Executive Summary
The industrial automation sector is experiencing accelerated transformation as key players unveil strategic initiatives that bridge legacy infrastructure with next-generation digital capabilities. This week’s developments highlight three critical vectors: ABB’s “Automation Extended” program for non-disruptive modernization of distributed control systems (DCS), Delta’s new EP-series servo drives with integrated functional safety for mission-critical applications, and the deepening convergence of edge artificial intelligence (AI) with programmable logic controllers (PLCs) for real-time industrial decision-making. Concurrently, policy initiatives like India’s Union Budget 2026 are providing substantial fiscal support for manufacturing automation, while sensor technologies—from LiDAR to MEMS-based solutions—continue to advance precision and reliability in smart factory environments.
1. ABB Unveils Automation Extended: Modernization Without Disruption
Technical Core: On February 2, 2026, ABB announced the “Automation Extended” program, a strategic evolution of its distributed control systems (DCS) designed to enable industries to modernize critical infrastructure without operational interruption. The program builds upon ABB’s installed base of over 70,000 DCS systems worldwide, introducing a modern, open, and modular automation ecosystem that supports advanced analytics, AI, and Industrial Internet of Things (IIoT) integration.
Architecture Innovation: Central to the approach is a “separation-of-concerns” architecture that divides the automation environment into two distinct yet securely interconnected domains:
- Control Environment: A software-defined domain ensuring robust, reliable, and deterministic control for critical processes. This layer maintains compatibility with existing ABB systems including System 800xA®, Symphony® Plus, and Freelance platforms.
- Digital Environment: Securely connected to the control layer, this space enables advanced applications, edge intelligence, and real-time analytics. It leverages AI and machine learning for decision support without disturbing proven control structures.
Interoperability Framework: The ecosystem integrates key technologies including Open Platform Communications Unified Architecture (OPC UA) backbone and Cloud-Native Architecture utilizing containerization, orchestration, and modular services. This enables enhancements ranging from proactive anomaly detection to continuous condition monitoring of critical assets.
Application Value: For industries operating large-scale infrastructures—such as oil & gas, chemicals, and power generation—Automation Extended provides a structured, low-risk path to digital transformation. By preserving continuity while enabling innovation, the program addresses volatile markets, cybersecurity challenges, and workforce transitions without compromising production stability.
Market Context: According to Peter Terwiesch, President of ABB’s Automation business area, “Our customers rely on modernization without disruption. Automation Extended delivers exactly that: bringing future-ready capabilities into the systems they know and trust, with security and interoperability at the core.”
2. Delta Expands ASDA-A3 Series with EP Servo Drive for Safety-Critical Motion Control
Product Launch: On January 20, 2026, Delta Electronics introduced the ASDA-A3-EP servo drive, the latest addition to its high-end AC Servo Systems portfolio. Designed for applications requiring advanced operational safety, the EP model features built-in Safe Torque Off (STO) functionality and compliance with IEC 61508 (SIL 3) and ISO 13849 (PL e) standards.
Safety Architecture: The drive includes an optional extended safety card offering thirteen advanced safety functions:
– SS1 (Safe Stop 1): Controlled stop with torque limitation
– SS2 (Safe Stop 2): Uncontrolled stop with torque monitoring
– SOS (Safe Operating Stop): Maintain position under safety conditions
– Additional functions including SLS (Safely-Limited Speed), SLP (Safe Limited Position), and SLI (Safe Limited Increment)
Technical Specifications:
– Power range: 300W to 12kW
– Communication: EtherCAT interface with FoE, EoE, and FSoE sub-protocols
– Integration: TCP/IP port and IoT node support
– Compatibility: Third-party motor integration capability
Operational Benefits: According to Stephen Hu, Head of Product Management Team EMEA at Delta, “The servo drive and motor are the primary interface between automation and machinery, which means that safety must be our top priority.” The EP drive simplifies integration through streamlined wiring, reduces cabinet space requirements, and supports rapid commissioning—contributing to lower total cost of ownership (TCO).
Application Spectrum: The solution targets machine builders, system integrators, and application providers in sectors such as packaging machinery, assembly systems, and electronics manufacturing where precision motion must coexist with stringent safety requirements.
3. Edge AI and PLCs: The Future of Real-Time Industrial Decisions
Paradigm Shift: The limitations of cloud-centric architectures for high-speed manufacturing have catalyzed a decisive shift toward edge AI integration with PLCs. As highlighted in a January 21, 2026, analysis by Analytics Insight, the “Latency Problem”—where cloud round-trip delays of 500ms can cause catastrophic product damage in bottling plants operating at 60,000 units per hour—is driving intelligence directly to factory floor controllers.
