Introduction

Additive Manufacturing (AM), also known as 3D Printing, is the technique of creating objects by joining materials based on 3D model data. Unlike subtractive manufacturing methods like CNC, where material is removed to shape an object, AM builds objects layer by layer. Over the past four decades, AM technology has undergone significant advancements, including various sub-technologies that have brought about improvements in speed, quality, and commercial viability.

The AM market has accelerated its development in the last 10 years demonstrating 24% Year-On-Year (YOY) growth and totaling ~15.3 Bn USD market size in 2021.⁽¹⁾ The market size is projected to be 363.6 Bn USD by year 2040 registering an annual growth of 18% on an average.⁽²⁾

Growth was the motive for the innovaiton and development of additive manufacturing technology, which resulted in joining of a number of companies, and the increae of retail market for this technology in the chain value of the AM.

It is worth mentioning that Additive Industry can be categorized into 4 segments, primarily the materials, equipment, services, and software. The industry experts have sub-categorized these segments and then classified by industry usage. However, for the uniformity of this report, we have emphasized on the 4 main segments.

History

The first additive manufacturing system can be traced back to the work of Dr. Hideo Kodama in the 1980s, from there, additive manufacturing has taken off, branching out into several different types of technologies. In 1984, Charles Hull patent the first 3D printing technology known as SLA. Thus, commercialized availability of additive manufacturing and 3D printing for manufacturers was born. Following the release of the first 3D printer, inventors and creators began researching new methods and techniques such as SLS and SLM in the early 1990s.

Global Supply & Demand

While the majority of users primarily utilize additive manufacturing for prototyping purposes, a significant trend is emerging. Over 18% of companies are now employing AM for direct manufacturing, including the production of end products and components.⁽³⁾ This growing adoption indicates the increasing acceptance and maturation of the technology.

Presently, Additive Manufacturing encompasses five major sectors: healthcare, aerospace, consumer products, oil & gas and power, and automotive. These industries have shown remarkable progress in adopting AM technology, with a multitude of applications. According to the technology adoption cycle, AM is projected to enter the phase of commercial scaling in the coming years, and its growth is anticipated to accelerate compared to previous phases, eventually reaching its plateau of productivity around 2040.

The global Additive Manufacturing supply chain includes players that supply materials (17% market share), systems (22% market share), services (54% market share), and software (7% market share).⁽⁴⁾ However, most of the main players are covering multiple elements of supply, and the trend is to further enhance integrated offerings in order to capture a larger market share.

To support the 2040 market size, supply will need to scale at the appropriate cost and quality.