Test and Measurement Equipment Market Size, Share, and Growth Forecast, 2025 - 2032

Test and Measurement Equipment Market Size and Trends

The global test and measurement equipment market size is projected to rise from US$36.4 Bn in 2025 to US$50.8 Bn by 2032 growing at a CAGR of 4.9% during the forecast period from 2025 to 2032.

The growing complexity of modern electronics, high-speed communications, and advanced sensors has increased the need for precise testing solutions. The expansion of electric vehicles and renewable energy systems drives demand for high-voltage and power-related testing, while the widespread adoption of automation, IoT (Internet of Things) devices, and smart devices requires continuous monitoring and calibration.

Key Industry Highlights:

• Investment Plans: South Korea’s KRW 2.4 Tn (US$1.79 Bn) funding for semiconductors and displays, and India’s INR 1.60 lakh crore (US$19.28 Bn) approved projects under the PLI scheme and India Semiconductor Mission.
• Dominant Product Type: Oscilloscopes are expected to dominate the market with a share of over 21%, due to the need for precise monitoring and analysis of electrical signals, which is essential for troubleshooting, design verification, and ensuring high-speed circuit reliability.
• Leading Vertical: The electronics and semiconductor segment is anticipated to account for more than 27% of the market share in 2025, driven by the growing complexity and miniaturization of devices, which necessitate precise evaluation of performance, reliability, and safety.
• Leading Region: North America is projected to hold over 32% of the market share in 2025, driven by growing demand for precision and reliability in advanced technologies.
• Fastest-growing Region: Asia Pacific is expected to be the fastest-growing, driven by increasing manufacturing automation and rising demand for quality and safety testing across the electronics, automotive, and energy sectors to ensure product quality and reliability.

Global Market Attribute	Key Insights
Test and Measurement Equipment Market Size (2025E)	US$36.4 Bn
Market Value Forecast (2032F)	US$50.8 Bn
Projected Growth (CAGR 2025 to 2032)	4.9%
Historical Market Growth (CAGR 2019 to 2024)	3.1%

Market Dynamics

Driver - Growing Need for Advanced Solutions Amid Electrification & Miniaturization

With the integration of miniaturized electronics, embedded systems, high-frequency communications, and complex sensor networks, manufacturers are under increasing pressure to guarantee performance, safety, and reliability.

This has accelerated the adoption of sophisticated test and measurement tools that replicate real-world conditions through rigorous stress testing under strict industry standards. Sector-specific needs such as high-voltage testing for EVs, optical and RF testers for semiconductors, and in-process metrology for additive manufacturing are further driving the demand for advanced solutions.

The rapid electrification of transportation has accelerated significantly, with global EV sales expected to reach nearly 17 million units by 2024, a 25% increase from 2023. This growth has greatly increased the demand for battery test systems, high-voltage sensors, EV charging interoperability testing, EMC/EMI testing, and high-power test benches among OEMs and suppliers.

Semiconductor fabrication plants demand optical, RF, and parametric testers, while additive manufacturing requires materials characterization to ensure repeatability. These advancements are fueling strong demand in both R&D and production environments.

Restraint - Downtime, Delays, and Compliance Risks from Recurring Calibration Cycles

Precision instruments must be regularly calibrated against international standards to maintain accuracy, but this raises the total cost of ownership as customers must invest not only in the equipment but also in ongoing calibration services and downtime management.

Strict industry and regulatory mandates, such as those in aviation safety or semiconductor manufacturing, require traceable calibration certificates at all times. Any lapse can lead to compliance violations, rejected batches, or even safety issues, making advanced equipment less attractive for SMEs and research institutions.

Calibration of high-frequency and high-precision instruments requires specialized expertise, software tools, and control conditions, which many organizations lack, resulting in dependence on external providers and higher costs, delays, and productivity challenges.

For example, South Africa’s National Regulator for Compulsory Specifications (NRCS) reported that SANAS-accredited laboratories calibrated 11,677 mass verification standards, 722 volumetric verification standards, and 207 balances used by verification officers in the 2023/24 period.

Inspections of 12,583 measuring instruments revealed 1,279 (10.2%) with lapsed verification status and 1,604 (12.7%) non-compliances, triggering embargoes and rejections. This demonstrates how recurring calibration workloads and lapses create compliance risks, slow innovation, and restrain market growth.

Opportunity - Innovation in Software-Defined and AI-Enhanced Test Platforms

Software-defined architectures enable real-time reconfiguration, automation, and remote operation, reducing reliance on costly, fixed-function instruments while facilitating scalability across various industries. With the rollout of 5G and upcoming 6G trials, operators and equipment makers increasingly need flexible test and measurement (T&M) systems that can simulate complex scenarios and adapt to evolving standards.

According to the European Union, 13.5% of enterprises (41% of large enterprises) in the EU utilized AI in 2024, driving demand for programmable, over-the-air updatable instruments and AI-assisted test orchestration.

