IMARC Group's report titled "Aerospace Engineering Services Outsourcing Market Report by Component (Hardware, Software), Service (Design and Engineering, Manufacturing Support, Security and Certification, After-Market Services), Location (On-Shore, Off-Shore), and Region 2023-2028", offers a comprehensive analysis of the industry, which comprises insights on the global aerospace engineering services outsourcing market share. The global market size reached US$ 77.4 Billion in 2022. Looking forward, IMARC Group expects the market to reach US$ 256.6 Billion by 2028, exhibiting a growth rate (CAGR) of 22.1% during 2023-2028.
For an in-depth analysis, you can refer sample copy of the report: https://www.imarcgroup.com/aerospace-engineering-services-outsourcing-market/requestsample
Factors Affecting the Growth of the Aerospace Engineering Services Outsourcing Industry:
- Cost Reduction and Focus on Core Competencies:
Aerospace companies are continually seeking ways to reduce operational costs while enhancing efficiency and productivity. Outsourcing engineering services allows these companies to achieve significant cost savings, primarily due to lower labor costs in outsourcing destinations. Additionally, it enables them to focus on their core competencies, such as design innovation, brand strengthening, and market expansion. By delegating engineering tasks to specialized service providers, these companies are leveraging the expertise and advanced technologies offered by these vendors, leading to optimized processes and innovative solutions. This strategic shift not only reduces operational and labor costs but also allows for the reallocation of resources towards more critical, revenue-generating activities, thereby improving overall business efficiency.
- Increasing Demand for New Aircraft and Modernization of Fleets:
The rising demand for fuel-efficient and new-generation aircraft is impelling the market growth. Aerospace companies are improving their aircraft production and modernizing existing fleets, which is catalyzing the demand for engineering services. Outsourcing engineering tasks becomes a strategic move to meet these demands efficiently. It allows for scalability and flexibility in operations, enabling companies to adapt to changing market conditions and user requirements quickly. Additionally, the shift towards more environment-friendly and technologically advanced aircraft necessitates continuous innovation and development in areas like lightweight materials, aerodynamics, and propulsion systems.
- Rapid Technological Changes and Innovation Needs:
The aerospace industry is under constant pressure to innovate due to rapid technological advancements and evolving standards. Outsourcing engineering services provides access to cutting-edge technological solutions and innovative approaches. Specialized outsourcing partners are often at the forefront of emerging technologies like artificial intelligence (AI), robotics, and digital twin technologies. By collaborating with these partners, aerospace companies are incorporating these advanced technologies into their products and processes, leading to more efficient, sustainable, and high-performing aerospace solutions. This collaboration not only fosters innovation but also helps companies stay competitive in a market where technological leadership is closely linked to market success.
Leading Companies Operating in the Global Aerospace Engineering Services Outsourcing Industry:
- Akka Technologies (Adecco Group)
- Altair Engineering Inc.
- ALTEN Group
- Bertrandt AG
- Capgemini Engineering (Capgemini SE)
- Edison Welding Institute
- Honeywell International Inc.
- L&T Technology Services Limited (Larsen & Toubro Limited)
- Lisi SA
Aerospace Engineering Services Outsourcing Market Report Segmentation:
By Component:
- Hardware
- Software
Hardware exhibits a clear dominance in the market due to the increasing demand for advanced aerospace hardware components and technological advancements in this sector.
By Service:
- Design and Engineering
- Manufacturing Support
- Security and Certification
- After-Market Services
Manufacturing support holds the biggest market share as it plays a pivotal role in ensuring efficient production processes and quality control within the aerospace industry.
By Location:
- On-Shore
- Off-Shore
On-shore accounts for the majority of the market share, attributed to the preference for proximity and ease of communication with clients.
Regional Insights:
- North America (United States, Canada)
- Asia Pacific (China, Japan, India, South Korea, Australia, Indonesia, Others)
- Europe (Germany, France, United Kingdom, Italy, Spain, Russia, Others)
- Latin America (Brazil, Mexico, Others)
- Middle East and Africa
North America dominates the market, owing to its established aerospace industry and rising investments in research and development (R&D.
Global Aerospace Engineering Services Outsourcing Market Trends:
With the increasing digitization of aerospace systems, the threat of cyber-attacks is becoming more pronounced. Aerospace companies are actively seeking outsourcing partners who can provide advanced cybersecurity solutions for their software and hardware components. Outsourcing cybersecurity services ensures access to specialized expertise and state-of-the-art security technologies, which are essential in safeguarding against evolving cyber threats.
Besides this, modern aerospace engineering challenges require a blend of different skills and perspectives, which leads to the need for outsourcing relationships that involve cross-functional teams. This approach facilitates the integration of diverse expertise, such as aerodynamics, materials science, electronics, and systems engineering, to innovate and solve complex problems more effectively.
Note: If you need specific information that is not currently within the scope of the report, we will provide it to you as a part of the customization.
About Us:
IMARC Group is a leading market research company that offers management strategy and market research worldwide. We partner with clients in all sectors and regions to identify their highest-value opportunities, address their most critical challenges, and transform their businesses.
IMARCs information products include major market, scientific, economic and technological developments for business leaders in pharmaceutical, industrial, and high technology organizations. Market forecasts and industry analysis for biotechnology, advanced materials, pharmaceuticals, food and beverage, travel and tourism, nanotechnology and novel processing methods are at the top of the company’s expertise.
Our offerings include comprehensive market intelligence in the form of research reports, production cost reports, feasibility studies, and consulting services. Our team, which includes experienced researchers and analysts from various industries, is dedicated to providing high-quality data and insights to our clientele, ranging from small and medium businesses to Fortune 1000 corporations.
Contact US:
IMARC Group
134 N 4th St. Brooklyn, NY 11249, USA
Email: sales@imarcgroup.com
Tel No:(D) +91 120 433 0800
United States: +1-631-791-1145 | United Kingdom: +44-753-713-2163
