Electronics Production |
Electronics outsourcing will reach $294 billion in 2008
According to an article on Purchasing.com's website both ODMs and EMS companies will show steady growth from now on to 2008.
More OEMs are outsourcing a larger percentage of their manufacturing. About 15% of all electronics manufacturing was in 2003 outsourced to EMS- and ODM companies. By 2007 that percentage will be about 23%.
The growth of the ODM market has attracted the distributors. The distributors sees that serving the ODM market is a key to growth.
“In Asia, ODMs play a big role,” says David West at Arrow.“In North America, customers are focused on developing intellectual property, building product and leveraging their name brand,” says West. “ODMs don’t play much of a role. In Asia, many times it is about cost reduction. The role of the ODM is bigger.”