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Where Robotics System Integrators Can Win in Warehouse Automation

Where Robotics System Integrators Can Win in Warehouse Automation

December 01, 2025

Robotics holds immense potential in automating warehouse workflows by increasing e-commerce order fulfillment and reducing physical strain on human workers. However, a relatively small number of organizations are prepared to implement robots into warehouse facilities efficiently. From here, enterprises have three options:

  • Attempt to deploy robots with little to no experience
  • Acquire in-house robotics talent at a steep financial cost
  • Outsource the design and deployment process to a third-party specialist

In the third case, robotics System Integrators (SIs) are stepping up to the plate to scale smart warehousing automation.

According to ABI Research Supply Chain Technology Principal Analyst Ryan Wiggin, “System Integrators (SIs) are playing a central role in the increasing adoption of automation within warehouses, enabling organizations to install multi-faceted, tailored material handling systems with the right software to support.”

 

Key Takeaways:

  • System integrators bridge the robotics skills gap by helping warehouses deploy automation efficiently and safely.
  • SIs are set for massive growth in warehouse automation, with revenue reaching US$137 billion by 2032.
  • Integration and intelligence drive success as hybrid cloud control and Artificial Intelligence (AI)-powered fulfillment become key priorities.
  • Sustainability and security create new advantages through energy-efficient and cyber-resilient automation solutions.

 

 

Download the whitepaper, The Brain Behind The Bots: How System Integrators Orchestrate Warehouse Automation.

 

 

 

Why Are System Integrators Key to Robotics Automation?

Put simply, they are experts at customizing and deploying robots into specific work environments.

According to ABI Research’s Commercial and Industrial Robotics market data, warehouses account for 56% of total mobile robot shipments. Clearly, there is a huge demand for logistics teams to automate repetitive and often strenuous tasks (e.g., palletizing, inventory counts, etc.).

As valuable as robotics has proven to be (e.g., reduced labor costs), warehouse operators often lack experience with such Industry 4.0 solutions. An estimated 30% of warehouses have integrated robotics into their operations. Large-scale facilities are the most likely to have adopted robotics.

Implementing robots in a warehouse is no easy task. Management needs to get organization-wide buy-in and must possess the technical expertise to deploy sophisticated solutions. Even more, there is a range of safety factors to consider.

System integrators fill a pivotal experience gap. These companies develop unified automation platforms and have deep expertise in implementing robotics. For example, SI innovators like Berkshire Grey offer Artificial Intelligence (AI)-driven robotics for e-commerce, parcel, and retail fulfillment. This enables warehouse managers to seamlessly integrate automation across bin picking, packing, returns, and other traditional workflows.

Say a grocery chain is struggling to fulfill late-night orders. With online grocery sales hitting record highs in 2025, this is an increasingly common bottleneck. To solve this, the company’s Micro-Fulfillment Center (MFC) leadership team could partner with an SI to tailor a robotic solution to their specific business goals, program it, deploy it, and onboard staff.

The level of experience required to accomplish such a feat alone is elusive across the warehousing industry.

 

Breaking Down the System Integrator Opportunity in Warehouse Automation

ABI Research projects system integrators to generate more than US$137 billion in revenue by 2032 from warehouse automation. This is triple the market size in 2025 (US$44.4 billion).

Mature robotics markets in North America and Europe lead the way, accounting for 75% of total revenue. Meanwhile, Asia-Pacific is experiencing the fastest Compound Annual Growth Rate (CAGR) (18%), nearly catching up to North America in SI revenue by 2032.

Wiggin observes that “Retail, food & beverage, and Third-Party Logistics (3PL) represent the industries with the greatest increase in investment in warehouse automation in the short to medium term, with revenue CAGRs of 22.6%, 24.7%, and 22.3%, respectively, from 2024 to 2032.” However, e-commerce will remain the largest vertical segment, albeit with a slower growth rate.

Advancements in Automated Storage and Retrieval Systems (AS/RS) will be a key growth factor in warehouse robotics adoption. ABI Research Robotics Senior Research Analyst George Chowdhury notes in a blog that “[AS/RS] will account for nearly half of total mobile robot shipments and 35% of revenue by 2030. Rail-Mounted Robots (RMRs), which cost significantly less than AMRs, are driving the demand for AS/RS applications.”

 

Next Steps for System Integrators Targeting Warehouse Automation

Robotics system integrators stand at the intersection of warehouse transformation. To seize this opportunity, they must be sure to take the following steps in their product strategy.

 

Prioritize Seamless Integration Across Platforms

System Integrators need to unify the fragmented automation landscape. Building Warehouse Execution Systems (WESs) that coordinate diverse hardware and software ensures that warehouse operations move from isolated automation points to connected, responsive environments.

 

Why this is important: Seamless integration enables real-time coordination, unlocking higher efficiency and scalability for clients.

 

Leverage Hybrid Cloud for Control and Optimization

A hybrid cloud model strikes the right balance between edge responsiveness and cloud-powered intelligence. SIs should combine local control for time-sensitive robotics functions with cloud-based analytics for long-term planning and optimization.

 

Why this is important: Hybrid cloud deployments reduce latency while keeping critical functions secure and agile.

 

Support Continuous, Waveless Fulfillment

As direct-to-consumer logistics grow, traditional batch fulfillment no longer meets demand. SIs should design automation systems that support real-time robot picking and dynamic throughput, driven by AI-powered orchestration.

 

Why this is important: Adaptive fulfillment models help customers meet rising delivery expectations without compromising accuracy.

 

Design with Energy and Sustainability in Mind

Warehouses face mounting pressure to reduce energy use and meet Environmental, Sustainability, and Governance (ESG) goals. SIs can differentiate their robotics solutions by incorporating power-efficient systems, smart energy monitoring, and retrofitting strategies that support climate action initiatives.

 

Why this is important: Energy-conscious solutions not only lower costs but also align with corporate sustainability commitments.

 

Embed Cybersecurity into Every Automation Layer

As connectivity expands within warehouses, so do cyber risks. SIs must implement secure-by-design platforms with encryption, real-time threat detection, and zero-trust architecture to safeguard operations.

 

Why this is important: Strong cybersecurity capabilities help build resilience, protect uptime, and boost client confidence.

 

 

Download the Whitepaper

As warehouses accelerate their automation projects, system integrators have a lucrative opportunity to generate new revenue streams. Take a deeper dive into this evolving landscape and the most innovative SIs in the space by downloading ABI Research’s whitepaper, The Brain Behind The Bots: How System Integrators Orchestrate Warehouse Automation.

 

 

 

Frequently Asked Questions

 

How do robotics system integrators help customers?

They design, customize, and deploy robotic systems that fit specific warehouse needs. By unifying hardware and software, they enable smooth automation and help clients achieve efficient, scalable operations.

 

What is the market outlook for robotics system integrators in warehouse automation?

The market is projected to grow from US$44.4 billion in 2025 to over US$137 billion by 2032, driven by strong demand in North America, Europe, and fast-growing Asia-Pacific. Retail, food & beverage, and 3PL industries will see the fastest investment growth.

 

What are some best practices for robotics system integrators targeting warehousing?

They should focus on seamless platform integration, hybrid cloud control, AI-driven fulfillment, energy-efficient design, and built-in cybersecurity. This enables system integrators to create secure, scalable, and sustainable automation solutions.

Tags: Supply Chain Management & Logistics, Warehousing & Fulfillment

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