Integrated operator terminal and PLC sales to grow | Automation.com

Integrated operator terminal and PLC sales to grow

September 17, 2012 - IMS Research projects world sales revenue of operator terminals with embedded PLC hardware will rise from $99 million in 2011, to approximately $148million in 2016; a compound annual growth rate (CAGR) of about 9 percent over the period.

The largest vertical sectors for these products in 2011 were estimated to be Food, Beverage and Tobacco Machinery; Machine Tools and Packaging Machinery. Collectively, these sectors accounted for approximately 35 percent of sales revenue.  The largest unit shipment growth is also forecast to come from the food and beverage machine builder sector, with annual shipments increasing by more than 5,000 between 2011 and 2016.

Mark Watson, senior research analyst, comments “There are two principle advantages for OEMs using operator terminals with embedded PLC hardware: price and footprint. Every component has an associated cost and space requirement. By combining two systems into one, both factors are reduced. This enables further savings as the combined unit doesn’t require extra wiring to communicate between sub-systems and maintenance departments only need to support one product type.”

Watson continues, “That said, the advantage is most significant for small machines where price and space are at a premium. Manufacturers of larger machines typically have the space and the budget to adopt a traditional solution of separate operator terminal and PLC units.  This solution also provides flexibility in terms of the component supplier of each unit and enables OEMs to cherry pick the most suitable two components for specific applications.”

This operator terminal type is forecast strong revenue growth to 2016.  However, average selling prices are projected to decrease by approximately 3 percent per annum to 2016.  Leading suppliers of operator terminals with embedded PLC hardware, such as Pro-Face, Unitronics and Horner APG, will therefore have to work hard to maintain revenue growth as price pressure drives down selling prices over the next few years. 

About IHS

IHS (NYSE: IHS) is the leading source of information, insight and analytics in critical areas that shape today’s business landscape. Businesses and governments in more than 165 countries around the globe rely on the comprehensive content, expert independent analysis and flexible delivery methods of IHS to make high-impact decisions and develop strategies with speed and confidence. IHS has been in business since 1959 and became a publicly traded company on the New York Stock Exchange in 2005. Headquartered in Englewood, Colorado, USA, IHS employs more than 6,000 people in more than 30 countries around the world.

About IMS Research 

IMS Research, recently acquired by IHS (NYSE: IHS), is a leading supplier of market research and consultancy to over 2500 clients worldwide, including most of the world’s largest technology companies. Established in the UK in 1989, IMS Research now has dedicated analyst teams focused on the factory automation, automotive, communications, computer, consumer, display, financial & ID, LED & lighting, medical, power & energy, solar PV, smart grid and security markets.  Currently publishing over 350 different syndicated report titles each year, these in-depth publications are used by major electronics and industrial companies to assess market trends, solve marketing problems, and improve the efficiency of their businesses.
 
 

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