The ROBO Global Robotics and Automation Index recently marked its 10th anniversary, and it’s an achievement worth celebrating. To delve into the significance and evolution of the index, VettaFi CMO Jon Fee engaged in a special edition episode of “What Makes That Ticker Tick” with Zeno Mercer, a senior research analyst at VettaFi.
The premise of ROBO a decade ago was to map out and organize the world of robotics, which hadn’t been done before. The index initially focused on manufacturing and industrial automation but has expanded to encompass diverse sectors of robotics. As Zeno Mercer puts it, “The world really runs on robotics now, even though most of them operate behind the scenes in manufacturing.”
The index is divided into two main categories: enabling technologies and applications. Enabling technologies make up around 41% of the portfolio and include components like actuation, sensing, and compute and AI. These technologies are vital for the existence and functionality of robots.
On the application side, the index covers a range of sectors such as logistics automation, food and agriculture, healthcare, and manufacturing. The logistics automation sector has gained immense importance, especially during the COVID-19 pandemic, as supply chain disruptions highlighted the need for automation. Companies like Symbotic, Zebra Technologies, and Toyota Industries play significant roles in this sector.
Meanwhile, the manufacturing and industrial automation segment, which accounts for 17% of the index, has witnessed remarkable growth over the years. Amazon Robotics, with its 750,000 deployed robots, and FANUC, which recently celebrated its millionth robot milestone, are just two examples of companies driving this sector forward.
As the conversation shifts to the driverless car movement, Zeno Mercer acknowledges the rapid progress in autonomous vehicles. While there are nearly 100 driverless cars operating in San Francisco, their classification within the ROBO index varies based on their underlying technologies and applications.
Overall, the ROBO Global Robotics and Automation Index has played a crucial role in tracking and analyzing the advancements in robotics and automation over the past decade. It has shed light on the wide-ranging impact of robotics across industries and has positioned itself as an essential resource for investors and researchers alike.
FAQs
Q: What is the ROBO Global Robotics and Automation Index?
The ROBO Global Robotics and Automation Index is an investment index that tracks the performance of companies involved in robotics and automation.
Q: How has the ROBO index evolved over the past 10 years?
The ROBO index has evolved from focusing solely on manufacturing and industrial automation to encompassing various sectors, including logistics automation, healthcare, and food and agriculture.
Q: What are enabling technologies in the context of robotics?
Enabling technologies in the context of robotics refer to core components that enable the existence and functionality of robots, such as actuation, sensing, and compute and AI.
Q: Which companies are included in the logistics automation sector of the ROBO index?
Companies like Symbotic, Zebra Technologies, and Toyota Industries are examples of companies included in the logistics automation sector of the ROBO index.
Q: What is the significance of the manufacturing and industrial automation segment in the ROBO index?
The manufacturing and industrial automation segment represents a significant portion of the ROBO index, with companies like Amazon Robotics and FANUC playing crucial roles in this sector.
Q: How does the driverless car movement fit into the ROBO index?
The driverless car movement is part of the ROBO index, with companies involved in autonomous vehicles categorized based on their underlying technologies and applications.