ID: MRFR/SEM/2958-CR | July 2019 | Region: Global | 111 pages
The Global Digital IC (integrated circuit) Market is expected to grow from USD 249.37 billion in 2017 to USD 387.82 billion by 2023, at a CAGR of 7.64% during the forecast period (2018 to 2023). The growing demand for customizable ICs for various applications is boosting the growth of this market. The customizable ICs have applications in different automotive systems that have rollover and stability control function, fuel injection, crash bag, and air sensing, and head units and audio amplifiers in automobiles. Growing automation in cars is also creating a huge demand for the customizable ICs and thus boosting the digital IC market. Apart from this, the healthcare sector also uses ICs in various equipment such as electrocardiography machines and digital X-rays.
Moreover, the Internet of Things (IoT) plays a vital role in the development and growth of the digital IC market. Digital ICs are used to embed IoT functionality into a wide range of systems, sensors, and objects.
Furthermore, the demand for ultra-low power solutions for IoTs can be fulfilled by the power of digital ICs. Also, enhancements in smartphones are rising due to the ongoing technological advancements, which in turn is driving the growth of this market. The growing demand for smartphones sets a positive impact over the demand of DSP, NAND Flash memory IC, logic ICs, and others. Apart from it, with the rise of the bring your device (BYOD) trend, there has been a substantial increase in the adoption of tablets which has further led to the increased demand for memory ICs. Thus, the increased adoption of smartphones and tablets is profoundly contributing to the digital IC market.
An IC is a semiconductor-based chip comprising an integrated set of digital circuitries. These circuits use digital logic gates, multiplexers, and flip flops and are easier to design and more economical. The development of smart cities is considered as an opportunity for the digital IC market resulting in a positive growth of the market. To develop a smart city, there is a need for an IoT network which would comprise of microcontroller units (MCUs), different ICs such as communication ICs and power ICs and various sensors along with extensive software. The use of digital ICs in the smart city enables access to a range of networks offering applications that provide exceptional efficiency for services.
Global Digital IC Market Size
Source: MRFR Analysis
The growing trend of miniaturization of electronic devices is considered as one of the challenges for this market as it increases the complexity in the circuit designing. Smaller the size, higher is the complexity of designing. This increased complexity is a major challenge for the digital IC market. Apart from it, miniaturization is also responsible for the increased engineering and research & development costs, which are adversely affecting the digital IC market.
The key players of global digital IC market are Samsung Corporation (South Korea), Intel Corporation (US), Qualcomm Incorporated (US), Toshiba Corporation (Japan), Taiwan Semiconductor Manufacturing Co. Ltd (Taiwan), Texas Instruments Inc. (US), Integrated Device Technology, Inc. (the US), Maxim Integrated Products Inc. (US), Infineon Technologies AG (Germany), Skyworks Solutions Inc. (US), Lattice Semiconductor Corporation (US), NXP Semiconductor NV (Netherlands), Analog Devices Inc. (US), STMicroelectronics NV (Switzerland), Broadcom Ltd (Singapore), SK Hynix, Inc. (South Korea), Micron Technology Inc. (US), MediaTek Inc. (Taiwan), and Nvidia Corporation (US).
Source: MRFR Analysis
The global market for digital ICs is estimated to grow at a significant rate during the forecast period from 2017 to 2023. The geographic analysis of the digital IC market has been conducted for North America, Europe, Asia-Pacific, and the rest of the world. Asia-Pacific accounted for the largest market share in 2017 and is expected to register a high CAGR during the forecast period. North America was the second-largest market in 2017, followed by Europe. The demand for digital ICs in the consumer electronics and the automotive sector has been increasing, owing to stringent government regulations regarding driver’s safety and security in the Asia-Pacific region. Also, the presence of giant players in this region is fuelling the growth of the market.
In June 2019, Texas Instruments Inc., introduced new communication capabilities on its C2000 microcontrollers (MCUs) to enable designers to use a single chip to implement connectivity, including EtherCAT, Ethernet and Controller Area Network with Flexible Data Rate (CAN FD), an AC servo drives and other industrial systems.
In April 2019, Toshiba Corporation launched two three-phase brushless motor controller ICs “TC78B041FNG” housed in an SSOP30 package and “TC78B042FTG” in a VQFN32 package. These both ICs adopt InPAC, Toshiba’s original automatic phase adjustment function, to eliminate phase adjustment and achieve high-level efficiency at a wide range of motor rotation speeds.
In February 2019, PragmatIC launched its ConnectIC PR1101 and PR1102 flexible integrated circuits (FlexICs), low-cost radio-frequency identification (RFID) ICs for the smart packaging market.
Key questions addressed by the report
Frequently Asked Questions (FAQ) :
The surge in demand for customizable digital ICs is expected to cause the global market of digital IC to expand at 7.64% CAGR between 2017 and 2023. The hike in sale of digital ICs is likely to cause hike in the market valuation from USD 249.37 billion in 2017 to USD 387.82 billion by 2023.
The advent of IoT and rise in smartphone ownerships are observed as key drivers for the worldwide digital ICs market.
Innovators making constant effort to miniaturize electronic devices, which are likely to considerable traction, can hinder the digital IC market expansion.
Smart city initiatives hold numerous growth opportunities for the digital IC market.
Samsung Corporation (South Korea), Qualcomm Incorporated (US), Intel Corporation (US), Toshiba Corporation (Japan), Texas Instruments Inc. (US), Taiwan Semiconductor Manufacturing Co. Ltd (Taiwan), and Integrated Device Technology, Inc. (the US) are some reputed contenders of the digital IC market.
Silicon and gallium arsenide are commonly used raw materials for the fabrication of digital ICs. The easy available and highly stable silicon is likely to be used extensively in the production of digital ICs.
The consumer electronics sector is identified as a high end-user of digital ICs. Automotive and communication sectors are other consumers.