During this QuickCast, Senior Analyst Tim Shea will discuss the changes impacting the data acquisition solution market in the coming years.

1. Industrial Automation & Control Practice
WEBCAST
MAY 2011
Market for Data Acquisition
Solutions Showing Greater Promise
© 2011 VDC Research Webcast
Industrial Automation & Control
vdcresearch.com

2. Recording Available
A full audio recording is available for download at:
http://www.vdcresearch.com/market_research/industrial_automation/freeresearch.aspx
© 2011 VDC Research Webcast
Industrial Automation & Control
vdcresearch.com

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© 2011 VDC Research Webcast
Industrial Automation & Control
vdcresearch.com

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© 2011 VDC Research Webcast
Industrial Automation & Control
vdcresearch.com

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© 2011 VDC Research Webcast
Industrial Automation & Control
vdcresearch.com

6. Today’s Speaker
Tim Shea
Senior Analyst
Prior to joining VDC, Tim held several marketing positions in the utilities industry, where he was
responsible for competitive intelligence, market analysis, and business development activities.
Tim has a B.S. in Marketing from Bentley College and an MBA – Cum Laude from F.W. Olin Graduate
School of Business at Babson College.
Tim has authored several reports within the Industrial Automation space including data acquisition
solutions, industrial networking and wireless connectivity, HMI solutions, and industrial computing. Tim
has written or been featured in articles in a number of industrial control industry publications including
Business Week, Wall Street Journal, Electronic Business, Field Force Automation, Control Engineering,
Control, Control Solutions, Electronic Design, and Integrated Solutions.
For complimentary insights and marketing data:
http://blog.vdcresearch.com/industrial_automation
© 2011 VDC Research Webcast
Industrial Automation & Control
vdcresearch.com

7. Data acquisition solutions market is large, fragmented and growing steadily
› Global market for data acquisition solutions will exceed $1.3 billion in 2011
› Modular data acquisition systems and paperless chart recorders experiencing greatest
growth prospects
› Demand for data acquisition solutions appears strong across many markets and market
segments
› Leveraging data acquisition software enabled savvier suppliers to grab greater market
share and gross margin
› Key to success in data acquisition market is to get large or get focused on serving niche
markets – deploy cluster segmentation in product and marketing initiatives
© 2011 VDC Research Webcast
Industrial Automation & Control
vdcresearch.com

8. Systems Comprise Bulk of Market – Users Want Functionality/Performance
Largest market opportunity lies in offerings that provide flexibility and agility as well as visibility
Product Market Share of Data Acquisition Top Consuming Markets of DAQ Solutions
Solutions (Percent of Dollar Volume)
(Percent of Dollar Volume)
Military/Aerospace
DAQ
Software Electric Power
7.5%
Environmental
Monitoring
Plug-in
Analog I/O Automotive
Boards
20.1% Testing Labs.
Electrical Products
External
Consumer
Chassis & Electronics
Modules
72.4% Medical/Health
Food & Beverage
Water/Waste Water
Semiconductor
Primary Metals
Oil/Gas
2010 shipments: $1.2 billion
*preliminary data, subject to change 0.0% 5.0% 10.0% 15.0%
© 2011 VDC Research Webcast
Industrial Automation & Control
vdcresearch.com

9. Data Acquisition Software – Means of differentiation and vehicle for growth
› Most suppliers offer some basic level of data acquisition software to ensure operation of
the device and ensure the necessary measurements can be made
› Suppliers achieving growth in market share since VDC’s 2008 research provide customers
with software capabilities including some or all of following:
• Device configuration tools
• Software drivers
• Data acquisition software
• Data analysis software
• Programming software
• Application software and development tools
› In most cases, the suppliers that achieved the greatest growth in market share provided a
complete portfolio of software capabilities and hardware solutions
© 2011 VDC Research Webcast
Industrial Automation & Control
vdcresearch.com

10. To Bundle or Not Bundle Software, That Is The Question
Most respondents prefer greater compatibility, ease of install and ease of use provided for by bundled solutions
Preferences For Bundled Versus Third Party Software Sourcing For Use with Data Acquisition Solutions
(Percent of Respondents, N=~600)
Data Acquisition
Data Acquisition Software Data Analysis Software Software Drivers Programming Software
Solutions
Bundled 61.4% 58.3% 70.7% 58.6%
3rd Party 38.6% 41.7% 29.3% 41.4%
Total 100% 100% 100% 100%
© 2011 VDC Research Webcast
Industrial Automation & Control
vdcresearch.com

11. Recommendation: Exploit Market Fragmentation Using Cluster Segmentation
Power
Gen.
External Chassis
& Modules
Targeted Environ.
Marketing Monitor.
TOTAL
Plug-In Analog I/O AVAILABLE Mil/
Boards
Aero Auto
MARKET
>$1.2 Billion Targeted
Performance Testing
Labs
Data Acquisition
Software Electrical/
Electronic
Products
© 2011 VDC Research Webcast
Industrial Automation & Control
vdcresearch.com

12. Thank You for Attending this VDC Webcast
For more information please contact:
Bob Perugini – Account Director
bperugini@vdcresearch.com | 508.653.9000 x144
Tim Shea – Senior Analyst
tims@vdcresearch.com | 508.653.9000 x132
Chris Rezendes – Executive Vice President
cjr@vdcresearch.com | 508.653.9000 x120
For complimentary insights and marketing data:
http://blog.vdcresearch.com/industrial_automation
© 2011 VDC Research Webcast
Industrial Automation & Control
vdcresearch.com