Forecasts and fantasies

Networks ‘will be breached.’ On ‘merger mania,’ ‘internet of things’ and ’strategies for survival.'

Frost & Sullivan expects at least ten significant cyber security acquisitions in 2015 as threats rise and companies jostle for market position. By year end 2015 all the sectors that constitute critical national infrastructure will have been breached, including oil & gas, causing operational incidents and downtime.

Visiongain’s report on the oil and gas automation and control systems market 2015-2025 sees growth, thanks to robust demand for process optimisation, safety measures and remote-control solutions in every industry segment. The 2015 global A&C market will be worth $18.68bn.

Software AG forecasts energy market merger mania for 2015. In predictions for digital energy, Software AG has it that ‘mega mergers such as Halliburton and Baker Hughes may fail due to antitrust concerns.’ Moreover, the political debate over major projects like Keystone XL ‘will spark energy companies to view technology like predictive analytics as essential both to ensure project safety and to overcome perceptions of high risk among lawmakers.’ Lower oil prices will push oil exploration companies toward the internet of things, adding automation and sensors to enhance operational efficiency.

A report from AT Kearney forecasts increased oil and gas M&A in 2015 but warns that ‘the window of opportunity may be shorter than expected, and will be driven by oil price expectations. Those companies with strong cash flow and healthy balance sheets will be able to leverage opportunities, while others will need to define strategies just to survive.’

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