Demand for Enhanced Software and Data Analytics Services Bolster the Condition Monitoring Equipment Market
-- With negligible hardware advances, the growing condition monitoring software and analytics segments help maintain revenues, Finds Frost & Sullivan
MOUNTAIN VIEW, California, May 7, 2015 /PRNewswire/ -- The condition monitoring equipment market is undergoing a period of stabilization after nearly two years of volatility caused by the global economic situation, turbulent oil prices and geo-political factors. Pockets of opportunities across industries in traditional and emerging markets, in addition to growing user awareness on the benefits of predictive maintenance, have sustained demand.
New analysis from Frost & Sullivan, Analysis of the Global Condition Monitoring Equipment Market (http://www.frost.com/ndad), finds the market earned revenues of $1.50 billion in 2014 and estimates this to reach $1.91 billion in 2019. The study covers thermography, lubricating oil analysis and vibration condition monitoring equipment for the oil & gas, power generation, aerospace and defense, manufacturing and process industries.
For complimentary access to more information on this research, please visit: http://bit.ly/1ReaQNx
"Technology improvements have played an important role in boosting the usability, effectiveness and capabilities of condition monitoring equipment, while bringing down costs," said Frost & Sullivan Measurement & Instrumentation Program Manager Vijay Mathew. "Although hardware advances have been negligible, much progress has been made in the condition monitoring software and analytics segments."
Customers have traditionally been reluctant to adopt new or unproven condition monitoring technologies as they do not have the in-house expertise to extract the maximum benefits from these products. With the lack of qualified technicians to operate equipment, as well as analyze and understand continuous data coming from assets, the widespread adoption of these technological developments will take place gradually.
"Due to the dearth of skilled personnel and an aging workforce, customers are turning to their hardware providers for additional support," pointed out Mathew. "Although customers traditionally approached condition monitoring hardware companies for sensors, monitors and machine protection systems, they are now depending on them to provide design, installation, maintenance, data collection and diagnostic services too."
The increasing number of customers demanding condition monitoring software to analyze the performance of their critical assets creates alternate revenue streams for condition monitoring companies. While only 20 to 25 percent of customers requested condition monitoring software 15 years ago, that number is currently close to 50 percent and continues to rise.
"As customers look to do more with the data collected from their assets, hardware will no longer be the most critical vendor selection criterion," added Mathew. "The focus will instead be on vendors that adopt a holistic approach combining hardware, software and services."
Convergence of technologies across different industry areas, including wireless communication, sensors, cloud computing, big data analytics, smart factories and smart mobility are expected to give rise to new growth opportunities in condition monitoring. Convergence between big data analytics companies and condition monitoring equipment providers, in particular, will transform the competitive landscape as end-user industries lack the necessary tools to handle large volumes of data.
Analysis of the Global Condition Monitoring Equipment Market is part of the Test & Measurement (http://www.testandmeasurement.frost.com) Growth Partnership Service program. Frost & Sullivan's related studies include: Impact of Mega Trends on the Mechanical Test Market, Global Process Analytical Instrumentation Market, Global Dimensional Metrology Market in the Automotive Industry, and Strategic Analysis of the North American Oil and Gas Nondestructive Testing Inspection Services Market. All studies included in subscriptions provide detailed market opportunities and industry trends evaluated following extensive interviews with market participants.
About Frost & Sullivan
Frost & Sullivan, the Growth Partnership Company, works in collaboration with clients to leverage visionary innovation that addresses the global challenges and related growth opportunities that will make or break today's market participants.
Our "Growth Partnership" supports clients by addressing these opportunities and incorporating two key elements driving visionary innovation: The Integrated Value Proposition and The Partnership Infrastructure.
- The Integrated Value Proposition provides support to our clients throughout all phases of their journey to visionary innovation including: research, analysis, strategy, vision, innovation and implementation.
- The Partnership Infrastructure is entirely unique as it constructs the foundation upon which visionary innovation becomes possible. This includes our 360 degree research, comprehensive industry coverage, career best practices as well as our global footprint of more than 40 offices.
For more than 50 years, we have been developing growth strategies for the global 1000, emerging businesses, the public sector and the investment community. Is your organization prepared for the next profound wave of industry convergence, disruptive technologies, increasing competitive intensity, Mega Trends, breakthrough best practices, changing customer dynamics and emerging economies?
Contact Us: Start the discussion
Subscribe: Newsletter on "the next big thing"
Register: Gain access to visionary innovation
Analysis of the Global Condition Monitoring Equipment Market
NDAD-30
Contact:
Jaylon Brinkley
Corporate Communications – North America
P: +1 (210) 247.2481
F: +1 (210) 348.1003
E: [email protected]
Share this article