United States Automotive Engineering Services Outsourcing ESO Market was valued at USD 8.5 Billion in 2022 and is projected to reach USD 18.1 Billion by 2030, growing at a CAGR of 10.5% from 2024 to 2030.
US Automotive Engineering Services Outsourcing (ESO) Market: Growth and Opportunities in a Competitive Industry
The US Automotive Engineering Services Outsourcing (ESO) market has witnessed significant growth in recent years, driven by the increasing demand for advanced engineering solutions and cost-efficiency in the automotive sector. As automakers strive to stay competitive and innovate rapidly, outsourcing engineering services to third-party providers has become a strategic decision. In this article, we explore the key trends and drivers shaping the ESO market in the US and how companies can capitalize on these opportunities.
One of the primary factors fueling the demand for ESO in the US automotive sector is the continuous evolution of technology. With the rise of electric vehicles (EVs), autonomous driving, and connected car technologies, OEMs (Original Equipment Manufacturers) are under pressure to accelerate their product development cycles. Outsourcing specialized engineering tasks to experienced service providers allows automakers to focus on core competencies while benefiting from the expertise of external partners in areas like software development, advanced driver-assistance systems (ADAS), and vehicle electrification.
According to recent market studies, the global automotive ESO market is expected to grow at a compound annual growth rate (CAGR) of over 7% through 2028. In the US specifically, this growth is fueled by the demand for innovative solutions and the increasing adoption of electric vehicles. As automakers look to streamline operations and reduce costs, engineering outsourcing provides them with a flexible approach to tackle emerging challenges. By leveraging external expertise, they can improve efficiency, shorten development cycles, and bring cutting-edge technologies to market faster.
Key drivers of this trend include the need for reduced time-to-market, lower operational costs, and access to global talent pools. Additionally, as technology evolves, the need for high-speed data transmission, such as 100 Gigabit Fiber Optic Transceiver, becomes more critical for automotive systems. Such technological advancements necessitate specialized knowledge that ESO providers can offer. Furthermore, this shift to outsourcing enables automakers to scale up their capabilities without the significant upfront investment required for in-house R&D.
Another significant trend in the US automotive ESO market is the increasing focus on sustainability. With pressure mounting on automakers to meet stricter emissions regulations and reduce their carbon footprint, outsourcing engineering services related to sustainable vehicle design and production processes is becoming a popular choice. ESO providers specializing in green technologies are poised to play a pivotal role in helping automakers meet these evolving demands.
In conclusion, the US automotive engineering services outsourcing market is on a path of rapid expansion, driven by technological advancements, cost-efficiency, and sustainability goals. Companies that strategically leverage outsourcing for specialized engineering tasks can gain a competitive edge in the fast-evolving automotive landscape.
Get an In-Depth Research Analysis of the US Automotive Engineering Services Outsourcing ESO Market Size And Forecast [2025-2032]
Bertrandt
EDAG Engineering GmbH
IAV GmbH
AVL List GmbH
Horiba
Altran
FEV Group
AKKA Technologies
ASAP Holding GmbH
Robert Bosch (ITK Engineering)
Alten GmbH
Kistler Instrumente
Altair Engineering
P3 Automotive GmbH
ESG Group
RLE International Group
P+Z Engineering GmbH
M Plan GmbH
By the year 2030, the scale for growth in the market research industry is reported to be above 120 billion which further indicates its projected compound annual growth rate (CAGR), of more than 5.8% from 2023 to 2030. There have also been disruptions in the industry due to advancements in machine learning, artificial intelligence and data analytics There is predictive analysis and real time information about consumers which such technologies provide to the companies enabling them to make better and precise decisions. The Asia-Pacific region is expected to be a key driver of growth, accounting for more than 35% of total revenue growth. In addition, new innovative techniques such as mobile surveys, social listening, and online panels, which emphasize speed, precision, and customization, are also transforming this particular sector.
Get Discount On The Purchase of the US Automotive Engineering Services Outsourcing ESO Market Size And Forecast [2025-2032]
Growing demand for below applications around the world has had a direct impact on the growth of the US Automotive Engineering Services Outsourcing ESO Market
Design and Prototyping Services
Research and Development Services
Testing and Validation Services
Manufacturing Engineering Services
Quality Assurance and Compliance Services
Passenger Vehicles
Commercial Vehicles
Electric Vehicles (EVs)
Hybrid Vehicles
Autonomous Vehicles
Chassis Engineering
Powertrain Engineering
Body Engineering
Interior and Exterior Design
Vehicle Dynamics and Controls
Internet of Things (IoT)
Artificial Intelligence (AI)
Advanced Driver Assistance Systems (ADAS)
Telematics and Connectivity
Simulation and Modeling Tools
OEMs (Original Equipment Manufacturers)
Tier 1 Suppliers
Tier 2 Suppliers
Startups and New Entrants
Aftermarket Players
US (United States, US and Mexico)
Europe (Germany, UK, France, Italy, Russia, Turkey, etc.)
Asia-Pacific (China, Japan, Korea, India, Australia, Indonesia, Thailand, Philippines, Malaysia and Vietnam)
South America (Brazil, Argentina, Columbia, etc.)
Middle East and Africa (Saudi Arabia, UAE, Egypt, Nigeria and South Africa)
For More Information or Query, Visit @ Automotive Engineering Services Outsourcing ESO Market Research Analysis
1. Introduction of the US Automotive Engineering Services Outsourcing ESO Market
Overview of the Market
Scope of Report
Assumptions
2. Executive Summary
3. Research Methodology of Verified Market Reports
Data Mining
Validation
Primary Interviews
List of Data Sources
4. US Automotive Engineering Services Outsourcing ESO Market Outlook
Overview
Market Dynamics
Drivers
Restraints
Opportunities
Porters Five Force Model
Value Chain Analysis
5. US Automotive Engineering Services Outsourcing ESO Market, By Type
6. US Automotive Engineering Services Outsourcing ESO Market, By Application
7. US Automotive Engineering Services Outsourcing ESO Market, By Geography
US
Europe
Asia Pacific
Rest of the World
8. US Automotive Engineering Services Outsourcing ESO Market Competitive Landscape
Overview
Company Market Ranking
Key Development Strategies
9. Company Profiles
10. Appendix
About Us: Verified Market Reports
Verified Market Reports is a leading US Research and Consulting firm servicing over 5000+ US clients. We provide advanced analytical research solutions while offering information-enriched research studies. We also offer insights into strategic and growth analyses and data necessary to achieve corporate goals and critical revenue decisions.
Our 250 Analysts and SMEs offer a high level of expertise in data collection and governance using industrial techniques to collect and analyze data on more than 25,000 high-impact and niche markets. Our analysts are trained to combine modern data collection techniques, superior research methodology, expertise, and years of collective experience to produce informative and accurate research.
Contact us:
Mr. Edwyne Fernandes
US: +1 (650)-781-4080
US Toll-Free: +1 (800)-782-1768
Website: https://www.verifiedmarketreports.com/