San Jose, CA (Vocus/PRWEB) January 12, 2011
Electronic contract manufacturing services market, involving the participation of companies engaged in providing manufacturing services to various Original Equipment Manufacturers (OEMs), is one of the most rapidly growing industries in the electronic assembling arena. Over the years, EMS companies have been able to broaden the spectrum of services offered by them – from simple manufacturing of components, to more complex manufacturing services, thus leading to increased number of OEMs outsourcing much of their manufacturing.
The global economic downturn and the subsequent decline in the electronics industry revenues, however, put brakes to the robust growth in the EMS market. The recessions impact has been particularly severe on contract manufacturers, with revenues witnessing a steep decline due to fall in orders from automotive, mobile phone equipment, and capital equipment (semiconductor) markets. Slower growth is also attributed to the focus of EMS companies on the more traditional segments such as telecom and networking. The shortage of component supplies also hampered the operations of contract manufacturers. Original Design Manufacturers (ODMs), on the other hand, exhibited resilience to the adverse conditions, partly attributed to their focus on low-mix, high volume products such as motherboards, notebooks and PCs. The strong growth potential of ODMs is also attributed to their strengthening presence in the fast-growth markets such as LCD TVs and mobile PCs.
Asia-Pacific and Europe dominates the global EMS market, as stated by the new market research report on Electronic Contract Manufacturing Services. The continuous shift of production facilities to low-cost offshore locations is proving beneficial for Asia, East Europe, and Latin America markets. India and China represents countries with vast potential due to lower labor costs. While the electronics supply base in India is in early growth phase, China is a well-established manufacturing location. Infrastructure and labor are other competitive advantages for China.
Consumer Electronics and Computers & Peripherals comprise bulk of the market. The demand scenario in the consumer electronics market is susceptible to economic conditions, due to the impact on consumer disposable incomes. In the telecommunications segment, potential opportunities for EMS providers are expected from wireless communications as well as from increased spending in basic infrastructure equipment. Asia-Pacific market for electronic contract manufacturing services in telecommunications segment is projected to exceed US$ 20 billion by 2013.
Major players profiled in the report include Altadox Inc., Benchmark Electronics Inc., Celestica Inc., Elcoteq Network Corporation, Flextronics International Ltd., Hon Hai Precision Industry Co., Ltd., Incap Oyj, Jabil Circuit Inc., NOTE AB, Plexus Corp., Sanmina-SCI Corporation, TT Electronics Plc, Universal Scientific Industrial Co., Ltd., and Venture Corporation Limited.
The research report titled Electronic Contract Manufacturing Services: A Global Strategic Business Report announced by Global Industry Analysts Inc., provides a strategic review of the industry, key market trends, recent strategic corporate initiatives, and profiles of key market participants. The report provides annual sales estimates and projections for the years 2007 through 2015, and 2001 to 2006 by the following geographic markets – US, Canada, Japan, Europe, Asia-Pacific, and Latin America. Key end-use segments analyzed include Consumer Electronics, Computers & Peripherals, Telecommunications, Industrial Electronics, and Others.
For more details about this comprehensive market research report, please visit http://www.strategyr.com/Electronic_Contract_Manufacturing_Services_Market_Report.asp
About Global Industry Analysts, Inc.
Global Industry Analysts, Inc., (GIA) is a reputed publisher of off-the-shelf market research. Founded in 1987, the company is globally recognized as one of the worlds largest market research publishers. The company employs over 800 people worldwide and publishes more than 1200 full-scale research reports each year. Additionally, the company also offers thousands of smaller research products including company reports, market trend reports, and industry reports encompassing all major industries worldwide.
Global Industry Analysts, Inc.
Telephone: 408-528-9966
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