MOUNTAIN VIEW, CA -- Surface mount technology equipment sales will grow 80% between 2010 and 2017, a new research report predicts.

Frost & Sullivan forecasts the SMT equipment market to reach $6.4 billion in 2017, up from $3.56 billion in 2010.

The research firm cited greater global manufacturing capacity, capex budgets, and product enhancements as major factors behind the growth.

"Strong rebounding end-user demand from consumer electronics, telecom, automotive and industrial markets has helped boost sales for SMT placement equipment; there is a demand upsurge for SMT placement equipment from the rapidly growing LED market," said research analyst Lavanya Rammohan. "The growing spotlight on industrial and renewable energy is also engendering incremental opportunities for SMT placement equipment."

Flexibility requirements in terms of fixing placement equipment feeders, versatile amount of feeders, and quick changeovers are on the rise, engendering the demand for new equipment globally, Frost said. Miniaturized components such as 01005s and ball grid arrays (BGAs) are also pushing demand for equipment upgrades.