Automotive engineering service providers (ESP) market size to grow by USD 8,381.88 million from 2022 to 2027: Historic Industry Size & Analysis of 15 Vendors

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NEW YORK, March 22, 2023 /PRNewswire/ — The automotive engineering service providers (ESP) market size is forecasted to increase by USD 8,381.88 million from 2022 to 2027 at a CAGR of 8.2%, according to a recent market study by Technavio. The growth of the market will be driven by increasing vehicle digitization and electrification. The emergence of new technologies and the development of new vehicles are leading to an evolution in the global automotive industry. Mechanical components in automobiles have been replaced by electronic systems, with the growing need for information, reduced fuel consumption, lower emissions, increased safety, driver assistance, and a comfortable driving experience. Hence, automotive OEMs are planning on keeping up with these ongoing trends. They are focusing on ADAS, such as lane assist systems, blind spot detection, adaptive cruise control, electronic stability control, speed assist system, and park assist system. Charts & data tables about the market have been covered in this report. Download the sample report

The market is segmented by service (powertrain, complete vehicle, electrical/electronics, and others) and geography (APAC, North America, Europe, Middle East and Africa, and South America).

Segmentation by service

  • The powertrain segment was valued at USD 4,701.48 million in 2017 and continued to grow until 2021. During the forecast period, this segment will account for a significant share of the market growth. OEMs are working on developing lightweight engines that can reduce the overall weight of a vehicle. This, in turn, will have a positive impact on engine efficiency and result in better performance and reduced fuel consumption. The increasing need for rigorous testing and validation methodologies for automobile engines and their components will also drive the growth of this segment during the forecast period.

Segmentation by geography

  • Europe is estimated to account for 30% of the growth of the global market during the forecast period. The region has leading global automakers, such as Mercedes-Benz AG (Mercedes-Benz), Volkswagen AG (Volkswagen), BMW AG (BMW), and AB Volvo (Volvo). France, Germany, Spain, and the UK are among the major contributors to the market in the region, as many luxury and premium vehicles are manufactured in these countries. OEMs in the region are investing significantly in R&D. Most vendors provide end-to-end engineering solutions for vehicle engineering and product solutions. Hence, the growth prospects for ESP vendors in Europe will increase during the forecast period.

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Vendor analysis

Technavio has extensively analyzed 15 major vendors, including AKKA Technologies SE, Altair Engineering Inc., ASM Technologies Ltd., AVL List GmbH, Belcan LLC, Bertrandt AG, Capgemini Service SAS, Contechs Holdings Ltd., EDAG Group, EPAM Systems Inc., FEV Group GmbH, HCL Technologies Ltd., Hitachi Ltd., IAV GmbH, KPIT Technologies Ltd., L and T Technology Services Ltd., Magna International Inc., Mahindra and Mahindra Ltd., Onward Technologies Ltd., and Ricardo Plc.

Key benefits for industry players & stakeholders – 

  • The report offers information on the criticality of vendor inputs, including R&D, CAPEX, and technology.
  • It also provides detailed analyses of the market’s competitive landscape and vendors’ product offerings.
  • The report also provides a qualitative and quantitative analysis of vendors to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize vendors as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize vendors as dominant, leading, strong, tentative, and weak.

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What are the key data covered in this automotive engineering service providers (ESP) market report?

  • CAGR of the market during the forecast period
  • Detailed information on factors that will drive the growth of the automotive engineering service providers (ESP) market between 2023 and 2027
  • Precise estimation of the size of the automotive engineering service providers (ESP) market and its contribution to the parent market
  • Accurate predictions about upcoming trends and changes in consumer behavior
  • Growth of the automotive engineering service providers (ESP) market across Europe, APAC, North America, South America, and Middle East and Africa
  • A thorough analysis of the market’s competitive landscape and detailed information about vendors
  • Comprehensive analysis of factors that will challenge the growth of automotive engineering service providers (ESP) market vendors

Related Reports:

Automotive Service Market by Type, Vehicle Type, and Geography – Forecast and Analysis 2023-2027 – The market is estimated to grow at a CAGR of 7.65% between 2022 and 2027. The size of the market is forecasted to increase by USD 351.69 billion. This report extensively covers market segmentation by type (mechanical services, exterior and structural services, and maintenance services), vehicle type (passenger cars, light commercial vehicles, two-wheelers, and heavy commercial vehicles), and geography (North America, APAC, Europe, South America, and Middle East and Africa).

