What Does the Engineering Services Outsourcing Landscape Look Like?

Auto Tech Outlook | Wednesday, February 17, 2021

The demand for engineering services outsourcing is increasing because it will make it easier for companies to manage the business. 

FREMONT, CA: Over the last few months, the demand for engineering services has risen dramatically. The overall revenue from engineering service outsourcing (ESO) hit US$ 145.26 billion back in 2016, now tripling to an estimate of about US$ 415.74 billion, as stated by Grandview Research.

COVID-19 Impact on ESO

The regions where the ESO industry has undergone disruptions, like:

• Market and supply chain

• Market confidence

• Production and demand

• Logistics

The Value of ESO in Trying Times

With its improved productivity rates in cost-efficient terms, ESO still holds significant importance in keeping up with business needs. By providing work-at-home arrangements for 50 percent of their employees, most ESO businesses have adjusted to the pandemic while the other half stays in the office because each of their workers is fit to work and passed the COVID-19 swab test.

ESO Services

ESO services support engineering work challenges like modeling and analysis that require a rigorous amount of time. It lets companies work on several projects without placing a burden on their in-house engineering team, far more than CAD drafting services and designing product creation and packaging.

ESO Product Types 


Most engineering services are outsourced, starting from 3D drafting services, technical research to product design and testing. It also plays a vital role in the automation of construction, control engineering, engineering of production, embedded systems, and engineering of plant design/processes.

These networks are used in sectors such as aerospace, automotive, building plans, semiconductors, pharmaceuticals, and, most notably, telecommunications, ranging from small cell site services, optical fiber infrastructure, and even 5G mobile carrier upgrades.

Why Outsource Engineering Services?

As the project phases are subdivided and distributed among a pool of talent worldwide, outsourcing engineering services would make it simpler for companies to handle the business requirements.

For example, a telecommunications company aims to upgrade its telecommunications infrastructures to fit more devices through small cell deployment or, who do they call, for a faster internet speed with fiber infrastructure? They would not avoid delivering services to concentrate on updating, and they will outsource engineering services, starting from CAD drafting services to services for building plans to actual implementation. The organization is ensured about the convenience of setting up its team from scratch on its own without the inconvenience.

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