"Electrifying your pathway to success through in-depth market research"

Semiconductor Market Size, Share & Industry Analysis, By Component (Memory Devices, Logic Devices, Analog IC, MPU, Discrete Power Devices, MCU, Sensors, and Others), By Application (Networking & Communications, Data Processing, Industrial, Consumer Electronics, Automotive, and Government), and Regional Forecast, 2022-2029

Region : Global | Format: PDF | Report ID: FBI102365

 

KEY MARKET INSIGHTS

Play Audio Listen to Audio Version

The semiconductor market size was valued at USD 527.88 billion in 2021 and is projected to grow from USD 573.44 billion in 2022 to USD 1,380.79 billion in 2029, exhibiting a CAGR of 12.2% during 2022-2029. Asia Pacific dominated the global market with a share of 54.92% in 2022.


The growth of this market is attributed to the increasing consumption of consumer electronics devices across the globe. Additionally, the emergence of artificial intelligence (AI), the Internet of Things (IoT), and machine learning (ML) technologies is providing new opportunities for market development. These technologies aid memory chips in processing large amounts of data in less time. Moreover, the increasing demand for faster and advanced memory chips in industrial applications will drive market growth over the forecast timeline.


COVID-19 IMPACT


High Uncertainty across Several Sectors amid COVID-19 to Impede Growth


Since the onset of COVID-19 in early 2020, the industry has faced several challenges to maintain stable growth. The entire technology industry is recovering from the U.S.- China trade war and 2019’s down cycle. The International Data Corporation (IDC) estimated a revenue contraction of approximately 6% in 2020 (with 54% of probability) for the global semiconductor industry over the forecast period.


The sudden outbreak of COVID-19 in Wuhan, China, which is also known as the “motor city,” has severely impacted automotive production in Asia, as it is the home to auto plants of General Motors, Honda, Nissan, Peugeot Group (PSA), Renault, and Toyota. The United Nations Conference on Trade and Development (UNCTAD) has estimated a 2% reduction in the export of automotive parts from China to other automotive manufacturers in the European Union (EU). Similarly, the U.S., South Korea, Japan, and many more could lead to automotive export reduction worth USD 7 billion from these economies to the rest of the world.


However, the rising need to work from home has drastically surged networking & communication, and data processing applications worldwide will lead to the moderate growth of the market for semiconductors in the long term.


LATEST TRENDS


Request a Free sample to learn more about this report.


Escalating Implementation of IoT, AI, and Wireless Communications to Augment Growth


Advancements in AI, IoT, and wirelessly connected devices are creating a huge demand across the globe. For instance, Micron Technology, Inc. offers high capacity memory and multi-chip packages powered with AI training that are utilized in embedded or cloud in edge devices and mobile. A majority of these new inventions are equipped with a single system on a chip (SoC) to offer high levels of integration. Additionally, SoC also allows the devices to operate with high power efficiency and enhanced security, as it integrates processors, memory, RF transceivers, sensors, power management, and connectivity in a single unit.


DRIVING FACTORS


Rising Consumption of Consumer Electronics Goods to Aid Growth


Rising household disposable income levels, rapidly growing population, and increasing urbanization create massive demand for regular and advanced consumer electronics devices. Integrated Circuit (ICs) chips are present in several electronic devices, including smartphones, washing machines, TVs, and refrigerators for efficient and appropriate functioning. Several leading consumer electronics brands, including Samsung, Apple, and Huawei are making large investments in introducing new devices to cater to the increasing consumer demand for advanced devices, supporting the market growth.


Increasing Demand for Integrated Circuits in Developing Economies to Boost Market Growth


China is expected to witness strong demand for mobile chips due to established manufacturing and assembling plants of several well-known smartphone manufacturers such as Apple and OnePlus. Moreover, Taiwan’s industry depicts significant growth, reflected by the number of Taiwanese personal computer manufacturers and their increasing investments in the research and development sector. The country is also renowned for manufacturing advanced technology-driven and compact integrated circuits, thus creating lucrative growth prospects for the market.


