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SAN JOSE – Worldwide revenue of EMS companies reached $190 billion in 2005, up 14% over 2004, according to a report issued today by Electronic Trend Publications.

According to ETP, the EMS industry was responsible for 23% of the total worldwide electronics assembly, valued at $810 billion. The $190 billion includes all the work done by the EMS companies for OEM customers, explained spokesman Steve Berry.

Furthermore, the EMS market will continue to grow briskly in the coming years as outsourcing of electronics manufacturing continues, ETP said, predicting that industry revenue would reach $328 billion in 2010.

Said Berry, "Of course, when you ask the typical OEM how much of their product is outsourced, they typically include all the components, electrical and nonelectrical, that they purchase, so their "outsourced" percentage is usually much higher than 23%.
 
The company’s recent research on the EMS industry also found:
  • The computer and peripherals market was responsible for 39% of revenue in 2005.
  • Asian factories accounted for 45% of the industry's production in 2005.
  • Foxconn (Hon Hai) is the largest EMS provider, with revenues 75% greater than its closest competitor, Flextronics.
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