Engineering simulation has evolved significantly over the last few decades.
In product research and development (R&D) divisions today, simulation is a ‘must-have’ rather than a ‘nice-to-have’, in contrast to a couple of decades ago. Historically, developed markets like the US, Europe and Japan have dominated spending within the engineering R&D sector. However, in the last eight to ten years the centre of decision-making in engineering R&D has gradually shifted towards the East in general. For MSC Software, this shift has led to an acceleration of investments within the Indo-Pacific region, consisting of India, ASEAN countries and ANZ.
GROWING REGION WITH DIVERSITY
The Indo-Pacific region is emerging as one of the fastest growing in the world for the computer-aided engineering (CAE) industry, with significant growth potential. Estimates by consulting bodies and industrial sources suggest that the current purchasing power of the Indo-Pacific region is in the same range as the US, the EU and China, and is poised to overtake the US and the EU in the next decade. The Indo-Pacific region as a whole is projected to grow at 6.6 % (weighted projected growth) on a $ 6.3 tn combined economy; in other words, increasing by a Malaysia or a Thailand every year, 1.
Of course, the region is not homogenous and trends vary. For example, India is fast growing in the automotive, Tier 1 and Tier 2 suppliers and small and medium businesses (SMBs), while it also has a broad aerospace, defence and machinery market. In the ASEAN region, we have Thailand with its auto supplier companies, Malaysia focussed on electronics and Singapore focussed on advanced technology. In ANZ, mining and defence are picking up. In short, as you can see, we have a wide variety of growth markets driven by different industry mix, regulations, languages and cultures.
TRENDS
This story is from the April 2019 edition of Auto Tech Review.
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This story is from the April 2019 edition of Auto Tech Review.
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