Semiconductor Market - Forecast(2022 - 2027)

Semiconductor market size is valued at $427.6 billion in 2020 and is expected to reach a value of $698.2 billion by 2026 at a CAGR of 5.9% during the forecast period 2021-2026. Increased investments in memory devices and Integrated circuit components are driving technological improvements in the  semiconductor sector. The emergence of artificial intelligence, internet of things and machine learning technologies is expected to create a market for Insulators as this technology aid memory chip to process large data in less time. Moreover demand for faster and advanced memory chip in industrial application is expected to boost the semiconductor market size. Semiconductors technology continues to shrink in size and shapes, a single chip may hold more and more devices, indicating more capabilities per chip. As a result, a number of previously-used chips are now being combined into a single chip, resulting in highly-integrated solutions. Owing to such advancement in technology the Gallium arsenide market is expected to spur its semiconductor market share in the forecast period. 

The report: “Semiconductor Market Forecast (2021-2026)”, by IndustryARC covers an in-depth analysis of the following segments of the Semiconductor market report.

By Components – Analog IC, Sensors, MPU, MCU, Memory Devices, Lighting Devices, Discrete Power Devices, Others

By Application – Networking & Communication, Healthcare, Automotive, Consumer electronic, Data processing, Industrial, Smart Grid, Gaming, Other components

By Type - Intrinsic Semiconductor, Extrinsic Semiconductor

By Process- Water Production, Wafer Fabrication, Doping, Masking, Etching, Thermal Oxidation

By Geography - North America (U.S, Canada, Mexico), Europe (Germany, UK, France, Italy, Spain, Belgium, Russia and Others), APAC(China, Japan India, SK, Aus and Others), South America(Brazil, Argentina,  and others), and RoW (Middle east and Africa)

• In component segment Memory device is expected to drive the overall market growth owing to on-going technological advancement such as virtual reality and cloud computing.
• networking and communication is expected hold the large share owing to rise in demand for smart phone and smart devices around the world.
• APAC region is estimated to account for the largest share in the global market during the forecast period due to rise of electronic equipment production and presence of large local component manufacturers.

 

 

 

Memory device is expected to drive the overall market growth at a CAGR of 6.1% owing to on-going technological advancement such as virtual reality and cloud computing. High average selling price of NAND flash chips and DRAM would contribute significantly to revenue generation. Over the constant evolution, logic devices utilised in special purpose application particular signal processors and application specific integrated circuits are expected to grow at the fastest rate.

With increasing demand for smart phone and smart devices around the world networking and communication segment is expected hold the large share in the market at 16.5% in 2020. Moreover due to Impact of Covid 19, the necessity of working from home has risen and the use of devices such as laptops, routers and other have increased which is expected to boost the semiconductor market size. The process of Wafer Level Packaging (WLP), in which an IC is packaged to produce a component that is nearly the same size as the die, has increased the use of semiconductor ICs across consumer electronics components owing to developments in silicon wafer materials.

APAC region is estimated to account for the largest semiconductor market share at 44.8% during the forecast period owing to rise of electronic equipment production. Due to the extensive on-going migration of various electrical equipment and the existence of local component manufacturers, China is recognised as the region's leading country. The market in North America is expected to grow at a rapid pace, owing to rising R&D spending.

Rise in technological advancement in consumer electronic devices have created a massive demand for integrated circuit chip, as these IC chip are used in most of the devices such as Smartphones, TV’s, refrigerator for advanced/ smart functioning. Moreover investment towards semiconductor industries by the leading consumer electronics companies such as Apple, Samsung and other is expected to boost the semiconductor market share by country. The adoption of cloud computing has pushed growth for server CPUs and storage which is ultimately expected to drive the semiconductor market. Wireless-internet are being adopted on a global scale and it require semiconductor equipment As a result, the semiconductor market research is fuelled by demand and income created by their production.

Semiconductor industry is expected to be driven by the huge and growing demand for powerful AI applications from automotive markets. Automakers are pushing forward with driverless vehicles, advanced driver assistance systems (ADAS), and graphics processing units (GPUs) which is estimated to boost the semiconductor market size. Furthermore, varied automobile products, such as navigation control, entertainment systems, and collision detection systems, utilise automotive semiconductor ICs with various capabilities. In the present time, automotive represents approximately 10 – 12 per cent of the chip market. 

The semiconductor market is being held back by the constantly changing functionality of semiconductor chips and the unique demands of end-users from various industries. The factors such as Power efficiency, unrealistic schedules, and cost-down considerations are hindering the semiconductor market analysis.

Technology launches, acquisitions and R&D activities are key strategies adopted by players in the Semiconductors Market. The market of Electrical conductivity has been consolidated by the major players – Qualcomm, Samsung Electronics, Toshiba Corporation, Micron Technology, Intel Corporation, Texas Instruments, Kyocera Corporation, Taiwan Semiconductor Manufacturing, NXP Semiconductors, Fujitsu Semiconductor Ltd.

• In July 2020 Qualcomm introduced QCS410 AND QCS610 system on chips, this is designed for premium camera technology, including powerful artificial intelligence and   machine learning features.
• In November 2019 Samsung announced it production of its 12GB and 24GB LPDDR4X uMCP chip, offering high quality memory and data transfer rate upto 4266 Mbps in smartphones
• In September 2019 the new 5655 Series electronic Board-to-Board connectors from Kyocera Corporation are optimised for high-speed data transfer, with a 0.5mm pitch and a stacking height of under 4mm, making them among the world's smallest for this class of connector.