Beyond the hardware: How leading OEMs are embracing the solutions revolution

Posted: March 12, 2025

For decades, original equipment manufacturers (OEMs) have been the backbone of many industries, delivering innovative and reliable hardware that powers the world.

Their expertise in creating exceptional equipment has built trust, reputation, and long-term customer relationships.

However, as industries evolve, new opportunities are emerging. Equipment manufacturers have the chance to meet growing customer expectations for integrated solutions while complementing their core strengths. Forward-thinking OEMs are expanding their value proposition and leveraging their hardware expertise to deliver services that solve deeper customer challenges.

The next phase of innovation

The traditional OEM model has long been a benchmark for operational excellence and engineering ingenuity. However, the rise of digital transformation technologies, such as the internet of things (IoT), AI, and cloud computing are fundamentally changing the way manufacturers operate. Customers are increasingly looking for complete solutions: hardware that integrates seamlessly with software to offer predictive maintenance, remote monitoring, and even equipment as a service. This digital evolution enhances current operations while setting the stage for enduring growth and efficiency.

Why now is the perfect time to evolve

The transition to a solutions approach allows OEMs to stay ahead in a changing landscape and differentiate from the competition. By enhancing equipment with value-added services, you can:

• Expand your offerings: Build on your hardware expertise to create integrated, innovative solutions that add value to your customers.
• Deepen customer relationships: Make life easier for your customers by giving them one place to buy all the components their solutions require.
• Unlock recurring revenue streams: Subscription-based models provide consistent predictable income while driving long-term loyalty.

Their trusted ability to reliably deliver high-quality hardware gives OEMs a unique advantage in this space.

A world of opportunity

Adding solutions to a hardware-heavy business isn’t about replacing what’s worked; it’s an opportunity to amplify strengths and build the business for the future. Many OEMs are already seeing success by offering advanced services such as:

• Remote monitoring: Providing customers with real-time insights to improve equipment performance and provide proactive support.
• Predictive maintenance: Using data to prevent downtime, optimize maintenance, and extend equipment lifespan.
• Product quality monitoring: Tracking product quality and detecting issues early to improve reliability and reduce warranty costs.
• Equipment as a service: Offering customers flexible, subscription-based access to equipment, including maintenance and analytics, for a predictable cost.

These advances allow OEMs to differentiate themselves in an increasingly competitive market while providing unmatched value to customers. OEMs are, of course, the experts when it comes to their own hardware, which makes them the best suited to offer insights on equipment and provide faster resolutions when issues do arise. Customers benefit greatly from having a cohesive solution from one supplier that allows them to remove roadblocks when sharing data and reduce compatibility issues. This allows the customer to streamline support, improve reliability, and ultimately lower the total cost of ownership.

The next step

The journey from hardware to value-added solutions doesn’t have to be complicated or resource-intensive. It starts with a commitment to explore how your business can evolve, backed by the right support to make it happen.

AVEVA is here to help OEMs take this exciting step forward. We designed our Managed Solution Provider partner program to provide the tools, expertise, and resources you need to develop solutions that complement your existing products and drive growth.

Learn how you can build on your legacy and lead the future of your industry.