In January 2025, the U.S. Department of Commerce announced a CHIPS for America flagship R&D facility at Arizona State University, designed to bridge the gap between lab and fab with 300 mm flows and shared access to advanced tools, which directly require software-defined instrumentation and high-fidelity analytics.

The European Commission committed up to €1.67 Bn (US$ 1.82 Bn) (via Digital Europe + Horizon Europe) for semiconductor pilot lines and testing facilities, funding infrastructures that depend on scalable, reconfigurable test benches and AI-driven analytics to shorten time-to-yield. These initiatives open strong growth avenues for vendors of programmable RF, power, and reliability test systems with ML-based outlier detection.

Trend - Need for Remote-Capable Systems to Support Smart Grids

Rapid deployment of variable renewables is increasing test complexity as operators must validate performance across diverse conditions such as varying irradiance, wind speeds, and partial loads. The U.S. EIA reported that solar generation grew by ~25% in 2024 compared to 2023, while wind and solar’s share of U.S. generation also rose significantly.

These necessitate more acceptance testing, performance verification, and long-term monitoring of inverters, trackers, and balance-of-system components. In early 2025, the UK’s rising renewable share in quarterly generation highlighted the growing importance of frequency response testing, power-hardware-in-the-loop (PHIL), and EMC validation to ensure system reliability.

As renewables expand and grids evolve into smart grids, testing requirements extend to sensors, communication devices, and automation technologies to ensure interoperability and cybersecurity. Remote-enabled testing, once driven by pandemic disruptions, has now become a long-term standard for quality assurance and compliance verification.

Industries demand remote-capable solutions that maintain secure communication channels and traceability, ensuring compliance with stringent safety and performance regulations. This shift toward renewable integration, digital operations, and secure remote testing highlights the growing complexity and critical importance of (T&M) solutions across industries.

Category-wise Analysis

Product Type Insights

Based on product type, the market is segmented into general purpose test equipment and mechanical test equipment. Among general purpose test equipment, oscilloscopes are expected to account for more than 21% share in 2025 due to their role in debugging, design validation, and signal integrity analysis across industries.

The growing adoption of 5G networks, EVs, and advanced semiconductors is driving demand for high-bandwidth, real-time oscilloscopes capable of measuring complex, high-frequency signals and detecting transient faults, making them indispensable for R&D and production testing.

Bit Error Rate Testers (BERT) are expected to grow at a significant rate due to the increasing complexity of digital communication systems and high-speed data networks across industries. As enterprises and service providers demand more reliable and high-throughput connections, BERT devices are essential for verifying signal integrity and ensuring low error rates.

Advancements in high-speed memory and storage technologies increase the need for accurate error monitoring to maintain system performance and data integrity. BERT’s role in maintaining network efficiency, reliability, and compliance with industry standards is a key growth driver.

Vertical Insights

In terms of verticals, the market is segregated into healthcare, industrial, electronics & semiconductor, aerospace & defense, automotive, IT and telecommunication, utilities, and others. Out of these, electronics and semiconductors are expected to account for over 27% share in 2025, due to the growing complexity of devices and rising miniaturization.

Manufacturers require high-precision instruments to ensure reliability, performance, and quality. The push for higher yield and lower defects further fuels equipment adoption. Continuous innovation in electronics amplifies testing requirements across design, production, and validation stages. As devices become faster and more integrated, the demand for accurate, high-frequency, and automated testing solutions grows.

The IT and telecommunications segment is expected to grow at the highest rate due to the rapid rollout of 5G networks and preparation for 6G trials. Network operators and equipment manufacturers need advanced solutions to validate high-speed data transmission, low-latency performance, and complex network configurations. The increasing adoption of cloud computing and IoT devices further drives the demand for precise testing of communication infrastructure.

Regional Insights

North America Test and Measurement Equipment Market Trends

North America is expected to account for a share of more than 32% in 2025, driven by the automotive sector’s shift toward electric vehicles (EVs) and autonomous driving technologies. EVs require extensive testing of batteries, electric motors, and charging systems, while autonomous vehicles need validation of sensors and communication systems.

According to the IEA, electric car sales in the U.S. are projected to rise by 20% in 2024 compared to 2023, adding nearly half a million units. The growing demand for cloud services and data storage has increased the use of T&M equipment, with the U.S. Department of Energy's LIFTOFF initiative highlighting the role of reliable testing in data center development.

Telecom operators in the U.S. and Canada are testing 5G networks, using spectrum analyzers, signal generators, and network analyzers to ensure signal integrity and optimize performance. Regulatory requirements from the FDA and FCC also drive adoption for electronic devices, medical equipment, and communication systems.

Manufacturers in the U.S. are deploying automated quality control systems, while Canada’s industries modernize processes for efficiency and defect detection. AI, machine learning, and predictive analytics are increasingly applied in testing, supported by U.S. government initiatives that enhance intelligent T&M system deployment and process optimization.

