Distributed Control Systems Market Size
| Study Period | 2019 - 2029 |
| Market Size (2024) | USD 21.57 Billion |
| Market Size (2029) | USD 27.90 Billion |
| CAGR (2024 - 2029) | 5.28 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | North America |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Distributed Control Systems Market Analysis
The Distributed Control Systems Market size is estimated at USD 21.57 billion in 2024, and is expected to reach USD 27.90 billion by 2029, growing at a CAGR of 5.28% during the forecast period (2024-2029).
The distributed control system market will be driven in the future by the tendency for manufacturers in the process industry to implement the best automation technologies to obtain a competitive edge in the current competitive environment.
The growing adoption of smart applications and IoT technologies are the key drivers for the market. With the increased adoption of smart devices, there is an increase in the demand for multifunctional microelectronics with reduced time delays and improved performance.
The process industry currently operates in a very complex environment, and the requirements for its control technology are correspondingly demanding. Control technology is a key lever for gaining a competitive edge in the process industry, all the more so if it can meet the tremendous challenges of both today and tomorrow. The latest iterations of DCS systems provide marked improvements over their predecessors regarding security, compatibility with the latest technology, and operator effectiveness, which drives the distributed control systems market.
COVID-19 had a significant impact on all industries worldwide. Because of the rapid growth, governments worldwide took stronger measures for functioning industrial plants and offices, resulting in stricter lockdowns. The lockdown significantly influenced the power sector as power demand from commercial and industrial sectors reduced significantly. For most businesses worldwide, the recovery phase following large losses during the pandemic was nearly completed.
According to Wind Europe, delays were expected in many new wind farm projects, causing developers to miss the deployment deadlines in the auction systems and face financial penalties due to COVID-19, The International Renewable Energy Agency stated that despite the pandemic threatening global supply chains in the power sector, it would not stop the industry from transitioning to net-zero CO2 emissions. The pandemic also showed how essential manufacturing automation was to modern industry functioning, with some fueled by social distancing and some by cyber threats. Social distancing measures had a greater impact as they led the manufacturers to restructure their operations to rely more on robotics.
However, the latest iterations of DCS systems provide marked improvements over their predecessors regarding security, compatibility with the newest technology, and operator effectiveness, a market driver for distributed control systems. Modern DCSs include new capabilities, such as asset diagnostics, performance monitoring, fleet management, alarm handling during the fault, prioritizing messages, and simplifying actions to be taken in the event of a failure. The purpose of the newer DCSs is to serve the entire lifetime of the power plant. The DCSs can be updated online, where updates and security patches are installed, and new features can be added without shutting down the plant.
Moreover, DCS is often employed in batch-oriented or continuous method operations, such as oil purification, power generation, organic compound manufacturing, craft, food and drink manufacturing, pharmaceutical production, and cement. DCSs can control various instrumentality types, including variable speed drives, quality control systems, motor control centers (MCC), kilns, manufacturing equipment, and mining equipment.
One of the significant benefits of DCS systems is that the digital communication between distributed controllers, workstations, and other computing elements follows the peer-to-peer access principle. To achieve greater precision and control in process industries, like the petrochemical, nuclear, and oil and gas industries, there is an increasing demand for controllers which offer specified process tolerance around an identified set point.
These requirements have driven the adoption of DCS, as these systems provide lower operational complexity, project risk, and functionalities, like flexibility for agile manufacturing in highly demanding applications. The ability of DCS to integrate PLCs, turbomachinery controls, safety systems, third-party controls, and various other plant process controls for heat exchangers, feedwater heaters, and water quality, among others, further drives the adoption of DCS in the energy sector.
Distributed Control Systems Market Trends
Services Constitute a Considerable Market Share
The services market in the DCS industry is the most intriguing of all the revenue stakeholders among the other components included in the report's scope. Due to its widespread applicability in maintenance, installation, alarm management, upgrade services, plant asset management, lifecycle services, consulting services, migration services, simulation, and training services, the service segment is also expanding demand for DCS. As a result, rising energy demand and considerable technological advancements will drive demand for the services segment, among others, during the projection period.
Moreover, the top market suppliers continue to emphasize expanding capabilities for projects and operations and maintenance services for continuous market expansion. The different components in the scope of services covered in the market report include project management services, non-contract maintenance, retrofits, and upgrades.
Due to an enormous increase in the number of distributed antenna systems service providers in the industry, the services market, which currently holds a significant part of the DCS market, is anticipated to develop at the fastest rate over the projection period.
