Siemens CEO Roland Busch discusses the growing role of industrial AI in manufacturing, emphasizing Siemens’ unique position to lead this transformation. He highlights that Siemens combines a comprehensive technology stack—including both hardware and software—with deep domain expertise, extensive data, and strong customer trust. This combination allows Siemens to bring AI effectively into real-world industrial applications, where accuracy and reliability are critical, unlike consumer AI that can tolerate errors.
Busch provides a concrete example of Siemens’ industrial AI in action with their newly launched engineering agent. This AI-driven tool autonomously programs industrial PCs on the factory floor, such as reprogramming cutting machines to improve precision without human intervention. The engineering agent analyzes problems, develops and tests code, and iterates until the solution works, resulting in up to 50% higher productivity and an 80% improvement in programming quality. Siemens plans to expand this technology to other use cases and industries.
Regarding market dynamics, Busch notes that the hottest areas for industrial AI adoption include smart factories, data centers, semiconductors, pharmaceuticals, aerospace, defense, and automotive sectors. He points out that many industries face pressure to increase speed, flexibility, and productivity, driving demand for AI-powered design, simulation, and automation solutions. Siemens has developed a blueprint for the future smart factory based on digital twins and AI optimization, reflecting their commitment to these fast-growing markets.
Busch also addresses Siemens’ strategic positioning as a technology company. Over the past 15 years, Siemens has invested heavily—around $30 billion—in building a comprehensive software suite centered on physics-based digital twins, enhanced by partnerships with companies like Nvidia. Digital revenues are expected to nearly double by 2030, driven by democratizing AI tools for engineers and accelerating simulation capabilities. This software focus complements Siemens’ hardware strengths, enabling a unique combination essential for industrial AI success.
Finally, Busch acknowledges that while Siemens is not yet fully recognized as a technology company by the market, the company is actively working toward that goal. He stresses that the current industrial transformation is the fastest in history, requiring rapid adoption and continuous investment. Siemens is committed to supporting its customers through this transition by integrating AI, software, and hardware to create high-tech, efficient, and flexible industrial operations for the future.
