The worldwide Industrial/Professional* segment of the 3D Printing market again struggled in 2016, seeing -10% fewer printers ship for the year compared to 2015 mostly due to the difficulties on the polymers side in making headway into production and away from just prototyping. Polymer technologies making the most headway into the manufacturing sector for 2016 included resin-based, Vat Photopolymerization printers (most commonly known as SLA or stereolithography but also including many other sub-technologies) and polymer Powder Bed Fusion printers (which include not only SLS - Selective Laser Sintering - technologies but also newer technologies like HP's MultiJet Fusion). Resin based printers saw global shipments increase +8% in 2016, putting this category ahead of Material Extrusion as the top technology on this side of the market for the first time since 2000. Material Extrusion still dominates the total market (Industrial/Professional plus Desktop/Personal) however with the bulk of the Desktop/Personal printers being of this type.
"While 3D printing in metals has already begun crossing this chasm into production, plastics are still largely stuck in prototyping, This is especially true in Material Extrusion", noted Chris Connery, VP of Global Analysis for CONTEXT. When considering Desktop/Personal 3D Printers, a category which again saw growth in 2016, with +33% more printers shipped in this sub $5K category than a year ago, Material Extrusion still rules the market. This Desktop/Personal category of 3D Printers was once thought to be able to penetrate more deeply into mainstream consumer usage, but still largely caters to non-consumer markets such as education and even more and more into the professional realm, while still remaining popular with hobbyists. A notable trend has been the acceptance of Desktop/Personal 3D Printers for professional use over the last two years as this sub-$5K Desktop category remains the gateway to 3D Printing for many and an important part of the ecosystem. While the sale of Polymer based Industrial/Professional 3D Printers struggled again in 2016, metal-based systems again showed growth with both Powder Bed Fusion solutions and Directed Energy Deposition solutions seeing share gains. Powder Bed Fusion metal 3D Printers were up +17% while Directed Energy Deposition System sales were up +28% Y/Y.
Market leaders Stratasys and 3D Systems both saw fewer Industrial/Professional 3D Printers ship globally in 2016 than in 2015 with notable Y/Y increases coming from EnvisionTEC, privately held EOS, Concept Laser (with heavy new investment from GE) and SLM Solutions with all but EnvisionTEC having metal as part of their portfolio. EnvisionTEC showed some of the greatest growth Y/Y with a heavy emphasis on mass customization as opposed to mass production, evidenced by their focus on the Dental and Jewelry industries. Powder Bed Fusion solutions in Polymers saw a slight decrease in unit shipments for the year, with -3% fewer printers shipped in this category than in a year ago. New solutions on the powder polymer side which allow for faster or better throughput by the way of the use of multiple lasers (as for EOS) or new technologies for sintering powder (as for HP), show machine trends to be skewed a bit for the period however with overall growth still seen in this technology as evidenced by growing material sales. As the Polymers side of 3D Printing shifts some of its attention toward production, the industry still needs to prove itself in terms of part repeatability, production of isotropic parts and materials cost.
Broadliner Ingram Micro has unveiled a change of leadership in its pan-EMEA division. Mark Chlebek replaces Robert Beck as executive director of this division, managing relationships with pan-EMEA vendor partners. Beck will "gradually withdraw from the day-to-day business", before ending his 25 year career with the distributor. A 20-year company veteran, having joined Ingram in 1997, Chlebek takes responsibility for "purchasing and business management" for regional vendor partners managed by the distributor on a centralised basis. As part of the EMEA senior management team he reports to global group president of EMEA Mark Snider. "I'm excited to have Mark Chlebek coming into this strategic role. Mark brings with him years of EMEA-wide experience driving innovation and growth for our business. I am looking forward to working with him in his new capacity", Snider says. "I'd like to take this opportunity to thank Robert Beck for his many years of service and dedication to Ingram Micro. I'd also like to thank him for volunteering to help with a smooth transition, ensuring Ingram Micro business will continue without interruption to our vendor and customer partners." Chlebek is but one recent promotion in Ingram management. In February the distributor appointed Jacek Murawski as VP of EMEA vender engagement, with Günter Schiessl and Jordi Muñoz reporting into him in roles overseeing the management of partnerships with volume and value vendors respectively.
