Asset Performance Management Market

Asset Performance Management Market Size

The global asset performance management market was valued at USD 3.6 billion in 2024 and is projected to grow at a CAGR of 10.7% between 2025 and 2034. Growth in the use of predictive maintenance and IoT technologies will be the growth driver for this market. Predictive maintenance helps organizations keep a check on the real-time condition of their assets and foresee possible failures before they occur. As per a Statista report, it is forecast that the total revenues of the worldwide Internet of Things (IoT) market would grow rapidly by USD 1,059.0 billion by 2025.

Such approach helps prevent downtime, cuts costs of maintenance and prolongs life of asset. IoT sensors, and also all the gadgets integrate into data collected from machine and equipment on time. With these technologies, companies can collect real-time data, analyze it using advanced algorithms, and make informed decisions to improve asset performance.

The asset performance management market trends that demand both operational efficiency and cost savings significantly contribute to industry developments. Business operations now dedicate their resources to develop optimized business models that optimize production while maintaining low operational expenses.

In September 2023 the company collaborated with SAP as a German solution provider to create an asset performance management solution on their Cumulocity IoT platform.  These solutions assist organizations in achieving their goals by offering real-time monitoring and analytics to ensure optimal asset performance. By pinpointing inefficiencies, potential problems, and underperforming assets, companies can take proactive steps to minimize downtime and reduce maintenance expenses. This results in improved asset reliability, better resource allocation, and enhanced decision-making.

Asset Performance Management Market Trends

• Technology innovation will help the growth of the asset performance management industry since companies look for more advanced and efficient ways of managing and optimizing their assets. One such important innovation is integrating the Internet of Things into APM systems.
  
• The collection of real-time information by IoT sensors from the assets that can be monitored perpetually for their health and performance has a bonification benefit added predictive maintenance. The related technology is helping businesses identify early indicators of failure before issues lead to expensive downtime or damage.
  
• Cloud computing is another key innovation propelling the market forward, offering scalable and cost-effective solutions. With cloud-based asset performance management platforms, companies can access and analyze data remotely, which lowers infrastructure costs and fosters collaboration among teams and locations.
  
• The global cloud computing market in the oil and gas sector stood at USD 2.7 billion in 2024. The industry will grow at 7.3% annually throughout 2025 to 2034 according to projection models. The oil and gas industry makes a transition to cloud solutions because enhanced operational effectiveness and optimized workflows and expanded access to vital information prove to be the main driving forces.
  
• The revolution of asset performance management (APM) is made possible by artificial intelligence (AI) and machine learning (ML). The technologies enable organizations to perform improved predictive analytics which provide better asset failure predictions. AI algorithms analyzing extensive data quantities reveal concealed patterns that optimize maintenance schedules thereby lengthening asset lifecycles and upgrading operational performance.
  

Asset Performance Management Market Analysis

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Based on component, the asset performance management market is divided into hardware, software, and services. In 2024, the hardware segment represents USD 1.8 billion market revenue, while the software segment is expected to grow at a CAGR of approximately 12% by 2034.

• Rising demand for advanced sensor technologies is one major factor in growing the hardware sector. In general, most industries are now on a journey toward bettering their asset performance as well as its lifecycle, requiring real-time monitoring and predictive maintenance.
  
• In essence, these applications are increasingly increasing the demand for high-quality sensors that can work dependably over long periods, which, during operation, may collect crucial information from the asset regarding temperature, vibration, pressure, or even other performance parameters.
  
• The integration of IoT-enabled sensors and asset performance management systems enables effortless data collection and transfer, through which organizations are able to undertake real-time diagnostics and predict impending failures before the actual failure happens.
  
• Furthermore, the advancement of wireless communication technology, such as 5G, enhances the ability of the sensors to forward data over considerable distances, enhancing the demand for advanced sensor hardware.
  

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Based on deployment model, the asset performance management market is divided into on-premises and cloud-based. The cloud segment captured around 60% of the market share in 2024 and is projected to maintain its lead with around 11% compound annual growth rate (CAGR) from 2025 to 2034.

• Organizations can utilize real-time data with advanced analytics while predictive maintenance capabilities through cloud-based solutions while operating without needing major on-premises infrastructure. Traditional software installation costs are reduced and operational scalability increases when companies use cloud-based solutions.
  
