The global industrial robotics market has reached a new milestone, with installations totaling 542,000 units in 2024—more than double the level a decade ago—according to the International Federation of Robotics (IFR). The market value of these systems hit a record $16.7 billion, underscoring the accelerating adoption of automation amid persistent labor shortages. As the sector matures, the focus is shifting from prototype demonstrations to reliable, revenue-generating deployments, a trend exemplified by TechForce Robotics' recent letter of intent with NBR Intelligence Pte. Ltd. to potentially deploy up to 5,000 robotic systems in factory automation.
TechForce Robotics, operating under Nightfood Holdings Inc. (OTCQB: NGTF), announced the agreement with Singapore-headquartered NBR Intelligence, which includes a nonbinding planning target of approximately 5,000 robotic systems, starting with five pilot units expected to be operational within 120 days. The deal reflects a broader industry pivot toward real-world performance and commercial viability, as highlighted by IFR's Top 5 Global Robotics Trends for 2026, which notes that humanoid and AI-enabled robots are now “moving beyond prototypes to deploy … in real life.”
The IFR data shows that professional service robot sales reached nearly 200,000 units in 2024, a 9% year-on-year increase, while robotics-as-a-service (RaaS) fleets expanded by 31%. This growth is driven by commercial buyers seeking equipment that consistently performs in actual operating environments, rather than experimental projects. “The money that has been flowing into AI robotics for the past two years is now producing results that show up in hard numbers rather than slide decks,” the company noted, emphasizing that execution now matters more than invention.
Workforce shortages remain a primary driver of adoption. In the U.S., industrial robot installations climbed 11% in 2025 to approximately 38,000 units, with the food industry seeing a 30% uptick as companies struggled to staff production lines. Robot density in U.S. manufacturing reached 307 units per 10,000 employees, ranking eighth globally. The hospitality sector is also turning to robotics, with service robots becoming the second-largest category of professional service robots sold globally. NBR Intelligence CEO Rick Nguyen highlighted that turnover in their factory network is “about 15% to 20% a year,” and a generational shift is reducing the pool of traditional factory labor, making automation a necessity.
TechForce's agreement with NBR Intelligence is structured around a phased deployment approach that includes operational, safety, network, and workflow assessments starting within 30 days. The five pilot systems, priced between $250,000 and $350,000, will undergo a 30-day performance evaluation based on availability, task completion, throughput, accuracy, and safety. Only after successful completion will the program advance to an initial rollout of 100 systems, followed by a potential expansion of approximately 500 systems per month toward the 5,000-unit target. This cautious, milestone-based approach reflects the industry's requirement for proven reliability before scaling.
The agreement also incorporates a Robotics-as-a-Service (RaaS) model, allowing operators to lease the systems over a 24-month term with an option to purchase. This model addresses the upfront cost barrier that has historically slowed adoption. IFR data shows RaaS-based fleets grew 31% in 2024, with rental and subscription revenue for service robots increasing 42% year-over-year. IFR President Takayuki Ito noted that “more and more companies are deciding to enter into subscription or rental agreements rather than purchasing robots outright,” a trend that TechForce is leveraging.
TechForce's move into large-scale industrial automation aligns with broader AI advancements in physical systems. Companies like Intuitive Surgical (NASDAQ: ISRG), Teradyne (NASDAQ: TER), Rockwell Automation (NYSE: ROK), and Honeywell Technologies (NASDAQ: HON) are integrating AI into healthcare, semiconductor testing, and manufacturing quality. These developments signal that AI is moving deeper into the physical world, creating opportunities for companies that can deliver reliable, scalable automation solutions.
As the robotics market evolves, the distinction between companies with promising prototypes and those with proven deployments is becoming sharper. TechForce's focus on structured rollouts and subscription-based models positions it to capitalize on the growing demand for automation driven by persistent labor shortages. The company's CEO, Jimmy Chan, expressed optimism about the project's potential to address labor shortages and expand production capacity, stating, “This LOI also represents an important step in expanding TechForce Robotics into large-scale industrial and factory automation.”
