Growth Opportunities in the Generator Service Market, Global, 2024-2034
Digital Advancements Are Driving Transformative Growth Opportunities
SAN ANTONIO, Jan. 30, 2025 /PRNewswire/ -- The global generator service market is projected to grow at a rate of 2.8% from 2023 to 2034, driven by rising power demand and increasing customer awareness of digital solutions. Real-time visibility into equipment operations and AI-powered analytics provide critical insights that enhance efficiency, support predictive maintenance, and ensure continuous usage. By leveraging advanced analytics, manufacturers can optimize equipment control, utilization, logistics, and procurement. Among all end-user sectors, predictive applications remain the most essential in the generator market.
Expansion of the Data Center Market Fuels Investment in Digital Services
The rapid expansion of the data center market is a key driver of investment in digital services. As data centers grow, demand for innovative solutions that improve asset performance, enable proactive maintenance, and facilitate real-time management across multiple locations is increasing. Technologies such as Big Data, edge and cloud computing, and AI are shaping sales strategies. Initial adoption is expected to focus on solutions that deliver immediate cost savings and operational benefits, including fuel monitoring, asset tracking, predictive maintenance alerts, and remote monitoring services.
XaaS Models Enhance Competitive Advantage
OEMs are increasingly recognizing the potential of Everything-as-a-Service (XaaS) models. While generator set (genset) rentals have been available for some time and are expected to continue growing, many OEMs are now exploring performance-based contracts. These agreements allow customers to acquire equipment gradually through lease-to-buy options, reducing upfront costs and expanding accessibility.
Lucrecia Gomez, Global Power & Energy Research Director at Frost & Sullivan, comments: "Manufacturing high-quality generators alone will not be enough for long-term success. Over time, diesel gensets will become commodities. Companies that produce gensets must show their capability to provide services that utilize the latest technology and digital service models. Genset OEMs should focus on increasing customer loyalty and exploring new revenue streams through digital services, enhanced sponsorship opportunities, and improved customer awareness.."
She adds, "Deploying value-added tools such as fuel monitoring; asset utilization and tracking; equipment maintenance indications; and remote monitoring will enhance product penetration among targeted end users. These advancements will contribute to faster market growth. We forecast deployment to expand at a 4.7% CAGR to 2034."
To stay ahead in the rapidly evolving generator service and digital solutions landscape, find out more about the growth opportunities here.
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Contact:
Celeste Bailo
Marketing & Communications
Global Customer Experience, Frost & Sullivan
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