Functional Safety Market Size & Share 2024 - 2032
Market Size by Device Type, Emergency Stop Devices, Actuators), by Safety Systems, by vertical Industry (Oil & Gas, Power Generation, Food & Beverage, Pharmaceutical, Automotive, Chemicals & Petrochemical) & Forecast.
Report ID: GMI8988
|
Published Date: April 2024
|
Report Format: PDF
Download Free PDF
Authors:
Suraj Gujar, Ankita Chavan
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.
Functional Safety Market Key Takeaways
Market Size & Growth
Key Market Drivers
Challenges
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%.
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 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:
Functional Safety Industry News
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:
Click here to Buy Section of this Report
Market, By Device Type
Market, By Safety Systems
Market, By Vertical Industry
The above information is provided for the following regions and countries:
Research methodology, data sources & validation process
This report draws on a structured research process built around direct industry conversations, proprietary modelling, and rigorous cross-validation and not just desk research.
Our 6-step research process
1. Research design & analyst oversight
At GMI, our research methodology is built on a foundation of human expertise, rigorous validation, and complete transparency. Every insight, trend analysis, and forecast in our reports is developed by experienced analysts who understand the nuances of your market.
Our approach integrates extensive primary research through direct engagement with industry participants and experts, complemented by comprehensive secondary research from verified global sources. We apply quantified impact analysis to deliver dependable forecasts, while maintaining complete traceability from original data sources to final insights.
2. Primary research
Primary research forms the backbone of our methodology, contributing nearly 80% to overall insights. It involves direct engagement with industry participants to ensure accuracy and depth in analysis. Our structured interview program covers regional and global markets, with inputs from C-suite executives, directors, and subject matter experts. These interactions provide strategic, operational, and technical perspectives, enabling well-rounded insights and reliable market forecasts.
3. Data mining & market analysis
Data mining is a key part of our research process, contributing nearly 20% to the overall methodology. It involves analysing market structure, identifying industry trends, and assessing macroeconomic factors through revenue share analysis of major players. Relevant data is collected from both paid and unpaid sources to build a reliable database. This information is then integrated to support primary research and market sizing, with validation from key stakeholders such as distributors, manufacturers, and associations.
4. Market sizing
Our market sizing is built on a bottom-up approach, starting with company revenue data gathered directly through primary interviews, alongside production volume figures from manufacturers and installation or deployment statistics. These inputs are then pieced together across regional markets to arrive at a global estimate that stays grounded in actual industry activity.
5. Forecast model & key assumptions
Every forecast includes explicit documentation of:
✓ Key growth drivers and their assumed impact
✓ Restraining factors and mitigation scenarios
✓ Regulatory assumptions and policy change risk
✓ Technology adoption curve parameter
✓ Macroeconomic assumptions (GDP growth, inflation, currency)
✓ Competitive dynamics and market entry/exit expectations
6. Validation & quality assurance
The final stages involve human validation, where domain experts manually review filtered data to identify nuances and contextual errors that automated systems might miss. This expert review adds a critical layer of quality assurance, ensuring data aligns with research objectives and domain-specific standards.
Our triple-layer validation process ensures maximum data reliability:
✓ Statistical Validation
✓ Expert Validation
✓ Market Reality Check
Trust & credibility
Verified data sources
Trade publications
Security & defense sector journals and trade press
Industry databases
Proprietary and third-party market databases
Regulatory filings
Government procurement records and policy documents
Academic research
University studies and specialist institution reports
Company reports
Annual reports, investor presentations, and filings
Expert interviews
C-suite, procurement leads, and technical specialists
GMI archive
13,000+ published studies across 30+ industry verticals
Trade data
Import/export volumes, HS codes, and customs records
Parameters studied & evaluated
Every data point in this report is validated through primary interviews, true bottom-up modelling, and rigorous cross-checks. Read about our research process →