jan 08 update

Many projects are detailed in monthly updates under Industry Analysis in the Report’s Chapters. Click on the links below to view information on these projects.

“World Global Positioning Systems Market Forecast (2006-2008)”, report reviews the recent market status, developments and capabilities of Global Positioning Systems (GPS). The implications of technical policies, timely deployment, activities applied and adopted by U.S. Department of Defense (DoD), and the efforts undertaken by world governments are covered in the report.

The technology in the recent times has made an increasing contribution to the global economy, especially within USA and Japan affecting avionics/aerospace applications, navigational systems related to transportation, vehicle tracking and public safety. The report presents the current role of governments in promoting global competition for GPS-related sales by continents, largely involving regulatory matters such as certification of GPS in safety-of-life applications and export controls on military-grade GPS equipments.

This new report analyzes the evolution of interoperable communications markets and technologies in the Homeland Security and Public Safety sectors.

$73 billion is the overall 2008-2012 cumulative interoperable communications market in the U.S. and EU, including systems, maintenance and upgrades, National Guard and cellular user fees (in the U.S.) With a combined U.S. and EU CAGR of 18.6 percent from 2008-2012, this market promises to become one of the fastest growing sectors in

This growth reflects a combination of simultaneously maturing technologies, growing understanding of needs and advantages, a growing sense of urgency and a willingness by governments and private industry to allocate the funding.

Currently, TD-SCDMA network construction in ten test cities is nearing completion, and Chinese carriers are testing TD-SCDMA handsets for purchasing. Tests have shown that current TD-SCDMA chipset platforms still have some problems with system stability, power consumption, and supported data rates. We believe that because the future of TD-SCDMA technology has been uncertain, TD-SCDMA chipset vendors have emphasized functionality rather than stability when developing chipsets. The immaturity of current TD-SCDMA handsets may delay the timetable for China Mobile's handset purchasing and the pre-commercial launch of TD-SCDMA networks.

TD-SCDMA/GSM dual-mode, HSDPA, and TD-MBMS are the basic functional requirements for TD-SCDMA handset chipsets. We believe that by 1H08, TD-SCDMA handset chipsets will fully support these functions.

We believe that China Mobile will purchase less than one million TD-SCDMA handsets in 2007, but will purchase over five million in 2008. By 2011, shipments of TD-SCDMA handsets will reach 24.7 million.

This report provides an in-depth analysis of the TD-SCDMA handset chipset industry, and covers development status, the value chain, handset problems revealed by China Mobile's testing, feedback from users, a roadmap of the TD-SCDMA handset, and TD-SCDMA handset/handset chipset shipment forecasts. We believe this report will prove very helpful to anyone who wants an in-depth look at the TD-SCDMA handset/handset chipset market.

With Wall Street analysts forecasting where the market will be 12 months from now, I figured I would take a crack as well. As an overview, I expect market volatility to continue throughout the first quarter and midway through the second as well. Then it will be clear to all that the U.S. never was in a recession, we will start hearing companies talk about how well their businesses are doing, and analysts will rework their estimates higher. The second half of the year should be very strong for markets with the potential caveat of some kind of unexpected result in the upcoming U.S. presidential elections.

I think that the DOW will end the year at 14,350. The S&P 500 will be at 1,630, a nice gain of over 11 percent. The NASDAQ is the interesting index to predict. In '07, the NASDAQ finished up a drop under 10 percent, but much of that gain came from just three stocks, Apple (NASDAQ: AAPL), Google (NASDAQ: GOOG), and Research in Motion (NASDAQ: RIMM). With the exception of RIMM, I have a hard time believing that Apple and Google will repeat their '07 performances. That being said, I do think that we will have more strength in the broader market so look for the NASDAQ to be at 3,025 in a year.

Aaron Katsman is the lead Portfolio Manager and Managing Director of America Israel Investment Associates, LLC. and Senior Editor of IsraelNewsletter.com. Disclosure: Writer has no position long or short in any stock mentioned as of 1/1/08.

The 2007 holiday season marks the rise of personal robots as mainstream consumer items. The latest catalog from US gadget-retailer Sharper Image, for example, is full of robotic products, under the slogan, "Shop for Bots." A new study by ABI Research forecasts that this market will be worth $15 billion by 2015.

Several types of personal robot are available, says ABI Research principal analyst Philip Solis. Many are single-function "task" robots such as those made by iRobot, whose self-contained Roomba vacuum cleaner is already familiar. "iRobot currently dominates this market and is increasingly targeting areas outside the US and expanding its product line," says Solis. "Its disciplined approach to keeping products relatively simple and practical has enabled the company to lead the market for task robots."

