Rising adoption of Industrial 4.0 and IIoT in manufacturing; rising demand for smart sensor-enabled wearable devices; and technological advancements in Global Industrial Sensors Market are key factors driving this market’s growth. In the midst of COVID-19, there is a strong demand for industrial sensors for efficient industrial operations, with predictive maintenance offering lucrative opportunities to market players and increasing demand from automobile manufacturers to deliver improved safety and comfort for smart sensors.
The Effect of Covid-19 on the Industrial Sensors Market
The COVID-19 pandemic has harmed the growth of several industries, including manufacturing, oil and gas, and many others. Oil and gas is a significant end-use industry in the industrial sensor market. Many ongoing or new projects across the oil and gas value chain are likely to face numerous challenges in terms of project execution, planning, and risk management as a result of COVID-19. More than 2000 EPC oil and gas projects in various segments, including LNG, petrochemical, and oil storage and refineries, have been halted or delayed as a result of the pandemic.
According to the energy research firm Rystad Energy, a 25% drop in oil prices could result in a USD 30 billion reduction in global oil and gas investments. Apart from oil and gas and automotive, many other industries around the world, including power generation and mining, have halted production in almost all countries as a result of the pandemic. This is expected to reduce demand for industrial sensors and have a significant impact on market growth over the forecast period.
Market Dynamics for Industrial Sensors
Driver: Increasing popularity of Industrial 4.0 and IIoT
The industrial 4.0 revolution has already begun, and the benefits of implementing new disruptive technologies are becoming increasingly apparent in existing industries. Tech behemoths like AT&T and Google are also experimenting with Industry 4.0 solutions. The Industrial Internet of Things (IIoT) is a subsegment of the Internet of Things that is used for industrial purposes such as manufacturing and supply chain monitoring and management. The increasing use of IIoT is expected to drive demand for sensors across most industries, including automotive and healthcare. Customers benefit from higher productivity solutions when sensor technology is combined with computing power.
Restriction: Price competition in the market
Many industrial sensors are made to order for manufacturers or system integrators. It is not yet a commodity. The specification for a sensor varies depending on the application, which raises the cost of a sensor, and sensor manufacturers are unable to reduce the cost due to a lack of mass production. OEMs, on the other hand, expect sensor manufacturers to provide the best technology at the lowest possible cost. This increases pricing pressure on sensor manufacturers, forcing them to reduce profits.
Opportunity : Smart sensors have the potential to be used in a variety of manufacturing industries.
Because of their ability to monitor and process vibration and noise signals, smart sensors are in high demand in a variety of other industries, including petrochemical, semiconductor, food processing, and transportation. Smart sensors are capable of collecting, transmitting, and processing data. As a result, they are capable of detecting machine health and predicting the likelihood of failure, assisting the manufacturing industry in lowering maintenance costs and achieving greater cost savings by minimising downtime.
Challenge: Reluctance in adopting sensor technology in old industries.
Today, most industries continue to rely on decade-old machinery that is devoid of sensors. This is due to the lack of immediate solutions and the differences in each industry’s requirements. It also necessitates an understanding of each machine’s functions and the metrics to be tracked, as well as trial and error to determine the best sensor and location to install it in, as well as a strategy for collecting, filtering, and deciphering the collected data. Industries believe that this process is complicated and expensive. They believe that sensors complicate the equipment.
In 2020, the level sensor market will have the largest share.
In 2020, the level sensor market was the most significant. A level sensor detects and measures the level of liquids, bulk solids, and other fluids in a container. The level is measured either continuously or as a set of point values. The need for a level sensor arises from a variety of factors, including the need for accuracy, appearance, and response rate; the ease with which instruments can be calibrated; the size of the instrument; and the monitoring and/or controlling of continuous or point levels.
Market for contact type to hold the largest share in 2020
Contact type sensors are expected to account for a larger share of the overall Industrial Sensors market by 2020. Contact level sensors require physical contact between the device (contact type industrial sensor) and the media. Magnetoresistive, vibratory probe, hydrostatic, magnetic and mechanical float, pneumatic, rotating paddle, resistive chain, and weight and chain are the technologies used in contact type level sensors. Temperature sensors, pressure sensors, force sensors, flow sensors, and other types of contact sensors are among the most common.
APAC will have the largest market share.
APAC led the Industrial Sensors market in terms of value in 2020, accounting for the largest share of the overall Industrial Sensors market by region. Because China is one of the world’s major industrial areas, the APAC industrial sensors market is expected to have the largest market share by 2026. China and Japan are important countries in the APAC industrial sensors market. In the coming years, APAC will have numerous opportunities to generate revenue from the industrial sector.
This report categorizes the industrial sensors market based on sensor type, type, end-user industry, and region.
By Sensor Type:
- Pressure Sensors
- Position Sensors
- Level Sensors
- Gas Sensors
- Temperature Sensors
- Image Sensors
- Humidity & Moisture Sensors
- Flow Sensors
- Force Sensors
By End-user Industry:
- Oil & Gas
- Energy & Power
- North America
- Asia Pacific (APAC)
- Rest of the World (RoW)
In February 2020, Panasonic developed a time-of-flight (TOF) image sensor that uses avalanche photodiode (APD) pixels and is capable of acquiring highly accurate 3D information in accordance with the position of objects from near to far places at distances up to 250 m. The sensor can be applied in a variety of fields, including automotive range imaging and wide-area surveillance.
In May 2020, STMicroelectronics introduced VL53L3CX, a time-of-flight sensor that enables multi-object ranging for next-gen industrial and personal electronics applications.