T&M in Australia: Key market research findings
- Increasing preference for data outsourcing propels market growth
- GPTE accounts for a majority of the market’s revenue
- Key vendors – Anritsu, Fluke, Keysight Technologies, National Instruments, Rohde & Schwarz, and Tektronix
Technavio’s market research analysts predict the test and measurement market in Australia to grow at a CAGR of around almost 6% between 2016 and 2020. The market’s growth is driven by the rising prominence of data outsourcing. Data centers are established either by large-scale enterprises or enterprises that offer cloud-based services. The increasing use of big data analytics and the evolution of cloud computing triggers an upsurge in the demand for data centers that are required to cater to the growing computing needs. Enterprises build colocation and managed hosting data center facilities and rent these to other large enterprises and small- and medium-sized enterprises (SMEs) to meet this rise in the demand for data centers.
The new market research report from Technavio presents a breakdown and analysis of the test and measurement segments based on the product.
“The emergence of 5G networks is expected to impact the market positively during the forecast period. The increase in the number of mobile users, loads on mobile networks, and the emergence of Internet of Things (IoT) are leading to the development of 5G networks in the country. 5G networks enable the use of unused frequency bands, such as the V band, to transport large data volumes,” says Anju Ajaykumar, Lead Analyst, Heavy Industry, Technavio Research.
During 2015, the general purpose test equipment (GPTE) segment was the key revenue generator in the test and measurement (T&M) market in Australia by accounting for more than 30% of the overall market revenue. GPTE includes a range of testing and measuring equipment like oscilloscopes, multimeter, clamp meter, infrared cameras, battery analyzers, and earth testers. The power and energy, machine and equipment manufacturing, process, aerospace and defense, and research and education sectors are some of the key end-users of GPTE.
The key vendors in the market include Anritsu, Fluke, Keysight Technologies, National Instruments, Rohde & Schwarz, and Tektronix. Due to the presence of several global and regional vendors, this market appears to be fragmented. Vendors have started to focus on offering application-specific products for different types of end-users. Although product differentiation and affordability are the primary strategies adopted by players to gain an edge over their competitors, manufacturing costs of these products are quite high and offering products at a lower price is challenging. As a result, vendors have started investing in R&D to introduce innovative products to help them gain a considerable share of the market.
A more detailed analysis is available in the Technavio report, Test and Measurement Market in Australia 2016-2020.