Technical Evolution: Modern PLCs are evolving from logic executors to sophisticated edge computing hubs through:
– Hardware Advancements: Multi-core processors supporting high-level languages (Python, C++) alongside IEC 61131-3 standards
– AI Readiness: Capability to run lightweight machine learning models for anomaly detection, predictive maintenance, and quality control
– Protocol Support: Integration of MQTT and OPC UA for seamless communication with broader networks
Predictive Maintenance Implementation: A practical example involves PLCs monitoring critical pumps using embedded ML algorithms to analyze vibration patterns in real-time. By detecting specific frequency signatures of developing bearing failures weeks before equipment seizure, systems can automatically flag maintenance tickets—preventing unplanned downtime that typically costs manufacturers $260,000 per hour in automotive production environments.
Quality Control Advancements: Edge AI enables automated vision systems with inference capabilities that provide actionable insights at the source. Cognex’s In-Sight SnAPP vision sensor, for instance, can locate parts regardless of orientation and identify subtle flaws that conventional laser sensors might miss, improving reliability while reducing inspection time by up to 70%.
Industry Adoption: According to Rockwell Automation’s “10th Annual State of Smart Manufacturing Report” (June 2025), investment in generative and causal AI technologies by manufacturing organizations increased by 12 percent year-over-year, reflecting a decisive move toward autonomous control strategies.
4. Sensor Innovations: LiDAR, 3D Vision, and MEMS Advancements
Multi-Sensor Fusion: Machine Design’s January 16, 2026, report emphasizes that industrial automation is moving beyond single-point sensing toward multi-sensor fusion combining optical data (cameras), range data (LiDAR), and inertial data (IMUs). Ati Motors’ advanced autonomous mobile robot (AMR) stack, for example, achieves accuracy “in the high triple nines” through integration of 3D LiDAR, cameras, and onboard AI.
3D Vision Systems: ABB’s AI-enabled Flexley Mover employs 3D Visual SLAM (Simultaneous Localization and Mapping) for real-time navigation, while structured light and stereo vision technologies enable precision measurement with accuracies reaching 0.1mm in quality inspection applications.
MEMS Technology: Micro-electromechanical systems (MEMS) sensors are revolutionizing industrial automation through miniaturization and integration. According to AZoSensors’ January 1, 2026, analysis, MEMS-based accelerometers and gyroscopes provide precise feedback for real-time position and orientation adjustments in robotics and CNC machining, with vibration analysis capabilities detecting anomalies for predictive maintenance.
LiDAR Evolution: Voyant Photonics’ Carbon LiDAR with FMCW (Frequency-Modulated Continuous Wave) Sensor-on-a-Chip delivers high-resolution 3D point clouds with millimeter precision in a compact form factor (IP67-rated, 250g), while Sonair’s 3D Ultrasonic sensors offer cost savings of 50-80% compared to traditional LiDAR systems for AMR safety applications.
Connectivity Standards: IO-Link technology enables two-way communication, remote configuration, and predictive diagnostics, with Baumer pairing sensors with IO-Link to provide access to diagnostic data for condition monitoring and optimized processes.
5. Policy Momentum: India’s Union Budget 2026 Powers Manufacturing Automation
Fiscal Support: Robotics Business News reported on February 2, 2026, that India’s Union Budget 2026 delivers a strong policy push for manufacturing modernization with clear implications for robotics and automation adoption. Key initiatives include:
– Increased Capital Expenditure: Significant rise in infrastructure and industrial capex to support manufacturing clusters
– Expanded PLI Schemes: Extended Production-Linked Incentives for electronics, semiconductors, EVs, and robotics
– MSME Support: Enhanced access to credit and technology upgrade incentives
– Industry 4.0 Focus: Dedicated funding for smart manufacturing initiatives and digital infrastructure
Market Impact: The budget reinforces India’s position as a preferred alternative manufacturing destination amid global supply chain diversification. With sustained policy backing, India’s manufacturing sector is projected to become a $1 trillion economy over the next decade, creating substantial demand for industrial automation solutions.
Regional Leadership: Asia-Pacific already dominates the global PLC market with a projected 35.10% revenue share in 2025, driven by robust manufacturing development in China and India. Japan’s “Quality-4.0” initiatives and South Korea’s emphasis on redundant PLC clusters further underscore regional momentum.