The entertainment robotics market saw blips like the low-cost Furby in the late 90s and the expensive AIBO in the early 2000s, and is now dominated by WowWee, but the emerging Ugobe (with its Pleo pet dinosaur robot) stands out for its unique balance of complexity and cost. The educational robotics space consists of Lego's Mindstorms products and lots of Japanese robot kits, such as those from Speecys and i-Sobot.

Over the long term, expectations of what robots should be able to do will rise. The increasing cost of more complex servos and sensors will be balanced by the increasing value consumers place on robots, and a growing willingness by consumers to spend more on robots that can make their lives easier or more fun.

After a period of generally falling ASPs for personal robots, says Solis, ASPs will climb higher and higher towards a point in the future when some people may spend as much on a multi-task humanoid robot as they do on a car, buying fewer, but more expensive, robots. This scenario will occur well in the future, but as we reach 2015, we can expect to see an increasing use of complex manipulators.

According to a new technical market research report, Photovoltaics: Global Markets & Technologies (EGY014F) from BCC Research (www.bccresearch.com), the global market for photovoltaics (PV) is expected to be worth $12.9 billion in 2007. This is expected to increase to over $32.3 billion by 2012, a compound average annual growth rate (CAGR) of 14.9 percent.

Global shipments of PV cells/modules reached 2,875.1 megawatts (MW) in 2007. They are projected to grow by 28.6 percent to reach 3,697.3 MW by 2007, and by a CAGR of 30 percent to reach 13,724.4 MW by 2013.

The rapid growth of PV will be driven by the global demand for energy of all kinds, the potential problems of climate change, the renewable features of solar energy and improvements in PV technology and materials. PV will increasingly be made part of industrial and living structures.

Silicon technology, which accounted for about 89 percent of the market in 2007, will continue to dominate through the end of our forecast period. Multicrystalline silicon will grow at a 285 percent rate through 2013. Recent improvements in this traditional technology and its reliability will keep it in the forefront, but silicon will represent only 79 percent of the market by 2013.

Thin films, while only 10 percent of the market, will grow at a 45 percent rate through 2013. Improvements in efficiencies and the use of these materials on flexible substrates will account for their rapid growth. Thin films will account for almost 19 percent of the PV market by the end of our forecast period.

New technologies, such as nanostructured thin films and silicon and dye-sensitized solar cells, accounted for just under 0.5 percent of the market in 2007 but will grow at a 34 percent rate to reach 19.2 MW in 2008 and then exhibit 50 percent annual growth to achieve 145.7 MW by 2013. Research and development efforts on these new materials have been constant and results are just now starting to appear.

A new study from ABI Research looks at the growing market for high definition drives in the computer market. According to ABI Research the high definition market in computers will be worth $2 billion USD by 2012. ABI says that the vast majority of that market, a full two-thirds to be exact, will consist of universal high definition drives capable of reading both HD DVD and Blu-ray formats.

If ABI Research is correct, a market dominance by universal players will render the format war moot as consumers would not have reason to prefer one format over the other from a hardware perspective and it would reduce some of the competitive drive behind the competing formats to negotiate exclusives for one format over another is the majority of users could view both formats.

One could reasonably expect the home entertainment marketplace to look similar in the same time span. ABI says that its research shows that about 30 percent of computer users currently use DVDs for data storage and the storage capacity of modern DVD media is adequate for most storage needs.

In fact, only recently have rewritable HD DVD drives become available in notebook computers, while rewritable Blu-ray drives have been available for a while. ABI Research principal analyst Steve Wilson says, “ABI Research expects high-definition drives to bring in revenues of about $2 billion by 2012. Of that, about two-thirds will be accounted for by universal drives, which can play either format. Few universal drives are sold today, partly because of their higher price. But those prices will fall to about the same as Blu-ray players by 2009, and we forecast universal player sales to exceed Blu-ray the following year."

The currently low adoption rate of universal players, such as the Super Multi Blue drives from LG, is blamed on the significantly increased cost for the drives when compared to single format drives. Frequently consumers can buy individual Blu-ray and HD DVD drives for the same cost. ABI says it expects the price of Blu-ray players to drop in 2009 as the technology matures. This will mean cheaper Blu-ray lasers which will in turn make universal drives cheaper to build.

US demand for battery and fuel cell materials will rise 4.4 percent annually through 2011. Growth will be driven by rising production of high-performance batteries (e.g., lithium, Ni-MH) and a nearly fivefold jump in fuel cell demand. Metals will stay the leading material while polymers and carbon/graphite lead gains.

Global demand for OEM automotive electronics will grow 7.5 percent annually through 2011. Gains will be driven by more electronics use per vehicle and faster technology transfer from developed to developing countries. The best prospects are emerging in safety, entertainment and power electronics.

