Technology

Electronics Manufacturing Services Market to Grow by USD 164.6 Billion from 2024-2028, Expansion in Low-Wage Economies Fuels Growth, Report on AI’s Role in Market Transformation- Technavio

Published

2 years ago

August 26, 2024

NEW YORK, Aug. 26, 2024 /PRNewswire/ — The global electronics manufacturing service market size is estimated to grow by USD 164.6 billionn from 2024-2028, according to Technavio. The market is estimated to grow at a CAGR of almost 6.21% during the forecast period. Increasing number of electronics manufacturing services providers in economies with low hourly wages is driving market growth, with a trend towards collaborative co-innovation partnership with electronics manufacturing services providers. However, risk of intellectual property theft and misuse poses a challenge. Key market players include Accton Technology Corp., Benchmark Electronics Inc., Celestica Inc., Compal Electronics Inc., Creation Technologies LLC, Data IO Corp., Elbit Systems Ltd., ESCATEC Sdn. Bhd., First International Computer Inc., Flex Ltd., Hon Hai Precision Industry Co. Ltd., Integrated Micro Electronics Inc., Jabil Inc., Key Tronic Corp., Kimball Electronics Inc., Kitron ASA, Neo Tech Inc., Plexus Corp., Sanmina Corp., and Venture Corp. Ltd..

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Electronics Manufacturing Service Market Scope

Report Coverage

Details

Base year

2023

Historic period

2018 – 2022

Forecast period

2024-2028

Growth momentum & CAGR

Accelerate at a CAGR of 6.21%

Market growth 2024-2028

USD 164.6 billion

Market structure

Fragmented

YoY growth 2022-2023 (%)

5.75

Regional analysis

APAC, North America, Europe, South America, and Middle East and Africa

Performing market contribution

APAC at 55%

Key countries

China, US, Taiwan, Japan, and Germany

Key companies profiled

Accton Technology Corp., Benchmark Electronics Inc., Celestica Inc., Compal Electronics Inc., Creation Technologies LLC, Data IO Corp., Elbit Systems Ltd., ESCATEC Sdn. Bhd., First International Computer Inc., Flex Ltd., Hon Hai Precision Industry Co. Ltd., Integrated Micro Electronics Inc., Jabil Inc., Key Tronic Corp., Kimball Electronics Inc., Kitron ASA, Neo Tech Inc., Plexus Corp., Sanmina Corp., and Venture Corp. Ltd.

Market Driver

Electronics Manufacturing Services (EMS) outsourcing partnerships require a collaborative approach, with both customer organizations and service providers sharing risks and creating value through joint functioning. Co-innovation is a key aspect of these relationships, enabling the exchange of knowledge to develop new solutions and products. Despite the increasing challenges and risks in EMS adoption, successful outsourcing relationships continue. EMS providers function as integrated strategic partners, with customer companies investing in their offshore operations and monitoring for optimal quality. Apple, for example, outsources electronics manufacturing to Chinese providers, leveraging their expertise while maintaining quality control. Airtel, an Indian telecom company, collaborates extensively with IBM, Ericsson, Nokia, and Siemens, under shared risk and reward contracts. These collaborations and co-innovations are expected to foster a favorable market ecosystem, driving growth in the EMS market.

The Electronics Manufacturing Services (EMS) market is experiencing significant trends in various industries. In healthcare, there’s a growing demand for advanced medical equipment. Automotive sector sees a surge in sub-assembly manufacturing, testing, and component assembly for electric vehicles. Industrial output is boosted by the adoption of new technologies like virtual reality, 3D printing, and structural electronics. The coronavirus pandemic has disrupted the electronics supply chain, highlighting the need for cybersecurity and resilience. Capacitors, connectors, LCD panels, and other components are in high demand. EMS providers offer engineering services and logistics to OEMs in Consumer Electronics, Aerospace & Defense, IT and Telecom, IoT, and 3D technologies. E-waste recycling and Greener Electronic Devices are crucial for a circular economy and Zero-waste nation. Global E-waste Monitor 2020 reports an increase in e-waste generation. New technologies like 5G, AI, and IoT-enabled cars drive productivity levels. Urban and population growth fuel demand for smart home products, smartphones, televisions, and more. EMS providers play a key role in the electronics industry, from manufacturing electronic equipment to providing engineering services and logistics. They help OEMs navigate the complexities of the industry, ensuring high-quality products and on-time delivery. The future of EMS lies in the adoption of new technologies, structural electronics, and the circular economy.

