operational efficiency and product quality through the optimization of production processes.

Quality Control: Employing image analysis technology and advanced AI algorithms, this system automatically detects defects as products are manufactured, thereby enhancing the precision and dependability of quality assurance processes.

Inventory Management: Forecasting stock requirements based on data analysis and automated restocking.

Vendor Strategies: *

Beckhoff: Investigating the incorporation of machine learning algorithms into the TwinCAT control platform for motion control and robot control, with a focus on industrial PCs in edge computing contexts (TwinCAT Analytics).

Siemens:** 探究利用AI算法提升控制参数以增强系统抗干扰能力。部署AI模型于工业边缘平台后实现无缝整合至西门子PLC完成本地数据处理。西门子还配置了一个人工智能神经处理单元TM NPU模块至S7-1500 PLC从而自动调节最优控制参数基于实时分析生产数据结果。

Rockwell Automation:** Launched the Logix AI artificial intelligence PLC, which utilizes embedded operational models for learning to predict data change trends during operation and analyze them in real-time.

The Omron NX and NY series AI controllers are fitted with specialized AI functional units that steadily gather data from control systems via AI modules within the upper-layer software functions. These controllers utilize pre-established models to analyze historical trends of machine operations and predict potential equipment malfunctions.

Industrial PC Manufacturers: The primary manufacturers include Advantech and Adlink, among others. These companies are dedicated to providing hardware and software solutions that support the integration of AI models into industrial control systems.

Challenges: The integration of AI brings about changes in programming, debugging, and maintenance approaches, which involve the deployment and updating of AI models on resource-constrained edge devices while also ensuring data security.

Related Technologies: Digital twinning technology leverages AI to generate virtual models of processes, production lines, and similar entities for real-time simulation, evaluation, and performance forecasting. AI-integrated collaborative robots (Cobots) are capable of operating safely alongside human operators. Engineers utilize tools such as MATLAB and Simulink to design control logic, test AI algorithms, and generate deployable code for industrial controllers and PLCs.

3.4 Cybersecurity

When industrial networks have ever more interconnected with PLCs, cybersecurity poses a significant challenge to security.

Security Threats: Early industrial control systems were physically isolated and lacked sufficient security mechanisms. In the Industry 4.0 era, industrial control systems adopt standardized solutions, breaking down isolation and facing a wider range of attack threats. Industrial protocols (such as PROFINET, EtherNet/IP, EtherCAT) are key links, and their security is crucial. Attackers may use passive intelligence gathering techniques to eavesdrop on unencrypted communication, conduct social engineering attacks, or generate false alarms.

Standardization and Certification: *

IEC 62443: An international standard framework focusing on OT cybersecurity challenges within Industrial Automation and Control Systems (IACS) addresses various aspects such as risk assessment, threat mitigation strategies, implementation of Cybersecurity Management Systems (CSMS), among others. It serves as a foundation for establishing specialized OT cybersecurity standards. Information security in industrial measurement and control equipment is mainly recognized through IEC 62443 certification processes to implement Security Assurance Levels (SAL).

SESIP: Security Assessment Criteria of IoT Platforms, designed to enhance the security of industrial IoT by verifying device security through third-party certifications.

The NIST Cybersecurity Framework offers a holistic strategy for the identification, protection, detection, response, and recovery processes. It includes identifying potential threats through various methods such as identifying vulnerabilities in IT systems protecting sensitive data by implementing advanced encryption technologies detecting malicious activities through network monitoring responding to incidents promptly by engaging in incident response drills recovering from disruptions caused by cyberattacks with strategies that ensure system resilience.

NERC CIP represents a mandatory guideline for North American bulk power systems, ensuring the stability of Battery Energy Storage (BES) through protection against cybersecurity threats.

Protection Measures: *

Increased Security Protocols and Encryption Technologies: Encouraging the expansion of the PLC market will help enhance security protocols and implement robust encryption measures to safeguard systems against unauthorized access and malware attacks.

