Industrial Automation Magazine India

Worldwide distributed control system industry to reach dollar 23.2 bn by 2026

Published on : Monday 07-02-2022

The DCS market is projected to reach USD 23.2 billion by 2026 from an estimated USD 17.5 billion in 2021, in order to meet the increasing demand from the power sector.

Dublin, February 2022 – The ‘Distributed Control System Market by Shipment Scale (large, medium, small), by Component (hardware, software, services), Application (continuous process, batch-oriented process), End-use Industry, and Region – Global Forecast to 2026’ report has been added to ResearchAndMarkets.com's offering.

The DCS market is projected to reach USD 23.2 billion by 2026 from an estimated USD 17.5 billion in 2021, in order to meet the increasing demand from power sector.

It provides benefits such as a Distributed control systems have networking capabilities that are useful for business management, and the ability of these systems to process a large number of I/O points simultaneously has led to the growth of the DCS market.

The software segment by component is expected to grow at the highest CAGR from 2021 to 2026.

Based on the component of DCS systems, the software component is estimated to be the fastest-growing market from 2019 to 2026. The software segment includes IT applications such as advanced process control systems, controller integration with DCS, technology libraries, telecontrol software, connectivity solutions, parameter control, and materials management systems, process optimisation and process safety solutions, and advanced software and virtualisation solutions. It offers a common platform for devices to connect and operate. Upgrades to existing software, increased use of distributed control systems in cloud computing technologies, and upcoming technologies such as IoT are the major drivers of the software segment of the DCS market. The software solutions are cost-effective and can be replaced and upgraded easily.

The continuous process segment, by application, is projected to hold the highest market share during the forecast period. The continuous process is a method where the manufacturing process is carried out without any interruption and is generally preferred when producing large quantities. It is the faster-growing application in the DCS market. The continuous production process is used in oil & gas, chemicals, power generation, and water & wastewater treatment industries and is one of the more efficient and profitable methods of production. The use of distributed control systems in nuclear as well as renewable sectors in the power generation industry and in upstream and downstream activities in the oil & gas industry are the major factors driving the continuous process segment. The increasing production of chemicals and the growing demand for distribution control systems in the refining industry also contribute to the segment's growth.

Asia Pacific is currently the largest DCS market, followed by North America and Europe. China accounted for the maximum share of the Asia Pacific market in 2020. It is also projected to grow at the highest CAGR from 2021 to 2026. The market is expected to grow due to rapid industrialisation, urbanisation, and economic growth in the region, leading to the installation of new DCS systems in various emerging economies.