According to a newly released study by Venture Development Corp. (VDC---Natick, Massachusetts), shipments of ruggedized/industrial computer systems to markets in North America and Western Europe are estimated to have totaled $91 million in 2003 for energy, utilities, and transportation infrastructure applications.
VDC is a technology market research and consulting firm that specializes in industrial and commercial electronics, computing, communications, software, and power systems markets. Its study is entitled entitled North American and Western European Market Demand for Ruggedized/Industrial Computer Systems.
The combined total is expected to increase at a 3.9% Compound Annual Growth Rate (CAGR), reaching $102 million in 2006.
Here's the info on shipments and shipment forecasts to North America and Western Europe"
Dollar Volume(in millions)
2003: 91, 2004: 95, 2005: 99, 2006: 102, for a CAGR of 3.9%
2003: 25257, 2004: 26821, 2005: 28432, 2006: 29807, for a CAGR of 5.7%
Average Selling Price (Dollars)
2003: 3603, 2004: 3542, 2005: 3482, 2006: 3422, for a CAGR of -1.7%
Unit shipments to these markets are expected to increase at a 5.7% CAGR over the forecast period, with a decline in the average selling price of 1.7% per year.
There are some significant factors leading to lower prices. These include:
(1) A decline in the price of commodity components. Components such as microprocessors and displays have experienced a drop in price. These savings have been passed on to manufacturers of ruggedized/industrial computer systems.
(2) Competition: new market entrants are helping to keep price competition strong.
(3) Reduced time-to-market: greater use of common components and open software is decreasing the time it takes to manufacturer these systems.
(4) New technology: new microprocessors that are more energy-efficient require less expensive heat-dissipation packaging.
"Price decline expectations would be even sharper were it not for offsetting factors that will tend to increase or hold prices steady, notes VDC Industrial Automation Practice Director Jim Taylor. "These include general inflation of labor and material costs, and the introduction of more functionality, along with new and better technologies."
For details about the report's availability, go to VDC's Web site.
Or, contact VDC's Group Manager Jim Taylor. Phone: 508-653-9000, Ext. 121. E-mail: email@example.com, or VP Marc Regberg. Phone: 508-653-9000, Ext. 111. E-mail: firstname.lastname@example.org