A Programmable Logic Controller (PLC) is a form of ruggedized
computer used in industries for automation. They are programmed to
automate specific processes, machine functions and sometimes the entire
production line. PLCs receive information and data from connected
input devices and process these data and trigger output upon their programmed instructions.
Based on incoming inputs and outputs, real-time insights into machine
productivity, the temperature can be measured and the processes can
be automated. They are flexible and are controlled by robots, which
are easily adaptable.
In PLCs, the distribution
network is completely controlled by the vendors. They have control over the use
and selling of the licenses. In these models, vendors have the power to decide
how many PLC hardware or personal computers can use a specific type of software.
Sometimes, these vendors have control over fixing the cap on a number of
data points, or functions helpful in capturing data to control the
machine. In these licensing packages, more than often supplementary offerings
like maintenance contracts, technical support or software upgrades are not
covered. Thus, the PLC vendors in the market, especially in North America, have
power over the entire sales terms.
According to the report North
America Programmable Logic Controllers (PLC) Market by Architecture, Product,
Industry Vertical and Country 2014-2025: Segment Analysis, Trend Forecast, and
Business Strategy gives a detailed
analysis and data for annual revenue which is available for 2014-2025. The
breakdown of key national markets by product type and industry
vertical over the forecast years are also included. The report consists
of a competitor’s analysis and the predicted manufacture trend; and
profiles PLC vendors including market leaders and important emerging players.
Specifically, potential risks associated with investing in North America PLC
market and industry is assayed quantitatively and qualitatively
through GMD's Risk Assessment System. The major players in the market are ABB
Ltd., B&R Industrial Automation GmbH, Emerson Electric Co.,
General Electric Co., Hitachi, Ltd., Honeywell International Inc., IDEC Corporation,
Mitsubishi Electric Corp., Omron Corporation, Robert Bosch GmbH,
Rockwell Automation Inc., Schneider Electric SE, Siemens AG, and Yokogawa
Electric Corporation.
Piracy in PLC is another matter of
concern for the manufacturers as well as vendors. Thus, the thrust of
preventing piracy has also been borne by the vendors by selling software in
dongles that need to be plugged into PCs to be functional,
providing activation access to the customers during the time of purchase and
so on. The costs of PLCs are also open prices and are determined by
parameters like data points, customer – loyalty discounts, software features,
and so on. Another way how they generate revenues is by levying runtime license
fee.
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Ankur Gupta, Head Marketing &
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