Exclusive Group transforms leadership team
American broadliner Tech Data has completed its acquisition of the Technology Solutions business from its competitor Avnet. The combination creates a premier global end-to-end IT distributor with unmatched capabilities and the most diverse solutions from the data center to the living room. "This is a momentous day in our company's history and we are excited to welcome our talented colleagues at Technology Solutions to the Tech Data family", said Bob Dutkowsky, chief executive officer of Tech Data. "Our combined company is perfectly positioned at the epicenter of the IT ecosystem—with the scale and scope to serve dynamic markets throughout the world—giving our customers access to an end-to-end portfolio of IT solutions and efficiently bringing our vendors' products to new customers in more markets. Our organizations' common cultures, shared values and commitment to providing a world-class customer experience will serve as the foundation for the new Tech Data. Together, we will be an even stronger company, capable of doing more for our channel partners than ever before. We remain confident that the acquisition of Technology Solutions creates a winning combination for our customers, vendors, and shareholders, as well as the employees of both organizations."
The addition of Technology Solutions significantly broadens Tech Data's value-added distribution business (aka Azlan), increasing the company's ability to help its partners capitalize on next-generation technologies while enhancing its go-to-market capabilities with complementary skills, expanded vendor relationships, and new customer sets. The combined company has a larger and more balanced geographic footprint, including a presence in the Asia-Pacific region, a new market for Tech Data. The company has operations in 40 countries, with 14,000 employees serving approximately 115,000 customers in more than 100 countries. The company also announced its global executive leadership, as well as several new regional and global roles. Reporting to CEO Bob Dutkowsky are:
In Europe, Tech Data has also announced its European Executive Board, which will be led by Zammit:
The total purchase price at close was approximately €2.35 billion (subject to certain post-close adjustments), including €2.17 billion in cash, and 2,785,402 shares of Tech Data stock, representing approximately 7.3% of Tech Data's shares outstanding (after issuance of the new shares). Tech Data financed the cash portion of the purchase price through a combination of €900 million from its recent public debt offering and €900 million of bank term loans, and the remainder from drawings under other credit facilities and cash on hand. The transaction is expected to be significantly accretive to Tech Data's non-GAAP earnings per share in the first full year. The company expects to achieve annual cost savings of approximately €90 million within 24 months, with one-time costs to achieve these cost savings expected to be approximately €135 million.
Analog Devices has selected semiconductor specialist Arrow Electronics as its strategic distribution channel partner operating globally. Analog Devices will retain its current regional distributor network but will employ Arrow as its sole global distribution channel partner. The move is aimed at enabling a deeper level of support and greater breadth of services for Analog Devices' customers, who under this new and simplified structure will have the ability to leverage a strong, focused channel team, and draw on a comprehensive suite of end-to-end support services ranging from design and prototyping to logistics support.
"Analog Devices continues to invest on behalf of our customers, including expanding our direct sales team and, today, strengthening our channel operations by deepening our engagement with Arrow", said Martin Cotter, senior vice president, Worldwide Sales and Digital Marketing, Analog Devices. "Arrow's impressive ecosystem of technical sales and marketing, full product lifecycle solutions and logistics services enables Analog Devices to transform its channel strategy from a transactional focus to a strategic one. We are excited about the possibilities of this closer relationship for all of our customers."
Arrow has been one of Analog Devices' key channel partners for decades, providing specialized services and expertise ranging from global supply chain and logistics support to full product lifecycle design and production for Analog Devices' extensive portfolio of high-performance analog products, including data converter, signal conditioning, RF and microwave, power, DSP, and sensor ICs.
"Arrow has enjoyed a long and successful relationship with Analog Devices, and we're excited to see the innovative new technologies our enhanced collaboration will bring to market", said Andy King, president of Arrow's global components business. "Working together, our two companies can leverage the breadth and depth of Analog Devices' product portfolio and Arrow's end-to-end, full-product-lifecycle capabilities to help solve our customers' biggest analog and mixed-signal challenges, including those in the burgeoning Internet of Things market.". In the EMEA region, Analog Devices products are available through Arrow offices in Austria, Belgium, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Israel, Italy, the Netherlands, Norway, Poland, Portugal, Romania, Russia, Slovakia, Slovenia, Spain, Sweden, Switzerland, Turkey, Ukraine and the United Kingdom.