The global ultra-hard cutting machine market was valued at $730 million in 2015 and is expected to reach $1.81 billion by the end of 2024, with its revenue expected to expand at a compound annual growth rate of 10.8 per cent, according to a report.

In terms of volume, the global ultra-hard cutting machine market is expected to reach 6661 units by the end of 2024, said the research report titled ‘Ultra Hard Material Cutting Machines Market - Global Industry Analysis, Size, Share, Growth, Trends and Forecast 2016 – 2024’, released by Transparency Market Research, a market intelligence company providing, global business research reports and consulting services.

The three key players in the global ultra-hard material cutting machines market for 2015 were Machinery Systems, DMG Mori Company, and GF Machining Solutions, it said.

Their collective share in the market at the time was 43.3 per cent of the total market value. With a majority of the global ultra-hard material cutting machines market run by regional manufacturers, the market is known to be locked in mixed type of competitiveness.

The global ultra-hard material cutting machines market is currently lacking in the overall competitiveness needed to cut down sales prices of these advanced cutting machines. Over time, the intensity of rivalry among all players is expected to heighten, allowing for a greater scope of competitive pricing that will favour a greater rate demand.

The threat from new entrants, however, is expected to remain fairly low over the coming years, owing to the steep capital required to establish oneself in the global ultra-hard material cutting machines market.

“The global ultra-hard material cutting machines market is primarily driven by the growing demand for semiconductor substrates built from synthetic diamonds. The niche physical properties of synthetic diamonds are can impart better transform thermal management thereby allowing semiconductor design engineers to evolve from the conventional difficulties of power-density and reliability issues in the creation of smaller footprints," said a Transparency Market Research analyst.

Furthermore, the applications of ultra-hard material cutting machines are growing across wider range of industries, such as mining, defence, and semiconductors and electronics. This has been possible due to the incorporation of the latest technologies such as fiber lasers into the ultra-hard cutting machine, said the report.

Fiber laser technologies are known to be about 30 times quicker than electrical discharge machines and are expected to find exceptionally high preference once their price comes down through product development and added market competition, it added.

The two leading factors hurting the overall growth rate of the global ultra-hard material cutting machines market at the moment are the total costs involved in making each unit, as well as the complexities involved in using them.

The manufacturing of high resolution ultra-hard material cutting machines is exceptionally more expensive than the manufacture of conventional cutting systems and this puts a large strain on the medium-sized and smaller players in the market, in terms of both materials used and design adopted.

"Players in the global ultra-hard material cutting machines market, especially from developing regions, should not essentially be disheartened by the cost of manufacturing these machines. It is only a matter of time that the industries from Asia Pacific and Latin America will be able to apply ultra-hard material cutting machines on a larger scale, thereby creating a much higher demand for them over time. This is what a lot of key players in the global ultra-hard material cutting machines market are currently interested in tapping," added the analyst. – TradeArabia News Service