Manufacturing Weekly AI News

December 8 - December 16, 2025

This weekly update covers several important stories about how artificial intelligence is changing manufacturing around the globe. The news shows that factories and industries are rapidly adopting smart technology to work better and faster.

Partnership Between Siemens and GlobalFoundries Creates Advanced Manufacturing System

Two major companies - Siemens, a German technology company, and GlobalFoundries, a semiconductor manufacturer based in the United States - announced a major partnership to work together. A semiconductor is a super small piece of technology inside computer chips. These companies want to combine their special knowledge to make semiconductor factories smarter and more efficient.

The partnership focuses on several areas. First, they will use advanced AI-enabled software to control the machines in chip factories. Second, they will add special sensors that can watch what the machines are doing in real-time. Third, they will use predictive maintenance, which means AI can predict when a machine might break before it actually breaks. This allows the factory to fix it quickly and keep making chips without stopping.

Why is this important? The world needs more and better computer chips for artificial intelligence systems, electric cars, smartphones, and many other products. By using AI to make factories smarter, these companies can make more chips, make them better, and make them more secure.

Navy Invests Heavily in AI for Shipbuilding Factories

In the United States, the Navy recently announced it is spending $448 million on AI and automation technology for shipyards - these are huge factories where Navy ships are built. The Navy tested AI tools at some shipyards and discovered amazing results.

At one submarine shipyard owned by General Dynamics, workers used to spend 160 hours - that is more than 3 weeks of work - planning how to build submarines. With new AI tools, this same planning now takes less than 10 minutes. At another Navy shipyard called Portsmouth, workers used to spend weeks checking materials that arrive at the factory. Now, with AI help, this job takes under one hour.

These results show that AI can make manufacturing much faster and more accurate. The Navy believes that by helping shipyards use AI, they can build more ships, build them faster, and spend less money. This is important because the Navy needs to have enough ships to protect the country.

Global Manufacturing Industry Grows With AI Adoption

Across the entire manufacturing industry worldwide, AI is expanding rapidly. Industry experts studying the topic found that AI in manufacturing is expected to grow from $7 billion in 2025 to $35.8 billion by 2030 - that is almost 5 times bigger. This huge growth shows that manufacturers around the world believe AI is worth investing in.

Why are manufacturers so excited about AI? There are two main reasons. First, manufacturers need to make their factories more efficient - that means making the same amount of products using less time and fewer workers. Second, supply chains need to be smarter - supply chains are the networks that bring materials to factories and send finished products to customers. AI helps predict what materials are needed and when they will be needed.

Manufacturers are already seeing benefits. 80% of manufacturers worldwide are planning to spend at least one-fifth of their improvement budgets on smart manufacturing. This shows that factory owners believe AI is one of the best ways to spend their money.

Netherlands Company's Machines Are Critical to AI Progress

While many companies use AI in factories, one company plays a special role. ASML, a company from the Netherlands, makes machines that manufacture computer chips. These are not ordinary machines - they use special light technology to create the tiniest details on computer chips. Without ASML's machines, companies like Nvidia could not make the most advanced AI chips in the world.

ASML's CEO believes strongly that AI will keep growing. He said that even though some people worry there is an AI bubble - meaning an unsustainable rush to invest in AI - he disagrees. He points out that big technology companies are spending billions and billions of dollars on AI every year, and this money will translate into real orders for his machines in the coming years.

Other Industries Also Adopting AI Manufacturing Tools

Beyond semiconductors and shipbuilding, other industries are also discovering the power of AI in manufacturing. Medical device manufacturers - companies that make equipment for hospitals and doctors - are beginning to use AI but also need to be careful about new risks. Recycling companies are using AI to revolutionize how they break down old products. Even across different countries and industries, the pattern is clear: AI is becoming essential to modern manufacturing.

These developments show that the manufacturing industry is going through a major transformation. Companies are investing huge amounts of money, partnerships between companies are forming, and governments are supporting AI adoption because they understand that AI-powered factories will be more competitive and successful in the future.

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