CIMdata annually ranks CAM software vendors by a variety of criteria. Depending on the criterium, the leading vendors are often substantially different. Estimated worldwide rankings for a given year are developed and presented for measurements such as vendor revenue received; end user payments; revenue received by geography; revenue received by industry; seats shipped; seats installed; and most rapidly growing companies.
The complete standings for 2001 and a forecast for 2002 are contained in the CIMdata NC Software and Services Market Assessment Report, Version 11, which was recently published. A summary of that information is presented in this column.
CIMdata estimates that in 2001, the worldwide five largest CAM software suppliers based on revenue received were EDS PLM Solutions, IBM/Dassault, PTC, Hitachi Zosen and Delcam. This was the first year in which EDS moved to the top of the listing. The EDS value includes the CAM revenues from SDRC, although the SDRC CAM revenues had declined over the years and were not a significant factor in the total. EDS had an excellent year in CAM, even though manufacturing companies and their suppliers generally reduced their expenditures for purchases of hardware and software. EDS, IBM/Dassault and PTC were relatively close in revenues received; their worldwide market shares were 14.3 percent, 13.5 percent and 12.8 percent, respectively. There was a sizable drop off in market share from the top three to Hitachi Zosen and Delcam, which attained market shares of 9.0 percent and 5.9 percent.
Two other observations that can be made from the rankings are: 1) The market is very fragmented. There are 50 or so significant suppliers of CAM software, and no single vendor or small group of vendors dominates the market. 2) The three largest suppliers in CAM are also the three leading vendors in both PLM and CAD/CAM.
When the rankings are based on end user payments, the estimated top five worldwide vendors are the same, but the order is different. Using this criterium, CIMdata positions IBM/Dassault as the largest vendor, with a 16.4 percent market share. It is followed, in order, by PTC, EDS, Hitachi Zosen and Delcam. End user payments include reseller revenues and payments that go to the software supplier. Because EDS uses fewer resellers than most vendors, it is listed lower in this grouping. IBM/Dassault is in the process of evolving from CATIA Version 4 to Version 5, but its CAM program is on solid footing. IBM and Dassault have made major commitments to the support of manufacturing applications.
CIMdata also estimated the largest CAM software vendors by geography and by application area using the criterium of vendor revenues received. As expected, the results are similar but different, as some suppliers focus on a given geography or application area. EDS, PTC and IBM/Dassault are the three largest vendors in North America. In Europe,the top three are IBM/Dassault, PTC and EDS. In Asia Pacific, the largest suppliers are Hitachi Zosen, IBM/Dassault and PTC.
When the market is segmented by estimated revenues received from specific application areas, the results are again similar, but not the same. CIMdata estimates that the three largest vendors supporting the mold, tool and die market segment are Hitachi Zosen, PTC and Delcam. In automotive, the three largest are EDS PLM Solutions, IBM/Dassault and Hitachi Zosen. The largest CAM suppliers to the aerospace industry are estimated to be IBM/Dassault, EDS and PTC.
When the criterium is industrial CAM software seats shipped, the rankings change significantly. CNC Software moves to the top of the list. It is followed by PTC and EDS. Mastercam is often considered to be the de facto CAM software product. It is used in a variety of applications and is moderately priced. Because of the lower pricing, CNC Software leads in seat counts but ranks lower on the revenue listing. (It is listed as the 10th largest vendor in 2001.) CNC Software also led the industry in 2001 in terms of industrial seats installed, education seats shipped and education seats installed. Mastercam is a ubiquitous product, and CNC Software has been the NC software seat count industry leader for a number of years.
A different set of industry leaders emerges when the ranking is based on the most rapid increase in revenue. For 2001, the five worldwide CAM software leaders in revenue growth were Missler, Vero International, EDS, DP Technology and Delcam. During 2001, Missler, a French company, acquired CNI, another French vendor, and the added CNI revenues significantly impacted the Missler growth rate.
It is also interesting to note that EDS PLM Solutions, in addition to being the largest CAM software supplier, is one of the most rapidly growing.