Sign manufacturing, particularly channel letter production, has significantly evolved from the era of manual craftsmanship by highly skilled artisans. The introduction of computers in the 20th century transformed the industry, enabling the use of Computer-Controlled Equipment (CNC).
CNC machines are now employed to cut materials (routers) and bend returns (CNC letter bending machines). Additionally, computer design software facilitates the creation of signs and prepares designs for various equipment.
Management software (MRP/ERP, Accounting) also helps companies manage operations and enhances customer support. The advent of new paint and compressed air guns has further enabled companies to finish their products more efficiently.
Initially, only large companies with high production volumes invested in graphic design software, CNC routers, benders and paint spray booths.
However, small and medium-sized companies began adopting this equipment as prices decreased. The next evolution in the process involves companies exploring laser cutters and welders. Historically and presently, finding skilled workers remains a significant challenge for sign companies, primarily due to the industry’s aging workforce and a lack of young individuals entering the trade with the necessary skills.
To alleviate this problem and reduce manufacturing costs, the immediate future promises more affordable equipment, easier-to-operate machines, increased automation and shorter learning curves for various skills, such as aluminum welding.
Ultimately, 3D printing, laser technology and the incorporation of artificial intelligence (AI) will transform the sign industry.
CNC Routers
The price of CNC routers has significantly decreased over the years. Advanced software and simulation tools, such as nesting algorithms, enhance efficiency and reduce waste by accommodating multiple jobs on the same sheet of material. Adding an automatic tool changer (ATC) Increases efficiency and adding a CCTV increases accuracy.
CNC Laser Cutters
The price of CNC lasers has also significantly decreased over the years. Introducing more affordable power laser sources enables medium-sized companies to consider fiber lasers for cutting metals.
Additionally, combining CO2 and fiber lasers allows companies to cut non-metal materials using a single machine, such as acrylic, wood and metal. Laser technologies will undoubtedly advance toward higher power, better beam quality, shorter wavelengths and faster frequencies.
For example, as downstream laser devices increasingly require energy density, manufacturers must continuously improve core component performance (such as high-power semiconductor laser chips and gain fibers) and the power of fiber lasers will require advanced integration.
Channel Letter-Bending Machines
The price of bending machines has significantly decreased due to increased market competition and the declining costs of CNC, servo controllers and motors. Progress in this segment has been slow, as many end customers still prefer the traditional trim cap design. However, a few companies have introduced machines that utilize innovative materials to create letters without trim, reverse/halo letters without welding, illuminated plastic side returns and epoxy face letters, making the assembly process more efficient.
Another type of machine processes plastic trim, although these have seen limited success in the industry. A few years ago, we developed a machine that utilizes an aluminum coil, converts it into aluminum trim and creates the letter’s shape.
Laser Welders / Cleaners
A few years ago, there was a significant advancement in YAG laser welding, a solid-state process that uses a flash lamp to generate short-wavelength laser oscillations. Unfortunately, this method performed well only with stainless steel and not aluminum.
The industry has since transitioned to fiber laser welding, utilizing a handheld laser torch. There have been notable improvements in cooling systems, moving from water cooling to air cooling and, more recently, refrigeration and heat pumps. As a result, the laser torch has become smaller and lighter. Based on our experience, training an operator without prior knowledge of welding aluminum in approximately six hours is possible.
However, this process is suited only for medium to large-channel letters and aluminum structures. Laser companies developing hybrid welding combine laser welding with traditional arc welding for large structures and thick materials. Companies will soon develop tabletop laser welders suitable for small to medium channel letters. Unfortunately, the 1000W tabletop fiber laser does not meet safety requirements.
We are developing a tabletop with a new laser source that is only turned on for short intervals but produces high-energy pulses (100W will be equivalent to the heat produced by a 1500W fiber laser). The laser beam can also be used to clean metal or strip paint. A specific consideration should be given to safety when using class 4 laser.
Companies are developing:
- Water-Based & Low-VOC Paints: Reducing harmful volatile organic compounds (VOCs) to meet stricter environmental regulations.
