Growth of European test, measurement equipment market hinges on awareness

02/16/2006


The economic slowdown in Europe is urging customers in automotive, aerospace and defense, electronics, and telecommunications industries to purchase used test and measurement devices, reports Frost & Sullivan (F&S). The global consultant says the availability of good-quality equipment for a fraction of the cost of new items is subsequently fueling growth in the European used test and measurement equipment market.

According to F&S, the test and measurement equipment market remains highly fragmented, with a number of local participants, brokers, OEMs, traders, and re-sellers catering to customers’ demands. At the same time, the market will benefit from OEMs striving to provide warranties and terms similar to those offered with new test and measurement equipment. Says Prathima Bommakanti, F&S research analyst, “Entry of OEMs in the market has created a new benchmark with respect to quality checks and warranty terms.”

On the other hand, as the supply of used test and measurement equipment is insufficient to meet existing demand in the market, ensuring equipment availability remains a challenge, says F&S, adding that the presence of brokers who act as an interface between buyers and sellers has also led to a lack of transparency and posed a challenge to market growth.

Market growth will be supported by rising demand for used electronic counters in the aerospace and defense, communications, automotive, and semiconductor industries, says F&S. Their use in wireless communication, broadband, Bluetooth, and global position systems is also likely to increase demand. Analysts also see strong growth in used oscilloscope test equipment and power meter market segments due to growing security needs.

—Jeanine Katzel, senior editor, Control Engineering,
jkatzel@reedbusiness.com





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