Functional Safety Market - By Device Type, Emergency Stop Devices, Actuators), By Safety Systems, By vertical Industry (Oil & Gas, Power Generation, Food & Beverage, Pharmaceutical, Automotive, Chemicals & Petrochemical) & Forecast, 2024 – 2032

Functional Safety Market Size

Functional Safety Market was valued at over USD 5.5 billion in 2023 and is anticipated to grow at a CAGR of over 7.5% between 2024 and 2032. The demand for sensors is rising as they are being increasingly used for predictive maintenance and condition monitoring of industrial assets to identify potential equipment failures and safety hazards before they occur. Condition monitoring sensors measure parameters, such as vibration, temperature, and oil quality, to assess the health and performance of machinery & equipment, enabling proactive maintenance and avoiding unplanned downtime.
 

For instance, in May 2022, Continental launched two sensors to protect the battery of electrified vehicles, widening its broad sensor portfolio by launching Current Sensor Module (CSM) and the Battery Impact Detection (BID) system. Both solutions focus on protecting the battery and other parameter retention.
 

With the adoption of Industry 4.0 technologies, there is a growing emphasis on the standardization and certification of functional safety solutions to ensure interoperability, reliability, and compliance with industry standards and regulations. Functional safety standards, such as ISO 13849, IEC 61508, and ISO 26262, provide guidelines and requirements for the development, implementation, and validation of safety-related systems in Industry 4.0 environments.
 

Sectors, such as automotive, aerospace, industrial automation, and process industries, have a high demand for skilled functional safety professionals to support product development, system integration, and compliance activities. The limited supply of certified professionals relative to the demand leads to talent shortages and increased competition for qualified candidates. Moreover, obtaining functional safety certification requires a considerable amount of time, money, and resources.
 

Functional Safety Market Trends

The adoption of wireless sensor networks for gas detection is increasing due to their flexibility, and scalability. Wireless sensors enable rapid deployment, easy expansion, and remote monitoring of gas detection systems in diverse industrial environments including oil and gas facilities, chemical plants, and manufacturing facilities. For instance, in August 2022, MSA launched a HazardWatch FX-12 Fire & Gas System with next-generation capabilities. It combines the proven expertise of the industry’s leaders in safety and automation and is a powerful & flexible total safety solution designed to protect people, equipment, facilities, and nearby communities.
 

The shift toward automation and the rising adoption of software services for functional safety requirements is showing a greater demand. Organizations are building and innovating to address safety issues in various domains. For instance, in March 2024, Lattice Semiconductor released its Lattice Radiant design software, featuring expanded functional safety and reliability capabilities. By integrating with the latest Synopsys Synplify FPGA synthesis tool with TMR, Lattice Radiant offers an advanced design automation flow solution that enables designers to develop Lattice FPGA-based applications more easily with robust functional safety features.
 

Functional Safety Market Analysis

Based on device type, the market is segmented into safety sensors, safety controllers/modules/relays, safety switches, Programmable Safety Systems (PSS), emergency stop devices, actuators, and others. In 2023, the safety sensors segment dominated the market with a share of over 25%.
 

• The trend toward miniaturization and compact design in safety sensors are gaining traction with their integration into smaller and more space-constrained equipment and machinery. Miniaturized safety sensors are particularly well-suited for applications in robotics, wearable devices, and portable equipment where size, weight, and form factor are critical considerations. For instance, in November 2023, Baumer, a global sensor and encoder solutions manufacturer, released its latest product, the absolute encoder EAM580RS. The EAM580RS is designed to deliver safety and performance in harsh applications, including in mobile machinery and in outdoor environments. Additionally, the safety-certified encoder is set to provide safe automation while being cost-effective and easy to implement.
   

Based on vertical industry, the market is divided into oil & gas, power generation, food & beverage, pharmaceutical, automotive, chemicals & petrochemical, and others. The automotive segment is the fastest growing and is anticipated to expand at a CAGR of over 9.9% between 2024 and 2032.
 

• The automotive industry adheres to ISO 26262, a functional safety standard specifically tailored for automotive applications. Compliance with ISO 26262 requires rigorous risk assessments, safety analyses, and validation activities throughout the development lifecycle of automotive systems and components. With the rising need for safety, the automotive sector witnesses increased demand for functional safety measures. For instance, in September 2020, Jama Software, the leading requirements management solution for building complex products and integrated systems, introduced Jama Connect for Automotive, designed specifically to accelerate product development for automotive engineering teams in the autonomous, electric, and traditional vehicle space. This solution assists engineering teams in improving development lifecycles and to optimize requirements, risk, hazard analysis & test management while simplifying alignment with safety-critical standards including ISO 26262.
   

The Asia Pacific functional safety market is poised to sustain a robust CAGR exceeding 9.5% from 2024 to 2032. The economic growth of heavily regulated industries, such as oil & gas and power, has increased the demand for functional safety industry in developing economies, particularly in China and India. The safety standards practiced in countries including Japan are strict and focused on the safety of workers in various industries. Asia Pacific is one of the major industrial markets in the world. Advancements in sensor technologies, automation, Artificial Intelligence (AI), and data analytics are driving innovation in functional safety solutions. Manufacturers in the region are investing in R&D to develop advanced systems, intelligent sensors, and predictive maintenance solutions that enhance the safety, efficiency, and reliability of industrial processes and equipment.
 

Functional Safety Market Share 

ABB and Schneider Electric hold a significant share of over 20%. ABB is a global leader in industrial technology, providing a wide range of products, systems, and services for utilities, industries, transportation, and infrastructure sectors. In the global market, ABB offers a comprehensive portfolio of solutions and expertise to address the safety needs of industrial processes, machinery, and critical infrastructure.
 

Schneider Electric is a global leader in energy management and automation solutions, providing a wide range of products, software, and services to customers in various industries, including buildings, data centers, infrastructure, industries, and residential sectors. In the context of the functional safety industry, Schneider Electric offers comprehensive solutions and expertise to help organizations address safety-critical requirements and regulatory compliance across diverse applications.
 

Functional Safety Market Companies

Major players operating in the market are:

• ABB
• Schneider Electric
• Siemens
• Rockwell Automation Inc.
• Emerson Electric Co.
• Honeywell International Inc.
• Yokogawa Electric Corporation
   

Functional Safety Industry News

• In July 2021, Schneider Electric, the leader in digital transformation of energy management and automation, released an improved version of its EcoStruxure Triconex safety view, the industry’s first dual safety- and cybersecurity-certified bypass and alarm management software application. EcoStruxure Triconex safety view allows operators to see both the bypass status that impacts the level of risk reduction in place, as well as the critical alarms required to operate the plant safely when risks are high.
   
• In February 2021, Rockwell Automation Inc. launched safety devices, which help create smart machines that provide meaningful information. With this information, users can easily monitor machine health, increase uptime, improve flexibility, and enhance safety.
   

The functional safety market research report includes in-depth coverage of the industry with estimates & forecast in terms of revenue (USD Million) from 2018 to 2032, for the following segments:

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Market, By Device Type

• Safety sensors
• Safety controllers/modules/relays
• Safety switches
• Programmable Safety Systems (PSS)
• Emergency stop devices
• Actuators
• Others

Market, By Safety Systems

• Safety Instrumented Systems (SIS)
• Turbo Machinery Control (TMC) Systems
• Fire & Gas Monitoring Control Systems (FGMCS)
• Emergency Shutdown Systems (ESD)
• SCADA
• Others

Market, By Vertical Industry

• Oil & gas
• Power generation
• Food & beverage
• Pharmaceutical
• Automotive
• Chemicals & petrochemical
• Others
• Underwater

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

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