- The global market for integrated motors and machine-mounted drives is projected to reach $1.4 billion by 2022, due to the growth in machinery production and additional market revenues from AC brushless servo and AC induction motors and drives.
- Total market revenue is expected to grow at a compound annual growth rate (CAGR) of 6.8 percent through 2022.
- Integrated motors comprised 65.6 percent of the market revenue in 2017, and 75.3 percent of all unit shipments. Machine-mounted drives made up 34.4 percent of revenue and 24.7 percent of unit shipments.
- The materials-handling equipment sector is estimated comprise 16.6 percent of the total integrated-motors market in 2017.
Integrated motors versus machine-mounted drives
Materials handling equipment and packaging machinery industries boasted the highest revenues and total unit shipments in the global integrated-motor market, due to the increased demand in conveying applications tied to postal sorting, baggage handling and other consumer sectors.
Packaging continues to lead all machinery sectors. It has the highest adoption rate for integrated motors, due to the prevalence of high axes machines requiring only low- to moderately powered motors. High axes machines are common, because packaging machines often perform multiple tasks and require the flexibility to adapt to new package shapes and materials.
The need for flexibility also contributes to the trend towards modular machine building in this sector, which benefits the integrated-motor market. Furthermore, the packaging machinery sector relies on the performance of the food, beverage and tobacco market, which is largest market for packaging machinery. IHS Markit forecasts the food, beverage and tobacco sector will grow at a CAGR of 7.7 percent, from 2017 through 2022. This growth is caused by increasing integrated motor requirements in the packaged food sector, as processed food consumption is associated with urbanization and higher income levels.
AC-brushless-servo and AC-induction are the most common integrated-motor types used in the food, beverage and tobacco industry. Machines for these industries have many of the same attributes that make packaging machines well suited for integrated motors. However, the adoption rate has been hindered by the need for the machinery to withstand wash-down conditions.
For the material handling sector, integrated motors are commonly used in conveying applications, where the machines are comparatively long and benefit from cable reductions that can be achieved by daisy-chaining integrated motors. Conveying applications typically require speed control, rather than position control, and materials handling is the largest industry sector for the AC-induction and DC-brushless product types.
In the global market for machine-mounted drives, the demand for high efficiency, along with the need to reduce energy consumption in these markets, will attract investments in drive solutions. Manufacturers tend to prefer machine-mounted drives over stand-alone drives over the long-term, depending on the anticipated functional technological advancements and the availability of affordable technology. The ideal compatibility of the variable frequency drive with the motor in an integrated motor and drive ensures efficient performance, with efficiency levels exceeding 90 percent. This compatibility also makes drive units easier to deploy than procuring the motor and the drive as two separate components, and then combining them to achieve the desired performance – which consequently helps to reduce lag time and increase productivity.
The market will continue to benefit from product replacement, as motor suppliers continue to expand their machine-mounted drive product offerings. Market growth will be driven by machinery production expansion in the following industries: packaging and labeling, material handling and food, and beverage and tobacco. The material-handling equipment and packaging sectors were the fastest growing sectors in the machine-mounted drive market in 2017, with an estimated value of $57.5 million and $45.1 million, respectively, in 2017. These two sectors are predicted to grow at a CAGR of 8.8 percent and 8.9 percent, respectively, from 2017 to 2022.
While these growth numbers are positive signs for the industry, the immediate challenge for machine-mounted drive manufacturers will be to scale down high initial costs and communicate product benefits more clearly to end-users. Another issue has been the technical inability to develop machine-mounted drives for higher power ratings. Customers expect perfect solutions, in terms of technology: they need the product type most suited to their applications, and they want the exact features and performance required for each application.