Electronics

PCBs to SMT

Staff Report

Despite a sluggish U.S. economy, the electronic manufacturing services industry is sparking demand for surface mount technology (SMT) rework and repair equipment.

            According to new analysis by Frost & Sullivan, total revenues for this market reached $286.5 million in 2000 and are projected to reach $458.3 million in 2007. Original equipment manufacturers (OEMs) are focusing on their core competencies, such as marketing and research and development. OEMs are outsourcing manufacturing to EMS providers at a rapid rate. EMS providers are also striving to expand their services by offering more repair and warranty services. As a result, the demand for SMT rework and repair equipment has been steady.

            “EMS providers, prime customers for SMT rework and repair equipment, face intense competition within their field,” says Frost & Sullivan Analyst Raman Monga. “With profit margins at a minimum, the appeal of expanding their services can be offset by the high cost of ...

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