A monitoring and diagnostics system for a machine having a plurality of rotating components includes a powertrain with a plurality of rotating components and a vibration sensor. The vibration sensor include a vibration sensor element and a sensor controller. The vibration sensor is disposed adjacent one of the plurality of rotating components. The vibration sensor element is configured to generate raw vibration data indicative of vibrations of the vibration sensor element. The sensor controller is configured to access a vibration threshold, access a time threshold, receive the raw vibration data from the vibration sensor element, generate condition indicators based upon the raw vibration data; compare the condition indicators to the vibration threshold, and if the condition indicators exceed the vibration threshold for a time exceeding the time threshold, transmit a predetermined amount of raw vibration data to a remote system remote from the machine.