Global fuel cell spending (R&D, investment, sales) will grow 15 percent annually through 2011. Portable electronics will be the fastest growing commercial use while electric power generation will stay the largest. Proton-exchange membrane fuel cells will remain dominant over other chemistries.

US demand for diesel engines will grow 3.8 percent annually through 2011. Best opportunities in the dominant motor vehicle market will be found in light-duty trucks, with the much smaller passenger car segment also faring very well. Off-highway diesel engines will experience slowing but still robust demand as new emissions regulations phase in.

US demand for primary and secondary batteries will grow 4.3 percent annually through 2011. Growth will be driven by strong demand for battery-powered products and motor vehicles, and by an ongoing shift toward more expensive, better-performing batteries. Primary batteries will outpace secondary/rechargeable types, led by primary lithium batteries.

Demand for batteries in China will grow 13.2 percent annually through 2010. Gains will be driven by the emergence of electric bicycles and strong domestic consumer demand for battery-powered products. Alkaline and lithium batteries will be the fastest growing primary type while rechargeable lithium batteries will pace the secondary battery segment.

Demand for flat glass in China will rise 8.6 percent annually through 2011 based on strong gains in building construction and manufacturing. Float glass will continue supplanting drawn and rolled glass. Fabricated flat glass will benefit from higher-end window and furniture glass and healthy motor vehicle and electronic display production.

This study analyzes the ¥58.5 billion Chinese flat glass industry. It presents historical demand data for the years 1996, 2001 and 2006, and forecasts for 2011 and 2016 by product (e.g., float glass, sheet glass, drawn glass, rolled glass, safety glass, insulating glass mirrors); market (e.g., architectural, electronic display, motor vehicle); and geographic region.

The study also considers market environment factors, evaluates company market share and profile 38 major players including Fuyao, Farun, SCG, Asahi Glass, Taiwan Glass, Saint-Gobain, Nippon Sheet Glass, China Luoyang Float Glass and Jinjing.

Demand for windows and doors (fenestration) in China will grow 11 percent annually through 2011. Gains will be driven by healthy growth in building construction, increased demand for larger living spaces, and further privatization of home ownership. Plastic fenestration will continue to supplant metal and wood types.

This study analyzes the ¥115.6 billion Chinese fenestration industry. It presents historical demand data for 1996, 2001 and 2006 and forecasts for 2011 and 2016 by product (metal, wood, plastic); market (residential, nonresidential, new construction, improvements and repairs); and region (e.g., Central-East, Central-South, Northeast).

The study also considers market environment factors, evaluates company market share and profiles 37 major players including Shenyang Yuanda, Dailian Shide, Panpan, China Buyang, and Chongqing Mexin Messon Doors.

The Chinese programmable logic controllers (PLC) market is set for strong growth, driven by a vibrant and fast-growing economy that is giving high priority to establishing new factories and facilities and upgrading existing facilities. Increasing factory automation as manufacturers constantly aim to enhance productivity and generate higher returns on investment is another major driving force for the PLC market.

If you are interested in a virtual brochure, which provides manufacturers, end users, and other industry participants with an overview of the latest analysis of Strategic Analysis of the Chinese Programmable Logic Controllers Markets, then send an e-mail to Amelia Wong, Corporate Communications, at Amelia.Wong@frost.com with your full name, company name, title, telephone number, fax number, and e-mail address. Upon receipt of the above information, an overview will be sent to you by e-mail.

"China is becoming a hub for manufacturing activity for many reasons including low labor and operational costs, favorable FDI policies, and high demand for a variety of products," notes Frost & Sullivan Research Analyst Lawrence Li. "Many global manufacturers are expanding their production facilities to China which expects to create sustained opportunities for PLCs."

New growth avenues for PLCs are opening up in end-user industries such as automotive, electronics, and semiconductor manufacturing. Both industries are flourishing and attracting heavy investment. The automotive industry's share of the Chinese PLC market expects to increase from 11.5 percent in 2006 to 13.7 percent in 2013, with PLC revenues growing from $62.3 million in 2006 to $142.9 million in 2013.

The Chinese electronic and semiconductor manufacturing market are equally vibrant, and its share of the PLC market is set to grow from 7.9 percent in 2006 to 8.7 percent in 2013. PLC revenues projects to increase from $42.8 million in 2006 to $90.8 million in 2013.

However, the Chinese PLC market is intensely competitive. Due to fierce price competition, technologies are advancing at a faster rate and product life cycles are becoming shorter. Suppliers are forced to continuously introduce new models with better features and functionality and superior performance just to maintain their position in the market.