With the rising awareness, industry players are focusing on deploying and executing IIoT strategies to enhance the DCS network services. The relationship has changed because sensors and edge devices are far more capable, with some processing and communications abilities similar to a PC. Instead of acting in a passive listen-and-respond role, each device can perform more as a peer.
In addition, the main automation contractor (MAC) concept is increasingly becoming important in project services, where the supplier is responsible for all automation-related systems of the project.
The trend is growing in the majority of the large DCS projects. The services market encapsulates entities from the bottom of the pyramid, i.e., the spare parts and repairs, which prove to be helpful in system productivity, cost curtailment, and extension of the product life cycle and systems by reducing the uptime of production units, thus, efficiently delivering operational excellence.
North America Holds Significant Market Share
The rapidly growing shale gas industry in North America is expected to be a major driver of the Distributed Control Systems market in the region.
According to the Department of Energy, in the United States, The shale gas percentage is expected to reach nearly 45% by 2035, which is likely to result in a parallel growth of the tightly integrated DCS market, which provides sustainability of the process through redundant controls in high-risk environments.
In addition, this market is currently challenged by reducing oil prices globally but can be relied upon to be a sizeable industry in the future. The requirement for a large amount of water in Shale gas extraction has created a market for DCS systems in water treatment facilities, resulting in a significant rise in the overall market.
Moreover, the chemicals sector in North America is benefiting from improved dependability, simplified remote monitoring, and lower installation costs. Additionally, several businesses in the chemicals sector are switching from outdated DCS systems to more advanced ones to improve production, efficiency, and safety and decrease human error.
The oil and gas industry in North America is process-driven, with ongoing operations and intricate monitoring methods. It is challenging for operators to keep an eye on and regulate the operation of the machinery used in the sector. Many North American businesses are implementing the usage of an HMI and a controller, or DCS, which enables operators to manage operations. These systems automate safety procedures, including alarm management systems, and perform equipment maintenance and repair tasks.
Distributed control systems have proven vital in managing nuclear power plants, further helping their market in the United States and continuously increasing its nuclear power plant capacity and numbers.
Distributed Control Systems Industry Overview
There are several significant competitors in the competitive distributed control system market. Few of the big competitors now control most of the market in terms of market share. Major firms with a sizable market share are concentrating on growing their consumer base internationally. Many businesses rely on strategic collaboration projects to improve their market share and profitability.
In December 2022, Honeywell announced that Regreen Excel EPC, India, has deployed Honeywell's PlantCruise by Experion Distributed Control Systems (DCS) solution, modular systems, and field instruments (FI) across its 40 plants in India. Regreen Excel EPC India Pvt. Ltd. is a distillery, sugar and cogeneration, biofuels, zero liquid discharge systems, and renewable energy company. The technology assists users in increasing production uptime, improving safety, dependability, and efficiency, and lowering investments and running costs.
In May 2022, ABB modernizes process control systems and cement grinding equipment in the UAE to improve uptime and consistency across several sites. ABB builds a cutting-edge distributed control system (DCS) automation technology at Star Super Cement cement grinding operations in the United Arab Emirates. With the new enhanced systems and homogeneity throughout the multiple linearization and grinding unit sites, Star Cement will benefit from greater operator visibility, easier maintenance, and little downtime.
Distributed Control Systems Market Leaders
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ABB Ltd
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Honeywell International Inc.
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Siemens AG
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Schneider Electric
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Mitsubishi Motors Corporation
*Disclaimer: Major Players sorted in no particular order
Distributed Control Systems Market News
- May 2023: Emerson announced that it is improving perimeter security for the DeltaV distributed control system (DCS) with its new NextGen Smart Firewall, a purpose-built control system firewall designed to provide easy-to-install and easy-to-maintain perimeter security for all industries.
- May 2022: ABB announced that DS Smith had awarded a new contract to fulfill a vision of highly automated, connected, and secure operations at its Kemsley Mill in the UK. The Kent mill is Europe's second-largest recovered fiber-based paper operation, boasting an annual production capacity of over 840,000 tons. ABB supports the company's evolution with the ABB Ability System 800xA distributed control system (DCS) and paper machine drives upgrade across PM3, PM4, and PM6.