6. Market Outlook: PLC and Servo System Growth Projections
PLC Market: According to GlobeNewswire’s January 27, 2026, research report, the global PLC market is projected to expand from USD 14.74 billion in 2025 to USD 19.89 billion by 2031, achieving a compound annual growth rate (CAGR) of 5.12%. Key growth drivers include:
– Industry 4.0 and smart manufacturing adoption
– Automotive sector electrification
– Demand for interconnected control systems
– Cybersecurity and operational efficiency requirements
Servo Systems: The servo drive market is experiencing parallel growth, with advancements in:
– Wide Bandgap Semiconductors: SiC (silicon carbide) and GaN (gallium nitride) enabling higher switching frequencies (50-100kHz vs. traditional 8-16kHz) and reduced power losses
– AI Integration: Neural networks and fuzzy logic systems for nonlinear compensation, improving tracking accuracy by up to 65% in precision CNC applications
– Functional Safety: Compliance with SIL 3 and PL e standards for mission-critical applications
Regional Dynamics: Europe maintains strong demand for energy-efficient solutions, while North America prioritizes secure supply chains through infrastructural investments. Emerging opportunities exist in dynamically securing and expanding production capabilities across global manufacturing landscapes.
7. Conclusion: Convergence Driving Next-Generation Automation
The industrial automation landscape is being reshaped by simultaneous advancements across control systems, motion technologies, sensor networks, and policy frameworks. Three key trends define the 2026 outlook:
- Architectural Evolution: ABB’s Automation Extended program exemplifies the industry’s shift toward non-disruptive modernization, enabling legacy infrastructure to coexist with digital capabilities through separation-of-concerns architectures.
- Safety Integration: Delta’s EP-series servo drives demonstrate how functional safety is being embedded directly into motion control components, simplifying system design while meeting stringent international standards.
- Intelligence Distribution: The convergence of edge AI with PLCs addresses fundamental latency limitations of cloud-centric approaches, enabling real-time decision-making for predictive maintenance, quality control, and operational optimization.
As sensor technologies continue to advance—from LiDAR and 3D vision to MEMS-based solutions—and policy initiatives like India’s Union Budget 2026 provide fiscal momentum, the foundation is being laid for more resilient, efficient, and sustainable industrial operations. The coming year will likely see accelerated adoption of these technologies as manufacturers seek competitive advantage through automation-driven productivity gains.
References
- ABB. (2026, February 2). ABB introduces Automation Extended: enabling industrial innovation with continuity. Press release. Retrieved from https://new.abb.com/news/detail/133094/abb-introduces-automation-extended-enabling-industrial-innovation-with-continuity
- Delta Electronics. (2026, January 20). Delta Expands ASDA-A3 Series with New EP Servo Drive for Safety-Critical Motion Control. Manufacturing Update. Retrieved from https://manufacturing-update.co.uk/2026/01/20/delta-expands-asda-a3-series-with-new-ep-servo-drive-for-safety-critical-motion-control/
- Analytics Insight. (2026, January 21). Edge AI and PLCs: The Future of Real-Time Industrial Decisions. Retrieved from https://www.analyticsinsight.net/automation/edge-ai-and-plcs-the-future-of-real-time-industrial-decisions
- Robotics Business News. (2026, February 2). India Union Budget 2026 Powers Manufacturing Growth with Strong Push for Automation and Industry 4.0. Retrieved from https://roboticsbusinessnews.com/news/20/2382/india-union-budget-2026-powers-manufacturing-growth-with-strong-push-for-automation-and-industry-4-0.html
- Machine Design. (2026, January 16). Emerging Sensors Driving Automation: LiDAR, Vision & 3D Trends. Retrieved from https://www.machinedesign.com/automation-iiot/article/55344148/emerging-sensors-driving-automation-lidar-vision-3d-trends
- AZoSensors. (2026, January 1). Precision at Scale: How MEMS Sensors Power Industrial Automation. Retrieved from https://www.azosensors.com/article.aspx?ArticleID=3138
- GlobeNewswire. (2026, January 27). Programmable Logic Controller Research Report 2026 – Global Market Size, Share, Trends, Opportunities, and Forecasts, 2021-2025 & 2026-2031. Retrieved from https://www.globenewswire.com/de/news-release/2026/01/27/3226813/28124/en/Programmable-Logic-Controller-Research-Report-2026-Global-Market-Size-Share-Trends-Opportunities-and-Forecasts-2021-2025-2026-2031.html
- Parker Hannifin. (2026, January 23). Parker Hannifin’s major software release for PSD Servo Drives. Engineer Live. Retrieved from https://www.engineerlive.com/content/parker-hannifins-major-software-release-psd-servo-drives
- Festo. (2026, January 29). Servo Drive with Integrated Extended Functional Safety. Automation Magazine. Retrieved from https://www.automation-mag.com/news/105898-servo-drive-with-integrated-extended-functional-safety
- Rockwell Automation. (2026, January 22). Rockwell Automation to Report First Quarter Fiscal 2026 Results. Press release. Retrieved from https://www.rockwellautomation.com/en-us/company/news/press-releases.html?campaign=operational-excellence