Developing customized products for specific industries that have particular requirements in terms of system functionality and reliability could help companies attain an edge over competitors. This, however, requires a thorough understanding of the customer's specific demands.

Catering to customers' high expectations in terms of pre-sale, in-sale, and after-sale service is another major challenge for PLC suppliers. Some of these demands include timely introduction of new products, quick product delivery, professional installation, and high-quality maintenance. Due to these expectations, the quality of the service offering is becoming increasingly critical for suppliers' value proposition.

"With system integrators (SIs) playing an important role in helping PLC suppliers win projects, especially customized projects, suppliers can consider providing frequent and detailed training sessions to SIs to improve their product understanding," says Li. "By providing SIs with the skills they need to render superior service, suppliers will ultimately benefit by building a better relationship with customers."

Driven by the high growth of fixed investment, the Chinese construction industry has achieved consistent growth to become the third largest in the world after the United States and Japan.

"Although the Chinese building industry can slow down in the future due to a few measures taken by the Government to curb the overwhelming increase of fixed investment since 2004, it is still likely to grow steadily in the next three years, spurring the HVAC control products in China," explains Frost & Sullivan Consulting Analyst Alex Zhao.

HVAC equipment play an important role in maintaining environmental comfort as well as building energy efficiency and for this reason, the HVAC control system is a core part of the building automation system (BAS). The system creates an intelligent building by reducing energy and maintenance costs, while creating a comfortable lifestyle for the occupants.

However, builders' narrow focus on costs suppresses a few benefits of BAS. Since manufacturers and system integrators have to complete the whole system within the stipulated budget, they eliminate a few critical function units in BAS, rendering the system less effective.

In addition, builders refuse to invest on service and maintenance, as they focus mainly on short-term benefits. This reduces the longevity of certain BAS components.

US circuit breaker and fuse demand will grow 3.7 percent per year through 2011, supported by stronger outlooks for construction of nonresidential buildings and electric utilities. Circuit breakers will outpace fuses, led by strong growth in power circuit breakers. High-power fuses will pace the fuse segment.

This study analyzes the $3 billion US circuit breaker and fuse industry. It presents historical demand data for the years 1996, 2001 and 2006, and forecasts for 2011 and 2016 by product (e.g., molded case circuit breakers, power circuit breakers, high-power fuses, cartridge and plug fuses, electronic fuses); and market (e.g., electric power, building construction, machinery, electronics, automotive).

The study also considers market environment factors, details industry structure, evaluates company market share and profiles 20 leading competitors including Eaton, General Electric, Schneider Electric, ABB, Cooper Industries, Littelfuse, Carbone Lorraine, and Tyco Electronics.

U.S. electrical transmission and distribution equipment demand will rise 3.6 percent annually through 2011. Growth in non-utility generation and an improved regulatory outlook supporting investment in the electric grid will aid gains. Specialty transformers and metal-clad and -enclosed switchgear will lead gains.

This study covers the $17.5 billion U.S. electrical transmission and distribution equipment market. It presents historical demand data (1996, 2001, 2006) and forecasts for 2011 and 2016 by product (e.g. switchgear and switchboard apparatus, transformers, pole and transmission line hardware, electric meters and market (e.g. electric meters, industrial and non-utility generators, residential sector, commercial sector, government sector).

The study also considers market environment factors, details industry structure and evaluates company market share and profiles for 38 major players including ABB, Eaton, Siemens, General Electric, Schneider Electric and Cooper Industries.

Global demand for thermoplastic elastomers (TPEs) will grow 6.3 percent annually through 2011, as they continue to replace natural and synthetic rubber, rigid thermoplastics and metal. China will gain market share but the US will remain the top producer of some products such as olefinic-based TPEs.

This study analyzes the $10.4 billion world TPE industry. It presents historical demand data for 1996, 2001 and 2006 and forecasts for 2011 and 2016 by type (e.g., styrenic block copolymers, thermoplastic polyolefins, thermoplastic polyurethanes, thermoplastic vulcanizates, copolyester elastomers); market (e.g., motor vehicles, industrial products, footwear, asphalt and bitumen modification); world region and for 16 countries.

The study also considers market environment factors, details industry structure, evaluates company market share and profiles 38 major producers, including Kraton Polymers, AES, Dow Chemical, Sinopec, LeeChang Yung, BASF, Repsol, and Lubrizol.

Demand for gaskets and seals will grow 3.6 percent annually through 2010. Gains will be supported by an improved economic outlook and increasing penetration of more advanced materials. Molded seals and packings, plastic gaskets, expanded graphite gaskets and metallic gaskets will grow the fastest. Aerospace will see the most rapid gains by market.