Asia Pacific Test and Measurement Equipment Market Trends

Asia Pacific is expected to grow at the highest rate, due to the region’s booming electronics manufacturing. China remains a dominant force, producing 1.67 billion mobile phones in 2024, a 7.8% increase from 2023, and achieving a 22.2% growth in integrated circuit production, reaching 4,514 billion units, according to the Ministry of Industry and Information Technology.

Shanghai's integrated circuit industry alone exceeded 390 Bn yuan (US$ 54.2 Bn) in 2024, emphasizing the city’s leadership in the semiconductor supply chain, which heightens the need for precise T&M equipment to ensure product quality and reliability.

South Korea continues to lead in semiconductor production, with Samsung and SK Hynix dominating the memory chip market, supported by the government’s KRW 2.4 Tn (US$ 1.79 Bn) investment in 2025 for sectors such as secondary cells and displays. SMEs exported US$ 28.47 Bn in Q3 2024, demonstrating strong global competitiveness and reinforcing the demand for advanced equipment.

India’s electronics production surged from INR 1.9 lakh crore (US$ 21.7 Bn) in 2014-15 to INR 11.3 lakh crore (US$ 129.3 Bn) in 2024-25, driven by initiatives such as the PLI scheme and the India Semiconductor Mission with approved projects worth INR 1.60 lakh crore (US$ 19.28 Bn) in six states. The region’s automotive shift toward electric vehicles and the trend of renting and leasing T&M equipment, especially among SMEs, are further expanding the market.

Europe Test and Measurement Equipment Market Trends

Germany’s focus on industrial automation and precision engineering, coupled with its commitment to Industry 4.0 and digitalization, is driving demand for advanced equipment. Initiatives supported by the Federal Ministry for Economic Affairs and Climate Action promote the adoption of digital technologies in manufacturing, increasing the need for precise measurement tools.

The European Green Deal’s push for zero-emission transport is boosting EV production, requiring T&M equipment to test battery performance, charging infrastructure, and vehicle electronics. According to the IEA, Europe experienced year-on-year EV sales growth of over 5% in Q1 2024, slightly outpacing overall car sales, stabilizing the EV share, with 40% of battery electric car sales in Europe for small and medium models, compared to 25% in the U.S. and 50% in China.

Italy’s growing clean tech sector, particularly solar PV manufacturing, drives demand, with 6.8 GW of solar PV installed in 2024, necessitating testing of photovoltaic cells and modules for performance and quality assurance. In 2025, Italy’s focus on affordable healthcare will likely increase T&M use in diagnostics and medical equipment certification.

WindEurope notes that Germany, the U.K. (1.9 GW), and France (1.7 GW), built the newest wind capacity, requiring T&M for grid stability and turbine performance. The U.K.’s "Invest 2035" strategy and 5G network expansion are boosting demand for network analyzers, high-frequency testing, and research tools.

Competitive Landscape

The global test and measurement equipment market is moderately fragmented, with a mix of large multinational leaders and numerous regional or niche players serving specialized segments.

They are competing through innovation-led differentiation, focusing on advanced features such as higher measurement accuracy, multi-function integration, and IoT/AI-enabled analytics. Many are pursuing vertical-specific solutions; for example, in automotive EV testing, 5G, and aerospace, to capture high-growth niches.

Industry Developments:

• In August 2025, Axiometrix Solutions launched the CANSASflex HISO-T-8-2L, a high-isolation CAN-Bus temperature measurement module for high-voltage EV battery testing. Featuring 8 thermocouple channels, up to 1400 Vdc isolation, and a cable-free click-in design, it delivers precise, safe, and rack-ready integration for advanced e-mobility R&D.
• In July 2025, Keysight Technologies upgraded its PXE EMI Receiver with a 1 GHz real-time, gapless Time Domain Scan, enabling single-step measurements from 30 MHz to 1 GHz. The enhancement boosts test speed, improves EMI issue detection, and streamlines EMC certification in compliance with CISPR 16-1-1:2019 standards.
• In March 2025, VeEX Inc. launched the industry’s first remote Optical Test Tool (OTT) to streamline optical distribution network construction verification. The patent-pending device enables single-technician operation, remotely switching test signals to up to 32 fibers via a mobile phone, reducing time, cost, and manpower in fiber network testing.

Companies Covered in Test and Measurement Equipment Market

• Keysight Technologies
• Rohde & Schwarz GmbH & Co. KG
• Yokogawa Electric Corporation
• Fluke Corporation
• Megger Group Limited
• TDK-Lambda
• Teledyne Technologies
• Gossen Metrawatt
• BENNING Elektrotechnik und Elektronik GmbH & Co. KG
• HIOKI E.E. CORPORATION
• Anritsu Corporation
• AMETEK.Inc.
• VIAVI Solutions Inc.