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Growth curve: EMS providers learning to make more than high-tech products

By Manufacturing Business Technology Staff -- Manufacturing Business Technology, 1/23/2008 10:28:00 AM

Electronics manufacturing services (EMS) companies are poised to expand beyond their traditional roles of making consumer electronics, telecommunications, and automotive products. Successful EMS providers will soon penetrate into markets such as medical, industrial, retail stores, as well as aerospace and defense by proving their capabilities and creating differentiation.
That’s the conclusion of research recently conducted by The Technical Insights Group at Frost & Sullivan, the global research and consulting firm. Details of the research are scheduled to be revealed in a Web-based presentation on Tuesday, Jan. 29.
Frost & Sullivan says the briefing will benefit electronic contract manufacturers; semiconductor original equipment manufacturers (OEM); original design manufacturers; integrated device manufacturers; and end-users/application developers that wish to track the trends in the industry and extend their capabilities.
Highlights will include emerging trends in the EMS industry, such as geographic and economic factors that are influencing market growth. 
Frost & Sullivan notes that EMS providers play a critical role in helping semiconductor OEMs develop strategies for reducing costs, time-to-market, and time-to-volume while also increasing product quality.
"EMS providers greatly depend on OEMs for outsourcing, and the increasing competition in the EMS market is driving the EMS providers to supply distinctive value-added services and portray global competence in terms of being able to adapt to dynamic market characteristics," notes Frost & Sullivan analyst Kasthuri Jagadeesan.
"EMS providers should also focus on understanding the needs of the customers and the business models of their customers or OEMs in order to achieve profit margins, market share, and successful end-products; and when they move toward higher levels of integration, they should offer flexibility in their solutions," adds Frost & Sullivan analyst Krishnakumar Srinivasan.
Anyone interested in attending the January 29 briefing should email David Escalante at david.escalante@frost.com with the following information: your full name, company name, title, telephone number, email address, company address, city, state, and country. Upon receipt of the above information, a registration link will be emailed to you.
You may also register to receive a recorded version of the briefing at anytime by submitting the aforementioned contact details.

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