The electronics manufacturing industry is observing challenges as well as opportunities. While coming up with strategic plans to control costs remains as the top priority for EMS providers, newer and more sophisticated technologies are additionally gathering momentum in the electronics manufacturing industry. This is providing revenue opportunities for the service providers after they partner with the technology solutions provider and various other organizations who supply facilities falling outside the EMS company’s core focus.
The electronic manufacturing services industry is predicted to find ways to optimize and capitalize on current trends. This is being carefully done by controlling costs, integrating technologies outside of core areas of expertise, and by meeting demands of the customers. Customer demands are further evolving and compelling EMS giants to provide their clients with an operational plan that advocates more efficient, eco-friendly manufacturing processes and automated manufacturing operations.
An Increase In The Demand For Smart Electronic Devices
More and more people want smart devices. Smartphones have been around for years, however, there is an apparent improvement in the connectivity and sophistication in the operations. Vehicular traffic is using upcoming technologies of AI, Machine Learning and Predictive Analysis. This trend is expected to encourage the development of fresh partnerships between electronic manufacturing service providers along the broad spectrum of other industries such as hospitality, architecture, traffic control corporate management etc. According to Ayla Networks, in spite of EMS providers being able to identify profit opportunities from performing a merger with technology providers, there still is a challenge of securing scalable connected products to the consumers.
EMS providers are expanding their business by identifying consumer trends. This is established by keeping up with the global technological change and by skillfully tapping on its potential to improve living standards. As there is innovation happening in established devices such as television, mobile phones, and radio, EMS companies are focusing on organizations that are improvising by building futuristic versions of the same devices with additional and more attractive USPs.
There is an apparent rise in the energy-efficient electronics which is forcing manufacturers to develop innovative methods to learn persuasive communication that boosts the use of sustainable technology. To cater to the growing demands for sustainable technologies, OEM’s (Original Electronic Manufacturers) are coming up with strategic partnerships with service providers that help them control manufacturing costs. EMS companies are able to provide consultations on the product design, manufacturing operations as well as development costs which are in sync with the demands of the end-users. EMS companies, hence, find employment in helping OEMs achieve appropriate product supplies while saving major developmental costs. Many EMS providers are devising green manufacturing facilities to machine manufacturing industries that not only help in reducing their carbon footprint but also increasing their ROI (Return On Investment). EMS services are hence, not only employed during the process of manufacturing but also throughout the supply chain cycle and product development phase.
Currently, the U.S electronic manufacturing services market is dominating the global industry with an ever-growing increase in the competition throughout the industry verticals. Further, government regulations that facilitate producing industrial applications that promote the production of safe and tested electronic products are also helping EMS industries find newer roles and possibilities across the globe.