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Market Challenges

The electronics manufacturing services market faces a significant challenge in the form of intellectual property (IP) theft. Many electronics businesses keep their manufacturing designs confidential and have strict policies against outsourcing manufacturing to EMS providers due to IP concerns. Despite thorough documentation before contract award, customers remain apprehensive about potential IP technology and design leakage, data theft, and misuse at EMS providers. Laws and contracts aim to prevent such breaches, but proving a violation is challenging due to differences in IP protection laws between home countries and service providers’ locations. Techniques used for IPR infringement include forced technology transfer, corporate espionage, and direct data theft through hacking. The continuous evolution of technologies and cyberattacks, as well as the increasing use of cloud technology by EMS providers, make it difficult to completely eliminate the risk of unauthorized access to confidential data. This concern limits the adoption of electronics manufacturing services in certain industries, such as military and defense, thereby impeding market growth.The electronics manufacturing industry faces several challenges as new technologies like IoT, 3D technologies, and structural electronics gain popularity. E-waste recycling and producing greener electronic devices are becoming essential for businesses to address sustainability concerns. The Global E-waste Monitor 2020 reports an increasing amount of e-waste from consumer electronics, aerospace & defense, IT and telecom, and urban growth. EMS providers must adapt to these trends and offer logistics and engineering services to help OEMs meet the demands of the circular economy and zero-waste nation. Structural electronics penetration is growing in smart home products, smartphones, televisions, and even high-end autos and space vehicles. EMS providers must keep up with the latest trends to meet the needs of various industries, including automotive electronics manufacturers and IoT-enabled cars. Electric vehicle sales are surging, leading to a rise in demand for electronic equipment manufacturing. The challenges are significant, but with innovation and collaboration, the electronics manufacturing industry can meet these demands and contribute to a sustainable future.

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Segment Overview

This electronics manufacturing service market report extensively covers market segmentation by

End-user 1.1 Computing and consumer appliances1.2 Telecommunication1.3 Industrial1.4 Automotive1.5 OthersService Type2.1 Electronics design and engineering2.2 Electronics assembly2.3 Electronics manufacturing2.4 OthersGeography 3.1 APAC3.2 North America3.3 Europe3.4 South America3.5 Middle East and Africa

1.1 Computing and consumer appliances- The Electronics Manufacturing Services (EMS) market is a significant sector in the global electronics industry. Companies in this market provide services such as design, manufacturing, testing, and assembly of electronic components and systems for various industries. EMS providers help businesses reduce costs, improve product quality, and shorten time-to-market. They use advanced technologies and processes to ensure high-quality production and efficient supply chain management. The EMS market is expected to grow due to increasing demand for electronic devices and the trend towards outsourcing manufacturing services.

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Research Analysis

The Electronics Manufacturing Services (EMS) market encompasses a wide range of services, including healthcare and automotive sub-assembly manufacturing, testing, component assembly and re-engineering, and engineering services. These services play a crucial role in the production of various electronics, from industrial output to consumer goods such as smartphones, smart home products, and virtual reality devices. New technologies, such as structural electronics and 3D printing, are revolutionizing the electronics manufacturing industry, leading to increased productivity levels and cost savings. Capacitors, connectors, LCD panels, and other components are integral parts of these manufacturing processes. E-waste recycling is a growing concern for the industry, as the demand for new electronics continues to rise. OEMs are increasingly turning to EMS providers for help in managing their e-waste responsibly. The automotive sector is a significant contributor to the EMS market, with the demand for advanced driver assistance systems (ADAS) and electric vehicle components driving growth. Low-income individuals also benefit from the affordability and accessibility of electronics manufacturing services, making technology more accessible to a wider audience. Overall, the EMS market is a dynamic and evolving industry, driven by new technologies and the demands of various sectors, including healthcare, automotive, and consumer electronics.

Market Research Overview

The Electronics Manufacturing Services (EMS) market is a critical sector in the global electronics industry, catering to various end-use industries such as healthcare, automotive, and consumer electronics, among others. The market encompasses sub-assembly manufacturing, testing, component assembly & re-engineering, and more. New technologies like virtual reality, 3D printing, and structural electronics are driving innovation in the industry. The coronavirus pandemic has disrupted the electronics supply chain, highlighting the need for cybersecurity measures. Industrial output is a significant factor in the EMS market, with sectors like aerospace & defense, IT and telecom, and IoT driving demand for electronics. Capacitors, connectors, LCD panels, and other components are essential building blocks of electronic devices. Productivity levels are a key focus area for EMS providers, with new technologies like 3D technologies and electric vehicles driving growth. The circular economy and zero-waste initiatives are gaining momentum, with E-waste recycling and Greener Electronic Devices becoming essential. The Global E-waste Monitor 2020 reported that over 53.6 million tons of e-waste were generated in 2019. The electronics manufacturing industry is also addressing the challenges of urban growth and population growth, providing solutions for low-income individuals. Structural electronics penetration is increasing, with applications in high-end autos, space vehicles, smart home products, and smartphones. Logistics services and engineering services are crucial for OEMs to ensure timely delivery and quality. The EMS market is also witnessing the demand for IoT-enabled cars and electric car sales. The future of the EMS market lies in the adoption of new technologies and the transition towards a circular economy.

