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This strategic analysis discusses the evolution in electronics design and the implications for partners in the global supply chain. Mega Trends are leading to rapid transitions in the electronics industry. Industry focus has shifted to smaller components and printed electronics and increasing the footprint of modular, as opposed to traditional, equipment. Technological advances in vertical markets also are leading to smart manufacturing techniques, and equipment is no longer limited to a specific footprint or product design. Survey findings offer information about future trends in electronics to 2020.

Executive Summary

•Frost & Sullivan and EBN recently collaborated on a survey to identify evolving trends in the electronics industry, including product road map support and implications for electronics value chain partners. This study also includes key findings from the survey. •Increasing connectivity and Mega Trends are expected to bring a significant paradigm shift in the electronics value chain. •Increasing demand for compact products, decreasing component sizes, increasing popularity of printed and flexible electronics are expected to have a significant impact on manufacturing equipment. The future of manufacturing equipment will no longer be limited to a specific product design or footprint. •Contract manufacturers are expected to benefit from increasing responsibilities and augmentation of their role to original equipment manufacturers (OEMs). •Manufacturing will become more dynamic, especially with increasing prevalence of smart factories. Innovating to zero, lean techniques, and energy efficient manufacturing will enable increasingly responsive and flexible manufacturing volumes. •In business terms, competitive intelligence and advantage are important.

Table Of Contents

Evolution in Electronics Design and Implications for Global Supply Chain Partners
TABLE OF CONTENTS

Executive Summary 4
Market Overview 7
Evolution in Electronics Design Market—Current and Future Outlook 11
Implications for Contract Manufacturing Providers 28
Implications for SMT Equipment Manufacturers 45
Implications for Other Supply Chain Participants 56
The Last Word 61
Appendix 64

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