Trends shaping industrial digital transformation

21 November 2025

Johan Nieuwenhuizen, Sales Director and Co-CEO, Adroit Technologies

Johan Nieuwenhuizen, Sales Director and Co-CEO, Adroit Technologies

As global industries accelerate their digital transformation journeys, the convergence of operational technology (OT) and information technology (IT) has become the defining challenge and opportunity of the Fourth Industrial Revolution.

Across sectors such as manufacturing, energy, water, and mining, organisations are racing to modernise legacy systems, unlock real-time operational data, and leverage cloud and AI-driven analytics, all while maintaining the highest levels of cybersecurity and regulatory compliance.

One of the most significant developments in industrial digitalisation is the rise of edge computing. Edge gateways and edge-enabled software platforms now serve as the crucial bridge between machines, control systems, and enterprise IT. They enable the secure and contextualised flow of data from plant-floor assets such as sensors, PLCs, and SCADA systems to enterprise databases and cloud environments.

This architecture reduces latency, enhances data granularity, and allows operators to make faster, better-informed decisions. By integrating industrial data with cloud analytics and AI platforms, organisations are transforming raw machine data into predictive insights that improve efficiency, reduce downtime, and optimise energy consumption.

Increased global spend on edge computing

The latest ‘Worldwide Edge Computing Spending Guide’ from the International Data Corporation (IDC) features a new enterprise industry taxonomy with 27 industries. It provides a more detailed and nuanced segmentation by region and country across key manufacturing sectors.

These include automotive, industrial, consumer packaged goods, life sciences, high-tech and electronics, and aerospace. According to the IDC, global spending on edge computing solutions will account for nearly $261 billion in 2025 and is projected to grow at a compound annual growth rate (CAGR) of 13.8%, reaching $380 billion by 2028.

The rise of edge computing is reshaping plant architectures. Gateways and edge-native software now buffer, contextualise, and encrypt high-frequency signals from PLCs, sensors, and SCADA before synchronising decision-ready data to cloud analytics and enterprise business intelligence (BI).

The business case is straightforward as latency and bandwidth costs decline, combined with improved data quality, and the ability to run privacy-preserving analytics on-site while still training enterprise AI models in the cloud. The IDC’s 2025 forecast underscores the momentum behind this edge-to-cloud continuum.

Connectivity in Southern Africa

Southern Africa’s connectivity landscape is also evolving. Regulators are opening the door to more dynamic spectrum innovation, with South Africa’s regulator ICASA publishing draft regulations on dynamic spectrum access in March 2025. In addition, operators are rolling out mobile private networks to mines and ports to support deterministic wireless and near-sensor analytics.

Traditionally, IT and OT environments have operated in isolation. IT departments manage data, applications, and networks, while OT teams oversee control systems and plant operations. Today, these boundaries are dissolving. The industry-wide push toward IT/OT convergence is creating unified data architectures where information flows securely and seamlessly between systems.

This integration enables outcomes such as predictive maintenance, remote monitoring, digital twins, and real-time performance optimisation, without requiring a full overhaul of legacy systems. The result is a more connected, intelligent enterprise that can respond dynamically to both operational and market changes.

Industrial cybersecurity no longer an add-on

As connectivity increases, so do the risks. Industrial cybersecurity has moved from a technical consideration to a board-level priority. International standards such as IEC 62443 and regional regulations including NIS2 in the European Union (EU) and various critical infrastructure protection laws in Africa are reshaping how industrial organisations design and operate their digital environments.

IEC 62443 is the global family of standards for securing industrial control systems, formalising defence-in-depth, zones and conduits, supplier secure-development practices, and security levels. NIS2 raises baselines in the EU on governance, risk management, and incident reporting for 18 critical sectors, shaping multinationals’ global controls.

The risk environment justifies the rigour, with Dragos documenting 1,693 ransomware attacks on industrial organisations in 2024, an 87% jump year-on-year, with manufacturing the most targeted sector. Southern African operators also run under national regimes.

In South Africa, the Critical Infrastructure Protection Act (2019) frames protection obligations for designated assets, while the Cybercrimes Act (2020) consolidates offences and investigation powers, providing a practical context when designing OT incident response and audit trails.

‘Security by design’ principles

In terms of trends, the latest generation of industrial software and hardware now embed ‘security by design’ principles, implementing Zero Trust architecture, end-to-end encryption, multifactor authentication, and detailed audit trails. Cyber resilience is no longer optional; it is an essential foundation for operational continuity and compliance.

A key trend gaining traction is the adoption of the Unified Namespace (UNS) model. UNS provides a consistent, hierarchical structure for data across an entire enterprise, ensuring that information from the plant floor to the cloud is standardised and contextualised. By tagging each data point with metadata such as asset ID, process type, and location, UNS allows for scalable integration with analytics, AI, and business intelligence systems, creating a single source of truth for decision-making.

Industrial organisations are increasingly demanding flexibility in how they license, deploy, and manage digital solutions. The shift toward hybrid and edge-to-cloud models allows businesses to scale gradually, protect capital investments, and align digital transformation with operational budgets. This also reflects a growing insistence on data sovereignty, ensuring that companies maintain ownership of their data, even when leveraging cloud infrastructure.

Collaboration and partnerships

Digital transformation in industry is not a solo journey. Collaboration across technology vendors, automation specialists, and system integrators is critical to ensure interoperability and adherence to global standards. Strategic partnerships such as between automation hardware suppliers and software innovators are enabling end-to-end solutions that combine field-level control with enterprise analytics.

In Africa, such collaborations are driving the localisation of global technologies to suit regional needs, from energy efficiency in manufacturing to water management and smart infrastructure projects. This hybrid of global expertise and local adaptation is key to ensuring sustainable, inclusive digital growth.

Across both developed and emerging markets, digital transformation is no longer just about technology adoption; it is about creating resilient, intelligent, and connected operations. Whether it is a water utility in Namibia, a mining site in South Africa, or a manufacturing plant in the UK, the ability to securely harness real-time data is becoming the cornerstone of competitiveness.

The next phase of industrial digitalisation will be defined by trust: trust in data integrity, in system interoperability, and in the security frameworks that safeguard critical operations. As industries embrace the edge-to-cloud continuum, the most successful companies will be those that can transform connectivity into actionable intelligence securely, sustainably, and at scale.