RESTRAINING FACTORS


Tariff Disruption and Shift in Global Trade to Hamper Growth


The industry is enormously dependent on the U.S. as it has been a prominent country holding a dominant share in the market. With changes in the country’s leadership, the U.S. has started to impose trade restrictions with China from 2018, and if the restrictions continue, the country is expected to suffer ~16% decrease in its market share. Therefore, the increasing tension with China is expected to diminish the dominance of the U.S. semiconductor market, and the focus is anticipated to shift to Asia Pacific in the coming years.


Furthermore, tariffs are applied to practically all the industrial goods and materials, which are customary for the chips. These tariffs impact the import and export of components, directly affecting the manufacturing cost of the chips.


SEGMENTATION


By Component Analysis


Memory Devices Segment to Depict Highest CAGR due to Wider Range of Applications


Based on component, the semiconductor market can be divided into memory devices, logic devices, analog IC, MPU, discrete power devices, MCU, sensors, and others.


Memory devices are expected to drive overall market growth due to ongoing technological advancements such as virtual reality and cloud computing and their integration in end-user devices. The high average selling price for NAND flash chips and DRAM would generate revenue.


Similarly, logic devices used for special purpose application-specific signal processors (ASSP) and application-specific integrated circuits (ASIC) are projected to display the highest growth rate over the forecast period.


The microprocessors (MPU) and microcontroller (MCU) segments would depict stagnant growth owing to frail shipments and investments for notebook PCs, computers, and standard desktops. In the current market scenario, the increasing popularity of IoT-based electronics is stoking the demand for powerful processors and controllers. Hybrid MPU and MCU offer real-time embedded processing and control for the topmost IoT-based applications, thus leading to substantial market growth.


The analog IC segment is anticipated to portray progressive growth with limited demand from the networking and communication industry. Few emerging trends for the growing demand for analog integrated circuits include signal conversion, automotive-specific analog applications, and power management. They are enabling the rising demand for discrete power devices.


Comparatively, the sensors segment is projected to witness moderate growth owing to the changing requirement of hybrid and mixed technologies in the communication and automotive industries.


The others segment consists of Digital Signal Processing (DSP), which is likely to show decent growth due to its low demand.


By Application Analysis


To know how our report can help streamline your business, Speak to Analyst


Networking & Communications Application Segment to Dominate Market


Based on application, the market can be broken down into networking & communications, data processing, industrial, consumer electronics, automotive, and government.


The networking and communications segment is projected to grow at a significant CAGR with the increasing demand for smartphones and smart devices worldwide. The necessity of working from home is notably rising across developed and developing economies, thus enhancing the demand across this application segment.


The data processing application segment holds a considerable semiconductor market share owing to the strong need and sales of smartphones and other connected devices, accelerating the demand for memory and storage devices.


Consumer electronics, such as gaming consoles, wearable devices, and other electronic devices, play an important role in this market, enabling the usage of electronic gaming across various countries.


The automotive application segment is estimated to witness a moderate growth rate due to the limited penetration rate of hybrid and electric vehicles. However, the market potential may be enhanced with promising autonomous driving advancements.


The industrial application segment is estimated to grow steadily due to inadequate manufacturing of industrial machines.


The government application segment will display stagnant growth owing to limited government investments and projects in communications technologies.


REGIONAL INSIGHT


Asia Pacific Semiconductor Market Size & Share, 2021


The market can be categorized into North America, Europe, Asia Pacific, the Middle East & Africa, and Latin America in terms of region.


The Asia Pacific Semiconductor Market size was valued at USD 289.92 Billion in 2021 and is growing at a CAGR of 16% from 2022 to 2029. Global Semiconductor industry share in Asia pacific region was valued at USD 289.92 billion in 2021. The increasing adoption of high-end technology-based devices, coupled with the minimum electronics prices, is leading to an upswing in the consumption of consumer electronics. Additionally, technological advancements, such as IoT and LTE, support electronics products, thereby allowing the region to dominate the market share.


China is Expected to Hold Highest Shares with Increasing Local Semiconductor Manufacturers


China holds the largest share in the semiconductor market and is projected to witness a moderate CAGR in the upcoming years, owing to the surging presence of local semiconductor component manufacturers. These local market players tend toward offering a wide range of products at discounted rates in bulk quantity. Thus, it would augment the market growth in China over the forecast period.


