Global Market Size, Forecast, and Trend Highlights Over 2025-2037
Relay Output Module Market size was USD 1.5 billion in 2024 and is estimated to reach USD 3.04 billion by the end of 2037, expanding at a CAGR of 5.7% during the forecast period, i.e., 2025-2037. In 2025, the industry size of relay output module is evaluated at USD 1.56 billion.
The relay output module market is primarily driven by the growing adoption of industrial automation and IoT technologies across diverse industries such as manufacturing, oil and gas, and power generation. The Center for Economic Policy Research states that the percentage of the U.S. workforce exposed to automation-related usage of modern technology was approximately 30.4% by 2023. Worker exposure to automation is notably high in (but not limited to) manufacturing, where 52% of employees work for companies that use automation technologies. Relay output modules are becoming popular as automation increases operational accuracy and efficiency. Due to their capacity to regulate the flow of electrical impulses, these modules are crucial components of control systems that serve as an interface between external devices and programmable logic controllers (PLCs). Relay output module requirements are also linked to broader advancements in industrial automation, which focus on reducing and improving operator interference in operational procedures.
Relay Output Module Market: Growth Drivers and Challenges
Growth Drivers
- Increased adoption in the automotive sector: Passenger safety significantly influences the adoption of autonomous automotive technologies. Over the past few decades, the installation of advanced safety features and systems in vehicles has led to a notable decline in accidents and traffic fatalities. As the demand for hybrid and electric vehicles grows, this trend is further propelled by the increasing reliance on electric components. With sales of electric cars approaching 14 million in 2023, the International Energy Agency (IEA) reports that markets for these vehicles are expanding rapidly. In 2023, the proportion of sales of electric vehicles climbed from about 4% to 18%.
Manufacturers are shifting their focus towards solid-state relays, which offer lightweight and high-performance benefits, as opposed to traditional heavy electromechanical relays. These relay modules are crucial in controlling essential functions within automobiles, such as starting motors, turn signals, and headlights, as well as operating door locks, power windows, and ignition systems. Designed to endure the extreme conditions of the automotive environment—such as moisture, temperature fluctuations, and vibrations—these robust components are essential for ensuring efficient, safe, and secure switching of electric loads, ultimately enhancing overall passenger safety and contributing to the advancement of autonomous vehicle technologies. - Growing use in home automation: Relay output modules are frequently used in home automation systems to control lights, fans, and other household appliances. They are rated for up to 10A and 250V AC. Smart DIY automation, localized and cloud-managed to actualize automation and intelligence in many circumstances via a home assistant. With just a button press or even a voice command, they enable homeowners to manage their heating, cooling, and lighting systems.
These modules discreetly operate in the background to enable these contemporary comforts, whether setting the temperature from the comfort of your couch or setting the lights to turn off at sleep. Moreover, the energy efficiency advantage of smart homes is another factor contributing to the growth of the relay output module market. - Advances in the product: Relay modules keep changing due to technological advancements, adding new features and technologies to satisfy the needs of contemporary applications. Recent advances in solid-state relay (SSR) technology have led to faster switching times, higher reliability, and reduced power consumption. Moreover, the integration of digital communication protocols such as EtherNet/IP, PROFINET, and Modbus has enabled seamless communication between relay output modules and other devices in industrial automation systems. Also, relay module minimizing is driven by consumer desire for more compact, smaller electrical products. Applications for these modules can be found in space-constrained settings and portable electronics.
Challenges
- Electromagnetic interference: Nearby electronic components and circuits may be impacted by electromagnetic interference (EMI) produced by relays, especially ones with inductive loads. Data corruption, unpredictable behavior, or even harm to delicate devices can result from this interference. Although shielding and appropriate grounding can lower EMI, these steps increase the cost and complexity of the design. EMI management is a crucial task for engineers, particularly in settings like communication or medical systems where accuracy and dependability are crucial. Therefore, this factor may hinder the growth of the relay output module market.
- High power consumption: Despite their energy-efficient design, modern relays still use more power than their solid-state counterparts, particularly when they are holding their state. In low-power or battery-operated devices, when energy efficiency is essential, this power demand may be substantial. Furthermore, an electromechanical relay's coil needs constant electricity to stay in its state, which eventually raises operating expenses.
Relay Output Module Market: Key Insights
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Base Year |
2024 |
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Forecast Year |
2025-2037 |
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CAGR |
5.7% |
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Base Year Market Size (2024) |
USD 1.5 billion |
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Forecast Year Market Size (2037) |
USD 3.04 billion |
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Regional Scope |
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Relay Output Module Segmentation
Application (Intelligent Transportation, Water Treatment System, Energy Management System, Factory Automation)
Intelligent transportation segment is set to account for relay output module market share of more than 43.3% by the end of 2037. The segment growth can be attributed to the growing demand for systems that can reduce congestion on driveways and prevent accidents. Relay output modules control and track various components such as traffic signals, pedestrian crossings, and highway lighting systems. They enable real-time communication between sensors, cameras, and other devices, allowing for swift response to changing traffic conditions.