- Powder Coating Innovations: More industries are shifting toward powder coatings for better durability and zero VOC emissions.
- Electrostatic Spray Improvements: Enhanced transfer efficiency means less paint waste and a cleaner work environment.
3D Printers
The unique design of these 3D printers allows them to function effectively in sign manufacturing. However, several challenges persist:
- Large format 3D printers operate relatively slowly.
- Designers are more experienced in 2D than 3D design, and designing a 3D printable file is time-consuming.
- There is a limited selection of flame-retardant and UL-certified materials.
Many companies are working on increasing speed, and breaking the limitation of extrusion speed of 37 mm³/s; our line of printers can achieve 160 mm/S= 31 mm³/s for good quality. The printer can run for 24 hours, and multiple printers can be utilized.
We and other companies developed software that converts 2D to 3D and produces the slicing output required for the printer. We are working with UL to identify the process for certifying the materials for indoor and outdoor use according to UL48.
The introduction of tabletop CO2 laser cutters enables companies to use the 3D printer only for the side return and to cut the face and the back on the laser cutter. The future of 3D printing lies in materials development; 3d printers will be able to adjust their settings based on image feedback obtained from a camera and break the limitation of extrusion speed of 37 mm³/s.
MRP/ERP
The introduction of cloud-based enterprise resource planning (ERP) systems has allowed small—and medium-sized companies to utilize complex systems without needing an in-house IT department. However, companies must still invest in accurate data and hardware to monitor manufacturing progress and achieve cost goals.
Artificial Intelligence
AI has emerged as a transformative force across industries. Artificial intelligence-powered design software will semi-automate the design process for custom letters, providing personalized suggestions and streamlining the design-to-production workflow. However, it will not eliminate the creative role.
- AI-Based LED Layout Optimization: Software calculates the optimal LED placement for uniform lighting.
- Examples of AI tools for graphic design include Adobe Firefly.
- In the future, AI-generated custom letter designs will automatically adjust based on client requirements. In the equipment industry, AI adoption has been slow.
- AI-powered CNC Benders: Machines with self-calibration and automatic material thickness detection for precise bends.
- AI-driven CNC Routers & Laser Cutters: Enhanced precision and speed for cutting metal, acrylic, and other materials.
- AI Virtual Assistant: An assistant capable of helping with tasks such as clarifying code, generating G-code, and creating 2D or 3D models.
- 3D printing: The most effective application of AI in 3D technology is analyzing 3D printing layers, and 3D printers will be able to adjust their settings based on image feedback obtained from a camera.
AI enhances CNC machining by improving efficiency through automated calibration, accuracy, and productivity. Additionally, AI will assist with quality control, maintenance and safety.
For example, CAM Assist, an add-in for Autodesk Fusion 360, exemplifies this application. In painting and finishing (industrial spray painting):
- IOT-Connected Spray Booths: Real-time temperature, humidity, and airflow monitoring for perfect coating results.
- Predictive Maintenance: AI can detect when spray equipment needs servicing, reducing downtime.
- AI-Powered ERP systems will automate order tracking, inventory management, scheduling, calculating quotes, and workflow management.
In the future, channel letter manufacturing will be characterized by high levels of automation, from design to production to delivery. With the integration of robotics, AI, 3D printing, and advanced cutting technologies, manufacturers can expect to create more intricate, customizable, and efficient products at a lower cost, ultimately improving production efficiency and the customer experience.
Automation in channel letter manufacturing has significantly improved efficiency, precision, and cost-effectiveness. Channel letters—illuminated or non-illuminated three-dimensional signs—require precise cutting, bending, welding, and assembly. Automation has streamlined these processes, reduced manual labor and increased speed and accuracy.
There are many aspects of the AI revolution in the sign industry, including printing equipment, LED displays and other items not covered in this article.
Dave Rom BSc (Eng), MBA
President and Chief Engineer
Rom has over 40 years of experience in machine design and company management. Ascent Equipment manufactures and distributes CNC bending machines, laser cutters, welders, and 3D printers. Rom can be reached at [email protected]. See the photos below to view possible creations with the machines described by Rom.
