NORTHFIELD, Illinois -- Powerful advances in the Industrial Internet of Things (IIoT) will drive more than $11 billion worth of growth in the valve industry by 2025, according to a new report by market research company The McIlvaine Company. "The Industrial Internet of Things (IIoT) is a powerful new force shaping the way valves will be purchased," the McIlvaine report states. "The demand for valve automation and communication of valve health and performance will be driven by IIoT advances. With the rapid reduction in the cost of high quality sensors and the introduction of wireless technology smart valves will be communicating with remote operators on an accelerated basis." Companies like Emerson, Flowserve, Pentair and GE are already pursuing this market, McIlvaine reports, and generating some $7 billion in revenue. More from McIlvaine's report: "High performance valves comprise 55 perecent of the total market today but with IIoT and remote O&M will represent 60 percent of the market in 2025. High performance valves include those in severe service, critical service and unique service. If general purpose valves are the foot soldiers of IIoT then high performance valves belong in the armoured division. Their performance is much more critical to the outcome of the battle to improve plant performance. Not only can valve companies boost Capex revenues for smart valves and Opex revenues for service and parts but they can acquire process data to help them design better valve products for specific applications. This proliferation of information about valve performance will serve as a giant resource of valve white papers. Proof of lowest total cost of ownership will be automatic. The valve companies who best leverage this process and valve performance knowledge will be the most profitable. Those focused on IIoT will achieve profit gains of 45 percent in the high-performance segment and 32 percent overall. While those who miss the boat will suffer profit decreases of 10 percent."
Tue, 05/02/2017 - 10:18