The North America market is estimated to exhibit dynamic growth driven by increasing investments in R&D activities. According to the Semiconductor Industry Association (SIA), the U.S. industry’s expenditures in R&D increased at a compound annual growth rate of about 6.6 percent from 1999 to 2019. Expenditures in R&D activities by U.S. companies tend to be consistently high, regardless of cycles in annual sales, which reflects the importance of investing in R&D production. In 2019, the R&D investments totaled USD 39.8 billion.


The market in Europe will witness substantial growth backed by the telecom and the automotive industry. Companies across the region are investing in innovating new technologies and increasing their production capacities to cater to the surging demand for advanced devices and components in the semiconductor industry. Moreover, the rising consumption of consumer goods across the U.K., France, and Germany will support the growth of this industry in Europe over the forecast timeline.


The availability of skilled labor forces and rapid innovations in technologies will drive the Middle East & Africa semiconductor industry growth. Increasing demand for advanced industrial electronics and high-end computing technologies is expected to propel the regional market growth over the forecast timeline.


To know how our report can help streamline your business, Speak to Analyst


Furthermore, the Latin America market will witness healthy growth, owing to increasing consumption of smartphones, TVs, and laptops across Brazil and Mexico. Consumers across the region are making investments in purchasing high-end electronic devices, owing to their steadily rising disposable income levels.


KEY INDUSTRY PLAYERS


Broadcom, Intel, and Qualcomm to Focus on Developing Innovative Products to Strengthen Offering


Broadcom Inc. announced the availability of its 3*3 Wi-Fi 6 chip named BCM6710, specially designed for WLAN applications and set-up boxes. This chipset will be a highly optimized chip integrated with RF power amplifiers that will pave the way for high bandwidth, low-latency applications, including 4K UHD video streaming, augmented reality (AR), and many more. In the current scenario, Broadcom Inc. and Intel hinge on combining best-of-breed technology to deliver comprehensive technology-based products to major business and government customers.


Similarly, in July 2020, Qualcomm Technologies, Inc., a subsidiary of Qualcomm Incorporated, introduced ‘Qualcomm QCS410’ and ‘Qualcomm QCS610’ system-on-chips (SoCs). These chips are designed for premium camera technology, including powerful machine learning and artificial intelligence features.


LIST OF KEY COMPANIES PROFILED:



  • Broadcom, Inc. (California, U.S.)

  • Intel Corporation (California, U.S.)

  • Qualcomm (California, U.S. )

  • Samsung Electronics (Suwon-si, South Korea)

  • SK hynix (Gyeonggi, South Korea)

  • Taiwan Semiconductors (Hsinchu, Taiwan)

  • Texas Instruments (Texas, U.S.)

  • Toshiba Corporation (Tokyo, Japan)

  • Maxim Integrated Products, Inc. (California, U.S.)

  • Micron Technology (Idaho, U.S.)

  • NVIDIA Corporation (California, U.S.)

  • NXP Semiconductors N.V. (Eindhoven, Netherlands)


KEY INDUSTRY DEVELOPMENTS:



  • September 2021: Toshiba Electronic Devices & Storage Corporation launched a new M4G Group of Arm Cortex-M4 Microcontrollers for high-speed data processing products in the TXZ+TM Family Advanced Class.

  • February 2020: Toshiba Electronic Devices and Storage Corporation launched TC78H670FTG, the latest addition to its micro-stepping integrated circuit portfolio. This new IC will drive a 128 micro-stepping motor within the power range of 2.5V to 16V.


REPORT COVERAGE


An Infographic Representation of Semiconductor Market

To get information on various segments, share your queries with us



The semiconductor market report offers an in-depth analysis and further provides details on the product adoption across several regions. Information on trends, drivers, opportunities, threats, and market restraints can further help stakeholders gain valuable insights. The report offers a detailed competitive landscape by presenting information on key players, along with their strategies, in the market.