A Comprehensive Three-Step Framework for Ensuring Industrial Cybersecurity: A specific instance of this approach is exemplified by the methodology proposed by Belden. This framework incorporates ensuring robust network protection, safeguarding endpoint devices, and conducting continuous network security monitoring.

Primarily focuses on ensuring real-time automation control while addressing emerging cybersecurity challenges brought about by the integration of the industrial internet.

Intrinsic Security Technology: Investigating and deploying intrinsic security technology to counteract internal and external information security threats and attacks.

National Strategic Focus: The United States, the European Union, and China all exhibit high regard for industrial information security by articulating national strategies and policies aimed at establishing a comprehensive industrial information security assurance framework.

4. PLC Application Trends (1-5 Years)

Their applications for PLCs are gradually expanding and becoming more advanced. As their roles are becoming more significant, particularly within the domains of intelligent manufacturing and cutting-edge industries.

4.1 Industrial Automation

PLC装置是工业自动化中的核心控制设备，在石油化工、锂电池制造、交通运输、包装行业以及电子制造等领域得到广泛应用。其中小型PLC主要应用于OEM市场（如纺织品、锂电池及包装行业），而中大型PLC则主要用于基于项目的市场（如锂电池及石油化工领域）。随着工业再投资的推动以及产业链智能化进程的深化，并在政策层面持续给予支持下，中国工业自动化市场的潜在需求将持续保持稳定增长趋势。工业自动化领域的核心技术包括变频器、伺服系统以及 PLC装置等多种控制设备

4.2 Automotive Industry

The automotive manufacturing sector stands as a vital application domain for PLCs. With advancements in electrification of automotive drive systems and improvements in intelligent manufacturing levels, industrial control systems (ICS) are playing an increasingly pivotal role within this sector. Machine vision has become deeply integrated into every stage of the automotive manufacturing process, serving as a key driver in enhancing automation levels across the industry through its seamless integration with industrial control systems (ICS) and other automation components such as machine vision technologies. Additionally, artificial intelligence techniques can play a crucial role in optimizing processes and ensuring quality control throughout automotive production lines. Looking ahead, industrial control systems (ICS) operating within the automobile assembly plant will be required to achieve higher precision cycle timing while also addressing critical functional safety standards, including those outlined by ISO 26262, as well as ensuring compliance with stringent information security requirements throughout their operation within an automobile plant environment

4.3 Hydrogen Energy Industry

The novel hydrogen energy sector represents an expanding and dynamic application domain for industrial control systems (PLCs). Over the past several years, the sales volume of PLC devices utilized in the hydrogen energy sector has consistently expanded, demonstrating a robust growth trajectory. To ensure operational efficiency and safety across all aspects of the hydrogen energy industry—such as hydrogen generation, storage, transportation, and application—automated solutions are essential to address operational risks, production costs, production efficiency, and product quality concerns.

Hydrogen Production Stage:
PLCs function as dependable control systems that manage diverse elements within the hydrogen production system. Typically, such a system comprises a single set of PLCs, which may include one or more electrolyzers. The reliance on PLCs in this stage primarily targets smaller units with fewer than 200 I/O points since the operational processes are generally straightforward. However, due to the complexity introduced by chemical reactions, an extensive array of monitoring devices is necessary. This requirement implies that the PLC must possess robust data acquisition and processing capabilities. Currently, there is limited need for servo motors in this operational phase.

Policies and Market: Various local governments across China have released numerous hydrogen energy policies, directly supporting the transition from transportation applications to cross-industry integrated scenarios. Over one-third of state-owned enterprises are strategically advancing within the hydrogen energy value chain. This offers broad prospects for the application of PLCs in the hydrogen energy sector.

Future Demand: As the hydrogen energy sector's industrial chain continues to mature and expand in scale, PLCs are increasingly being utilized across various applications such as storage facilities, transportation logistics, refueling stations, and additional operational stages. This growing deployment places heightened demands on the dependability, safety standards, and integration capabilities inherent in these distributed systems. The integration of AI technology is poised to further enhance efficiency by optimizing both hydrogen production processes and storage operations.

