Preliminary research of Fairfield Market Research indicates a promising growth outlook for global functional safety market during the course of next few years.
Notable Adoption Across Oil and Gas Industry in Line with Growing Emphasis on Operational Safety Fortify Functional Safety Market Growth
Functional safety is a high criterion frequently used in the economic sectors because of the availability of numerous plants and growing activities. The primary issue anticipated to propel the worldwide functional safety market over the forecast period is the increased demand for safety systems within the oil and gas industry to prevent industrial tragedies. Additionally, the expansion of functional safety market is accelerated by establishing several restrictive rules designed to protect operators and, by extension, instrumentality. However, it is anticipated that the significant upfront cost would constrain the market expansion. The most significant drivers for the growth of the global functional safety market worldwide include strict, legally required safety requirements and government regulations about the protection of systems and personnel. The rise of this industry is also anticipated to be boosted by the increasing awareness of and attention to personal safety issues. Additionally, a broadening range of producing sectors and activities, a rise in the demand for dependable safety systems to ensure worker protection, and a rise in the use of operational safety systems in the oil and gas industry all contribute toward the growth of functional safety market. Moreover, the economic Internet of Things, and increased geographic point safety standards acceptance in developing countries will create lucrative growth prospects for functional safety market.
The Rise of Business 4.0 Bodes Well for Functional Safety Market
The significant capital investment required required in establishing functional safety systems may limit the pace of expansion of functional safety market, suggest primary report findings. In addition, the complexity of functional safety systems is likely to limit the expansion of functional safety market. The high quality of safety applications and the need for more functional safety-certified workers are additional problems the market faces. One of the primary reasons influencing the rise of functional safety markeyt is the rising demand for personnel safety, and protection systems due to stringent governmental regulations. In addition, business 4.0, and the advent of the industrial IoT (IIoT) are unlocking new possibilities for integrated safety and compliance services. Businesses and industries can operate with greater potency and dependability because of it. Cyber-physical systems (CPS), a major concept in business 4.0, consist of storage systems, effective machines, and production facilities capable of autonomously exchanging information, initiating activities, and having multiple forms of dominance. Sales and profitability are being driven by this, as well as the emphasis of market participants on product improvements to provide higher services.
Functional Safety Market: COVID-19 Impact
The COVID-19 epidemic has caused severe global travel restrictions, which have lowered overall output rates across several industrial sectors. Because of the weakening economy, employers in the manufacturing and other industrial sectors have cut their workforces. Furthermore, the logistics, as well as the entire production environment, have been impacted by the strict restrictions. The right hands still need to receive the raw materials or the manufactured components. Contrarily, business operations were suspended throughout the pandemic, which had a detrimental impact on the functional safety market expansion.
Rising Adoption of IIoT to Shoot Lucrative Opportunities for Functional Safety Market
The IIoT's growing adoption in various industries creates new opportunities in the industrial sector. With the aid of IIoT technology, the data produced by smart sensors are easily manipulable. The IIoT technology makes monitoring, analysis, and control more efficient; as a result, the demand for functional safety equipment has increased. Demand for functional safety is rising due to the increased use of automated systems and safety regulations imposed on industrial sectors. Contrarily, the functional safety market is believed to be driven primarily by the growing awareness of the importance of worker and technological safety and the potential advantages of functional safety equipment.
Increasing Work-related Illnesses Directly Influences the Performance of Functional Safety Market
According to a recent study, over 1.3 million workers suffered from work-related illnesses; over 72,702 employee instances were registered annually for non-fatal injuries, and over 144 workers lost their lives as a result of these occurrences. Such findings have recently boosted the market demand for functional safety. The rise in the proportion of older workers in many industries has boosted the overall growth of functional safety market. On the other hand, well-known market players are boosting their investments in functional safety systems to ensure they respect the rules and laws placed on them.
High Maintenance Charges Restrict Expansion of Functional Safety Market
The greatest hindrance to expanding the functional safety market is the high cost of installing and maintaining functional safety systems. On the other hand, the variability in equipment, maintenance, and ownership costs is impeding the functional safety industry's overall expansion. The growth in demand for functional safety equipment across all industrial verticals needs to be improved by the necessity to comply with the onerous laws and regulations imposed by the government. Additionally, the main barrier facing the functional safety market is the ineffectiveness of these devices' nonemergency situations.