This study analyzes the $7.3 billion U.S. gasket and seal industry. It presents historical demand data (1995, 2000 and 2005) and forecasts to 2010 and 2015 by product (e.g., o-rings, flexible seals and packings, diaphragm seals, body seals, rotary oil seals, axial and mechanical face seals, compression packings); and by market (e.g., motor vehicles, industrial machinery, electrical and electronic products).

The study also considers market environment factors, details industry structure, evaluates company market share and profiles 32 major players including Freudenberg, Federal-Mogul, Parker-Hannifin, Dana, GDX Automotive, and John Crane.

Global construction machinery demand will rise 6 percent annually through 2011 based on healthy construction spending. China, India, Mexico and Russia will see some of the fastest gains. Mixers and pavers will be the strongest segment, driven by ongoing infrastructure development in industrializing regions.

This study analyzes the $97.7 billion world construction machinery industry. It presents historical demand data for the years 1996, 2001 and 2006, and forecasts for 2011 and 2016 by product (e.g., cranes, draglines and excavators; loaders; off-highway trucks and tractors; graders, rollers and related equipment); world region (e.g., North America, Western Europe, Asia/Pacific); and for 33 national markets.

The study also considers market environment factors, details industry structure, evaluates company market share and profiles 36 major players including Caterpillar, Komatsu, Volvo,Hitachi, Liebherr-International, Deere and Terex.

US HVAC equipment demand will rise 3.2 percent annually through 2011, driven mainly by robust growth in nonresidential construction and ongoing strength in residential replacement. Heat pumps are now the largest heating type and will continue to leads gains. Unitary air conditioners will remain the leading type of cooling equipment.

This study analyzes the $14.3 billion US HVAC equipment industry. It presents historical demand data for the years 1996, 2001 and 2006, and forecasts for 2011 and 2016 by fuel (e.g., electricity, natural gas, heating oil, geothermal); type (e.g., heat pumps, warm air furnaces, boilers, humidifiers, unitary air conditioners, room air conditioners, chillers, absorptive liquid chillers, dehumidifiers); and market (e.g., residential, nonresidential).

The study also considers market environment factors, evaluates company market share and profiles 30 major players including United Technologies, American Standard, Lennox International, Goodman Global Holdings, Johnson Controls, Paloma Industries, Nortek, Electrolux, Daikin, and LG Electronics.

World pharmaceutical packaging demand will grow 5.9 percent annually through 2011. Western Europe the US and Japan will continue to account for most demand while China, India and Brazil lead gains. Prefillable inhalers and syringes will grow the fastest while plastic bottles will remain dominant.

Increasing industrialization and modernization, coupled with end user demand for energy efficiency, drives the market for biological wastewater equipment. End users look to water recycling to decrease operational costs as awareness of waste in their facilities increases.

"With increasing population and industrial growth, municipalities and industries look to rebuild and retrofit their existing wastewater treatment facilities," notes Frost & Sullivan Research Analyst Yamini Ugender. "Moreover, increasing transportation and disposal costs of wastewater urge industries to start wastewater treatment facilities onsite.

If industries ideally require equipment that is cost-effective, reliable, easily operable and maintenance-free. For industries where water treatment improves process efficiency, a growing demand for highly sophisticated equipment at competitive prices exists. This encourages technological advancements in North American biological wastewater treatment markets.

Vendors that offer wastewater treatment with water recycling capability using newer technologies such as membranes, gain more importance and increased market share. Manufacturers, however, should consider current regulations before introducing new products into the markets as public awareness and rising levels of concern over water quality lead to the implementation of stringent legislation.

Legislation includes a growing number of pollutants; allowable limits become stricter and lower. Such regulations create an opportunity for highly efficient equipment capable of effectively removing pollutants.

"Opportunity exists for those participants that provide equipment which is sensitive and accurate, producing an effluent which caters to the requirements of various regulations," concludes Ugender.

While still critical for certain applications, steam boilers lose the race to hot water boilers in commercial and institutional applications. In 2006, hot water boilers accounted for 91.5 percent of the demand from commercial and institutional markets, while steam boilers formed a mere 8.5 percent.

With higher efficiency and safer operations than steam boilers, hot water boilers are the premiere choice in the commercial and industrial market. However, their biggest attraction is their low maintenance costs.

Manufacturers gain considerable business from the retrofit and replacement market. The replacement of old equipment attracts clients with potential energy savings. Moreover, new emission legislation and standards ensure sustained demand from the retrofit market.

"Most new units sold are largely meant for replacing existing equipment rather than for use as new equipment," confirms Frost & Sullivan Research Analyst Jorge Moreno. "As nearly 70 percent of buildings in the North American commercial sector are more than 25 years old, the retrofit business for the boilers market is not likely to run dry anytime soon."

