2026 Mid-Market Manufacturing Outlook

AI adoption is accelerating as manufacturers look to improve quality and efficiency. Forty percent expect quality inspection to see the biggest AI gains in the next three years, and 37% plan to make it their top investment priority.

Cybersecurity remains a major challenge, with one in five companies naming it a top concern. Seventy five percent plan to increase investments in cybersecurity and automation as they work to strengthen protection across their operations.

Despite rising operational costs, companies remain optimistic about the year ahead. More than 70% are confident in their ability to pursue growth, and most expect to increase production volumes in the next 12 months, even as 83% anticipate higher business expenses.