4.4 Emerging Industries

The new energy vehicles sector and the semiconductor sector are experiencing significant increases in demand for Programmable Logic Controllers (PLCs). The demand for Programmable Logic Controllers (PLCs) in lithium-ion battery production equipment is expected to grow at a rate of 34% annually and project to become the largest incremental market by. Emerging industries such as new energy vehicles and semiconductors are imposing higher requirements on aspects such as performance、precision、reliability、communication capabilities、and integration capabilities of Programmable Logic Controllers (PLCs) when interfacing with upper-level systems.

4.5 Industry 4.0 and IoT

Industry 4.0 and IoT represent central technologies shaping the evolution of industrial control systems (ICS). These advancements have transformed traditional hierarchical structures into more integrated models requiring distributed computing architectures. The convergence of 5G networks with IoT is accelerating the development of intelligent control systems that optimize operational efficiency across various industries. The integration of Industry 4.0 principles has significantly enhanced software-based control systems by enabling real-time monitoring capabilities along with predictive maintenance solutions. These innovations not only improve productivity but also reduce downtime in manufacturing environments by providing comprehensive solutions for real-time monitoring. Enhanced communication networks among industrial devices have become critical in enabling seamless interaction between equipment and higher-level systems powered by Industry 4.0 concepts such as cyber-physical integration within smart factories

5. Technical Routes and Challenges of Domestic Brands (Inovance, Guangcheng)

国内品牌在PLC领域积极跟进国际先进技术水平，并逐步建立自身的技术路线和市场策略

5.1 Inovance Technology

Innovance Technology operates as a technology-driven enterprise delivering essential components and complete solutions for industrial automation control with the goal of establishing itself as a leading global player in this sector. The company's range of products includes key components such as servo drives and programmable controllers designed across multiple tiers including the control level the drive level and the execution sensing level. This comprehensive offering extends from foundational embedded microcontrollers upstream through advanced computing platforms down to specialized machinery downstream ensuring a seamless integration across all levels of industrial automation.

Technical Route: 创新科技在运动控制领域进行了深入的布局与技术积累，在伺服驱动、多维传感器、工业网络及工业软件等领域取得了基础性创新成果，并形成了具有显著竞争力的产品体系。其伺服系统作为核心产品配备了自主研发的编码器，在性能指标方面具有明显优势。PLC领域中，创新科技正在逐步拓展至中大型客户群体，并在部分行业实现了核心工艺的本地化部署与快速定位能力提升。

Product Strategy: Inovance's product strategy focuses on delivering essential components and comprehensive solutions, hailing from local resources and cost-efficient strategies, aiming for significant advancements in the compact PLC segment while expanding into medium-to-large scale markets over time. Simultaneously, it strengthens its core competitiveness by independently developing advanced microcontroller technologies.

R&D 投资

Market Position and Challenges: Among domestic brands excelling in general servo systems, Inovance holds a commendable position. However, its presence in the PLC sector remains modest, specifically at 0.44% in 2020, indicating a notable disparity against industry leaders. Technological challenges include overcoming technical hurdles by successfully tackling complex issues through R&D efforts; additionally, addressing emerging technological advancements by global competitors represents another hurdle. Market challenges involve figuring out strategies to compete effectively against international giants within the medium and large PLC market while adapting to trends like customer concentration and "the strong getting stronger."

5.2 Guangcheng

The detailed technical blueprints and strategic product information related to Guangcheng appear to be lacking in the provided learning materials. Efforts are required to comprehend its technical aspects, product lineup, market positioning within the PLC sector, as well as its comparison with international brands. Typically, domestically produced PLC manufacturers will develop their own products based on the characteristics of both the domestic market and various application scenarios. These products will be designed with a focus on local working habits while ensuring they meet diverse industrial control demands both domestically and internationally. They will also be equipped with native security features tailored for local environments.

