Global CNC Market Will Stay Strong

The worldwide market for computer numerical controls (CNC) showed strong growth in 2007 and a positive outlook for the future, according to a recent study by ARC Advisory Group. This illustrates, despite global economic uncertainty, the market for manufacturing and automation remains strong, as Europe and Asia clamor for CNC, says the research firm. The CNC market has exploded in the past two years. The worldwide market for CNC systems, which was $6.1 billion in 2007, is expected to grow at a CAGR of 4.8% over the next five years and is forecasted to surpass $7.7 billion by 2012, according to the study.

The CNC market remains highly consolidated with nearly two-thirds of the market being dominated by Fanuc and Siemens. Competition among the top three suppliers is aggressive, as the developing Asian market ramps up. The issue at stake is installed base; the demand side in this market very rarely switches suppliers due to the investment in personnel training and the ability to move applications from one machine to the next.

Currently, the market is more than halfway through the cycle which experienced its last low point in 2002. The troughs of this cycle tend to be extremely low while the peaks increase slightly from crest to crest. Emerging economies will continue to propel the overall market growth with an unprecedented number of relatively low-valued machine tools built in these regions.

Global Economy

Tougher Than the Times
Despite global economic uncertainty, the market for computer
numerical control systems was more than $6 billion in 2007 and is
expected to flirt with $8 billion by 2012, according to ARC Advisory
Group’s latest report.

More News:

  • WEG Electric Introduces the CFW500 Machinery Drive

    WEG's engineers specifically designed this new drive with increased features that focus on the machinery manufacturer's needs. It is simple, efficient, flexible and can be commissioned quickly and easily.

  • Manufacturing Technology Orders Down in May 2014

    Expectations for the 2014 manufacturing technology market were for a soft first half of the year, followed by a stronger second half. The fluctuations seen in the past few months are on track with forecasts, and all indications are that U.S. manufacturing activity is and will remain strong

  • Fast 2014 Start for NA Robotics

    A record 14,135 robots, valued at $788 million were ordered from North American robotics companies in the first half of 2014, an increase of 30% in units and 16% in revenue over the same period in 2013.

  • WEG Electric Introduces the CFW100 Mini Drive

    Programing is easy with the built in keypad that monitors two different parameters at the same time along with operation status, alarms and faults.

  • New and Noteworthy: Ocean Data Systems Develop Specialized Survey and Omega Engineering Receives Honorable Mention

    Omega Engineering received an Honorable Mention in the 2014 Best of Sensors Expo Innovation Award for its M12LCP thermocouple probes with high- temperature M12 molded connectors. The Gold Award winner was AG-SL900A EPC sensor tag and data logger IC from ams.

  • IMTS Will Land Big Footprint in Chicago

    The IANA pavilion will showcase the newest technologies focusing on new ideas and topics ranging from resource-efficient manufacturing and network security to secure industrial control systems and big data. In addition to more than 120 vendors from 16 countries, who will demonstrate their products and services, IANA will host the Global Automation and Manufacturing Summit, Motion, Drive & Automation Conference, and ISA training program.

  • NI Week Aids Industrial IoT Convergence

    Truchard reported that NI divides IoT into industrial IoT and consumer IoT, and this industrial side is focused on using big analog data, analytics, distributed timing and synchronization, and intelligence via cyber-physical systems to help factories, power grids, cities and machines work better.

  • Infographic: Internet of Things - What The Future Will Be Like

    The past 25 years of Internet growth was fueled by human communications. The next 25 years of Internet growth will be fueled by machines. How is the Internet going to affect us and what we do?

  • Bits and Bytes: Moxa Gets UL Certification; Fieldbus Int'l and Fieldbus Inc. Enter Strategic Alliance, and More

    Lemo, a Swiss designer and manufacturer of custom connectors, acquired Northwire, U.S. specialty cable manufacturer of wire and multi-conductor cable and retractiles for the medical, aerospace and defense, energy and industrial markets.

  • Industrial Businesses Know They Need More Cybersecurity; Don't Do Much About It

    So what are companies waiting for? Reasons cover everything from lack of knowledge about threat severity to worry about the cost-effectiveness of remedial efforts and the effect they might have on uptime. A full one-third of those surveyed reported they were unaware of the potential vulnerabilities in their ICS/SCADA environment, and another 19% said they were unsure about the degree of threat.

All news »

What are your comments?

You cannot post comments until you have logged in. Login Here.


No one has commented on this page yet.

RSS feed for comments on this page | RSS feed for all comments