ABB has retained its leading worldwide market position in the distributed control system market for 2010.
ARC Advisory Group’s latest version of its Distributed Control Systems World Outlook study found DCS market rebounded in 2010 from 2009 figures, with the overall DCS market increasing by 3.3 percent.
This rebound has been credited to an increase of new projects in the heavy process industries, such as oil and gas and petrochemical. A resurgence has also been seen in power generation projects.
ARC forecasts that market growth, while improved compared with 2009, will not reach peak 2008 levels until next year, and then will resume normal slow but steady growth.
Many of the larger projects that contributed to 2010 growth were booked throughout 2009. ABB says it booked a number of large process industry and power generation orders, which included major greenfield projects as well as system upgrades and expansions for existing installations.
According to the study, ABB was also the regional market share leader for Latin America, Europe/Mid East/Africa (EMEA), and the worldwide leader in key global verticals including Upstream Oil & Gas, Pulp and Paper, Mining and Metals, and Cement and Glass.
The report also notes that the DCS business has continued to be primarily a services business over the past few years, with combined project, engineering and operational services accounting for more than half of total revenues.
The Main Automation Contractor (MAC) approach, in which the automation vendor manages the overall project and includes a strong project execution and services component, continues to grow stronger and expand in scope.
According to ABB, this bodes well for it, since it has the capabilities to continue being the MAC for projects.