In recent years, the Equipment-as-a-Service (EaaS) market has experienced notable growth, largely driven by advancements in digitalization and the increasing disruption caused by the Internet of Things (IoT) industry, along with other technology-driven influences.
New Delhi, Feb. 11, 2025 (GLOBE NEWSWIRE) — According to recent data from Astute Analytica, the global equipment-as-a-service (EaaS) market is expected to grow with a CAGR of 11.5% during the forecast period 2021-2027.
The anticipated rise in automotive production is likely to have a beneficial impact on the demand for CNC (Computer Numerical Control) and laser-cutting machines throughout the forecast period. The automotive manufacturing process is inherently complex and involves multiple stages, necessitating high levels of precision and performance at every step. As automotive companies strive to enhance their production capabilities and deliver more efficient and innovative vehicles, the demand for advanced manufacturing technologies, including CNC and laser-cutting machines, has surged.
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This increased demand can be attributed to the automotive industry’s focus on producing high-quality auto parts that meet stringent performance and efficiency standards. With the shift towards more sophisticated materials and designs, manufacturers are turning to CNC and laser-cutting technologies to achieve the required levels of accuracy.
These machines are integral to the production of essential vehicle components, such as carbon composite materials, which are increasingly favored for their strength and lightweight properties. Additionally, critical body parts, body sheets, frames, and various internal and external automotive components are manufactured using metal CNC and laser-cutting machines, underscoring their vital role in the automotive sector.
Increasing Penetration of IoT: Offering Robust Opportunities for the Equipment-as-a-Service Market
The Internet of Things (IoT) has been a transformative force across various industries over the past few years, significantly contributing to their growth and innovation. As we look ahead, the IoT is anticipated to continue its substantial expansion, with projections indicating that by 2025, there will be over 75 billion connected devices globally.
This surge in connectivity is expected to have a profound impact on the economy, with IoT technologies poised to contribute between $10 trillion and $15 trillion to the world’s GDP by the year 2030. Such growth not only highlights the increasing integration of IoT into everyday life but also showcases its potential to drive forward the development and efficiency of numerous sectors.
In particular, the manufacturing industry stands to benefit tremendously from the opportunities presented by IoT, especially in the context of the global Equipment-as-a-Service (EaaS) marketplace. The capability to collect and analyze usage data from equipment in real time has enabled manufacturers to implement cost-effective solutions that were previously unattainable.
This data-driven approach allows for a more economical adoption of the EaaS model, making it feasible for businesses to provide their equipment as a service rather than through traditional sales. The EaaS model presents numerous advantages for both equipment suppliers and manufacturers. By integrating IoT technology into equipment contracts, companies can enhance operational uptime without incurring heavy upfront investments.
This integration allows for proactive maintenance strategies, where equipment is serviced before reaching critical wear levels, thus minimizing the likelihood of unexpected failures. As a result, companies involved in the equipment sector are experiencing lower failure rates and improved customer satisfaction, as they can ensure that their machinery is always in optimal working condition. This symbiotic relationship between IoT and EaaS not only fosters innovation but also enhances the overall value proposition for businesses in the manufacturing landscape.
North America to Witness the Highest Revenue Share
North America is projected to play a significant role in the construction industry, largely due to the increasing adoption of advanced technologies and the strong presence of leading companies in the region. The landscape of construction in North America is rapidly evolving, driven by innovation and technological advancements that enhance efficiency and productivity.
A notable indicator of this growth is reflected in data from the Associated General Contractors (AGC) of America, Inc., which reported that construction spending in January 2022 was 8.2% higher compared to the same month in the previous year. This substantial increase underscores the vigorous pace at which the industry is expanding in the region, highlighting both the demand for construction services and the willingness of stakeholders to invest in new projects.
One of the emerging trends that could further transform the construction industry is the Equipment as a Service (EaaS) model, which has already found success in the manufacturing sector. This innovative approach allows businesses in the construction field to lease equipment rather than purchase it outright. With EaaS, companies can also access additional services, such as preventative maintenance and support, which are based on the actual usage and productivity of the equipment.
This model is particularly advantageous for construction firms, as it enables them to utilize the latest state-of-the-art equipment without incurring the heavy upfront costs typically associated with purchasing machinery. By adopting the EaaS model, construction companies can enhance their operational flexibility, reduce financial burdens, and ultimately improve project outcomes, making it an appealing option in an industry that is increasingly leaning towards modernization and efficiency.
Top Companies
- Aluvation
- Heidelberger Druckmaschinen
- Gothaer
- Heller
- Kaeser Compressors
- Marlin Capital
- Microsoft
- PTC
- Relayr
- Rolls Royce
- SAP
- Siemens
- TCS
- T Systems
- Others
Market Segmentation
By Application
- Condition Monitoring
- Production Monitoring
- Predictive Maintenance
- Process Optimization
- Others
By Payment-Model
- Machine-as-a-Service (MaaS)
- Pay-per-use (PPU)
- Usage-based payment
- Service-driven business models
- Others
By End-Use
- Aerospace & Defence
- Automotive
- Heavy Machinery
- Medical Devices
- Manufacturing
- Oil & Gas
- Others
By Region
- North America
- Europe
- Asia Pacific
- Middle East & Africa
- South America
For more information about this report visit https://www.astuteanalytica.com/industry-report/equipment-as-a-service-market
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CONTACT: Contact Us: Astute Analytica Phone: +1-888 429 6757 (US Toll Free); +91-0120- 4483891 (Rest of the World) For Sales Enquiries: sales@astuteanalytica.com Website: https://www.astuteanalytica.com/
