Keywords
Citation
(1999), "IPC. IPC releases final financial statistics for 1998 EMSI market", Soldering & Surface Mount Technology, Vol. 11 No. 3. https://doi.org/10.1108/ssmt.1999.21911cab.014
Publisher
:Emerald Group Publishing Limited
Copyright © 1999, MCB UP Limited
IPC. IPC releases final financial statistics for 1998 EMSI market
IPC
IPC releases final financial statistics for 1998 EMSI market
Keywords IPC, Market survey, Electronics industry
Final 1998 financial statistics for the electronics manufacturing services industry (EMSI) indicate the market increased 25 percent to $22.5 billion. That is according to "The 1998 market for electronics manufacturing services providers/contract assembly companies" study conducted by IPC.
The EMS industry includes companies involved in electronics assembly on an independent basis. Sixty-nine companies participated in the survey with combined sales of $8.9 billion, representing 39 percent of the total EMSI market. The computer and telecommunication industries continue to represent the largest markets for the EMSI, accounting for 34.9 and 25.3 percent of total sales respectively.
"Outsourcing continues to grow, whether it's through OEM acquisitions of facilities or an increase in business from new or current customers," says IPC vice president of industry programs Tony Hilvers. The survey respondents indicated that 60.8 percent of their sales came from existing business, 23.9 percent came from new business and 15.3 percent from new customers.
Hilvers adds that the size of the EMS company did not limit growth; each revenue category is projected to have had similar increases in 1998 (Table I).
IPC forecasts predict the US EMSI market will continue to experience more than 20 per cent annual growth, as it has since the late 1980s. In 2000, sales are expected to top $35 billion. Hilvers says product innovation and the increasing trend to outsource by OEMs are the two major factors contributing to expected growth.
The IPC Assembly Market Research Council, the premier forum for the active exchange of information and data regarding the electronics assembly industry, commissioned this study.
Copies of "The 1998 market for electronics manufacturing services providers/contract assembly companies" are available for $350 to IPC members and $500 for non-members. For more information, contact IPC Market Research Director Carla Wehrspann, at (847) 790-5317, or E-mail: wehrca@ipc.org