Report Scope & Segmentation


















































  ATTRIBUTE



  DETAILS



Study Period



2018-2029



Base Year



2021



Estimated Year



2022



Forecast Period



2022-2029



Historical Period



2018-2020



Unit



Value (USD billion)



Segmentation



By Component, Application, and Region



By Component




  • Memory Devices

  • Logic Devices

  • Analog IC

  • MPU

  • Discrete Power Devices

  • MCU

  • Sensors

  • Others (DSP)



By Application




  • Networking & Communications

  • Data Processing

  • Industrial

  • Consumer Electronics

  • Automotive

  • Government



By Region




  • North America (By Component, Application, and Country)

    • U.S. (By Application)

    • Canada (By Application)



  • Europe (By Component, Application, and Country)

    • U.K. (By Application)

    • Germany (By Application)

    • France (By Application)

    • Italy (By Application)

    • Rest of Europe (By Application)



  • Asia Pacific (By Component, Application, and Country)

    • China (By Application)

    • Japan (By Application)

    • India (By Application)

    • Taiwan (By Application)

    • South Korea (By Application)

    • Malaysia (By Application)

    • Singapore (By Application)

    • Rest of Asia Pacific (By Application)



  • Middle East & Africa (By Component, Application, and Country)

    • GCC (By Application)

    • South Africa (By Application)

    • Rest of Middle East & Africa (By Application)



  • Latin America (By Component, Application, and Country)

    • Brazil (By Application)

    • Mexico (By Application)

    • Rest of Latin America (By Application)





Frequently Asked Questions

Fortune Business Insights says that the global market was USD 527.88 billion in 2021.

The market value is projected to reach USD 1,380.39 billion by 2029.

The market will grow at a CAGR of 12.2% during the forecast period.

The Asia Pacific market size is estimated to be USD 289.92 billion in 2021.

The memory devices segment is expected to lead during the forecast period.

The key market drivers are rising consumption of consumer electronics goods and increasing demand for integrated circuits.

Broadcom, Inc., Intel Corporation, and Qualcomm are the top players in this market.

Asia Pacific is expected to hold the highest market share.

The networking & communications segment is expected to lead the market during the forecast period by application.

The key market trend is the increasing implementation of IoT, AI, and wireless communications.

Seeking Comprehensive Intelligence on Different Markets?
Get in Touch with Our Experts

Speak to an Expert

Below is the list of companies that are studied in order to estimate the market size and/or understanding the market ecosystem 

This list does not necessarily mean that all the below companies are profiled in the report. The report includes profiles of only the top 10 players based on revenue/market share. 

Semiconductor Market

  1. Advanced Micro Devices Inc.
  2. Advantest
  3. Analog Devices
  4. Apple
  5. Applied Materials Inc.
  6. Ares Materials
  7. ARM Ltd
  8. Arrow Electronics, Inc.
  9. ASE Technology Holding Co. Ltd
  10. ASML Holding N.V.
  11. Avago Technologies
  12. BetaLED
  13. Broadcom, Inc.
  14. Cadence Design Systems
  15. Cree
  16. HRL Laboratories
  17. Infineon
  18. Intel Corporation
  19. KLA
  20. LITE-ON Technology, Inc.
  21. Lumileds
  22. Maxim Integrated Products, Inc.
  23. MediaTek
  24. Micron Technology
  25. Mitsubishi Electric Corporation
  26. Mythic
  27. Nichia
  28. NVIDIA Corporation
  29. NXP Semiconductors N.V.
  30. ON Semiconductor
  31. OSRAM Opto Semiconductors GmbH
  32. Panasonic
  33. Philips
  34. Qorvo
  35. Qualcomm
  36. Renesas Electronics Corporation.
  37. Rohm Semiconductor
  38. Samsung Electronics
  39. Semiconductor Manufacturing International Corporation
  40. Seoul Semiconductor
  41. Sharp Corp.
  42. SK Hynix
  43. Sony Corp.
  44. STMicroelectronics
  45. Tempo Automation
  46. Texas Instruments
  47. Toshiba Corporation
  48. TT Electronics
  49. Vishay Intertechnology, Inc.
  50. Western Digital
  • Apr, 2022
  • 2021
  • 2018-2020
  • 120

    CHOOSE LICENSE TYPE

  • $4850
    $5850
    $6850

Personalize this Research

  • Granular Research on Specified Regions or Segments
  • Companies Profiled based on User Requirement
  • Broader Insights Pertaining to a Specific Segment or Region
  • Breaking Down Competitive Landscape as per Your Requirement
  • Other Specific Requirement on Customization
Request Customization Banner

Client Testimonials

“This report is really well done and we really appreciate it! Again, I may have questions as we dig in deeper. Thanks again for some really good work.”

