Partnerships, Investments And Acquisitions Abound To Tap Into The Burgeoning Digital Twin Market
Digital twins to improve industrial facility operations, efficiency, performance, asset management, processes and risk management have to come to the fore in the past three years, having crossed the chasm from the more established product lifecycle management market. Digital twins have demonstrated added value for usage scenarios such as asset health monitoring, predictive maintenance and maximizing throughput by undertaking complex calculations and simulating the performance of the assets in real-time. Even though the market is still nascent it is gathering momentum quickly as evidenced by the fact that 89% of the 284 operations, maintenance and engineering managers in the Verdantix survey agree that digital twin simulation will transform their firm’s approach to operational excellence in the next five years.
With digital twins presenting an attractive opportunity, the market is evolving rapidly. In May 2020, the Digital Twin Consortium was set up with Ansys, Dell, GE, Lendlease and Microsoft as the founding members. The consortium now includes more than 100 members and seeks to develop industry guidelines, standards and best practices. Partnerships, investments and acquisitions abound in this market as well. In 2019, London-based Iotics secured an investment of EUR 7.5 million ($9 million) while the Israel headquartered Seebo raised $9 million in July 2020 to further develop its AI-based predictive quality and yield solution. Earlier this year engineering simulation software vendor Akselos entered into a partnership with Lamprell, the $871 million revenue EPC, wherein Lamprell will resell Akselos’s digital twin building software. DORIS Group, a global engineering and project management firm in the energy industry, Schneider Electric and AVEVA announced a strategic partnership in July 2020 to deliver digital twin technology for upstream oil and gas. Bentley Systems acquired Cohesive Solutions, the North American reseller of IBM Maximo enterprise asset management suite and launched The Cohesive Companies to create and manage digital twins for asset performance.
While digital twins have grown in popularity in the industrial sector, there are only a few proof points available. However, this is changing with this market witnessing a concerted effort from all stakeholders involved – industry associations, technology vendors and buyers to accelerate adoption and take advantage of the strong growth opportunity.
For more information on digital twins, read our recent report: Buyer’s Guide: Digital Twins For Industrial Facilities