5.3 Opportunities and Challenges of Domestic Substitution

The widespread adoption of industrial informatization and intelligence offers significant opportunities for the domestic substitution of key components such as integrated circuits (ICs). Domestic brands have demonstrated strong performance in the small Programmable Logic Controller (PLC) market through cost-effective solutions combined with flexible business models tailored to specific customer needs. Despite these achievements, there remains a notable gap between domestic manufacturers and global industry leaders across medium- to large-scale PLC systems as well as advanced technological fields; this gap is primarily evident in terms of system stability reliability standards integration capabilities innovation level precision alignment with international trends robustness scalability maintainability expandability adaptability affordability maintainability accessibility user-friendliness interoperability expandability ease-of-use flexibility integration efficiency efficiency optimization efficiency enhancement efficiency improvement efficiency preservation efficiency maintenance efficiency management efficiency tracking quality assurance quality improvement quality control quality inspection quality testing quality monitoring quality assurance quality improvement quality control quality inspection quality testing quality monitoring

6. Future Development Trends Forecast (1-5 Years)

During the upcoming period spanning 1 to 5 years, PLCs will persistently advance along these pathways.

Higher Performance and Intelligence: From a hardware standpoint, deploying multi-core processors, edge computing technologies, and specialized chips will further boost the computational power and real-time processing capabilities of industrial control systems (PLCs). In terms of software implementation, AI algorithms will achieve deeper integration through enhanced control mechanisms, predictive maintenance solutions, and optimized operational workflows.

Enhanced Openness and Interoperability: Open software ecosystems, cloud-defined control architecture, virtualization technologies, and container-based solutions will disrupt the rigid structure of conventional industrial automation systems (PLCs), enhancing their flexibility and scalability. The widespread adoption of standardized protocols such as OPC UA and IEC 61499 will foster seamless communication between diverse systems across industries.

Software-Defined Automation: Virtualization and container-based technologies will enable the deployment of this concept. This definition will allow various PLC functionalities to be deployed flexibly in response to changing operational requirements.

Cybersecurity as a Core Element: As industrial internet becomes more widely deployed, cybersecurity risks associated with Programmable Logic Controllers (PLCs) are increasingly becoming a focal concern. The implementation of standards like IEC 62443, coupled with the adoption of security protocols and encryption technologies, along with advancements in intrinsic security solutions, will emerge as pivotal elements in both designing and deploying PLC systems.

深入融入新型技术： PLCs将与5G、数字孪生体和协作机器人等新型技术深度融合，构建更加智能、高效且灵活的工业自动化系统。基于5G的虚拟化PLCs将实现控制功能的广泛部署和灵活复用。

加快国内替代进程：受国家政策支持与市场需求推动，在中大型企业采购市场中，国产品牌的市场份额将逐步提升，并加速国内替代进程。

Industry Verticalization and Specialization: PLCs will be dedicated to addressing the specific requirements of various industries by creating specialized machinery that enhances functionality and expands its industrial relevance. These tailored solutions include customized approaches in renewable energy, semiconductor technology, hydrogen energy systems, and numerous other sectors.

Continuation of the "Control+Drive" Integration Trend: This integrated solution will further lower the system's cost and volume, enhance its performance level, and emerge as a significant avenue in corporate competition.

the Mermaid diagram that follows can roughly illustrate the function and technical integration of future PLCs within a "device-edge-cloud" collaborative architecture.

graph TD
A[现场设备/传感器]至B(PLC/智能控制器)至C(边缘计算平台功能模块)至D(人工智能与机器学习模型)至E(数据预处理与分析流程)至F(虚拟化与容器化技术)至G(OPC UA与TSN通信协议)至H(安全管理系统功能模块)至I(本地人机界面(SCADA)系统)至J(云端平台管理服务模块)
J至K为云端自动化运维服务功能模块
J到L为大数据分析支持服务模块
J到M为数字孪生系统构建服务模块
J到N为远程工业设备运维管理服务模块
D到B,B到A,B到I,B到G,B到H,G到J,I到J,H到J,A到G,A到H

Figure: Positioning and Technological Integration of Future PLCs in a Device-Edge-Cloud Collaborative Architecture

These devices/sensors, labeled as A, are connected via industrial networks to the PLC or intelligent controller B.