Several end users demand manufacturers install two or three small boilers instead of a single large boiler when replacing old equipment. Multiple boilers are an advantage; if one breaks down, end users will only lose one-third of boiler capacity and will not be completely at a loss.

This is the primary reason that modular, high-efficiency, low-mass boilers ride a crest in the market, while fortunes of cast iron boilers wane. In addition, cast iron has also lost its dominant position to copper tube over the past 10 years and expects to continue this trend due to lower replacement costs and flexible application performance.

"Recent advances in boiler configurations and controls enable the installation of several compact modular boilers, displacing the larger boilers that could offer excess capacity," notes Moreno. "Encouraged by the response to their products, boiler manufacturers increase investments in research and development."

Heightened demand for efficient waste management services is a major driver in the growth of the industrial waste management services markets in Malaysia, Singapore and the Philippines. However, issues related to profitability and existing onsite waste management solutions in industries are dampening growth. Developing an understanding of customer needs and the particular dynamics of local markets, while offering customized solutions and enhanced services, will help companies gain the competitive edge

"The demand for efficient waste management solutions is rising in conjunction with increasing waste volumes, boosting market growth," says Frost & Sullivan Research Analyst Swathy Rajasekaran. "Legislative emphasis and environmental lobbies are supporting promising growth in offshoot markets such as waste recycling even as industrial growth coupled with rising population in these countries is leading to waste disposal becoming an impending crisis, making proper waste management an imperative."

Waste management services are, generally, non-profitable ventures due to the high degree of price sensitivity in these markets. It is, thus, up to market participants to make strategic decisions whether to continue to operate in those sectors of the market where margins are low. Moreover, companies have to be adequately equipped to handle different types of waste. Profitability and catering to diverse end users, therefore, are posing a challenge to companies in this price-sensitive market.

At the same time, the market for industrial waste management services in Malaysia, Singapore, and the Philippines is becoming increasingly competitive, especially as a result of factors such as market consolidation, price erosion, inconsistencies in demand, and the need for suppliers to broaden their horizons.

This is mainly due to the changing demands of the marketplace and a mounting need for environment-friendly solutions to waste problems. Integrated waste management is expected to drive the markets in the long term.

"Companies providing industrial waste management services have to be adequately equipped to handle different types of waste," advises Rajasekaran. "Waste management companies that offer customized solutions based on the type of industrial waste as well as additional services in terms of waste recovery will widen their market base."

According to a new technical market research report, Nanostructured Materials: Electronic/Magnetic/Optoelectronic (NAN017F) from BCC Research, the global market for nanoparticles in electronic, magnetic and optoelectronic applications will be worth $521.9 million in 2007. This is expected to increase to over $1.7 billion by 2012, a compound average annual growth rate (CAGR) of 16.5 percent.

The market is broken down into applications of electronic, magnetic and optoelectronic applications. Of these, electronic applications hold the largest share of the market. Worth an estimated $433.7 million in 2007, this segment is expected to be worth $894.6 million in 2012, a CAGR of 15.6percent.

The second largest segment in 2007, cosmetic applications are expected to decline at an average rate of almost 19 percent per year and, as a result, their market value is projected to be $25.4 million in 2012. Optoelectronic applications' share should grow from 3.1 percent to 18 percent between 2006 and 2012 and reach $201.4 million.

Within these three broad application segments, several specific applications stand out; chemical-mechanical planarization (CMP) was the largest market for nanoparticles in 2006, followed by magnetic recording media and multi-layer ceramic capacitors. However, consumption of nanoparticles for magnetic recording media is projected to decline, while new applications such as light-emitting diodes (LEDs) and quantum optical devices are growing rapidly. As a result, magnetic recording media are expected to drop to sixth place by 2012, behind CMP, quantum optical devices, multilayer ceramic capacitors, LEDs and advanced displays, and fiber optic cable.

Three types of nanoparticles (silica, iron oxide, and alumina) together accounted for more than 85 percent of the electronic, magnetic, and optoelectronic market in 2006. While alumina consumption is projected to grow faster than the market as a whole, silica and particularly iron oxide are expected to underperform the market and consequently lose market share. Meanwhile ceria and other oxides and quantum dots are expected to increase their market share significantly.

