Engineering Services Outsourcing Market Size to Surpass US$ 6.6 Trillion by 2030

According to Precedence Research, the global engineering services outsourcing market size is predicted to surpass around US$ 6.6 trillion by 2030 and expanding growth at a CAGR of 33.2% from 2022 to 2030.

Pune, INDIA


Ottawa, May 24, 2022 (GLOBE NEWSWIRE) -- The global engineering services outsourcing market size was estimated at US$ 1.5 trillion in 2021. One of the key drivers driving the adoption of the engineering services outsourcing is likely to be the growing collaborations between original equipment manufacturers and engineering service providers. The globalization of research and development activities, increased demand for utilizing the advanced and latest technologies into product offerings and the growing need to shorten product lifecycles and minimize costs are all likely to drive the engineering services outsourcing market expansion. The engineering services outsourcing market has been steadily developing in response to customer’s increasing emphasis on outsourcing various services as part of their cost-cutting efforts.

Get the Sample Pages of Report@ https://www.precedenceresearch.com/sample/1750

The growing importance of engineering services providers in original equipment manufacturer supply chains is being boosted by evolving approaches to product lifecycle development. The engineering services providers are developing service delivery models that include far broader engagement portfolios and an authorization structure that promotes innovation and accelerates top line and bottom-line development as the engineering services outsourcing offering countries to expand.

Digitalization, on the other hand, brings with it concerns about cybersecurity. The engineering services providers, original equipment manufacturers and consumers communicate significant volumes of information with end user industries and industry verticals, including data related to monitoring, load management, and quality assurance. Similarly, engineering service providers and original equipment manufacturers frequently share secret information on technology and equipment in order to development and design of software and solutions. As a result, as part of their attempts to preserve intellectual property, the major market players are implementing preventative steps such as securing critical information with access codes, evaluating network operations, and maintaining original versions of the design of source code.

Scope of the Report

Report AttributesDetails
Market Size in 2021USD 1.5 Trillion
Revenue Forecast By 2030USD 6.6 Trillion
Base Year2021
Forecast Data2022 to 2030
Companies CoveredCybage Software Pvt. Ltd, Sonata Software Limited, Tata Consultancy Services Limited, Tech Mahindra Limited, Altair Engineering Inc., Wipro Limited, HCL Technologies Limited, QuEST Global Services Ltd, EPAM Systems Inc., Accenture Plc.

Regional Snapshot

  • North America is the largest segment for engineering services outsourcing market in terms of region. The North America region is home to long standing suppliers as well as end user sectors that are constantly adopting new and innovative technologies to improve business efficiency and productivity.
  • Asia-Pacific region is the fastest growing region in the engineering services outsourcing market. For manufacturers and suppliers, the Asia-Pacific region has emerged as one of the most popular offshore outsourcing destinations.

Ask here for more customization study@ https://www.precedenceresearch.com/customization/1750

Report Highlights

  • Based on the service, the testing segment is the fastest growing segment in the global engineering services outsourcing market. The increased desire for testing services to be outsourced in order to reduce manual intervention and turn round time is predicted to contribute to the segment growth.

  • Based on the application, the industrial segment is the fastest growing segment in the global engineering services outsourcing market. The industrial internet of things is predicted to drive the industrial segment’s expansion by reducing downtimes, detecting and preventing errors, and lowering maintenance costs.

Market Dynamics

Drivers

Growing research and development activities

The development of new and innovative technologies and solutions require research and development initiatives and good number of investments. The globalization of research and development has prompted leading industry participants to incorporate global delivery systems into their separate company strategies. Thus, the growing research and development activities are driving the growth of the engineering services outsourcing market during the forecast period.

Restraints

Risk of exposing confidential information

The major drawback of engineering services outsourcing is the danger of losing sensitive data and confidentiality. When negotiating outsourced deals, having flawless procedures and checks regarding data loss and confidentiality contracts is a necessity. Thus, the risk of exposing confidential information is hindering the growth of the engineering services outsourcing market over the forecast period.

Opportunities

Technological advancements

In order to provide innovative solutions to customers or end users, the engineering services outsourcing has evolved as well. As a result, the engineering services outsourcing market has seen a transition away from core engineering services and toward embedded engineering solutions such as internet of things. Similarly, technological advancements have opened the way for products as a service that are designed with integrated information technology solutions capable of scheduling maintenance and anticipating disruptions in advance. As a result, technological advancements is creating lucrative opportunities for the growth of the engineering services outsourcing market during the forecast period.

Challenges

High service costs

The small and medium enterprises do not have enough funds for the outsourcing of engineering services. The underdeveloped countries’ firms also lack resources for outsourcing business processes. Thus, the reason to this is high cost of services which each and every organization cannot afford to pay the engineering services outsourcing firms. As a result, the high service costs are a major challenge for the growth of the engineering services outsourcing market.

Market Segmentation

By Service

  • Designing
  • Prototyping
  • System Integration
  • Testing
  • Others

By Location

  • Onshore
  • Offshore

By Application

  • Aerospace
  • Automotive
  • Industrial
  • Consumer Electronics
  • Semiconductors
  • Healthcare
  • Telecom
  • Others

By Geography

  • North America
  • Europe
  • Asia-Pacific
  • Latin America
  • Middle East & Africa (MEA)

Click Here to View Full Report Table of Contents

Buy this Premium Research Report@ https://www.precedenceresearch.com/checkout/1750

Get Our Latest Press Releases@ https://www.precedenceresearch.com/press-releases

You can place an order or ask any questions, please feel free to contact at sales@precedenceresearch.com | +1 9197 992 333

About Us

Precedence Research is a worldwide market research and consulting organization. We give unmatched nature of offering to our customers present all around the globe across industry verticals. Precedence Research has expertise in giving deep-dive market insight along with market intelligence to our customers spread crosswise over various undertakings. We are obliged to serve our different client base present over the enterprises of medicinal services, healthcare, innovation, next-gen technologies, semi-conductors, chemicals, automotive, and aerospace & defense, among different ventures present globally.

For Latest Update Follow Us:

https://www.linkedin.com/company/precedence-research/

https://www.facebook.com/precedenceresearch/

https://twitter.com/Precedence_R