CIMdata Press Releases
CIMdata Reports that NC Software Market Grows by 6.5% in 2005
ANN ARBOR, Michigan, April 12, 2006—CIMdata consulting and research firm estimates that based on end user payments, the worldwide NC software and related services market grew by 6.5% in 2005 to reach a level of $1.25 billion. Moreover, CIMdata estimates that in 2006 these payments will further increase by 7.2% to reach a level of $1.34 billion. These growth rates are the highest since 1999 when the market grew by 8.0%. There was no growth from 2000 through 2004 when the NC software market was in a recession. Since then, this market has shown steady growth as global economies have improved, there has been worldwide growth in manufacturing output, greater emphasis is being placed on efficient operation of machine tools as manufacturing firms must enhance their competitive position, and the overall PLM (Product Lifecycle Management) market, of which CAM is a component, has shown strong growth. CAM software purchases are directly related to all of these factors. The size of the NC software and related services market, based on end user payments, is shown in the following chart:
The annual percentage year to year growth rate is shown in the following chart. It can be seen that the annual growth rate was on a declining path from 1997 to 2001, but then turned around and has been increasing since that time.
The above information is contained in Version 15 of the CIMdata NC Software and Related Services Market Assessment Report that is available for purchase from CIMdata. Mr. Alan Christman, CIMdata Chairman and primary author of the report, commented, “Even though software to control machine tools to cut parts is a relatively mature market, it has been active and exciting in the past couple of years. Some software vendors have had revenue growth of as much as 40% per year, acquisitions are driving market consolidation, new manufacturing areas such as China are emerging, corporations are placing greater emphasis on streamlining manufacturing operations, and the underlying CAM software technology continues to evolve.”