Table of Contents:

1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation

End-userComputing And Consumer AppliancesTelecommunicationIndustrialAutomotiveOthersService TypeElectronics Design And EngineeringElectronics AssemblyElectronics ManufacturingOthersGeographyAPACNorth AmericaEuropeSouth AmericaMiddle East And Africa

7 Customer Landscape
8 Geographic Landscape
9 Drivers, Challenges, and Trends
10 Company Landscape
11 Company Analysis
12 Appendix

About Technavio

Technavio is a leading global technology research and advisory company. Their research and analysis focuses on emerging market trends and provides actionable insights to help businesses identify market opportunities and develop effective strategies to optimize their market positions.

With over 500 specialized analysts, Technavio’s report library consists of more than 17,000 reports and counting, covering 800 technologies, spanning across 50 countries. Their client base consists of enterprises of all sizes, including more than 100 Fortune 500 companies. This growing client base relies on Technavio’s comprehensive coverage, extensive research, and actionable market insights to identify opportunities in existing and potential markets and assess their competitive positions within changing market scenarios.

Contacts

Technavio Research
Jesse Maida
Media & Marketing Executive
US: +1 844 364 1100
UK: +44 203 893 3200
Email: media@technavio.com
Website: www.technavio.com/

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SOURCE Technavio

Technology

Chef Robotics Physical AI Models Can Now Automate Baked Goods Packing

Published

3 hours ago

April 29, 2026

SAN FRANCISCO, April 29, 2026 /PRNewswire/ — Chef Robotics, a leader in physical AI for the food industry, today announced that Chef robots can now automate tray assembly for baked goods packing. The application places baked products, such as burger buns, chocolate chip cookies, biscotti, butter cookies, biscuits, fortune cookies, granola bars, rusks, and shortbreads into trays and packaging containers before sealing.

Watch Chef robots in action.

Baked goods packing has historically been difficult to automate for high-mix production. Each item behaves differently on the production line—a granola bar compresses under the wrong grip, while a biscotti or rusk can crack if placed at the wrong angle. Surface textures range from glazed and smooth to crumbly and irregular, and strict presentation requirements leave little room for error. This variability has made it challenging for automation systems to reliably handle baked goods at production speeds, leaving food manufacturers dependent on manual labor and traditional bakery equipment.

To address this, Chef built its baked goods packing application on its existing piece-picking capability, which uses Chef’s AI-powered computer vision and physical AI models trained across diverse real-world production environments. This allows Chef robots to assess each item’s position, shape, and orientation in real time and determine how to pick the items from the pan and place them quickly and precisely without damaging them.

The baked goods packing application supports four distinct placement capabilities.

First, Chef’s vision system detects the angle at which each item sits in the pan and reorients it after picking, placing it on the tray at the exact angle required, regardless of its original position, enabling retail-ready presentation for SKUs that require precise angular placement.

Second, Chef robots can place multiple baked goods into the same packaging container in a single automated pass, completing full tray assembly without manual intervention.

Third, for packaging containers with multiple small compartments, Chef robots can precisely place items into each designated section, including multiple items in the same compartment, using Chef’s AI vision model to detect compartment positions and orientations in real time.

Fourth, Chef’s vision system identifies the exact center of each tray and places every item at a predefined offset from that center, ensuring a uniform, consistent arrangement across every pack regardless of how trays arrive on the conveyor.

For food manufacturers evaluating bakery systems and baked goods packaging automation, the application offers higher throughput, reduced labor dependency, and consistent presentation across shifts. The capability runs on Chef’s existing robotic hardware and software, allowing manufacturers to deploy it without requiring any changes to their production lines.

Chef’s baked goods packing application is available in the U.S., Canada, Germany, and the UK and is included as part of Chef’s robotics-as-a-service (RaaS) pricing model.

