Humanoid Robot Market Set to Hit $2 Billion in 2027

The global humanoid robot market is poised for significant growth, with output value projected to exceed $2 billion USD by 2027, according to TrendForce’s latest research. With mass production expected to commence across manufacturers in 2025, the market is set to expand at an impressive Compound Annual Growth Rate (CAGR) of 154% between 2024 and 2027. Driving this growth, service robots are anticipated to gain traction through the integration of generative AI technology, boosting their appeal across various sectors.

The technological foundation of humanoid robots emphasizes software platforms centered on machine learning, training models, and digital twin simulation. Hardware development has pivoted toward collaborative robots, mobile robotic arms, and humanoid robots, ensuring adaptability to diverse environments and fostering seamless human-machine collaboration.

Prominent manufacturers in the U.S. and China are leading the charge with increasingly sophisticated prototypes. Products such as Digit by Agility Robotics, Apollo by Apptronik, and Optimus by Tesla are progressing toward commercialization, with mass production slated for 2025 to 2027.

TrendForce comments that generative AI is revolutionizing humanoid robots by enhancing their cognitive, conversational, and motion execution capabilities. Cognitive advancements allow robots to interpret and interact with their surroundings with unprecedented accuracy, while conversational skills now facilitate multi-directional, human-like communication.

On motion execution capabilities, key components remain critical to the performance and cost structure of humanoid robots. Planetary roller screws, for example, account for 22% of production costs, with composite materials(9%), six-dimensional (6D) torque sensors (8%), and hollow cup motors (6%) comprising additional significant cost factors. These components present high technical barriers, creating opportunities for suppliers in the intelligent terminal equipment, industrial robot, and drone markets to expand into humanoid robotics.

By 2025, industrial robots are expected to continue excelling in tasks like goods handling, while service robots will leverage generative AI to enable multi-modal communication and interaction. TrendForce points out, that in nations grappling with aging populations and labor shortages, service robots tailored for companionship and caregiving are projected to gain significant market traction within the next 1–2 years.

Moreover, robotics also plays a pivotal role in defense, as evidenced by the extensive use of drones, combat robots, and logistics systems in the Russo-Ukrainian conflict, highlighting new opportunities in military applications.

The growing demand for robotics across industries has also spurred interest in Robot-as-a-Service (RaaS), an innovative model that enables leasing instead of outright purchase. This approach reduces upfront costs, mitigates risks, and broadens adoption across enterprises and households. RaaS is anticipated to accelerate the penetration of robotics into daily life, fostering greater automation and efficiency globally.