SMT placement equipment: Key market research findings
- High demand from EMS companies
- Increased applications of SMT placement equipment
- Leading players in the market are ASMPT, Assembléon, Fuji, Juki, Panasonic, and Yamaha
Technavio’s market research analysts estimate the global SMT placement equipment market to grow at a CAGR of around 6% between 2016 and 2020. The primary reason for the use of surface mount technology (SMT) solutions stems from the ineffective through-hole technology that is prone to limitations, such as the need for additional drilling, which increases production costs of boards. An underlying need to replace through-hole technology among end-users will prompt them to shift towards the implementation of SMT solutions in the coming years. APAC dominated the market during 2015 as the majority of the electronic manufacturing services (EMS) companies in the region are the key buyers of the SMT placement equipment. These players are expected to make massive investments in the modernization of the existing plants, which will boost the demand for SMT solutions in the region.
The new market research report from Technavio provides a breakdown and analysis of the SMT placement equipment segments by end-users.
“Vendors in the market are coming up with advanced SMT placement equipment to sustain themselves in the intense competitive scenario of the market. The end-users are opting for advanced SMT placement equipment as it maximizes throughput, communicates with other SMT equipment on production lines and drives efficiencies for businesses to remain competitive and viable. Vendors are also focusing to enhance the capabilities and technologies of flexible and modular gantry systems. They are improving their inter-machine communication platforms, besides developing superior factory management systems,” says Bharath Kanniappan, Lead Analyst, Industrial Automation, Technavio Research.
The other industries segment is anticipated to exhibit the highest market growth rate of more than 7% during the predicted period. Other industries include the automotive, medical, and aerospace and defense industries. Factors like the rising utilization of circuit boards to monitor and control different aspects of components will result in this segment’s steady CAGR of more than 7% during the forecast period.
The key players in the global SMT placement equipment market are ASMPT, Assembléon, Fuji, Juki, Panasonic, and Yamaha. The market is characterized by the presence of intense competition between the tier-I and tier-II providers. Due to minimal product differentiation, the level of competition in this market is expected to increase rapidly until 2020. To survive and succeed in this intensely competitive market, the vendors are looking for business consolidation and are gradually increasing their product portfolio by acquiring smaller companies.
A more detailed analysis is available in the Technavio report, Global SMT Placement Equipment Market 2016-2020.
We can customize reports by other regions and specific segments upon request.
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