Global Market for Nanoparticles in Electronic, Magnetic, and Optoelectronic Applications, 2006-2012 ($ Millions)

Electronic, Magnetic, and Optoelectronic Applications' Shares of Total World Market for Nanoparticles: 2006-2012 (Percent)

Global Market for Nanoparticles in Electronic, Magnetic, and Optoelectronic Applications, 2006-2012 ($ Millions)

Electronic, Magnetic, and Optoelectronic Applications' Shares of Total World Market for Nanoparticles, 2006-2012 (Percent)

According to a new technical market research report, Chemical Process Monitoring Devices (IAS013A) from BCC Research (www.bccresearch.com), the global market for process monitoring devices was $49.1 billion in 2005 and almost $50.9 billion in 2006. At a compound annual growth rate (CAGR) of 4.0 percent, the market will reach $61.8 billion by 2011.

Devices and sensors held the vast majority of the market share. In 2006, devices and sensors were worth almost 74 percent of the total market. By 2011 this percentage will drop slightly to 70.4 percent, worth $43.5 billion. Software devices have the highest potential for growth through the forecast period. Software devices alone will spearhead growth across the market with a CAGR of 13.4 percent to reach $4.3 billion in 2011.

Process monitoring devices will continue to evolve and play a prominent role in monitoring and controlling the critical parameters of chemical processes. New digital sensors bring built-in intelligence, ease of use, and faster response than older analog devices. It has greatly improved and simplified the use of monitoring systems on the shop floor. These technological developments will always be important for the development of the market.

Process monitoring devices can be installed on new machines or retrofitted to machines in the field. Original Equipment Manufacturers (OEMs) and retrofitters can now standardize on one controller kit from one company. With a single product they can configure the machine and the operator's interface to be as simple or as feature rich as their customers want. They will also have the ability to offer feature upgrades without selling their customers a new controller. Systems range from one sensor and one controller for one machine, to central controllers monitoring banks of machine tools, each fitted with a sensor and an individual controller.

Problems can be resolved by shop floor personnel as they arise; however the monitoring system also provides a window to the status of the operation for managers at a central location. As with all new technologies both designers and users of MEMS devices have a learning curve to overcome. The effort is worthwhile, as the latest generation of MEMS devices, offering high performance and low cost, have enabled innovative new products in dozens of markets.

Global Market Forecast for Process Monitoring Devices by Infrastructure, through 2011

	2003	2004	2005	2006	2011	CAGR % 2006-2011
Software	1.53	1.67	1.82	2.27	4.26	13.4
General purpose control system instrumentation	9.41	10.17	10.63	11.07	14.04	4.9
Device/sensor	34.68	35.45	36.65	37.53	43.48	3.0
Total	45.62	47.29	49.10	50.87	61.78	4.0

Source: BCC Research

Global Market Forecast for Process Monitoring Devices by Infrastructure, 2003-2006, and 2011 ($ Billions)

According to a new technical market research report, Paints and Coatings: Global Markets & Advanced Technologies (CHM049A) from BCC Research, the global market for paints and coating is expected to be worth $91.2 billion in 2007. This is expected to increase to over $102.8 billion by 2012, a compound average annual growth rate (CAGR) of 2.4 percent.

The market is broken down into applications of architectural and decorative, industrial, and special purpose coatings. Of these, architectural and decorative coatings accounts for the largest share of the market. Valued at nearly $41.0 billion in 2007, this segment is expected to be worth $44.4 billion by 2012, a CAGR of 1.5 percent.

Industrial coating has the second largest share of the market. Worth nearly $34 billion in 2007, it is expected to reach nearly $40.0 billion by 2012 at a CAGR of 3.2 percent. Special purpose coating, valued at nearly $16.0 billion in 2007, will experience growth to $18.7 billion over the next 5 years, a CAGR of 3.0 percent.

Much of the growth over the past five years has been driven by increasing demand in developing markets, especially China, Thailand, Indonesia, India and Taiwan, as well as in Eastern Europe comprising Russia, Hungary and the Baltic States. Increased disposable income has catalyzed higher levels of spending on house construction, both directly on paint and on items that use industrial coatings, such as cars and electrical appliances.

These regions also have reaped the benefits of industrial relocation, as automotive construction, industrial wood manufacture and shipbuilding, the main coating users, have shifted from the traditional manufacturing centers of Western Europe and North America to the cheaper markets of Asia and Eastern Europe.

According to a new technical market research report, The Global Industrial Gas Business (CHM041B) from BCC Research, the global industrial gas market was worth $29.2 billion in 2005 and $30.9 billion in 2006. Growing at a compound annual growth rate (CAGR) of 5.2 percent, this market will reach almost $40 billion by 2011.

Individual end-user segment shares of the market are expected to remain relatively stable over the next five years, with the metals, electronics and medical segments expected to show small increases in market share, while the shares of food and other end users are expected to decline somewhat.