Increased vehicle traffic by greater urbanization eventually causes traffic jams and longer commutes for locals and commuters. Urban dwellers' quality of life is lowered as a result, while fuel consumption and lost production hours result in financial losses. As a result, to reduce traffic jams, streamline transportation networks, and improve the overall effectiveness of urban mobility systems, city officials and transportation agencies are looking to ITS technologies.
Type (Electromechanical Relay Output, Solid-state Relay Output Module)
The solid-state relay output module segment will capture a notable relay output module market share in 2037. The segment growth can be attributed to the growing demand for efficient and reliable power management solutions. Solid-state relays satisfy the requirement for infrastructure updates across various industries due to their benefits, which include small size, low maintenance, and long working life. Their long operating life, small size, and ability to switch AC or DC loads make them superior to electromechanical relays.
The benefits of solid-state relays and the growing need in developed nations to upgrade aging power infrastructure are driving the segment’s expansion. According to the U.S. Department of Energy, 70% of transmission lines are older than 25 and nearing the end of their normal lifespan of 50-80 years. Power outages, vulnerability to cyberattacks, or community catastrophes due to malfunctioning grid infrastructure are just a few of the serious repercussions for communities in the nation.
Our in-depth analysis of the relay output module market includes the following segments:
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Type |
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Application |
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Customize this ReportRelay Output Module Industry - Regional Synopsis
North America Market Statistics
North America in relay module output market is expected to capture around 34.6% revenue share by the end of 2037. The market growth can be attributed to the growing adoption of advanced technologies in various industries. The region’s focus on process optimization, energy efficiency, and predictive maintenance is boosting the demand for relay output modules. Also, the presence of major industrial players is introducing innovative products in the relay output module market, driving the expansion of the relay output module industry.
Furthermore, growing government investments in smart manufacturing and Industry 4.0 in the U.S. and Canada are fueling the relay output module market growth. For instance, a USD 33 million funding opportunity was announced by the Advanced Materials and Manufacturing Technologies Office (AMMTO) of the U.S. Department of Energy (DOE) in November 2024 to expedite the development of smart manufacturing technologies and processes required to create and implement the cutting-edge materials and technologies required for the country's clean energy transition. Also, in May 2022, in Canada, a USD 200,000 repayable contribution was declared by the Minister of Sport and the Minister. By enhancing its creative processes and productivity, this CED support will help the company transition to Industry 4.0.
Europe Market Analysis
Europe relay output module market will encounter huge growth by 2037. The market is growing owing to the increasing number of rail passengers and the expanding railway industry in the region. According to the European Union, with 429 billion passenger kilometers, EU rail passenger transport reached its greatest level in years in 2023. In 2023, the EU's rail passenger transport performance nearly quadrupled from 2020 and grew by 11.2% from 2022. Relays are used by the railroad industry for trackside and train signaling and control. Relays are essential to the safe and effective running of railway networks, which enhances the general dependability and security of train travel. Signaling and control are essential to the safe operation of trains in railway networks. Implementing signaling systems, which function as switches to regulate the flow of electrical currents, requires the use of relays. They make it easier for different parts of the signaling infrastructure to communicate with one another, which enables accurate control of signals, track switches, and other crucial components.
Countries such as Germany, France, and the UK are leading the way in the adoption of advanced automation solutions, which is boosting the demand for relay output modules. Moreover, the growing focus on energy-efficient and sustainable building practices is also fueling relay output module market growth across these nations.
Companies Dominating the Relay Output Module Market
- Teracom Group AB
- Company Overview
- Business Strategy
- Key Product Offerings
- Financial Performance
- Key Performance Indicators
- Risk Analysis
- Recent Development
- Regional Presence
- SWOT Analysis
- Delta Electronics, Inc.
- Evikon MCI Ltd.
- Pepperl+Fuchs SE
- DO Supply, LLC
- W.W. Grainger, Inc.
- OneTemp
- CoastIPC, Inc.
- Schneider Electric SE
- Rockwell Automation, Inc.
The relay output module market will rise due to the major companies investing heavily in R&D to expand the range of their products. Key market developments include the launch of new products, contracts, mergers and acquisitions, higher investments, and collaboration with other companies. relay output module market participants are also pursuing various strategic initiatives to broaden their global reach. The Relay Output Module sector needs to offer products at competitive prices to expand and survive in a relay output module market that is becoming difficult to navigate.
In the News
- In August 2024, Teracom introduced the TDO340 MODBUS RTU relay output module. Designed to improve automation systems, the TDO340 is a versatile 4-channel SPST relay module with independent contacts that supports the MODBUS RTU protocol for easy integration into your existing setup.
- In March 2023, Delta launched the R2-EC0902D0 32 digital input/output remote module. The unit substantially facilitates the deployment of digital I/O on EtherCAT networks by including 32 integrated relays on the output that support 2 A at 30 VDC/250 VAC per channel, as well as 32 24 VDC digital inputs.
Author Credits: Abhishek Verma
- Report ID: 6942
- Published Date: Jan 07, 2025
- Report Format: PDF, PPT
