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(I-SoftwareNews.Com, February 14, 2018 ) Robust economic growth, increasing government funding in technology projects, and increasing political stability is expected to drive the computer engineering market. Growing production of electronic systems for applications such as automotive, industrial, medicine and communications is creating opportunities for the industry. With rapidly expanding technology sector, regional manufacturing of semiconductors is taking pace. Increasing government and corporate spending on information & telecommunication technology (ICT) infrastructure is expected to bode well for the industry. This will encourage the semiconductor manufacturers to implement newer technologies such as electronic design automation to increase productivity and efficiency, thus propelling the market growth.
Computer Engineering Market size is set to exceed USD 2.5 trillion by 2024; as per a new research report.
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Several data center companies are implementing FPGAs in the facilities to offload and accelerate specific services such as computationally intensive workloads which is driving the computer engineering market. These devices, when reconfigured for different tasks after manufacturing, are being used in telecom gear, industrial systems, automotive, and military and aerospace applications. With ongoing technological advancements, modern FPGAs with large gate arrays, memory blocks, and fast IO, which are suitable for a wide range of tasks have seen a rise in the demand. The industry is observing the emergence of hyper-scale data centers, which are based on densely packaged servers. This shrinking form of data centers is driving the need to deploy FPGAs on a large scale in such facilities, thereby providing an impetus to the market.
Growth of IoT and rise in the usage of wearable technology such as smartwatches will likely push the microelectronic component demand in the computer engineering market. The technology is broadly being implemented for airbag systems in the automotive industry owing to the government regulations related to driving and growing fears for passenger safety. With automobiles, conventional & electrical, becoming more advanced and needing continuous connection to the internet, the demand for ICs will increase. In addition, rise in the inclination of patients towards smart home facilities which are helping reduce the healthcare costs will help generate for demand microelectronic component, thereby providing an impetus to the computer engineering industry over the forecast timespan.
The computer engineering market growth is being driven by its use in automotive and consumer computer equipment. A significant increase in the number of connected devices is being witnessed owing to the rapid growth of consumer electronics in emerging economies and the burgeoning demand for smartphones and tablets. Major vendors are emphasizing on improving designing, development/manufacturing and testing solutions as key differentiators for the market expansion. The implementation of ATE in several automotive and consumer electronics manufacturing companies is helping in enhancing the product performance capability, the speed of operation, reducing the cost of the devices.
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Rapid industrialization and urbanization has led to the improvement of economic conditions. Certain growing economies in Asia Pacific such as India, Thailand, and South Korea have exhibited a rapid shift in their economy and an overall GDP growth. For instance, India and China noted a GDP growth of over 7% in 2015. This has resulted in the betterment of living conditions and an increase in the disposable income per household, leading to an increase in the expenditure on luxury goods and high-quality technology. Declining costs of service plans and rapid increase in the volume of cheaply manufactured smartphones & tablets are the major factors driving the uptake of computer engineering market across Asia Pacific.
Key vendors in the computer engineering market comprise Averna Technologies, Inc., Advantest Corporation, Cadence Design Systems, Inc., Marvin Test Solutions, Inc., Lattice Semiconductor Corporation, National Instruments Corporation, Intel Corporation, Nvidia Corporation, SolidCAM Ltd., STMicroelectronics N.V., Synopsys, Inc., Teradyne, Inc., and Xilinx, Inc. among others. Manufacturers in the industry are looking to spread their presence and business to emerging regions and adopting strategies such as mergers and acquisitions (M&A). For instance, Infineon Technologies in July 2016, acquired Wolfspeed for USD 850 million to strengthen their offerings in the compound semiconductor systems.
Vendors are facing intense rivalry and are required to invest heavily in R&D activities to sustain market growth. Companies in the computer engineering market are entering into several agreements and partnerships such as sales & supply agreements and plant manufacturing partnerships to provide service to their clients in an improved manner. Also, they are collaborating with other players for the development of innovative products. High-end products are being offered at competitive pricing and highly aggressive marketing strategies are being taken up by existing players in the market.
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