Remanufactured Automotive Parts Market by Vehicle Type, Component, and Geography – Forecast and Analysis 2023-2027 – The market is estimated to grow at a CAGR of 3.93% between 2022 and 2027. The size of the market is forecasted to increase by USD 11,021.22 million. This report extensively covers market segmentation by vehicle type (passenger cars and commercial vehicles), component (electrical and electronic parts, engine, transmission, wheels and brakes, and others), and geography(North America, Europe, APAC, South America, and Middle East and Africa).

Automotive Engineering Service Providers (ESP) Market Scope

Report Coverage

Details

Base year

2022

Historic period

2017-2021

Forecast period

2023-2027

Growth momentum & CAGR

Accelerate at a CAGR of 8.2%

Market growth 2023-2027

USD 8,381.88 million

Market structure

Fragmented

YoY growth 2022-2023 (%)

7.38

Regional analysis

Europe, APAC, North America, South America, and Middle East and Africa

Performing market contribution

APAC at 30%

Key countries

US, China, Germany, France, and UK

Competitive landscape

Leading vendors, market positioning of vendors, competitive strategies, and industry risks

Key companies profiled

AKKA Technologies SE, Altair Engineering Inc., ASM Technologies Ltd., AVL List GmbH, Belcan LLC, Bertrandt AG, Capgemini Service SAS, Contechs Holdings Ltd., EDAG Group, EPAM Systems Inc., FEV Group GmbH, HCL Technologies Ltd., Hitachi Ltd., IAV GmbH, KPIT Technologies Ltd., L and T Technology Services Ltd., Magna International Inc., Mahindra and Mahindra Ltd., Onward Technologies Ltd., and Ricardo Plc

Market dynamics

Parent market analysis, market growth inducers and obstacles, fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, and market condition analysis for forecast period.

Customization purview

If our report has not included the data that you are looking for, you can reach out to our analysts and get segments customized.

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Table of contents

1 Executive Summary

  • 1.1 Market overview
    • Exhibit 01: Executive Summary – Chart on Market Overview
    • Exhibit 02: Executive Summary – Data Table on Market Overview
    • Exhibit 03: Executive Summary – Chart on Global Market Characteristics
    • Exhibit 04: Executive Summary – Chart on Market by Geography
    • Exhibit 05: Executive Summary – Chart on Market Segmentation by Service
    • Exhibit 06: Executive Summary – Chart on Market Segmentation by Location
    • Exhibit 07: Executive Summary – Chart on Incremental Growth
    • Exhibit 08: Executive Summary – Data Table on Incremental Growth
    • Exhibit 09: Executive Summary – Chart on Vendor Market Positioning

2 Market Landscape

  • 2.1 Market ecosystem
    • Exhibit 10: Parent market
    • Exhibit 11: Market Characteristics

3 Market Sizing

  • 3.1 Market definition
    • Exhibit 12: Offerings of vendors included in the market definition
  • 3.2 Market segment analysis 
    • Exhibit 13: Market segments
  • 3.4 Market outlook: Forecast for 2022-2027 
    • Exhibit 14: Chart on Global – Market size and forecast 2022-2027 ($ million)
    • Exhibit 15: Data Table on Global – Market size and forecast 2022-2027 ($ million)
    • Exhibit 16: Chart on Global Market: Year-over-year growth 2022-2027 (%)
    • Exhibit 17: Data Table on Global Market: Year-over-year growth 2022-2027 (%)

