ARC says CNC market to reach $7.7 Billion by 2012
The demand for CNC solutions benefited from the robust investments in general manufacturing, oil & gas infrastructure, automotive, aerospace, green energy, and infrastructure industries. We continue to expect a strong positive growth in the CNC market, at least to the end of 2008, however the expansion in the market will begin to abate as the growing concern over global energy prices and unstable financial markets begins to have an impact on investments, according to Director of Research Sal Spada ([email protected]), the principal author of ARCs Computer Numerical Controls Worldwide Market Outlook.
Competitive Climate Remains Unchanged
The CNC market remains highly consolidated with nearly two-thirds of the market being dominated by FANUC and Siemens. Competition among the top three suppliers is aggressive, as the developing Asian market ramps up. The issue at stake is installed base; the demand side in this market very rarely switches suppliers due to the investment in personnel training and the ability to move applications from one machine to the next.
Emerging Markets Sustain Growth
Currently, the market is more than halfway through the cycle which experienced its last low point in 2002. The troughs of this cycle tend to be extremely low while the peaks increase slightly from crest to crest. Emerging economies, such as Russia, India, and China, and Eastern Europe, will continue to propel the overall market growth with an unprecedented number of relatively low valued machine tools built in these regions.
Growing Middle Class Drives Demand
The increasing consumer demand from the growing middle class, adding new infrastructure to become a part of the global community, and the need for producing and saving energy to cope with the rapidly rising global energy demands and costs are driving the demand for CNC-based machine tools.
About ARC: Founded in 1986, ARC Advisory Group has grown to become the Thought Leader in Manufacturing and Supply Chain solutions. No matter how complex your business issues, our analysts have the expert industry knowledge and first-hand experience to help you find the best answer. We focus on simple yet critical goals: improving your return on assets, operational performance, total cost of ownership, project time-to-benefit, and shareholder value.
MORE INDUSTRY NEWS
ISA to hold pharmaceutical-focused meeting on industrial cyberattack protection
The meeting event, “Pharmaceutical Cybersecurity Convocation: A Critical Executive Dialogue,” will be held at the Sheraton Framingham Hotel &...
FieldComm Group seeks nominees for 2017 Plant of the Year Award
The FieldComm Group Plant of the Year is an international award presented to end user companies in the process automation industry to recognize the...
Festo partners with AWC to reach customers in Southern US
Festo named AWC to distribute process automation products in Alabama, Florida, Georgia, Louisiana, Mississippi, Oklahoma, Tennessee, and Texas.
Yokogawa of America announces Shuji Mori as CEO
In the role of CEO, Mr. Mori will be responsible for all day-to-day business operations in North America. Mr. Mori began his career as an engineer,...
Konrad and three NI Alliance partners join to develop autonomous vehicle test solutions
The companies are leveraging their expertise in the field of Advanced Driver Assistance Systems (ADAS), sensor fusion, Hardware in the Loop (HiL),...
The Cost of Functional Safety for Food Processing
By Jorgen Saxeryd, ABB
In 2014 in the UK, a large food manufacturer had to pay a £800,000 fine after a serious industrial accident. This article...
Rockwell Automation to focus on digital transformation and Industrial IoT at Hannover Messe 2017
Rockwell Automation will be showcasing the technologies, solutions and services that can help companies successfully and securely take advantage of...
Okuma announces case study video for CNC process simplification
The video shows how Okuma distributor Gosiger went into the control and created a GUI interface so the Moser operators don’t even see the OSP...
igus to showcase robotics solutions at Automate 2017
Product experts will be on hand, and product demonstrations, inducing a Fanuc 6 axis robotic arm featuring the igus triflex RSE cable retraction...
ABB chooses Omnify PLM software to enhance design processes
ABB Drives and Controls was lacking a component information management system with a centralized database for their Printed Circuit Board Assembly...