Articles Archive > Market shares of servo suppliers

Market shares of servo suppliers since 1999

The Trend Magazine No. 13 investigated how the decisions of the machine-builders regarding control technology determined the market shares of the control suppliers since 1998. Now we extend this analysis based on the same numbers to the market shares of the servo suppliers in the period of 1999 to 2006.

Market shares of suppliers of servo drives in the German machinery industry 1999

March 1st, 2010 - So we examine how many machine-builders indicate a certain servo supplier as main supplier. Main supplier means the servo drives of this supplier equip the main part of the machines. Besides there may be further servo suppliers that had not been considered.

1999 concentration of the market shares

In 1999 the investigated machine-builders called 16 servo suppliers.

 

In the first group each servo suppliers delivers to 10% or more of the investigated machine-builders. That concerns 25% of the servo suppliers who supply 70% of the investigated machine-builders. These servo suppliers are in alphabetical order Indramat (today Bosch Rexroth), Lenze, SEW and Siemens.

 

In the second group each servo supplier delivers to more than 5% of the investigated machine-builders. This group covers 13% of the servo manufacturers supplying to likewise 13% of the investigated machine-builders. Those are the servo providers AMK and Elau.

 

Finally in the third group each of the 10 servo suppliers delivers to 5% or less to the investigated machine-builders. Those are in alphabetical order Atlas Copco, Baumüller, Carlo Gavazzi, Control Techniques, Eurotherm, GE Fanuc, KEB, Parker, Socapel and Rockwell.

 

So in 1999 the servo market is obviously concentrated – as well as the control technology market. However, the servo market is relatively lower concentrated. Because 25% of the servo providers but only 5% of the control technology suppliers deliver to 70% of the machine-builders.

Significant changes in 2006

Market shares of suppliers of servo drives in the German machinery industry 2006

Eight years later the decisions of the machine-builders regarding the servo suppliers lead to a weakening of the concentration. Now the machine-builders refer to 27 servo suppliers.

 

The first group covers now instead of 25% only 11% of the servo suppliers. Their market share is reduced from 70% to 48%. This group covers the companies Bosch Rexroth, Lenze and Siemens.

 

Also the second group cut nearly in half their supplier portion from 13% to 7%, increases however at the same time its market share from 13% to 16%. This group covers B&R and SEW.

 

Finally in the third group each of the 22 servo suppliers delivers to 5% or less to the investigated machine-builders. Among them there are in alphabetical order AMK, Baumüller, Berger Lahr, Danaher Motion, Elau, GE Fanuc, KEB, Lust, Omron, Stöber. This group duplicates its market share from 17% to 36%.

Two trends as result

Changes of the market shares of the suppliers of servo drives in the German machinery industry 1999 to 2006

Thus two trends show up as a result of the machine-builders decisions on the main supplier of the servo drives.

  • Less and less machine-builders concentrate on a ever lower number of larger servo suppliers (1. group). However, from this trend of concentration and consolidation the servo suppliers of the 2. group benefi t more strongly (market share over 5% but below 10%) than those of the fi rst group.
  • In contrast to this ever more machinebuilders favour ever more servo suppliers with a market share of 5% or less (3.group). This trend of differentiation is the growth trend of the suppliers' relations regarding servo drives during the period of eight years.

 

We call just three references regarding the reasons of this development: increasing servo demand, approach of the market processing and product innovation.

Zum Seitenanfang
Bookmark and Share