-
- News
- Books
Featured Books
- smt007 Magazine
Latest Issues
Current IssueBox Build
One trend is to add box build and final assembly to your product offering. In this issue, we explore the opportunities and risks of adding system assembly to your service portfolio.
IPC APEX EXPO 2024 Pre-show
This month’s issue devotes its pages to a comprehensive preview of the IPC APEX EXPO 2024 event. Whether your role is technical or business, if you're new-to-the-industry or seasoned veteran, you'll find value throughout this program.
Boost Your Sales
Every part of your business can be evaluated as a process, including your sales funnel. Optimizing your selling process requires a coordinated effort between marketing and sales. In this issue, industry experts in marketing and sales offer their best advice on how to boost your sales efforts.
- Articles
- Columns
Search Console
- Links
- Events
||| MENU - smt007 Magazine
Worldwide MEMS/MST Market to Cross $26 Billion by 2007, Says BCC Research
December 10, 2002 |Estimated reading time: 2 minutes
Norwalk, Conn. -- According to a soon-to-be-released updated report from Business Communications Co Inc., RGB-270 MEMS Technology: Where To?, the worldwide market for MEMS/MST is currently estimated at $11 billion. By 2007, market revenues will exceed $26.4 billion, growing at an AAGR (average annual growth rate) of 19.1 percent.
Sales comprise existing MEMS/MST products such as ink jet printer cartridges, as well as new products, including radio frequency filters for cell phones and motor controllers. The sales volume in 2007 is expected to exceed 6.8 billion units and grow at an AAGR of 19.5 percent through the forecast period.
Beyond 2007, growth is expected to continue as new applications and products are developed and global market penetration continues. As can be seen from the diversity of applications and products and size of the market sectors, general studies of this kind for the MEMS/MST industry may cease to be relevant except for reasons of academic interest. Indeed, each market sector and product type in itself deserves a detailed review.
Transportation and consumer products are currently two of the largest market sectors, representing respectively some 31 percent and 36 percent of current revenues. However, while new products will continue to be introduced within this sector, price reductions will ultimately stagnate growth as measured in dollars. The industrial military sector will continue to grow at a modest pace. Here the premium prices paid for low volume production military items will maintain the total market value of this subsector.
Penetration into the industrial sector will continue to grow given demands on industry for better quality assurance in manufacturing and the price and performance advantages that MEMS sensors and actuators have.
The health care market should begin to grow at a rapid pace, in that price reductions should only affect some of the older MEMS products, such as hearing devices. The commercialization period is relatively long in this sector given the need for extensive clinical testing and FDA or equivalent approval of products. However, several of the newer products discussed in this report will be commercialized by 2007 and will contribute to growth. In particular, by 2005, the lab-on-a-chip products and services should finally enter the marketplace in large quantities.
Growth in the consumer market will continue at a rapid pace because of increased worldwide market penetration of products such as computer storage media, ink jet printers, and video games. In addition, new applications such as computer game accessories, flat displays, and household goods applications should further augment growth.
The telecommunications sector, despite its recent slump because of overcapacity should become, along with healthcare, one of the largest market sectors. MEMS sales in both fiber optics equipment and wireless systems, including next generation cell phones, will be the major market drivers. The forecast presented here lags earlier forecasts made by others by two to three years. The lag time should allow telecommunications carriers sufficient time to decide which technologies to adopt and where in their systems they will be of most value. Similarly the demand for more functionality in cellular phones will force providers to find a way to integrate low-g accelerometers and radio frequency filters into their packaging. Finally, wireless sensing applications should be commonplace by 2007.
The environmental market should also prosper from wireless communications, although it will remain rather small compared to the other market segments. Concerns about water and air contamination, along with the need to make long-term assessments of climate and its affect on aquifers will fuel growth in this area.
For more information on Business Communications Co. Inc., visit www.bccresearch.com.