Dublin, Feb. 01, 2022 (GLOBE NEWSWIRE) -- The "System Integration Market - Forecasts from 2021 to 2026" report has been added to ResearchAndMarkets.com's offering.
System integration encompasses both physical and virtual system components of an organization. Physical components include diverse machine systems, computer hardware, and inventories, among other things. The most common virtual components are data stored in databases, software, and applications.
The global system integration market is expected to grow at a compound annual growth rate of 10.13% over the forecast period to reach a market size of US$708.747 billion in 2026 from US$360.705 billion in 2019.
The growing Internet of Things (IoT) in industrial automation, rising safety and security concerns, demand for low-cost, energy-efficient manufacturing processes, and advancements in cloud computing technology are driving the growth of the system integration market globally.
Furthermore, growing R&D activities and rising demand from emerging economies would open up new possibilities for the system integration market throughout the forecast period.
However, increased investments required for automation implementation and maintenance, as well as declining crude oil prices affecting investments in infrastructure automation, are among the major factors restraining market growth and will pose additional challenges to the system integration market.
Growth Factors
Increased demand for automation systems
Safety and security are top priorities in sectors such as oil and gas, energy and electricity, and chemicals and petrochemicals. Companies involved in these sectors must develop their strategies in line with the rules and environmental standards established by the different nations.
Oil and gas refineries are often located in remote and dangerous locations. To avoid accidents and equipment malfunctions, these industrial units require automation solutions. Process automation aids in the monitoring and analysis of equipment and malfunctions. Automation also aids in the collection of relevant data and the development of plans to improve efficiency.
Furthermore, growing solar and distributed energy resources (DER) on the electrical grid will require the integration of more high-power electronic devices that convert energy from one form to another. According to the United States Department of Energy's Solar Energy Technologies Office (SETO), by 2030, up to 80% of electricity will be generated by power electronic devices.
Restraints
High investment requirement
The high initial investment is a significant factor limiting the expansion of the market. Installation of supervisory solutions, as well as instruments such as process analyzers, control valves, actuators, smart sensors, and communication networks, necessitates capital spending. Process analyzers, smart sensors, and actuators, for example, have significant installation and maintenance expenses, which raises the cost for consumers. This limits the market for system integration.
Covid-19 Impact
The COVID-19 pandemic had a detrimental impact on system integration market demand due to the halting of construction activities. The resumption of the system integration process across regions, on the other hand, has resulted in a steady increase in market demand. System integration has been used in residential buildings to facilitate remote working and e-learning.
Market Segmentation:
By Integration Model
- Vertical Integration
- Horizontal Integration
- Star Integration
- Common Data Format
By Type
- Enterprise Application Integration
- Data Integration
- Electronic Document Integration
By Industry Vertical
- BFSI
- Aerospace and Defense
- Information Communication & Technology
- Retail
- Government
Companies Mentioned
- Tyco Integrated Security
- Convergint Technologies LLC
- Johnson Controls Inc.
- Schneider Electric
- Tech Systems Inc.
- Accenture Plc
- Harris Corporation
- Lockheed Martin Corporation
- Northrop Grumman Corporation
For more information about this report visit https://www.researchandmarkets.com/r/xszqtv