4 Historic Market Size

  • 4.1 Global automotive engineering service providers (ESP) market 2017 – 2021 
    • Exhibit 18: Historic Market Size – Data Table on Global automotive engineering service providers (ESP) market 2017 – 2021 ($ million)
  • 4.2 Service Segment Analysis 2017 – 2021 
    • Exhibit 19: Historic Market Size – Service Segment 2017 – 2021 ($ million)
  • 4.3 Location Segment Analysis 2017 – 2021 
    • Exhibit 20: Historic Market Size – Location Segment 2017 – 2021 ($ million)
  • 4.4 Geography Segment Analysis 2017 – 2021 
    • Exhibit 21: Historic Market Size – Geography Segment 2017 – 2021 ($ million)
  • 4.5 Country Segment Analysis 2017 – 2021 
    • Exhibit 22: Historic Market Size – Country Segment 2017 – 2021 ($ million)

5 Five Forces Analysis

  • 5.1 Five forces summary
    • Exhibit 23: Five forces analysis – Comparison between 2022 and 2027
  • 5.2 Bargaining power of buyers 
    • Exhibit 24: Chart on Bargaining power of buyers – Impact of key factors 2022 and 2027
  • 5.3 Bargaining power of suppliers 
    • Exhibit 25: Bargaining power of suppliers – Impact of key factors in 2022 and 2027
  • 5.4 Threat of new entrants 
    • Exhibit 26: Threat of new entrants – Impact of key factors in 2022 and 2027
  • 5.5 Threat of substitutes 
    • Exhibit 27: Threat of substitutes – Impact of key factors in 2022 and 2027
  • 5.6 Threat of rivalry
    • Exhibit 28: Threat of rivalry – Impact of key factors in 2022 and 2027
  • 5.7 Market condition
    • Exhibit 29: Chart on Market condition – Five forces 2022 and 2027

6 Market Segmentation by Service

  • 6.1 Market segments
    • Exhibit 30: Chart on Service – Market share 2022-2027 (%)
    • Exhibit 31: Data Table on Service – Market share 2022-2027 (%)
  • 6.2 Comparison by Service 
    • Exhibit 32: Chart on Comparison by Service
    • Exhibit 33: Data Table on Comparison by Service
  • 6.3 Powertrain – Market size and forecast 2022-2027 
    • Exhibit 34: Chart on Powertrain – Market size and forecast 2022-2027 ($ million)
    • Exhibit 35: Data Table on Powertrain – Market size and forecast 2022-2027 ($ million)
    • Exhibit 36: Chart on Powertrain – Year-over-year growth 2022-2027 (%)
    • Exhibit 37: Data Table on Powertrain – Year-over-year growth 2022-2027 (%)
  • 6.4 Complete vehicle – Market size and forecast 2022-2027 
    • Exhibit 38: Chart on Complete vehicle – Market size and forecast 2022-2027 ($ million)
    • Exhibit 39: Data Table on Complete vehicle – Market size and forecast 2022-2027 ($ million)
    • Exhibit 40: Chart on Complete vehicle – Year-over-year growth 2022-2027 (%)
    • Exhibit 41: Data Table on Complete vehicle – Year-over-year growth 2022-2027 (%)
  • 6.5 Electrical/electronics – Market size and forecast 2022-2027 
    • Exhibit 42: Chart on Electrical/electronics – Market size and forecast 2022-2027 ($ million)
    • Exhibit 43: Data Table on Electrical/electronics – Market size and forecast 2022-2027 ($ million)
    • Exhibit 44: Chart on Electrical/electronics – Year-over-year growth 2022-2027 (%)
    • Exhibit 45: Data Table on Electrical/electronics – Year-over-year growth 2022-2027 (%)
  • 6.6 Others – Market size and forecast 2022-2027 
    • Exhibit 46: Chart on Others – Market size and forecast 2022-2027 ($ million)
    • Exhibit 47: Data Table on Others – Market size and forecast 2022-2027 ($ million)
    • Exhibit 48: Chart on Others – Year-over-year growth 2022-2027 (%)
    • Exhibit 49: Data Table on Others – Year-over-year growth 2022-2027 (%)
  • 6.7 Market opportunity by Service 
    • Exhibit 50: Market opportunity by Service ($ million)

