1. Batch Worldwide Outlook Analysis 2004
2005/02/ Rev.1
Chiaki Shimada
IA Marketing
Dave Emerson
U.S. Development Center

2. Contents Key words Market Shares Market Analysis & Forecast
This document shows the Batch Control Systems (BCS) worldwide outlook comparing 2001 and 2004 data, based on ARC report.
The BCS includes Hardware, Software, Integration services, Maintenance Services, and Third Party Services.
Contents
Key words
Market Shares
Market Analysis & Forecast
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3. Strategies for Success on BCS by ARC
Get Ready for FDA’s PAT (Process Analytical Technology) initiative
Effects on drug manufacturing and validation process
Many phrama and biotech companies are studying the immediate and longer-term implications of PAT
Offer Model Predictive Control for Batch Application
Suppliers need to offer MPC (Model Predictive Control) packages for batch control application
Reduced batch cycle time is MPC’s biggest value proposition
Offer Facilities for Dynamic Recipe Updates
To measure the actual processing condition and adjust the recipe formulation
Penetrate the Growing Asian Market
People of Asia are creating a massive demand for life science products
2004 ARC Advisory Group
Confidential

4. Market Shares of the Leading BCS Suppliers
2000 Revenues $ Million
2003 Revenues $ Million
Market shares show DCS based and PLC based control system
Yokogawa increased the position from 7th to 5th.
Rockwell, Emerson, Yokogawa have increased their market share.
2001, 2004 ARC Advisory Group
Confidential

5. Market Shares of the Leading DCS-based BCS
2000 Revenues $ Million
2003 Revenues $ Million
In case of DCS-based, Yokogawa is 3rd position in FY2003.
Emerson, Yokogawa have increased business
ABB, Invensys have decreased their market share.
Yamatake has disappeared.
2001, 2004 ARC Advisory Group
Confidential

6. Leading Suppliers of BCS in North America
2000 Revenues $895.9 Million
2003 Revenues $837.7 Million
The Revenue in U.S. market from 2000 to 2003 is down due to the economy recession.
Rockwell, Emerson are winner.
ABB has been decreased their market share.
2001, 2004 ARC Advisory Group
Confidential

7. Leading Suppliers of BCS in Europe, Middle East, & Africa
2000 Revenues $913.3 Million
2003 Revenues $ Million
The vender map has not changed.
However, Yokogawa and Schneider appeared in Europe market.
2001, 2004 ARC Advisory Group
Confidential

8. Leading Suppliers of BCS in Asia
2000 Revenues $473.3 Million
2003 Revenues $724.5 Million
Very improved Asian market
Yokogawa has been improved.
Yamatake has gone.
2001, 2004 ARC Advisory Group
Confidential

9. Leading Suppliers of BCS in Latin America
2000 Revenues $131.9 Million
2003 Revenues $126.9 Million
Nothing changed the order.
Third Party Services has been increased.
2001, 2004 ARC Advisory Group
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10. Total BCS Shipments Forecast Including Hardware, Software, & Services
CAGR 5.9%
CAGR 5.9%
The forecast of CAGR of total BCS is 5.9% in future 5 years.
2001, 2004 ARC Advisory Group
Confidential

11. Total BCS Shipments Forecast Including Hardware, Software, & Services
DCS-based
CAGR 6.2%
PLC-based
CAGR 5.6%
The DCS based CAGR will be much higher than PLC based.
2001, 2004 ARC Advisory Group
Confidential

12. DCS-based BCS Shipments Forecast by Industry
CAGR 5.5 %
CAGR 6.7 %
CAGR 8.7 %
Food and Beverage will be the highest grow industry.
Chemical and Pharma are forecasted still high CAGR.
2001, 2004 ARC Advisory Group
Confidential

13. BCS Shipments Forecast by Hardware, Software, and Service
2004 Revenues $2,834.2 Million
Decrease hardware portion,
Increased integration part.
2009 Revenues $3,776.1 Million
2001, 2004 ARC Advisory Group
Confidential

14. BCS Shipments Forecast by Region
2004 Revenues $2,834.2 Million
Almost all same market forecast by region.
2009 Revenues $3,776.1 Million
2001, 2004 ARC Advisory Group
Confidential

15. Market Analysis and Forecast by ARC
Shipment of BCS by Controller Type
DCS-based batch control systems will show a higher growth rate than PLC based systems.
The market size of PC-based batch control systems remains small.
BCS Shipments by Region
The Europe, Middle East, and Africa region continues to be the largest market
The Asian market includes China, Japan and India, had the highest level of growth.
The N.A. market was flat.
BCS Shipments by Industry
The food and beverage industry will show the largest growth.
Pharma including biotech will experience the second largest growth.
Asian chemical manufacturing excluding Japan is dominated by bulk chemicals.
2004 ARC Advisory Group
Confidential

16. Market Analysis and Forecast by ARC
Shipments of BCSs by Distribution Channel
The sales through reps and distribution channel is increased.
Sale of DCS-based system through OEM and system integrators are expected to increase in the next five years.
2004 ARC Advisory Group
Confidential

17. Other Analysis
In 2001 data, there were 3 type of categories, but PC-based has been eliminated due to the small number.
DCS-based
PLC-based
PC-based
In 2001 data, Japan was separated against Asia market, but it has been merged in Asia on It means Asia outside of Japan is not disregard.
In case of DCS-based, Yokogawa is 3rd position. The Yokogawa data of 2001 has not included non-recipe management type Batch process. This year includes the simple batch process without recipe management as the batch installation record.
By Shimada
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