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The automated optical inspection (AOI) system market is estimated to grow from $444 million by 2018 to $1,641.0 million by 2024, at a CAGR of 24.3% during 2018–2024. The key factors driving the growth of the market include growing demand for consumer electronics, increasing need for high-quality electronic components, and demand for higher productivity by electronics manufacturing services (EMS) companies. However, the high cost of AOI systems and the false call rate of image-based AOI systems are the key restraining factors for the market growth.
3D AOI System Providers to Witness High Growth Potential During Forecast Period
The market for 3D AOI systems is expected to grow at a higher CAGR from 2018 to 2024. 3D AOI has emerged as a viable technology for the detection of a variety of manufacturing defects. Increasing demand for high-quality products, proliferation of electronics in the automotive industry, and computer-aided design (CAD) and computer-aided manufacturing (CAM) are the key growth drivers for the 3D AOI system market. The main advantage of 3D AOI system is its ability to efficiently inspect height-sensitive devices and provide true volumetric measurement data as well. Moreover, their ability to overcome the limitations of conventional 2D inspection systems is one of the main factors contributing to the increasing demand for 3D inspection systems.
Market for Inline AOI to Grow at Higher CAGR during Forecast Period
The AOI system market for inline AOI is estimated to grow at a higher CAGR from 2018 to 2024.Inline AOI systems offer high flexibility to electronic component manufacturers as they can work as a part of production lines and are more suitable for inspecting components on a fast-moving production line.
The automated functionality of inline AOI systems further helps in accelerating the inspection process. Further, the inline AOI systems identify the defects quickly, thereby enabling the AOI operators to immediately seize the production of inaccurate boards, which helps prevent the bulk production of inaccurate boards.
AOI System Market for Automotive Expected to Grow at the Highest Rate during the Forecast Period
The AOI system market for the automotive industry is expected to grow at the highest CAGR from 2018 to 2024.The demand for high-performance electronic components for critical safety systems of vehicles, such as advanced driver assistance systems (ADAS), airbags, and braking systems, has resulted in increased use of electronics in automobiles.
Moreover, the implementation of wireless communication technologies such as M2M and connected vehicles has resulted in the surge in adoption of electronics components in automobiles. The increased use of high-quality electronics has propelled automotive manufacturers to use highly efficient AOI systems to inspect electronics components during the production process.
APAC to be Largest Market for AOI Systems during Forecast Period
APAC is expected to lead the AOI system market, in terms of size, from 2018 to 2024.The growth of the market in this region is attributed to the presence of several leading producers of electronic components—such as China, Japan, and South Korea—in the world.
Supportive government policies to promote domestic manufacturing have also helped the region to lead the AOI system market. For instance, in February 2018, the municipal government of Chongqing, Tsinghua Unigroup (China), and Sino IC Capital (China) entered a strategic agreement to set up an integrated circuit (IC) investment firm with a capital of USD 15.80 billion. The joint venture will invest up to USD 100 billion in IC manufacturing bases of Tsinghua Unigroup in the next 10 years. Such strategic initiatives in the electronics manufacturing sector are expected to further fuel the growth of the AOI system market in China. In July 2018, the Korean government announced its plan to invest USD 1.34 billion in the next 10 years to support the development of next-generation semiconductor technology. The investment will help Korean companies, such as Samsung and SK Hynix, to enhance their semiconductor manufacturing capabilities.
Break-up of the profile of primary participants for the report is given below:
By Company Type – Tier 1 – 40%, Tier 2 – 35% and Tier 3 – 25%
By Designation – C level – 35%, Director level – 40%, Manager level – 25%
By Region – North America - 20%, Europe – 35%, APAC – 40%, RoW – 5%
The key players in the market include Koh Young (South Korea), Test Research, Inc. (Taiwan), Omron (Japan), Mirtec (South Korea), Viscom (Germany), Camtek (Israel), CyberOptics (US), Daiichi Jitsugyo (Japan), Nordson (US), Orbotech (Israel), GOEPEL Electronic (Germany), Marantz Electronics (Netherlands), Machine Vision Products (US), Saki (Japan), and Vi Technology (France).
The global AOI system market has been segmented on the basis of type, technology, industry, and geography.The market based on type has been segmented into 2D AOI systems and 3D AOI systems.
On the basis of technology, the AOI system market has been split into inline AOI and offline AOI.The industries that are included in the study of AOI system market include consumer electronics, telecommunications, automotive, medical devices, aerospace & defense, industrial electronics, and energy & power.