7 Market Segmentation by Location

  • 7.1 Market segments
    • Exhibit 51: Chart on Location – Market share 2022-2027 (%)
    • Exhibit 52: Data Table on Location – Market share 2022-2027 (%)
  • 7.2 Comparison by Location 
    • Exhibit 53: Chart on Comparison by Location
    • Exhibit 54: Data Table on Comparison by Location
  • 7.3 In-house – Market size and forecast 2022-2027 
    • Exhibit 55: Chart on In-house – Market size and forecast 2022-2027 ($ million)
    • Exhibit 56: Data Table on In-house – Market size and forecast 2022-2027 ($ million)
    • Exhibit 57: Chart on In-house – Year-over-year growth 2022-2027 (%)
    • Exhibit 58: Data Table on In-house – Year-over-year growth 2022-2027 (%)
  • 7.4 Out-source – Market size and forecast 2022-2027 
    • Exhibit 59: Chart on Out-source – Market size and forecast 2022-2027 ($ million)
    • Exhibit 60: Data Table on Out-source – Market size and forecast 2022-2027 ($ million)
    • Exhibit 61: Chart on Out-source – Year-over-year growth 2022-2027 (%)
    • Exhibit 62: Data Table on Out-source – Year-over-year growth 2022-2027 (%)
  • 7.5 Market opportunity by Location 
    • Exhibit 63: Market opportunity by Location ($ million)

8 Customer Landscape

  • 8.1 Customer landscape overview 
    • Exhibit 64: Analysis of price sensitivity, lifecycle, customer purchase basket, adoption rates, and purchase criteria

9 Geographic Landscape

  • 9.1 Geographic segmentation 
    • Exhibit 65: Chart on Market share by geography 2022-2027 (%)
    • Exhibit 66: Data Table on Market share by geography 2022-2027 (%)
  • 9.2 Geographic comparison 
    • Exhibit 67: Chart on Geographic comparison
    • Exhibit 68: Data Table on Geographic comparison
  • 9.3 Europe – Market size and forecast 2022-2027 
    • Exhibit 69: Chart on Europe – Market size and forecast 2022-2027 ($ million)
    • Exhibit 70: Data Table on Europe – Market size and forecast 2022-2027 ($ million)
    • Exhibit 71: Chart on Europe – Year-over-year growth 2022-2027 (%)
    • Exhibit 72: Data Table on Europe – Year-over-year growth 2022-2027 (%)
  • 9.4 APAC – Market size and forecast 2022-2027 
    • Exhibit 73: Chart on APAC – Market size and forecast 2022-2027 ($ million)
    • Exhibit 74: Data Table on APAC – Market size and forecast 2022-2027 ($ million)
    • Exhibit 75: Chart on APAC – Year-over-year growth 2022-2027 (%)
    • Exhibit 76: Data Table on APAC – Year-over-year growth 2022-2027 (%)
  • 9.5 North America – Market size and forecast 2022-2027 
    • Exhibit 77: Chart on North America – Market size and forecast 2022-2027 ($ million)
    • Exhibit 78: Data Table on North America – Market size and forecast 2022-2027 ($ million)
    • Exhibit 79: Chart on North America – Year-over-year growth 2022-2027 (%)
    • Exhibit 80: Data Table on North America – Year-over-year growth 2022-2027 (%)
