National Instruments Corporation (NI), a world leader in machine condition monitoring (MCM), has chosen Thailand as its first research centre in Southeast Asia at a cost of US$1 million.
The memorandum of understanding was signed on Tuesday with King Mongkut's University of Technology North Bangkok (KMUTNB), which will provide the facility and human resources for the centre.
Kaowna Electric and Business Co and Mataneepan Co will provide equipment.
NI will provide hardware and software for the project to ensure the centre's research practically benefits industries such as energy, chemicals, automotive, steel and heavy machinery.
The Texas-based NI expects MCM to improve the industrial sector, especially in terms of cutting losses and lowering maintenance costs for machinery.
"Thailand has a large industrial base and we want to work with local industrial players, so we decided to select the country to be the regional research centre," said Chandran Nair, NI's managing director for Asean.
The centre will be a fully fledged training facility with the entire spectrum of MCM equipment and services including motor fault analysis and motor repair and inspection.
"With the strong manufacturing and industrial sectors, Thailand is an ideal location for our very first MCM laboratory in this region," said Mr Nair.
"Thailand is poised to be a striving technology hub, and we will contribute to the country's competitiveness from this centre."
The company anticipates global MCM demand growing by as much as 20% a year, while the value of the global market is forecast at $2.4 billion in 2017.
Thailand's MCM market alone is worth $20 million. As the second-biggest economy in the region, the country has been a fast-growing market for NI for more than a decade.
Big local clients include PTT Plc, the Electricity Generating Authority of Thailand and car makers.
Assoc Prof Panarit Sethakul, the dean of KMUTNB's technical education faculty, said the centre is ready to operate at the campus in Bangkok, with the first phase occupying 50 square metres.
"This centre will benefit not only our students and researchers but also businesses seeking reduced costs, fewer losses and enhanced efficiency in the production process," he said.
The first phase will serve students in graduate programmes and later expand to include those working on bachelor's degrees, said Assoc Prof Panarit.