Headwinds in Robotics
The year 2022 is turning out to be a challenging one for the technology industry. Despite being one of the most in-demand technological solutions in current times, robotics solution vendors are not spared from the following headwinds:
- Macroeconomic Factors: As governments were racing to keep economies afloat, easing the money supply, combined with goods shortages and supply chain crises caused by COVID-19, led to inflation in the post-pandemic world. In response, central banks have raised interest rates to prevent overheating. As a result, businesses become wary of borrowing due to high costs, thereby making fewer investments in new technologies and hiring fewer employees.
- Geopolitical Factors: Techno-nationalism has recently been on the rise, exacerbated by the Sino-U.S. trade dispute and the Russo-Ukrainian War. Countries also see robotics as a core technology they need to groom and invest in, leading to the emergence of robotics research hubs and local startups. In addition, foreign robotics vendors must comply with more stringent domestic regulations.
- Pandemic Effects: COVID-19 is s…
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