US Automated Test Equipment Market size to rise at a whopping 2.5% CAGR to 2022

The US automated test equipment 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.

APAC automated test equipment market is likely to exceed USD 3.5 billion by 2022 due to the presence of many semiconductor manufacturers. Positive regional growth is attributed to rapid technological advancements and changing consumer preferences.

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Rising design complexity coupled with the need for efficient testing will propel the industry growth. Cost reductions, higher product quality and improved ergonomics are benefits offered by these systems. Rising adoption trends such as System on Chip (SoC) and increasing demand for consumer electronics will propel the industry growth. Improving the battery life remains the cornerstone of several manufacturers’ design efforts, in light of increased demand for portability and miniaturization this will also fuel the automated test equipment market.

High penetration of electronics in automobiles along with rising adoption of smartphones and compact devices has surged the demand for ATE among various sectors such as IT and telecommunication, defense, etc.

The automated test equipment market is mainly dependent on semiconductor chip availability. Increasing demand from smartphones, computers and tablets have pushed the production capacity thus impacting the revenue of global industry positively. Increasing dependency on semiconductor devices and resulting supply and demand gap may hamper the industry growth.

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 automated test equipment 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.

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Advantest, Aeroflex, Anritsu, Cal-Bay Systems, LTX-Credence, Teradyne, Agilent Technologies, National Instruments Corporation are some of the players in this industry. Teradyne accounted for more than 40% of the industry share in 2015. Various strategies followed by companies are new product developments, customer relationship management and improving standard platforms.

Glimpse of Table of Content (ToC)

Chapter 5 Automated Test Equipment Market Application Insights

5.1 Automotive

5.1.1 Global demand in automotive, by region, (USD Million), 2012 – 2022

5.2 Consumer

5.2.1 Global demand in consumer applications, by region, (USD Million), 2012 – 2022

5.3 Defense

5.3.1 Global demand in defense, by region, (USD Million), 2012 – 2022

5.4 Telecommunication & IT

5.4.1 Global demand in IT & telecommunication, by region, (USD Million), 2012 – 2022

5.5 Others

5.5.1 Global demand in other applications, by region, (USD Million), 2012 – 2022

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