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Automated Test Equipment (ATE) Market share to exceed $4.46bn by next seven years

11-14-2016 06:58 PM CET | IT, New Media & Software

Press release from: Global Market Insights, Inc.

Automated Test Equipment market share is anticipated to exceed USD 4.46 billion by 2022 due to its rising demand across various sectors such as defense, telecommunications & IT, automotive, and consumer electronics. ATE is used to automatically diagnose and detects faults in the EUT (Equipment under observation) thereby, ensuring faultless product delivery into the business space.

The ATE market is expected to witness a sustainable growth, rising at a CAGR of 2.6% over the period of 2015-2022. Commercialization of IoT or Internet of things will create a pool of opportunities for the ATE industry players globally. The design complexities pertaining to these digitized devices will demand for precise testing of these products, thereby boosting the ATE market growth.

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Growing smartphone penetration is a major factor catalyzing the market share as the introduction of advanced technological features in these gadgets has in turn increased the design complexities. Also, rising consumer electronics demand, use of electronic equipment in vehicles, growing trend of miniature devices in sectors like defense and IT & telecommunication are also fueling the market share.

However, fluctuations in the semiconductor industry are creating a gap between the demand and supply ratio, adversely impacting the ATE market size. Moreover, certain other factors like the cost of the testing instruments as well as frequent modifications in the ATE industry will also hamper the growth in the coming years.

ATE application revenue in the IT & Telecommunication industry is forecast to reach USD 2.20 billion by 2022 driven by huge demand for testing services by communication service providers and telecom equipment manufacturers. Also, rising demand for consumer electronics such as smartphones, tablets, etc. will drive the consumer electronics ATE market size to reach USD 1.3 billion by 2022.

ATE product market can be segmented as Non-memory, Memory, and Discrete. Non-memory ATE market dominated the overall industry accounting for 75% revenue. Rising consumer electronics demand, coupled with growth in the automotive sector will positively impact the industry share, which is expected to grow at a CAGR of 2.8% over the period of 2015-2022. Discrete ATE market will be the fastest growing product segment registering a CAGR of 3% over the forecast timeframe.

The Asia Pacific ATE market primarily led by India & China is expected to witness a significant surge in the coming years mainly owing to the large number of semiconductor companies present in these regions. APAC market is expected to record a CAGR of 2.8 % from 2015-2022.

Browse key industry insights spread across 110 pages with 31 market data tables & 29 figures & charts from the report, “Automated Test Equipment (ATE) Market Size By Application (Defense, Automotive, Telecommunication & IT, Consumer), By Product (Non-memory, Memory, Discrete), Industry Analysis Report, Regional Outlook, Application Potential, Competitive Market Share & Forecast, 2015 – 2022” in detail along with the table of contents:

http://bit.ly/2fUeKlb

The US market share will grow at a rate of 2.5% during 2015-2022 primarily due to investment in defense sectors coupled with growth in the telecommunication industry.

Teradyne, Advantest, LTX., Advint, Agilent Technologies, Aeroflex, Anritsu, Cal-Bay Systems, and National Instruments Corporation are some of the key market players. Expansion of testing platforms and development of new instrumentation will be the major growth strategies adopted by the industry participants over the next few years.

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Global Market Insights, Inc., headquartered in Delaware, U.S., is a global market research and consulting service provider; offering syndicated and custom research reports along with growth consulting services. Our business intelligence and industry research reports offer clients with penetrative insights and actionable market data specially designed and presented to aid strategic decision making. These exhaustive reports are designed via a proprietary research methodology and are available for key industries such as chemicals, advanced materials, technology, renewable energy and biotechnology.

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