Automotive Industry Emerges as the Most Lucrative End-use Segment in Functional Safety Market
Automotive industry has been amidst a continuous transformation that prominently witnesses incorporation of technology breakthroughs into the various vehicle types. Most early automobiles had mechanical engines and simple electrical systems that powered the headlights and spark plugs. Due to technological advancements, vehicles are now outfitted with cutting-edge safety features like airbag deployment systems. Engineers have created more precise sensors with automotive applications in mind due to the rise in these sensor-dependent features. These trends indicate that the sector will increasingly implement functional safety. Automakers will be able to respond to market demands more quickly, cut down on manufacturing delays, improve the effectiveness of their supply chains, and increase productivity. The extensive use of modern automobiles with automotive electronic control units (ECUs) has made complex safety precautions necessary. Functional safety has become increasingly important to the process of creating ECU software. Functional safety schemes for cars help identify (electrical and electronic) malfunctions and establish the appropriate actions and processes to minimize risk and damage from software or hardware failures.
In the automotive industry, the two key developments are electrification and automation. Introducing electric vehicles into the market has had a significant long-term impact on sensor demand. As more electric vehicles are on the road, there will be greater demand for sensors and a surge in sensor technology for uses, including battery monitoring, positioning, and the detection of moving parts in autos. One well-known industry that owns a sizeable portion of the world's automated production facilities is the automotive business. To preserve productivity, numerous automakers have automated their production plants. The growing trend of EVs replacing conventional cars is expected to increase demand in the automotive sector.
Due to Lower Productivity Losses, Safety Sensors Dominate Functional Safety Market
During the forecast period, the market for safety sensors for functional safety is anticipated to expand fastest. Since it can accurately extract information from massive amounts of traffic data, stereoscopic vision technology has been gaining ground on the functional safety market. Sensors used in safety systems are developed and built to provide a safe output based on logic if a measurement or signal transmission does not take place. Redundancy components are incorporated into these safety sensors, so if one fails, another one takes over the functioning, preventing productivity losses from the shutdown. Additionally, these safety sensors are utilized in functional safety systems like emergency shutdown systems (ESDs), high integrity pressure protection systems (HIPPS), fire and gas monitoring systems (FGS), and turbomachinery control systems (TMCS). Functional safety systems use safety sensor-based goods for various purposes, including recording tooling data, integrating automated systems, and detecting the movement and position of machinery.
With Increasing Count of Oil and Gas Projects, North America Leads Functional Safety Market
One of the biggest markets for functional safety systems worldwide is the US. The nation is well known for its ability to innovate and is at the fore of important breakthroughs involving the new technologies of the fourth industrial revolution. A growing number of oil and gas projects and newly discovered shale resources in the United States are additional signs of market potential. Some of the major vendors are headquartered in the US, which prominently include General Electric, Honeywell International, Rockwell Automation, Banner Engineering Corp., and Honeywell International.
The government is investing in initiatives that will increase its ability to generate electricity. For example, the President's Inflation Reduction Act provided US$150 Mn in funding to the Idaho National Laboratory (INL) in October 2022 to improve its infrastructure and advance nuclear energy research and development. The US Department of Energy announced this funding (DOE). The funding will benefit nearly a dozen projects at the Advanced Test Reactor (ATR) and Materials Fuels Complex (MFC) of INL. Both facilities have been used for over 50 years and are essential to developing nuclear technologies for governmental agencies, private enterprises, and international partnerships. With nuclear energy making up 50% of all domestic renewable energy generation and about 5% of domestic electricity, it is essential to achieving President Biden's target of 100% clean electricity by 2035.
Global Functional Safety Market: Competitive Landscape
A few of the players in the global functional safety market include Renesas Electronics Corporation, MANGAN SOFTWARE SOLUTIONS, Intel Corporation, Johnson Controls, Balluff Automation India Pvt. Ltd., MOGAS Industries, Inc., PHOENIX CONTACT, Pepperl+Fuchs (India) Pvt. Ltd., Moore Industries., Bosch Rexroth AG, UL LLC, Pilz GmbH & Co. KG, OMRON Corporation, Mitsubishi Electric Corporation, HIMA, General Electric, Yokogawa Electric Corporation, Siemens, Schneider Electric, Rockwell Automation, Inc., Honeywell International Inc., Emerson Electric Co., and ABB.
Global Functional Safety Market is Segmented as Below:
By SIL Type
Key Elements Included In The Study: Global Functional Safety Market
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