About Chef Robotics
Chef is the first company to have commercialized a scalable AI-driven food robotics solution. With over 104 million servings made in production, Chef leverages ChefOS, an AI platform for food manipulation, to offer a Robotics-as-a-Service solution that helps industry-leading food companies increase production volume and meet demand. Headquartered in San Francisco, CA, Chef aims to empower humans to do what humans do best by accelerating the advent of intelligent machines. Visit https://chefrobotics.ai to learn more.

View original content:https://www.prnewswire.com/news-releases/chef-robotics-physical-ai-models-can-now-automate-baked-goods-packing-302756923.html

SOURCE Chef Robotics

Technology

Chef Robotics Physical AI Models Can Now Automate Baked Goods Packing

Published

3 hours ago

April 29, 2026

Watch Chef robots in action.

The baked goods packing application supports four distinct placement capabilities.

Second, Chef robots can place multiple baked goods into the same packaging container in a single automated pass, completing full tray assembly without manual intervention.

Chef’s baked goods packing application is available in the U.S., Canada, Germany, and the UK and is included as part of Chef’s robotics-as-a-service (RaaS) pricing model.

View original content:https://www.prnewswire.com/news-releases/chef-robotics-physical-ai-models-can-now-automate-baked-goods-packing-302756923.html

SOURCE Chef Robotics

Technology

Air Products to Expand Industrial Gas Supply for Samsung Electronics’ Next-Generation Semiconductor Fab in South Korea

Published

3 hours ago

April 29, 2026

New investment underscores the company’s long-term commitment to Korea and its leading role in the global semiconductor industry

LEHIGH VALLEY, Pa., April 29, 2026 /PRNewswire/ — Air Products (NYSE:APD), a world-leading industrial gases company and serving Samsung globally, today announced it has been selected by Samsung to supply industrial gases for its new advanced semiconductor fab in Pyeongtaek, Gyeonggi Province, South Korea.

Under the agreement, Air Products will build, own and operate multiple state-of-the-art production facilities and a bulk specialty gas supply system to supply nitrogen, oxygen, argon, and hydrogen for Samsung’s new semiconductor fab. The new facilities are expected to come onstream in multiple phases from 2028 through 2030.

Air Products has a long track record of executing multiple phase expansions in Pyeongtaek to support Samsung’s growing manufacturing needs. This latest project represents Air Products’ largest investment to date in the semiconductor industry and will establish Pyeongtaek as the company’s single largest operations site globally supporting the electronics industry.

“Air Products is honored to be selected once again by Samsung and to have their continued confidence as a trusted partner supporting their strategic growth plans,” said SR Kim, President, Air Products Korea. “This significant investment reinforces Air Products’ role as a leading global supplier to the semiconductor industry and underscores our long-standing commitment to supporting our strategic customers with safety, reliability, efficiency and excellent service.”

Air Products has served the global electronics industry for more than 40 years, supplying industrial gases safely and reliably to many of the world’s leading technology companies. The company has operated in Korea for more than 50 years and has established a strong position in electronics and manufacturing sectors.

About Air Products

Air Products (NYSE: APD) is a world-leading industrial gases company in operation for over 85 years focused on serving energy, environmental, and emerging markets and generating a cleaner future. The Company supplies essential industrial gases, related equipment and applications expertise to customers in dozens of industries, including refining, chemicals, metals, electronics, manufacturing, medical and food. As the leading global supplier of hydrogen, Air Products also develops, engineers, builds, owns and operates some of the world’s largest clean hydrogen projects, supporting the transition to low- and zero-carbon energy in the industrial and heavy-duty transportation sectors. Through its sale of equipment businesses, the Company also provides turbomachinery, membrane systems and cryogenic containers globally.

Air Products had fiscal 2025 sales of $12 billion from operations in approximately 50 countries. For more information, visit airproducts.com or follow us on LinkedIn, X, Facebook or Instagram.

This release contains “forward-looking statements” within the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on management’s expectations and assumptions as of the date of this release and are not guarantees of future performance. While forward-looking statements are made in good faith and based on assumptions, expectations and projections that management believes are reasonable based on currently available information, actual performance and financial results may differ materially from projections and estimates expressed in the forward-looking statements because of many factors, including the risk factors described in our Annual Report on Form 10-K for the fiscal year ended September 30, 2025 and other factors disclosed in our filings with the Securities and Exchange Commission. Except as required by law, we disclaim any obligation or undertaking to update or revise any forward-looking statements contained herein to reflect any change in the assumptions, beliefs or expectations or any change in events, conditions or circumstances upon which any such forward-looking statements are based.

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SOURCE Air Products