- U.S.-based biotechnology company focussing on treatment of chronic pain.

“Kudos to your team. Thank you very much for your support and agility to answer our questions.”

- Europe-based provider of solutions to automate data centre operations.

“We appreciate you and your team taking out time to share the report and data file with us, and we are grateful for the flexibility provided to modify the document as per request. This does help us in our business decision making. We would be pleased to work with you again, and hope to continue our business relationship long into the future.”

- India-based manufacturer of industrial and specialty intermediates with a strong global presence.

“I want to first congratulate you on the great work done on the Medical Platforms project. Thank you so much for all your efforts.”

- One of the largest cosmetics company in the world.

“Thank you very much. I really appreciate the work your team has done. I feel very comfortable recommending your services to some of the other startups that I’m working with, and will likely establish a good long partnership with you.”

- U.S. based startup operating in the cultivated meat market.

“We received the below report on the U.S. market from you. We were very satisfied with the report.”

- Global hearing aids manufacturer.

“I just finished my first pass-through of the report. Great work! Thank you!”

- U.S. based solar racking solutions provider.

“Thanks again for the great work on our last partnership. We are ramping up a new project to understand the imaging and imaging service and distribution market in the U.S.”

- World’s leading advisory firm.

“We feel positive about the results. Based on the presented results, we will do strategic review of this new information and might commission a detailed study on some of the modules included in the report after end of the year. Overall we are very satisfied and please pass on the praise to the team. Thank you for the co-operation!”

- Germany based machine construction company.

“Thank you very much for the very good report. I have another requirement on cutting tools, paper crafts and decorative items.”

- Japanese manufacturing company of stationery products.

“We are happy with the professionalism of your in-house research team as well as the quality of your research reports. Looking forward to work together on similar projects”

- One of the Leading Food Companies in Germany

“We appreciate the teamwork and efficiency for such an exhaustive and comprehensive report. The data offered to us was exactly what we were looking for. Thank you!”

- Intuitive Surgical

“I recommend Fortune Business Insights for their honesty and flexibility. Not only that they were very responsive and dealt with all my questions very quickly but they also responded honestly and flexibly to the detailed requests from us in preparing the research report. We value them as a research company worthy of building long-term relationships.”

- Major Food Company in Japan

“Well done Fortune Business Insights! The report covered all the points and was very detailed. Looking forward to work together in the future”

- Ziering Medical

“It has been a delightful experience working with you guys. Thank you Fortune Business Insights for your efforts and prompt response”

- Major Manufacturer of Precision Machine Parts in India

“I had a great experience working with Fortune Business Insights. The report was very accurate and as per my requirements. Very satisfied with the overall report as it has helped me to build strategies for my business”

- Hewlett-Packard

“This is regarding the recent report I bought from Fortune Business insights. Remarkable job and great efforts by your research team. I would also like to thank the back end team for offering a continuous support and stitching together a report that is so comprehensive and exhaustive”

- Global Management Consulting Firm

“Please pass on our sincere thanks to the whole team at Fortune Business Insights. This is a very good piece of work and will be very helpful to us going forward. We know where we will be getting business intelligence from in the future.”

- UK-based Start-up in the Medical Devices Sector

“Thank you for sending the market report and data. It looks quite comprehensive and the data is exactly what I was looking for. I appreciate the timeliness and responsiveness of you and your team.”

- One of the Largest Companies in the Defence Industry
We use cookies to enhance your experience. By continuing to visit this site you agree to our use of cookies . Privacy.
X