Instrumented bearings are used across diverse industries, the automotive industry being one of them. Globally, the production of motor vehicles is increasing at a rapid pace. Furthermore, with the advent of electric and high-tech cars, the industry is expected to grow stronger in the coming years, thereby creating lucrative opportunities for the global instrumented bearing market. The market is currently consolidated at top, with Timken, SKF, NTN, JTEKT, NSK, and Schaeffler, holding nearly 90% of the global market in 2013.
According to Transparency Market Research (TMR), the global instrumented bearing market stood at US$570.4 mn in 2014. Exhibiting a CAGR of 8.6% between 2014 and 2020, the market is expected to reach US$938.4 mn by the end of 2020. In 2013, the automotive sector held the dominant share of 44.6% in the market based on end use. Regionally, Asia Pacific emerged dominant with a share of 42% in the global instrumented bearing market in 2020.
Demand from Aerospace and Defense Industry Projected to Rise
Besides the automotive sector, the market will witness increasing demand from the aerospace and defense industry. The industry uses equipment inbuilt with instrumented bearings. These machines are used in various mission critical applications. Considering this, the impact of the driver is expected to remain high through the forecast period. Furthermore, the demand for better energy efficiency in machineries used for diverse purposes will fuel the demand for instrumented bearing in the coming years.
Lack of After-sales Services to Negatively Impact the Market
Despite witnessing, positive opportunities, declining after sales services will pose threat to the global instrumented bearing market. A majority of companies operating in the market produce similar products catering to similar functions. Given the lack of product differentiation, after sales services provided by the companies were major determinants of their success in the market. However, with the declining after-sales services, the market could lose significant growth opportunities.
Nevertheless, technological advancements will give impetus to the market in the forthcoming years. Furthermore, the market is also expected to gain as leading producers look for novel application areas.