Kazakhstan is ready for large-scale digitalization

Industry 4.0 is no longer just a fashionable term for Kazakhstan. The country is confidently moving towards digital transformation, turning pilot projects into large-scale programs. Roman Yashin, Director of Softline Group in Central Asia, talks about key trends, barriers and market opportunities.

Roman, how do you assess the current state of Industry 4.0 in Kazakhstan?

Today we see that Kazakhstan is at an important stage: the country has passed the phase of experiments and pilot projects and is moving to scaling proven solutions. The oil and gas and mining industries are particularly active — they have become the pioneers of Industry 4.0, implementing projects using IIoT, predictive analytics and digital twins.

Government initiatives have also played a key role here, such as the Digital Kazakhstan program and the industrial and innovative development program. These measures have created the basis for the introduction of advanced technologies and supported the demand for automation, digitalization and supply chain integration solutions.

Which technologies are most in demand now?

The IIoT, the industrial Internet of Things, is definitely in the first place. It gives companies the opportunity to monitor the condition of equipment in real time, prevent downtime, and predict maintenance.

The second direction is digital twins. They are used for predictive analytics, optimization of production lines, and even for modeling new processes.

In addition, there is a growing interest in cloud computing, especially in the management of production data and supply chains.

Industrial cybersecurity systems should also be noted: as the number of connected devices increases, the attack surface significantly expands, and protection becomes a priority for all players.

Which companies are leading in digitalization and what does it give them?

The leaders are large holdings: Samruk-Kazyna, KazMunayGas, Kazakhmys, ERG, Tengizchevroil. These companies are implementing large-scale digitalization programs, they have their own competence centers and roadmaps.

Examples are digital counterparts of ERG factories, autonomous drilling rigs, IIoT for monitoring pipelines at Tengizchevroil, Smart Grid in the energy sector. This has a real economic effect: lower maintenance costs, increased safety, and reduced downtime.

What barriers do businesses face most often?

There are three groups of problems.

Firstly, organizational issues include insufficient digital culture in enterprises, management conservatism, and a lack of competencies in areas such as Data Science, AI, and industrial automation.

Secondly, economic ones: high capital costs at the start, an unobvious return on investment, especially for medium and small businesses.

And finally, the technical ones: the difficulty of integrating new solutions with outdated systems, dependence on foreign technologies, and the growth of vulnerabilities in industrial systems.

How is the market structure changing? Who are the main players?

We see a clear division into global vendors, regional players, and local integrators.

Global companies such as Siemens, Rockwell Automation, AWS, and ABB bring cutting-edge technologies, but they sometimes lack flexibility and localization.

Regional players like Digit, 1C, NVI Solutions, Kaspersky, Positive Technologies adapt solutions to the specifics of the market.

Local integrators provide insight into customer needs and more flexible terms. At the same time, the number of alliances between global vendors and local integrators is growing, which gives the customer the maximum benefit: advanced technologies plus local support.

How do you see the prospects until 2027?

We expect steady growth of the Industry 4.0 market in Kazakhstan. The main drivers are government support, the pressure of global competition, and the need to modernize key industries.

In my opinion, the emergence of national IoT platforms, the development of SaaS solutions for industry, and the localization of hardware and software production will give a powerful boost.

Personnel training is an equally important factor. The industry needs qualified specialists in system integration, cybersecurity, and data management. Educational programs in partnership with technology companies will play an important role here.

What role do IT integrators play in these processes?

We are actively involved in the digitalization of industrial enterprises in Kazakhstan. We act as an integrator and consultant in complex projects, helping to adapt solutions to the requirements of the local market.

Our strength is global experience combined with an understanding of regional specifics. We help build the architecture of digital transformation: from strategy to implementation and maintenance.

In addition, we focus on cybersecurity, because digitalization is simply impossible without it.

If we talk about challenges, what would you call the key?

The most difficult thing is to bridge the gap between large companies and SMEs in digitalization. Large enterprises have the resources, while SMEs often have only the desire. We need affordable solutions, targeted support programs, training and consulting.

The second challenge is to create our own technological base: we must not only implement ready—made solutions, but also develop our products and export our competencies to the countries of the region.

And the last question. Is Kazakhstan capable of becoming a leader in digitalization in Central Asia?

Definitely. The country has everything it needs: ambitions, resources, government support, and a growing technology business. The task of the coming years is to consolidate success, scale best practices and create a sustainable ecosystem of Industry 4.0.