• Also, cloud services enable collaborative monitoring and facilitate online access to assets anywhere and any time. That can be most helpful for internationally distributed companies and even companies running activities across dispersed regions.
  
• Here is a example of NIC National Cloud Services Upgrade, under the initiative commenced in 2022. Enhancement is targeted through upgrading the nation's cloud platform so that such services related to e-Governance could easily and rapidly come to customers in time. Over 300 government departments in India are now utilizing cloud services, contributing to the rapid growth of India’s digital public infrastructure.
  
• Furthermore, cloud APM solutions provide robust data storage and analytics capabilities, which are essential for processing large volumes of data generated by connected assets. As more industries recognize the benefits of cloud computing in improving efficiency, reducing downtime, and lowering operational costs, the demand for cloud-based solutions is expected to grow significantly.
  

Based on the end use, the asset performance management market is divided into manufacturing, transportation, chemical and pharmaceutical, oil & gas, energy & utility, mining, and others. The manufacturing sector leads the market due to the increasing demand for operational efficiency and asset optimization.

• Manufacturing industries rely heavily on machinery and equipment, so it's crucial to keep them running smoothly to minimize downtime and enhance production. Asset performance management solutions provide real-time monitoring, predictive analytics, and condition-based maintenance, enabling manufacturers to spot potential failures before they occur. 
  
• With the advancement in technologies, the manufacturing processes have become more complex and competitive. These growth factors call for intelligent, data-driven solutions that address productivity improvement along with operational cost reduction.
  
• In the context of Industry 4.0, with its emphasis on automation, IoT, and digitalization, manufacturers are motivated to adopt APM solutions because it further improves asset control and visibility. This shift to IoT-enabled facilities has created a need for advanced predictive maintenance and operational improvements which significantly speeds up the implementation of APM solutions across the sector.
  

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North America dominates the global asset performance management market with a share of around 35% and U.S. leads the market in the region generating revenue of USD 947.9 million in 2024.

• The adoption of Industry 4.0 in all sectors will serve as a major catalyst for growth in the U.S. market. U.S. companies undergoing digital transformation are increasingly seeking sophisticated data analytics, IoT connectivity, and automation technologies.
  
• Essential components of APM solutions enable the real time condition monitoring, maintenance forecasting, and unplanned downtime mitigation. The three areas are highly important, especially in industries like manufacturing, oil & gas, and utilities, where the dependability of equipment primarily impacts productivity and profitability.
  
• The rise in asset performance management and the focus of U.S. businesses and government agencies towards operational and expenditures efficiency will foster the growth of the asset performance management market.
  
• In December 2022, the United States unveiled the Digital Transformation with Africa Initiative to strengthen mitigation with African countries while also improving international relations and creating more business opportunities.
  

The asset performance management market in Germany is projected to experience significant growth from 2025 to 2034.

• As a pioneer in technology, Germany, together with automotive and retail industries, is integrating advanced APM solutions in their operations to improve productivity.
  
• Germany’s Digital Strategy 2025 initiative intends to improve the country’s infrastructure and innovations which would assist in developing the industry’s digital capabilities.
  
• Nonetheless, Germany's focus is still mainly towards sustainability and effectiveness. This objective works well with asset management because it enables constant monitoring of the health and maintenance needs of the asset to ensure it is working at optimal performance and is minimizing environmental degradation.
  

Asset performance management market in China will show substantial market expansion throughout the period spanning from 2025 to 2034.

• China’s rapid industrialization coupled with urbanization fuels the growth of the market as there is a constant development of the manufacturing, energy, and infrastructure sectors. Chinese industries are increasingly embracing APM optimization tools to enhance asset productivity and reduce costs.
  
• With asset performance management systems, companies can monitor performance indicators in real time, anticipate maintenance, and increase the lifecycle of assets which is essential in reducing operational costs and downtime for large scale projects.
  
• In addition, the push for digital transformation in China, backed by the government’s “Made in China 2025” initiative, increases the use of IoT, AI, and big data analytics in industrial processes which creates the need for advanced technologies and tools.
  

Asset Performance Management Market Share

• The top 5 players ABB Ltd, GE Electric, SAP, Emerson, and Honeywell collectively held a substantial market share of around 35% in the asset performance management industry in 2024.
  