Chemical and refining-related processing held the largest share of the market, worth just over 34.3 percent in 2006 ($10.6 billion) and 33.8 percent in 2011 ($13.5 billion). The electronics sector has the highest growth potential throughout the forecast period, with a CAGR of 7.1 percent. By 2011, this sector will be worth more than $6.9 billion.

Europe is the largest geographical market for industrial gases, with 34 percent of the total global market in 2005, dropping slightly to 32 percent by 2011. Close behind is North America, with 32 percent of the market in 2005 and 31 percent in 2011. Asia-Pacific is the fastest-growing geographical market, with an anticipated CAGR of 8 percent over the next five years, compared with 5.2 percent for the market as a whole. As a result, Asia-Pacific's market share should grow from 20 percent in 2005 to 23 percent in 2011. Other geographical markets are expected to remain constant at around 14 percent of the market.

Industrial gas users generally source gas supplies either directly from the manufacturer, or from a distributor. Approximately 77 percent of the industrial gases consumed worldwide in 2005 were sourced directly from the manufacturer. However, gas supplies sourced through distributors are growing over twice as fast as direct sales from the manufacturer, and by 2011 the distributors' share of the market should reach 25 percent.

Global Market Forecast for Industrial Gases by End Use, through 2011 ($ Billions)

Global Market Forecast for Industrial Gases by End Use, 2005-2006, and 2011 ($ Billions)

According to a new technical market research report, Ozone Generation: Technologies, Markets and Players (CHM044B) from BCC Research, the world market for ozone technologies will be worth some $321.8 million in 2007 and is expected to reach $444.1 million in 2012, a compound annual growth rate (CAGR) of about 6.7 percent over the next 5 years.

The market is broken down into water/wastewater applications and all other applications. The 2007 market for all water and wastewater applications is estimated at $276.8 million and is expected to reach $377.1 million by 2012, a CAGR of 6.4 percent. As with most advanced water treatment technologies, ozone is rising in popularity because of dwindling water supplies, lower quality resources and stricter quality standards.

Ozone's ability to replace the chemical additive chlorine in water treatment is another major factor in its growing acceptance. Some environmental groups have called for an all-out chlorine ban, and lower chlorine limits are expected for utilities and industrial plants. Ozonation of potable supplies, while well established in Europe, has only recently found widespread acceptance in the rest of the world, particularly the U.S. The need to meet regulatory standards is the primary issue in selecting potable water treatment for municipal, residential, and bottled drinking water.

The market for ozone generation in markets other than water/wastewater is estimated to be worth $45 million in 2007, and is expected to reach $67 million in 2012, a CAGR of 8.3 percent. Ozonation is seeing increased popularity for food storage, mold, smoke and odor cleanup in unoccupied residential spaces, and for large-scale industrial and agricultural use in treating unoccupied spaces and malodorous off gases. Sterilization of polymer-based medical instruments is an emerging application as are certain homeland security uses.

According to a just published BCC Research report, Photovoltaics: Global Markets & Technologies (EGY014F) from BCC Research, the global market for photovoltaics (PV) is expected to be worth $12.9 billion in 2007. This is expected to increase to over $32.3 billion by 2012, a compound average annual growth rate (CAGR) of 14.9 percent.

Global Photovoltaic Market: Module Shipments and Materials, 2007 and 2013 ($ Millions)

According to a just published BCC Research report, Advanced Oil and Gas Exploration & Downhole Technologies (EGY043A) from BCC Research, oil companies will spend about $139 billion/year in 2007 on advanced exploration and downhole technologies to find and develop new wells, a 169 percent increase from 2004. This is equivalent to 5.3 percent of the global oil and gas market.

Global spending on advanced exploration and new downhole techniques will reach $223.2 billion/year in 2012 or 6.4 percent of the total global oil and gas market in 2012.

Higher gas and oil prices have led to record levels of drilling activity, which has strained the supply of critical exploration and production technologies. During the past two decades, advanced exploration and new downhole production technology in the oil and gas industry has led to significant levels of commercial production from existing sources, as well as a new class of oil and natural gas resources (unconventional oil and gas). In the past unconventional oil and gas which included heavy oil, extra heavy oil, tar sands and coalbed methane, tight gas, gas shale and landfill/biogas, was considered too costly to produce.

Increased tax support in the 1970s and 1980s coupled with improved exploration, new downhole extraction technology and additional investments in new wells have resulted in a steady contribution to growth in the supply of oil and natural gas resources.

The increase in spending on advanced exploration and downhole techniques, while significant, falls short of the $450 billion in investments that are needed annually on advanced exploration and new downhole techniques over the next quarter century to prevent shortages of oil or natural gas.

Global Demand for Advanced Exploration and Downhole Technology,through 2012 ($ Billions)