The PLC/Intelligent Controller (B) is associated with an Edge Computing Platform (C).

The Edge Computing Platform (C) combines AI and ML models, data preprocessing, analysis, virtualization, containerization, communication infrastructure, security protocols, and local Human-Machine Interaction (HMI) and Supervisory Control and Data Acquisition (SCADA) systems.

The Edge Computing Platform (C) interacts with the Cloud Platform (J) by means of industrial networks (G).

The Cloud Platform offers a range of services, including Cloud Development and Management Services, Big Data Analysis Services, Digital Twin Solutions, and Remote Operations and Maintenance Services.

The AI-based Machine Learning Models, Data Processing and Analysis Systems, Virtual Machines or Containers, Communication Systems, Security Mechanisms, Human-Machine Interface or Supervisory Control and Data Acquisition systems, as well as Cloud-Based Services or Cloud Services from the Platform can engage with Industrial Controllers for data transmission and control operations.

6.1 Potential Challenges and Opportunities (Predictive)

Challenges:

显著的技术复杂性：集成多种先进技术（包括但不限于多核处理、边缘计算技术、人工智能以及虚拟化技术）使得PLC系统变得更加复杂化，在这种情况下工程师需要具备更高的技术水平以应对日益复杂的系统需求。

Amplified cybersecurity threats are increasingly severe, made vulnerable to PLC systems through enhanced system openness and improved interoperability, mandating ongoing investments in technological innovation to address these challenges.

Bottlenecks in Domestic Substitution: In a medium-sized and large-scale PLC as well as high-end application fields, domestic brands still require significant advancements in foundational technologies, product robustness, and ecosystem construction.

Talent Shortage: There is a shortage of composite talents proficient in new PLC technologies and interdisciplinary knowledge (OT+IT+AI).

Opportunities:

Call for Industrial Revolution in Manufacturing: The global industrial revolution is projected to bring about significant market demand and vast opportunities in technological innovation, particularly for Programmable Logic Controllers (PLCs).

Explosion of Emerging Industries: Significant advancements in industries such as new energy, semiconductors, and hydrogen energy offer fresh growth opportunities for PLCs.

Window of Opportunity for Domestic Substitution: The national policy provides significant support and market emphasizes the importance of supply chain security, offering substantial development opportunities for domestic brands.

Driven by Technological Innovation, the ongoing proliferation of the latest technological advancements—such as 5G, AI, and edge computing—presents a virtually limitless range of opportunities for Upgrading existing systems and expanding their functionalities in Process Control (PLC) technology.

7. Conclusion

In the next 1-5 years, PLCs will not remain as simple logic controllers but will transform into Intelligent Programmable Industrial Controllers (IPICs), integrating advanced technologies such as sensing, computing, control, intelligence, communication, and security. From a hardware perspective, multi-core CPUs coupled with edge computing units and specialized processing chips will be incorporated to enhance computational power and real-time response capabilities. On the software front, IPICs will adopt open architecture principles combined with cloud-based solutions to foster innovation through virtualization and standardization efforts. AI-driven innovations will permeate every aspect of system operation through machine learning algorithms. Cybersecurity becomes an integral component of IPIC design during deployment phases. In terms of application scope, these advanced controllers will continue to expand their roles in traditional industrial sectors while playing pivotal roles in emerging industries such as automotive technology and hydrogen energy systems. Domestic manufacturers have achieved notable progress in the compact PLC segment and are actively seeking opportunities in mid-sized and large industrial markets as well as cutting-edge technologies. Despite these advancements, challenges related to technological gaps and market competition persist across various segments. Taking stock of the broader landscape for this industry reveals a period marked by rapid technological evolution yet brimming with significant growth potential.