Market Study Big Oil is Still Investing in in Digital Technologies, Despite Price Downturn
The digital revolution continues for oil and gas multis: Despite a continuing price decline period, companies plan to invest the same amount or more in digital technologies. Especially big data and IIoT are in high demand.
Despite current lower crude oil prices, most companies in the oil and gas industry plan to invest the same amount or more in digital technologies, says a new survey by Accenture and Microsoft. It seems in fact that the industry hopes to find the answer to address today’s challenges in digital technologies.
Two Thirds Plan Tech Offensive
In the near term during the current low crude price cycle, approximately three out of five respondents said they plan to invest the same amount (32 percent) or more or significantly more (25 percent) in digital technologies.
Over the next three to five years, approximately 80 percent of the oil and gas industry professionals surveyed said they plan to invest the same amount (18 percent), more (44 percent) or significantly more (18 percent) in digital. Respondents from IOCs and NOCs were the most bullish in the same time period.
Big Data, Internet of Things and Automation in High Demand
Mobility, infrastructure and collaboration technologies currently represent the biggest investment areas across the oil and gas industry. Over the next three to five years, investments are expected to increase in big data and the Industrial Internet of Things (IIoT) and automation.
The key for continued digital investment in the upstream sector is improving operational efficiency, rather than simply reducing cost, as faster, more informed decision making and a more efficient workforce were seen as the key areas where digital technologies are adding value and creating business efficiencies.