Market Size of Americas Sensor Industry
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2019 - 2022 |
| CAGR | 6.48 % |
| Market Concentration | High |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Americas Sensor Market Analysis
The Americas' sensor market is valued at USD 35.94 billion in the current year. It is expected to register a CAGR of 6.48% during the forecast period, reaching a value of USD 51.19 billion. The growing automotive, healthcare, and consumer electronics production substantiates the Americas' sensor demand.
- In recent years, the government has taken several initiatives to drive the growth of the country's manufacturing industry, creating a favorable outlook for the market's growth. The Canadian government undertakes various initiatives to modernize the industrial sector infrastructure as per Industry 4.0 guidelines. Green manufacturing initiatives are also expected to positively contribute to the market's growth in Canada.
- The increasing government spending in the defense industry and expanding sensor applications in the military and defense are anticipated to drive market demand. For instance, Canada ranks sixth in terms of contributions to the common budget of NATO. In 2022, Canada announced that it would spend USD 38.6 billion over 20 years to update the North American Aerospace Defense Command (NORAD), supported by an investment of USD 6.1 billion in equipment. Such investments may influence the rate of sensor adoption.
- The American region is a mature market for the computing industry. Higher penetration of digital technologies and a tech-friendly population favors this claim. Some leading PC/desktop manufacturers, including HP, Dell, and Apple, are based in the American region. As sensors are widely used in computing and associated devices, higher demand for computing products is expected to support the market's growth during the forecast period.
- High cost is involved in R&D activities to manufacture new products, further acting as a critical challenge for the cash-deficient small and medium-sized sensor manufacturers.
- Due to the COVID-19 outbreak, the global supply chain and demand for multiple products were majorly disrupted, making procuring certain materials hard. Due to the production shutdown in countries such as Canada, Mexico, Brazil, and China, multiple industries observed a supply shortage of various products during February-March 2020. Due to supply chain disruptions, the raw material price increased, impacting the overall pricing of sensors as there was not enough capacity to meet the demand.