  • 9.6 South America – Market size and forecast 2022-2027 
    • Exhibit 81: Chart on South America – Market size and forecast 2022-2027 ($ million)
    • Exhibit 82: Data Table on South America – Market size and forecast 2022-2027 ($ million)
    • Exhibit 83: Chart on South America – Year-over-year growth 2022-2027 (%)
    • Exhibit 84: Data Table on South America – Year-over-year growth 2022-2027 (%)
  • 9.7 Middle East and Africa – Market size and forecast 2022-2027 
    • Exhibit 85: Chart on Middle East and Africa – Market size and forecast 2022-2027 ($ million)
    • Exhibit 86: Data Table on Middle East and Africa – Market size and forecast 2022-2027 ($ million)
    • Exhibit 87: Chart on Middle East and Africa – Year-over-year growth 2022-2027 (%)
    • Exhibit 88: Data Table on Middle East and Africa – Year-over-year growth 2022-2027 (%)
  • 9.8 US – Market size and forecast 2022-2027 
    • Exhibit 89: Chart on US – Market size and forecast 2022-2027 ($ million)
    • Exhibit 90: Data Table on US – Market size and forecast 2022-2027 ($ million)
    • Exhibit 91: Chart on US – Year-over-year growth 2022-2027 (%)
    • Exhibit 92: Data Table on US – Year-over-year growth 2022-2027 (%)
  • 9.9 Germany – Market size and forecast 2022-2027 
    • Exhibit 93: Chart on Germany – Market size and forecast 2022-2027 ($ million)
    • Exhibit 94: Data Table on Germany – Market size and forecast 2022-2027 ($ million)
    • Exhibit 95: Chart on Germany – Year-over-year growth 2022-2027 (%)
    • Exhibit 96: Data Table on Germany – Year-over-year growth 2022-2027 (%)
  • 9.10 China – Market size and forecast 2022-2027 
    • Exhibit 97: Chart on China – Market size and forecast 2022-2027 ($ million)
    • Exhibit 98: Data Table on China – Market size and forecast 2022-2027 ($ million)
    • Exhibit 99: Chart on China – Year-over-year growth 2022-2027 (%)
    • Exhibit 100: Data Table on China – Year-over-year growth 2022-2027 (%)
  • 9.11 France – Market size and forecast 2022-2027 
    • Exhibit 101: Chart on France – Market size and forecast 2022-2027 ($ million)
    • Exhibit 102: Data Table on France – Market size and forecast 2022-2027 ($ million)
    • Exhibit 103: Chart on France – Year-over-year growth 2022-2027 (%)
    • Exhibit 104: Data Table on France – Year-over-year growth 2022-2027 (%)
  • 9.12 UK – Market size and forecast 2022-2027 
    • Exhibit 105: Chart on UK – Market size and forecast 2022-2027 ($ million)
    • Exhibit 106: Data Table on UK – Market size and forecast 2022-2027 ($ million)
    • Exhibit 107: Chart on UK – Year-over-year growth 2022-2027 (%)
    • Exhibit 108: Data Table on UK – Year-over-year growth 2022-2027 (%)
  • 9.13 Market opportunity by geography 
    • Exhibit 109: Market opportunity by geography ($ million)

