Market Definition
CAE (Computer Aided Engineering) is the use of interactive tools like FEA (Finite Element Analysis), CFD (Computational Fluid Dynamics), MBD (Multi-Body Dynamics), & thermal analysis to optimize different engineering tasks by analyzing the performance & robustness of various assemblies and components. Its faster processing allows users to save time and achieve rapid outcomes. With benefits like superior building operation practices, sophisticated designs, and high site construction standards, CAE finds extensive application in automation, aviation, space, & shipbuilding, among other areas.
Market Insights
The Global Computer Aided Engineering Market is likely to grow at around 9.1% CAGR during the forecast period, i.e., 2023-28. The growth of the market is projected to be driven mainly by the ever-increased outsourcing of manufacturing processes to developing economies, the growing deployment of integrated software solutions by companies to eliminate the need for multiple prototypes & product recall concerns, and the mounting use of CFD tools to analyze temperature in battery modules and extend its life & performance.
| Report Coverage | Details |
|---|---|
| Study Period | Historical Data: 2018-21 |
| Base Year: 2022 | |
| Forecast Period: 2023-28 | |
| CAGR (2023-2028) | 9.1% |
| Regions Covered | North America: USA, Canada, Mexico |
| South America: Brazil, Argentina, Rest of South America | |
| Europe: The UK, Germany, France, Spain, Italy, Rest of Europe | |
| Asia-Pacific: China, India, Japan, South Korea, Indonesia, Rest of Asia-Pacific | |
| Middle East & Africa: UAE, Saudi Arabia, Turkey, South Africa, Rest of Middle East & Africa | |
| Key Companies Profiled | Altair Engineering Inc. ANSYS, Inc., Autodesk Inc., Aveva Group, Bentley Systems, Inc., Dassault Systemes, ESI Group, Hexagon AB, Siemens AG, SimScale GmbH, Cambrio, Waterloo Hydrogeologic, The MathWorks, Inc., Aspen Technology Inc, and Cadence Design Systems, Inc |
| Unit Denominations | USD Million/Billion |
In addition, the burgeoning sales & production of energy-efficient aircraft are also expected to propel the market growth for CAE solutions in the forecast period. Computer Aided engineering solutions are being utilized extensively to design battery-driven aircraft engines alongside low-emission planes with solar panels on their wings.
Moreover, the evolving trends of concurrent engineering, 3D printing, & BIM (Building Information Modeling) are further positively influencing the demand for CAE solutions in various industries, including but not limited to electronics, aerospace & defense, automotive, & healthcare. The leading industry players are actively working on introducing innovative products with improved efficiency & performance in order to cater to the varied end-user requirements. For instance:
The easy-to-use 3D printing technology with unlimited customization capabilities helps reduce production costs and develop new & innovative production methods. Hence, these trends in industries are creating new directions for the Global Computer Aided Engineering Market to witness significant expansion over the coming years.
Recent Developments in the Global Computer Aided Engineering Market
Market Dynamics:
Key Opportunity: Shift from On-Premise to Cloud Deployment Models
Cloud-based CAE helps reduce costs related to hardware acquisition, software licensing, installation, & support and allows for quick distribution, minimal maintenance costs, and enhanced scalability. When offered as SaaS (Software-as-a-Service), it can also provide application-specific solutions to users. Due to these capabilities, cloud-based CAE is witnessing high demand worldwide, wherein several companies are even deploying HCI (Hyper-Converged Infrastructure) platforms to develop a private cloud for attaining advanced computation & storage services. Hence, these aspects indicate a lucrative future for the Global Computer Aided Engineering Market during 2023-28.
Growth Restraint: Easy Availability of Open-Source Alternatives to CAE
Many low-cost open-source solutions that are great CAE alternatives are becoming readily available in the market. As a result, more & more companies are avoiding investing in attaining the commercial licenses of CAE solutions, i.e., resulting in the declining demand for CAE and, consequently, hampering the Global Computer Aided Engineering Market growth.
Market Segmentation
Based on Type:
Of them all, Finite Element Analysis (FEA) is projected to dominate the Global Computer Aided Engineering Market with the largest share during 2023-28. FEA is a computational analysis methodology that helps identify the product's strength with respect to the loading. It simulates actual components to analyze problems associated with structural analysis, heat transfer, mass transport, and electromagnetic potential while facilitating time-constrained simulation for aerospace manufacturing. With benefits like real-life simulation & control, excellent accuracy, easy access, prevention of future failures, as well as prediction of product performance, FEA is witnessing increasing application in critical structure engineering and, in turn, stimulating the growth of the Global Computer Aided Engineering Market.
Based on End User:
Here, the automotive sector is expected to gain the maximum market share during 2023-28. The growing requirements for evaluating the viability of heat dissipation methods like ventilation, cooling, & aerodynamics in vehicles, coupled with the globally surging automobile production and the rising penetration of EVs (Electric Vehicles), are the prime aspects projected to fuel the utilization for CAE software in the automotive industry over the coming years.
On the other hand, the defense & aerospace sector is anticipated to register a significant growth rate for the Computer Aided engineering market in the forecast years. It owes to the ever-increased government spending on deploying technologically advanced anti-terror equipment & mitigating security lapses, coupled with rising concerns over public safety & surveillance.
Regional Projection
Geographically, the Global Computer Aided Engineering Market expands across:
Of all regions globally, Europe dominates the Computer Aided Engineering Market with the largest share. It owes to the rising number of virtual vehicle & connected care developers and the ever-increasing automation in the manufacturing sector across the region. In addition, massive investments by automakers in deploying reliable engineering tools in order to optimize production costs, attain shorter prototyping cycles, reduce the chances of product defects, and enhance the overall consumer experience are further projected to bode well for the Europe Computer Aided Engineering Market during 2023-28.
On the other hand, the Asia-Pacific Computer Aided Engineering Market is set to register massive growth during 2023-28. It owes to the increasing government investments in expanding the manufacturing sector & enhancing the capacity of renewable energy generation, the rising automation of industrial equipment, the mounting government focus on promoting the digitalization of industries, and significant developments in industrial infrastructure across different countries like India, China, Japan, etc.
Key Questions Answered in the Market Research Report:
Frequently Asked Questions
A. The Computer Aided Engineering Market is likely to register around 9.1% CAGR during 2023-28.
A. The increasing outsourcing of manufacturing processes to developing economies and the rising penetration of cloud-based models are the prime aspects projected to drive the Computer Aided Engineering Market during 2023-28.
A. Altair Engineering Inc. ANSYS, Inc., Autodesk Inc., Aveva Group, Bentley Systems, Inc., Dassault Systemes, ESI Group, Hexagon AB, Siemens AG, SimScale GmbH, Cambrio, Waterloo Hydrogeologic, The MathWorks, Inc., Aspen Technology Inc, and Cadence Design Systems, Inc. are the key companies participating in the Computer Aided Engineering Market.
A. The defense & aerospace sector is expected to create lucrative prospects for the leading players in the Computer Aided Engineering Market during 2023-28.
A. Globally, Europe would continue creating substantial growth opportunities for the Computer Aided Engineering Market during 2023-28.
