Condition based monitoring maintenance refers to the sensor-based monitoring of stationary and portable assets to ascertain varying facts about their status. Relevant signals about the status of the asset vary based on the type of asset in question: signals can provide information on the condition of equipment, the flow of current or liquids, the level in a tank, the buildup of gas, or any other form of monitoring aimed at detecting changes occurring over time. Read on to evaluate the condition-based monitoring market, including market forecast data, innovation drivers, key segments, technological considerations, and pricing models.
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The following assesses the current Condition-Based Monitoring (CBM) market, including the biggest sectors, installed bases, and connectivity technologies for condition-based maintenance.
- The industrial condition-based monitoring market is dominated by the monitoring of motor-powered machines and by status measurement collection, such as for various types of gauges.
- Regulations, workforce and resource constraints, and availability of new technologies in the condition-based maintenance market are the three primary drivers for encouraging innovation in how data are collected.
- The total installed base for condition monitoring maintenance is 83 million in 2022. By 2026, the installed base will grow to 277 million worldwide.
- The industrial sector is the most dominant segment in the condition-based monitoring market—with a 171 million installed base forecast by 2026.
- By the end of the forecast window, the condition-based monitoring installed base for the infrastructure sector will be 69 million, 38 million in the commercial sector, and just 3 million for other use cases.
- Breaking down the condition-based monitoring installed base by connectivity technology, fixed line dominates with a 72 million installed base by 2026, followed by 59 million for proprietary Low-Power Wide Area Networks (LPWANs), 46 million for Wi-Fi, 32 million for Bluetooth, 31 million for cellular LPWAN, and 23 million for 802.15.4.
“There is a large opportunity for introducing wireless Internet of Things (IoT) sensors as an Over-the-Top (OTT) device. Many companies active in the condition-based monitoring market are producing “bridge” devices that convert an analog 4 mA to -20 mA or 0 V to 10 V signal to a digital one, which enables the data to then be transmitted wirelessly to the centralized system. – Taylor Jensen, Industry Analyst at ABI Research
Key Decision Items
Digest the Current Market Dynamics
Numerous dynamics are at play in the condition-based monitoring market. Below is a brief list of trends that are resulting in increased adoption of condition monitoring maintenance:
- Evolution of Maintenance Theory: Enterprises are slowly but surely migrating from “maintenance after failure” and “preventive maintenance” approaches to “predictive” and “prescriptive” maintenance approaches.
- Regulations: Myriad industries, notably food and grocery verticals, continue to introduce new regulations, which necessitates that companies adopt condition-based monitoring technologies. Examples of regulations include Continuous Emissions Monitoring Systems (CEMS) requirements, safety regulations (e.g., structural health monitoring on bridges, machinery risk inspections, employee noise exposure, etc.), among other compliances.
- Requirement for Efficiency: Enterprises wish to minimize the number of resources exhausted in inspection, compliance, and other manual processes. Adding IoT connectivity is also important for monitoring equipment or energy consumption (sustainability requirements).
- Tech Solution Providers Drive Condition-Based Monitoring Growth: Condition-based monitoring deployments, largely in the industrial and commercial markets, are being driven by technology solution providers. Not only do small independent solution providers with condition sensors and other technologies play a key role in condition maintenence market proliferation, but so do larger firms like solution integrators, industrial Original Equipment Manufacturers (OEMs), machine builders, and large sensor manufacturers.
Identify the Key Markets for Condition-Based Monitoring
In ABI Research’s assessment, there are four key markets that exist for condition-based monitoring: industrial monitoring, commercial monitoring, infrastructure monitoring, and other monitoring. The bullet list below goes into these market segments more in-depth.
- Industrial Monitoring: This segment refers to the monitoring of machines and equipment used in manufacturing and production processes. Assets to monitor with condition-based solutions include motor-powered machines (e.g., pumps, compressors, or generators), manufacturing equipment (from food processing equipment through to industrial weight scales or stationary saws), higher-level systems (e.g., energy storage and management systems), containers and storage units, valves and pipes, and emissions detections (e.g., gas leaks and continuous emissions monitoring).
- Commercial Monitoring: This segment alludes to the monitoring and maintenance of assets and facilities found in a commercial (consumer-facing) environment. Condition-based monitoring would be applied to assets like commercial refrigeration units, warehouse facility monitoring, food service equipment, elevators and escalators, and carwash systems. Pharmacies, supermarkets, hospitals, and logistical warehouses are all frequent users of retrofit plug-and-play sensors for temperature-based monitoring.
- Infrastructure Monitoring: This segment appertains to the condition monitoring of stationary critical infrastructure, specifically oil & gas distribution networks, water distribution networks, transportation networks (including bridges and railroads), and other building infrastructure (e.g., arenas or stadiums).
- Other Monitoring: This segment refers to asset monitoring use cases that are more consumer-facing or in which condition-based monitoring applications do not apply to the aforementioned segments. Examples include weather stations, wildfire detection systems, etc.
Consider the Various Condition-Based Monitoring Device Facets
There are five aspects of device evolution to consider for asset maintenance: condition sensor types, connectivity, form factor, battery and longevity, and the role of software in devices. In this respect, companies must assess where existing sensor solutions lie, while strategizing how to incorporate new features and capabilities made possible through technological innovation.
More specifically, companies should further explore the following device evolutions in condition monitoring maintenance:
- Sensor Types: Bridging devices, single-sensor versus multi-sensor devices, and loggers versus wireless sensor devices.
- Connectivity: Wired versus wireless and Short-Range Wireless (SRW) versus Wide Area Network (WAN).
- Form Factor: Retrofit sensor devices versus embedded sensors. Vendors should identify partnerships to push growth for embedded sensors.
- Battery and Longevity: Energy harvesting technology for condition-based monitoring devices (e.g., Photovoltaic (PV) harvesting), ambient energy harvesting (e.g., harvesting vibration energy or Radio Frequency (RF) energy), thermoelectric (temperature differential) energy harvesting.
- The Role of Software: Sensor applications software and execution software.
Distinguish between the Two Types of Pricing Models
The two primary ways in which condition-based maintenance solutions can be sold are hardware purchases (software optional) and a per-month-per-sensor pricing model. In the former commercialization model, the adopter can buy hardware devices that can be integrated into existing systems. Here, the software can also be added later if the company wants to.
In the per-month-per-sensor commercialization model, adopters gain access to condition-based monitoring solutions by paying a recurring cost (monthly or yearly). This condition-based software gives adopters sensor application/executive functions that can be integrated into existing systems. On the hardware side, adopters can purchase up-front, lease the hardware, or in some cases, get it for free as part of a long-term software subscription contract.
Key Market Players to Watch
Dig Deeper for the Full Picture
Go more in-depth with understanding the top segments, technological evolution, and various vendors in the condition monitoring maintenance space by downloading ABI Research’s Condition-Based Monitoring IoT: Top Market Segments and Technology Accelerators research report. The report also provides examples of condition-based monitoring technologies from various vendors, including the following:
Not ready for the report yet? Check out our Expanding Supply Chain Tracking with Returnable Transport Assets (RTAs) Research Highlight. This content is part of the company’s IoT Markets Research Service.