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Industrial Automation and Wireless IoT – 4th Edition

Industrial Automation and Wireless IoT is the fourth strategyreport from Berg Insight analysing the latest developments onthe market for wireless IoT applications in industrial automationworldwide.

This strategic research report from Berg Insight provides youwith 180 pages of unique business intelligence including 5-yearindustry forecasts and expert commentary on which to base yourbusiness decisions.

Highlights from this report:

Insights from 30 executive interviews with market leadingcompanies.
360-degree overview of the IoT ecosystem in the industrialautomation industry.
Comprehensive overview of key applications for wireless IoTsolutions in industrial automation.
In-depth analysis of market trends and key developments.
Detailed profiles of over 69 key players in this market.
Updated forecasts by wireless technology, region, market verticaland device segment lasting until 2023.


Executive summary

Wireless technologies are integrated into a wide range of devices that can be usedthroughout an automation system, from the supervisor level all the way to the control andfield levels. The devices can be broadly divided into two segments: automation equipmentand network equipment. In the automation equipment segment, high-volume productcategories featuring wireless communications capability include instrumentation such asindustrial sensors, as well as wireless I/O and field devices that connect to sensors, actuatorsand machines. Important product categories within the network equipment segment arewireless access points, gateways, routers and switches.

The adoption of wireless solutions in industrial environments is often a gradual process andan initial deployment typically comprises clusters of wireless devices connected to an existingwired network. Although wired networking solutions are still predominantly used for industrialcommunications between sensors, controllers and systems, wireless solutions are widelyused as wire replacement in hard to reach or hazardous areas, on moving machine parts andon portable equipment. Proprietary radio solutions have traditionally been used to supportthese use cases and is still used in many applications today. Standardised wirelesstechnologies such as Wi-Fi, 802.15.4 and Bluetooth have advanced to become the leadingwireless technologies for industrial applications. Cellular technologies based on 5G couldexpand the addressable market for wireless communications as it allows for deploymentswhere requirements related to bandwidth, latency or capacity cannot be fulfilled today.Berg Insight estimates that annual shipments of wireless devices for industrial automationapplications including both network and automation equipment reached 4.6 million unitsworldwide in 2018, accounting for approximately 6 percent of all new connected nodes.

Growing at a compound annual growth rate (CAGR) of 16.3 percent, annual shipments areexpected to reach 9.9 million in 2023. The installed base of wireless devices in industrialautomation applications is forecasted to grow from an estimated 21.3 million connections atthe end of 2018 to 50.3 million connected devices by 2023.

Automation equipment such as wireless instrumentation is offered by many large automationvendors as part of complete systems for automation of industrial processes, but also byspecialised providers. Emerson became the first company to market WirelessHART productsin 2008 and is today the largest provider of wireless instrumentation devices. The companyhas an installed base of more than 42,000 wireless networks worldwide and serves manyleading players across various process industries. Major wireless instrumentation vendorsfurther include Yokogawa and Honeywell, which both provide field devices based on thewireless technology ISA100.11a. Pepperl+Fuchs significantly strengthened its position in thewireless field device market through the acquisition of MACTek in 2015, a provider of HARTprotocol devices. Other major industrial automation vendors that provide wireless fielddevices include ABB, Endress+Hauser, Schneider Electric and Siemens. Wireless I/O andfield devices are also offered by a diverse range of players that are primarily active in theindustrial communications and control markets.

Major providers of wired industrial network equipment also offer wireless solutions to enablecustomers to monitor and control devices wirelessly in parts of the plant that are normally notconnected to the control room due to accessibility or wiring costs. These include Siemens,Cisco, Belden, Moxa and Phoenix Contact, which all offer comprehensive portfolios ofindustrial wireless devices such as routers, gateways and wireless access points. Thesecompanies typically partner with large automation vendors as a go-to-market strategy. Ciscohas for example developed the Ethernet and IP-networking based architecture for industrialEthernet applications – Converged Plantwide Ethernet (CPwE) – together with RockwellAutomation. Additional providers of industrial Wi-Fi devices are Acksys, Advantech, AntairaTechnologies, Beijer Electronics Group, Data-Linc, Hilscher, HMS Networks, INSYSMicroelectronics, MB Connect Line, MC Technologies, NetModule and Red Lion Controls.

Cellular and unlicensed ISM radio solutions are typically used for data acquisition andbackhaul communications in distributed automation applications. The largest provider ofcellular IoT gateways and routers in the industrial space include Sierra Wireless, followed byCradlepoint, Cisco, Digi International, InHand Networks, HMS Networks, Maestro Wireless,GE’s industrial communications group GE MDS, Robustel Technologies, Advantech,MultiTech Systems, NetModule and Eurotech. Major vendors of proprietary radio solutionsare GE MDS, FreeWave Technologies and Banner Engineering.

