CNC lead shifts from Japan to Europe

The centre of gravity of the machine tool market has shifted from Japan to Europe, according to a new analysis of the global market for CNC hardware, software and services. The study, by ARC Advisrory Group, predicts that the CNC market will grow from $3.7bn last year to $5.1bn by 2004 - a compound annual growth rate of 6.7%.

"The worldwide CNC market is being reshaped as the two leading suppliers, Siemens and Fanuc, battle for a dominant positions," says ARC senior analyst, Sal Spada. "A market once dominated by Fanuc, has now seen one of the most significant shifts in the last 15 years."

While Fanuc and other Japanese suppliers have suffered from a weak hone economy, Siemens has benefited from a resurgence in the European machine tool market and the weak Euro.

ARC expects the CNC market to undergo a period of consolidation after which the only survivors will be niche market players, and global operators such as Siemens, Fanuc, Mitsubishi and Bosch Rexroth.

In another report, ARC predicts that the global market for HMI (human machine interface) software will grow from $461m last year to $741m by 2005 - a CAGR of 9.9%. It says that bundled HMI packages being offered by PLC suppliers are causing pain among independent HMI vendors. Technologically, it detects a shift from standalone HMI packages to a client-server architecture that allow processes to be monitored and controlled via intranets or the Internet.