• ABB specializes in improving the dependability and efficiency of assets by applying APM integrated with IIoT and AI. They also focus on strategic collaborations and acquisitions to enhance their APM capabilities and provide customized solutions for different sectors such as energy, manufacturing, and utilities.
  
• GE Digital focuses on delivering full-featured APM solutions powered by the company’s Predix platform which comes with advanced analytic, machine learning, and AI capabilities. The Company has extensive knowledge regarding most industrial fields, especially in energy and oil & gas, and supports innovation through software and strategic partnerships with other leaders in the field.
  
• Emerson’s APM strategy is centered on providing advanced predictive maintenance solutions for industrial customers. The firm puts significant resources into planning and executing smart sensors and IoT for real-time data acquisition from industrial assets. Emerson has advanced APM systems with which it can improve plant asset reliability and management processes through its Plantweb digital ecosystem. This greatly reduces overall downtime.
  
• Honeywell's approach to deeper market penetration into the APM sector is focused on customized end to end solutions which comprise data analytics, IoT, and even cloud services. Besides APM, Honeywell IIoT portfolio is so broad that it enables these companies to enhance their operational productivity and strategically manage asset health to reduce costs and downtime.
  

Asset Performance Management Market Companies

Major players operating in the asset performance management industry are:

• ABB Ltd
• Bentley Systems
• Emerson
• GE Digital
• Honeywell
• IBM
• Rockwell
• SAP
• Schneider
• Siemens
  

In order to reinforce their leadership and drive-up market share, companies operating in the asset performance management (APM) market adopt specific strategies. APM firms require strategic partnership and merger activities to improve their technological capabilities, strengthen product offerings, and add more customers. These partnerships also help companies in integrating technologies such artificial intelligence, IoT, and machine learning into their solutions for enhanced functionalities like predictive maintenance, real-time asset monitoring, and data analytics.

The APM field is innovated according to the research and development (R&D) spending of firms. Businesses are formulating sophisticated automated asset management systems that improve productivity and reduce system idle time. APM companies concentrate on product and process automation to increase effectiveness, reliability, usability, and customer satisfaction and retention. In addition, they are diversifying into energy, manufacturing, and utilities, thus enabling them to cater to the specific needs of companies from different industries, whether big or small.

Asset Performance Management Industry News

• In October 2024, IBM acquired Prescinto for renewable energy asset performance management. Prescinto’s capabilities leverage AI to enable advanced monitoring, analytics, and automation to streamline renewable energy operations and manage clean energy and storage assets. The acquisition of Prescinto will enhance the capabilities of IBM Maximo Application Suite (MAS), IBM’s solution for asset lifecycle management.
  
• Eviden, with Samotics, revealed an Integrated Asset Performance Management solution for the energy and utilities markets in December 2023. This collaboration facilitates the global industrial companies' capability of remote asset monitoring and provides predictive insights that increase operational energy efficiency and curtail energy loss.
  
• Hitachi Energy unveiled the latest version of its asset performance management (APM) software, Lumada APM, in October 2023. The solution adds on to its existing asset health prediction service and comes with two additional APM modules, Lumada APM reliability and Lumada APM optimization.
  

The asset performance management market research report includes in-depth coverage of the industry with estimates & forecasts in terms of revenue ($ Mn/Bn) from 2021 to 2034, for the following segments:

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Market, By Component

• Solution
• Services
  • Professional services
  • Managed services

Market, By Deployment Model

• On-premises
• Cloud-based

Market, By Organization Size

• Small and Medium-Sized Enterprises (SME)
• Large Enterprises

Market, By End Use

• Manufacturing
• Transportation
• Chemical and Pharmaceutical
• Oil & Gas
• Energy & Utility
• Mining
• Others

Market, By Application

• Asset strategy management
• Performance monitoring
• Risk management
• Maintenance management
• Asset lifecycle management

The above information is provided for the following regions and countries:

• North America
  • U.S.
  • Canada
• Europe
  • UK
  • Germany
  • France
  • Italy
  • Spain
  • Russia
  • Nordics
• Asia Pacific
  • China
  • India
  • Japan
  • South Korea
  • ANZ
  • Southeast Asia
• Latin America
  • Brazil
  • Mexico
  • Argentina
• MEA
  • UAE
  • Saudi Arabia
  • South Africa