The wider integration of wireless technology into products that were previously wired has caused a steady shift in electromagnetic compatibility (EMC) test services from classic or non-wireless testing to wireless testing. This trend, along with the proliferation of smart devices, has resulted in a higher number of new frequency bands. The greater density of frequency bands, in turn, has created a need for noise and emission reduction, making a strong case for enhanced EMC tests and services.
New analysis from Frost & Sullivan, The European Electromagnetic Compatibility Test and Services Market, finds that the market earned revenues of $405 million in 2013 and estimates this to reach €409.6 million ($557.8m) in 2020.
“With the integration and implementation of new technologies as well as the increasing complexity of electronic equipment, customers will require enhanced types of testing services,” said Frost & Sullivan Measurement & Instrumentation Research Analyst Rohan Joy Thomas. “Consequently, there will be the demand for EMC test equipment such as electromagnetic interference (EMI) test receivers, which are capable of more and quicker measurements, and spectrum analysers that are faster as well as more efficient and versatile.”
The market will be sustained by the advances in the automotive industry, where there is intense activity around electric and hybrid vehicles. Electric and hybrid cars consist of a high voltage power source, an electric motor, a frequency convertor as well as high power cables. The high voltage power source could lead to more emissions of radiation, which can pollute the environment, or interfere with other electric equipment.
To ensure that the vehicle is electromagnetically compliant with its surroundings, original equipment manufacturers (OEMs) require EMC testing services and consultations from a market participant with significant expertise in this domain. Overall, the higher sophistication of electric and hybrid vehicles generates a need for upgraded EMC test equipment and systems.
However, although opportunities are plenty, the maturity of the market hinders the growth of smaller participants. As suppliers of EMC testing equipment and test services build their reputation on experience as much as technical expertise, it will be difficult for a market entrant to break into the market. The high investment costs are also significant entry barriers to a fragmented and price-sensitive market.
“In such a scenario, participants tend to pull out all stops to retain their customer base – primarily by providing exceptional customer services and international standards of testing,” noted Thomas. “As EMC testing equipment and test services are highly specialized, participants have to constantly offer technological innovations and act as one-stop shops for customers.”
The European Electromagnetic Compatibility Test and Services Market is part of the Test & Measurement Growth Partnership Service program. Frost & Sullivan’s related research services include: Global Sensor Outlook 2013, European Fiber Optic Test Equipment Markets, Western Europe General Purpose Test and Measurement Equipment Market, Analysis of World Markets and Trends for System-in-Package (SiP) Technology and World Densitometers and Profilometers Markets. All research services included in subscriptions provide detailed market opportunities and industry trends evaluated following extensive interviews with market participants.