Yet there are rumblings that Embraer may be seeking to re-enter the market with a clean sheet turboprop design that would offer considerable efficiency improvements over existing types – a feat that would be easy to achieve in view of structures and powerplants that can be traced back to the 1980s (though the B737MAX is derived from a 1960s design). Embraer has stated intentions to be the market leader in the sub 150 seat segment now that Airbus and Boeing have effectively moved to larger equipment though this has not prevented Boeing from seeking to overturn the Delta order for CSeries aircraft.
The effect of Embraer entering the turboprop market will be to shake up residual value forecasts that for so long have been predicated on only modest improvements to an existing demand. The ATR72-600 and Dash8-400NG residuals will be faced not only with a new market entrant but also the possibility that ATR at the very least will be forced to respond with a major upgrade or even a replacement. A new engine will be required at the very least. Embraer has previously been able to move relatively quickly in terms of decision making, note how far Embraer has developed its business jets in only a decade. With considerable groundwork already likely to have been undertaken in proving the business case then a design may be revealed at next years Farnborough Air Show. Compared to developing a range of regional and business jets, the costs associated with a new turboprop may be viewed as a relatively cost effective means of ensuring that the company can offer a range of products below 150 seats largely, thereby impacting residual values of existing products.
Complete artilcle
http://www.aircraftvaluenews.com/turboprop-values-steady-but-embraer-ambitions-could-impact-residuals/
That would be nice. More competitors in the segment.