Executive summary
1 The industrial automation industry
1.1 Introduction to industrial automation
1.2 Factory and process automation
1.3 Factory and process operations
1.4 Industrial automation system overview
1.5 Industrial automation evolution
1.6 The industrial automation market
1.7 Industrial automation market segments
1.7.1 Industrial software
1.7.2 Industrial control systems
1.7.3 Automation equipment and instrumentation
1.7.4 Industrial robots
2 Wireless IoT solutions in industrial automation
2.1 Wireless automation infrastructure
2.1.1 Facilities segment
2.1.2 Service segment
2.1.3 Network segment
2.2 Operations management
2.2.1 Production and process management
2.2.2 Business management
2.3 Equipment management and regulatory compliance
2.3.1 Equipment diagnostics and maintenance planning
2.3.2 Security and Safety
2.3.3 Regulatory compliance
2.4 Business models and project strategies
3 Market forecasts and trends
3.1 Market analysis
3.1.1 Installed base and unit shipments
3.1.2 Wireless technologies
3.1.3 Regional markets
3.1.4 Major vendors
3.2 Market drivers and barriers
3.2.1 Macroeconomic environment
3.2.2 Regulatory environment
3.2.3 Competitive environment
3.2.4 Technology environment
3.3 Value chain analysis
3.3.1 Industrial communications and control industry players
3.3.2 Industrial automation industry players
3.3.3 Telecom industry players
3.3.4 IoT platform and IT industry players
3.4 Future industry trends
4 Global automation vendors
4.1 ABB
4.2 Bosch
4.3 Emerson
4.4 Endress+Hauser
4.5 Fanuc
4.6 General Electric
4.7 Hitachi
4.8 Honeywell
4.9 Keyence
4.10 Kuka
4.11 Mitsubishi Electric
4.12 Omron
4.13 Pepperl+Fuchs
4.14 Rockwell Automation
4.15 Schneider Electric
4.16 Siemens
4.17 Yaskawa Electric
4.18 Yokogawa
5 Device and software vendors
5.1 Industrial communications and control solution providers
5.1.1 Acksys
5.1.2 ADLINK Technology
5.1.3 Advantech
5.1.4 Antaira Technologies
5.1.5 Beckhoff Automation
5.1.6 Beijer Electronics Group
5.1.7 Belden
5.1.8 Cisco
5.1.9 Contec
5.1.10 Data-Linc
5.1.11 Digi International
5.1.12 Eurotech
5.1.13 FreeWave Technologies
5.1.14 HMS Networks
5.1.15 InHand Networks
5.1.16 INSYS Microelectronics
5.1.17 Kontron S&T
5.1.18 Lantronix
5.1.19 Maestro Wireless Solutions
5.1.20 MB Connect Line
5.1.21 MC Technologies
5.1.22 Moxa
5.1.23 MultiTech Systems
5.1.24 National Instruments
5.1.25 NetModule
5.1.26 Newtrax Technologies
5.1.27 OleumTech
5.1.28 Opto 22
5.1.29 Phoenix Contact
5.1.30 Red Lion Controls (Spectris)
5.1.31 Robustel Technologies
5.1.32 Secomea
5.1.33 Sierra Wireless
5.1.34 Steute
5.1.35 Wago
5.1.36 Weidmüller
5.2 IIoT platform and software vendors
5.2.1 Altair Engineering
5.2.2 C3 IoT
5.2.3 Device Insight
5.2.4 Exosite
5.2.5 FogHorn Systems
5.2.6 IBM
5.2.7 Litmus Automation
5.2.8 Oracle
5.2.9 PTC
5.2.10 Relayr
5.2.11 SAP
5.2.12 Software AG
5.2.13 Telit
5.2.14 Uptake
5.2.15 Wind River
Glossary
List of Figures
Figure 1.1: Examples of industrial automation market verticals
Figure 1.2: Examples of factory and process operations
Figure 1.3: Industrial automation system overview
Figure 1.4: Industrial automation market value (World 2008–2017)
Figure 1.5: Industrial automation market value by region (World 2017)
Figure 1.6: Business activities of key global automation vendors
Figure 1.7: Annual shipments of industrial robots (World 2008–2017)
Figure 1.8: Operational stock and density of industrial robots by region (World 2017)
Figure 2.1: Overview of wireless IoT infrastructure in industrial automation
Figure 2.2: Examples of field, control and network devices
Figure 2.3: Example of service segment in a connected automation system
Figure 3.1: New connected nodes in industrial automation by technology (World 2018)
Figure 3.2: Unit shipments and installed base by equipment category (World 2017–2023)
Figure 3.3: Unit shipments and installed base by technology (World 2017–2023)
Figure 3.4: Unit shipments and installed base by region (World 2017–2021)
Figure 3.5: Major vendors in the industrial communications market
Figure 3.6: Key data for industrial communications and control solution providers
Figure 3.7: M&As in the industrial communications sector (2011–2018)
Figure 3.8: Major industrial automation vendors
Figure 3.9: Key data for companies active in industrial automation
Figure 3.10: M&As in the industrial automation sector (2015–2018)
Figure 3.11: Mobile operators by IoT subscriber base (World Q2-2017)
Figure 4.1: Endress+Hauser’s WirelessHART gateway and adapters
Figure 4.2: Example of a data acquisition solution using GE MDS devices
Figure 4.3: Simplified overview of the Kuka Connect platform
Figure 4.4: Mitsubishi’s iQ Platform
Figure 4.5: Pepperl+Fuchs’ WirelessHART products
Figure 4.6: Yokogawa’s gateways and wireless access point based on ISA100.11a
Figure 5.1: Acksys’ AirLink industrial Wi-Fi access point
Figure 5.2: Advantech’s WISE-3620 wireless IoT Wi-Fi network gateway
Figure 5.3: Example of an operation monitoring solution based on Contec’s devices
Figure 5.4: Eurotech’s IoT architecture
Figure 5.5: National Instruments’ WSN gateway and measurement nodes
Figure 5.6: Opto 22’s Groov EPIC system
Figure 5.7: Cellular remote connectivity to an RTU via the new TC CLOUD CLIENT
Figure 5.8: IoT solutions in Altair’s SmartWorks suite
Figure 5.9: The FogHorn architecture
Figure 5.10: The Watson IoT Platform
Figure 5.11: PTC’s ThingWor

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