Distributed Control System Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
4.1 Market Overview
4.2 Value Chain Analysis
4.3 Market Drivers
4.3.1 Growing Energy Demand from Major Emerging Economies
4.3.2 Growing Adoption for Smart Applications and Iot Technologies
4.3.3 Modernization of Existing DCS Solutions will Contribute to the Growth Of Service Sector
4.4 Market Restraints
4.4.1 Growing Availability of Alternative Technologies in the Field of Process Automation
4.5 Industry Attractiveness - Porter's Five Forces Analysis
4.5.1 Threat of New Entrants
4.5.2 Bargaining Power of Buyers
4.5.3 Bargaining Power of Suppliers
4.5.4 Threat of Substitute Products
4.5.5 Intensity of Competitive Rivalry
5. MARKET SEGMENTATION
5.1 By Component
5.1.1 Hardware
5.1.2 Software
5.1.3 Services
5.2 By End-User Vertical
5.2.1 Power Generation
5.2.2 Oil & Gas
5.2.3 Chemicals
5.2.4 Refining
5.2.5 Mining & Metals
5.2.6 Paper and Pulp
5.2.7 Other End-User Verticals
5.3 Geography
5.3.1 North America
5.3.1.1 United States
5.3.1.2 Canada
5.3.2 Europe
5.3.2.1 Germany
5.3.2.2 UK
5.3.2.3 France
5.3.2.4 Italy
5.3.2.5 Rest of Europe
5.3.3 Asia-Pacific
5.3.3.1 China
5.3.3.2 Japan
5.3.3.3 India
5.3.3.4 Rest of Asia-Pacific
5.3.4 Latin America
5.3.4.1 Brazil
5.3.4.2 Mexico
5.3.4.3 Rest of Latin America
5.3.5 Middle East and Africa
5.3.5.1 UAE
5.3.5.2 South Africa
5.3.5.3 Rest of Middle East & Africa
6. COMPETITIVE LANDSCAPE
6.1 Company Profiles
6.1.1 ABB Ltd.
6.1.2 Honeywell International Corporation
6.1.3 Siemens AG
6.1.4 Schneider Electric
6.1.5 Mitsubishi Motors Corporation
6.1.6 Rockwell Automation
6.1.7 Emerson Electric Company
6.1.8 Metso (Valmet Oyj)
6.1.9 Omron Corporation
6.1.10 Novatech Llc (Weir Group)
6.1.11 Azbil Corporation
6.1.12 Toshiba International
6.1.13 Yokogawa Electric Co.
- *List Not Exhaustive
7. INVESTMENT ANALYSIS
8. FUTURE TRENDS
Distributed Control Systems Industry Segmentation
A distributed control system is a computerized control system for a process or plant, usually with many control loops, in which autonomous controllers are distributed throughout the system, but there is central operator supervisory control. DCS technologies offer a range of solutions that are designed to control and monitor industrial production. These solutions are widely used across process industries in line with the general trend of using automation to increase overall efficiency and functioning.
The Distributed Control Systems Market is segmented by Component (Hardware, Software, Services), End-User Vertical (Power Generation, Oil & Gas, Chemicals, Refining, Mining & Metals, Paper, and Pulp), and Geography (North America, United States, Canada, Europe (Germany, UK, France, Italy, Rest of Europe), Asia-Pacific (China, Japan, India, Rest of Asia-Pacific), Middle East and Africa (UAE, South Africa, Rest of Middle East & Africa)). The report offers the market size in value terms in USD for all the abovementioned segments.
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| Hardware | |
| Software | |
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| Power Generation | |
| Oil & Gas | |
| Chemicals | |
| Refining | |
| Mining & Metals | |
| Paper and Pulp | |
| Other End-User Verticals |
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Distributed Control System Market Research FAQs
How big is the Distributed Control Systems Market?
The Distributed Control Systems Market size is expected to reach USD 21.57 billion in 2024 and grow at a CAGR of 5.28% to reach USD 27.90 billion by 2029.
What is the current Distributed Control Systems Market size?
In 2024, the Distributed Control Systems Market size is expected to reach USD 21.57 billion.
Who are the key players in Distributed Control Systems Market?
ABB Ltd, Honeywell International Inc., Siemens AG, Schneider Electric and Mitsubishi Motors Corporation are the major companies operating in the Distributed Control Systems Market.
Which is the fastest growing region in Distributed Control Systems Market?
Asia Pacific is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in Distributed Control Systems Market?
In 2024, the North America accounts for the largest market share in Distributed Control Systems Market.
What years does this Distributed Control Systems Market cover, and what was the market size in 2023?
In 2023, the Distributed Control Systems Market size was estimated at USD 20.43 billion. The report covers the Distributed Control Systems Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Distributed Control Systems Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Distributed Control System (DCS) Industry Report
Statistics for the 2024 Distributed Control Systems market share, size and revenue growth rate, created by Mordor Intelligenceā¢ Industry Reports. Distributed Control Systems analysis includes a market forecast outlook to for 2024 to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
