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Electronics Production | March 21, 2007

EMS opportunities within the A&D industry

The A&D aerospace and defence industry provides a goldmine of opportunities for EMS providers to expand their services.
Though still a niche EMS market, the A&D industry has the potential to become a major revenue generator for EMS providers. When compared to the traditional EMS industries, the A&D industry offers a better profit margin. The downturn in the electronics industry and the subsequent recovery saw an increasing number of EMS providers trying to shed their focus on narrow verticals and venture into the hitherto unknown A&D industry.

This briefing will provide a concise analysis of the current trends within the A&D EMS providers market along with identifying key market trends that expect to have a significant impact on its growth rates. The briefing will also provide a gap analysis on vital parameters EMS providers
fall short of, preventing them from making the expected growth trajectory within the A&D industry.

This briefing will benefit A&D original equipment manufacturers and electronics manufacturing service providers to include the whole value chain, by discussing current as well as emerging trends and providing forward projections for North American EMS opportunities in the A&D
industry.

Highlights of the briefing include: an analysis of market trends, OEM outsourcing trends, revenue forecasts, gap analysis and competitive analysis.

"The A&D industry is proving to hold untapped promises for EMS providers," notes Frost & Sullivan Senior Research Analyst Lavanya Ram Mohan. "The A&D landscape is constantly evolving and as the budget constraints increase, OEMs will aim to increase their competitiveness by forging strategic alliances with EMS providers. EMS providers deliver competitive advantage to OEMs by letting the latter exploit EMS expertise in offering unrivaled manufacturing capabilities, design and test services, engineering capabilities, supply chain operations and also aftermarket services. Rapid advances in technology, escalating stress on profit margins and dealing with supply chain related challenges will continue to be major drivers for increasing levels of outsourcing."

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