ER&D (engineering research & development) is one of the fastest-growing segments within the IT industry due to high-end engineering services' growing need. In 2019, worldwide engineering R&D spending reached US$ 1.36 trillion, with a CAGR of over 7% predicted for the next decade. With US$ 196 billion spent by giants like Amazon, Alphabet, Microsoft, Facebook, and Oracle in the software and internet vertical, the ER&D arena has left the IT sector well behind.
In the wake of the COVID-19 pandemic, businesses across many verticals and geographies struggled to adopt remote working models and take drastic measures to save money and optimize cash flow. Even Engineering R&D (ER&D) faced significant budget cuts and project cancellations as a result of slow sales, delayed product launches, and disruptions in supply chains. As far as ER&D outsourcing is concerned, service providers demonstrated high levels of client commitment by transferring 90-95% of their engineering employees to remote working within weeks. However, for large periods of the year outsourcing took a significant hit as enterprises went into recession mode and cancelled projects.
Keeping in mind this understanding, Wavteq Institute has curated our latest industry blueprint on the sector that captures a holistic view of the trends in 2021 & beyond, with a focus on the influencing factors, key trends, greenfield investments, M&A activity, key stakeholders and category insights.
The report is available exclusively for the subscribers of Wavteq Institute, a continuous learning & market intelligence platform by Wavteq for the economic development community.
To know more about this briefing or to explore Wavteq Institute, get in touch for a live demo of all the platform has to offer!