10 Drivers, Challenges, and Trends

  • 10.3 Impact of drivers and challenges 
    • Exhibit 110: Impact of drivers and challenges in 2022 and 2027

11 Vendor Landscape

  • 11.2 Vendor landscape
    • Exhibit 111: Overview on Criticality of inputs and Factors of differentiation
  • 11.3 Landscape disruption
    • Exhibit 112: Overview on factors of disruption
  • 11.4 Industry risks
    • Exhibit 113: Impact of key risks on business

12 Vendor Analysis

  • 12.1 Vendors covered
    • Exhibit 114: Vendors covered
  • 12.2 Market positioning of vendors 
    • Exhibit 115: Matrix on vendor position and classification
  • 12.3 AKKA Technologies SE
    • Exhibit 116: AKKA Technologies SE – Overview
    • Exhibit 117: AKKA Technologies SE – Business segments
    • Exhibit 118: AKKA Technologies SE – Key offerings
    • Exhibit 119: AKKA Technologies SE – Segment focus
  • 12.4 Altair Engineering Inc. 
    • Exhibit 120: Altair Engineering Inc. – Overview
    • Exhibit 121: Altair Engineering Inc. – Business segments
    • Exhibit 122: Altair Engineering Inc. – Key offerings
    • Exhibit 123: Altair Engineering Inc. – Segment focus
  • 12.5 AVL List GmbH
    • Exhibit 124: AVL List GmbH – Overview
    • Exhibit 125: AVL List GmbH – Product / Service
    • Exhibit 126: AVL List GmbH – Key offerings
  • 12.6 Belcan LLC
    • Exhibit 127: Belcan LLC – Overview
    • Exhibit 128: Belcan LLC – Product / Service
    • Exhibit 129: Belcan LLC – Key offerings
  • 12.7 Bertrandt AG
    • Exhibit 130: Bertrandt AG – Overview
    • Exhibit 131: Bertrandt AG – Product / Service
    • Exhibit 132: Bertrandt AG – Key news
    • Exhibit 133: Bertrandt AG – Key offerings
  • 12.8 Capgemini Service SAS 
    • Exhibit 134: Capgemini Service SAS – Overview
    • Exhibit 135: Capgemini Service SAS – Business segments
    • Exhibit 136: Capgemini Service SAS – Key news
    • Exhibit 137: Capgemini Service SAS – Key offerings
    • Exhibit 138: Capgemini Service SAS – Segment focus
  • 12.9 EDAG Group
    • Exhibit 139: EDAG Group – Overview
    • Exhibit 140: EDAG Group – Product / Service
    • Exhibit 141: EDAG Group – Key news
    • Exhibit 142: EDAG Group – Key offerings
  • 12.10 EPAM Systems Inc.
    • Exhibit 143: EPAM Systems Inc. – Overview
    • Exhibit 144: EPAM Systems Inc. – Business segments
    • Exhibit 145: EPAM Systems Inc. – Key offerings
    • Exhibit 146: EPAM Systems Inc. – Segment focus
  • 12.11 FEV Group GmbH
    • Exhibit 147: FEV Group GmbH – Overview
    • Exhibit 148: FEV Group GmbH – Product / Service
    • Exhibit 149: FEV Group GmbH – Key offerings
  • 12.12 HCL Technologies Ltd. 
    • Exhibit 150: HCL Technologies Ltd. – Overview
    • Exhibit 151: HCL Technologies Ltd. – Business segments
    • Exhibit 152: HCL Technologies Ltd. – Key offerings
    • Exhibit 153: HCL Technologies Ltd. – Segment focus
  • 12.13 IAV GmbH
    • Exhibit 154: IAV GmbH – Overview
    • Exhibit 155: IAV GmbH – Product / Service
    • Exhibit 156: IAV GmbH – Key offerings
  • 12.14 L and T Technology Services Ltd. 
    • Exhibit 157: L and T Technology Services Ltd. – Overview
    • Exhibit 158: L and T Technology Services Ltd. – Business segments
    • Exhibit 159: L and T Technology Services Ltd. – Key offerings
    • Exhibit 160: L and T Technology Services Ltd. – Segment focus
  • 12.15 Magna International Inc. 
    • Exhibit 161: Magna International Inc. – Overview
    • Exhibit 162: Magna International Inc. – Business segments
    • Exhibit 163: Magna International Inc. – Key news
    • Exhibit 164: Magna International Inc. – Key offerings
    • Exhibit 165: Magna International Inc. – Segment focus
  • 12.16 Mahindra and Mahindra Ltd. 
    • Exhibit 166: Mahindra and Mahindra Ltd. – Overview
    • Exhibit 167: Mahindra and Mahindra Ltd. – Business segments
    • Exhibit 168: Mahindra and Mahindra Ltd. – Key news
    • Exhibit 169: Mahindra and Mahindra Ltd. – Key offerings
    • Exhibit 170: Mahindra and Mahindra Ltd. – Segment focus
  • 12.17 Ricardo Plc
    • Exhibit 171: Ricardo Plc – Overview
    • Exhibit 172: Ricardo Plc – Business segments
    • Exhibit 173: Ricardo Plc – Key offerings
    • Exhibit 174: Ricardo Plc – Segment focus

13 Appendix

  • 13.2 Inclusions and exclusions checklist 
    • Exhibit 175: Inclusions checklist
    • Exhibit 176: Exclusions checklist
  • 13.3 Currency conversion rates for US$ 
    • Exhibit 177: Currency conversion rates for US$
  • 13.4 Research methodology
    • Exhibit 178: Research methodology
    • Exhibit 179: Validation techniques employed for market sizing
    • Exhibit 180: Information sources
  • 13.5 List of abbreviations 
    • Exhibit 181: List of abbreviations

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