The system on a chip (SoC) is an integrated circuit (IC), which includes various electronic parts such as a central processing unit (CPU), input and output ports (I/O Ports), internal memory, analog input, output blocks, and others. All these components are incorporated on a single and very small chip. System on chip (SoC) can perform various applications such as wireless communication, signal processing, use of artificial intelligence, and others. Moreover, owing to its compatibility with a mobile devices, it is mostly used in smartphones, tablets, wearable devices, and others. Apart from its small size, a system on a chip (SoC) provides various benefits such as it consumes less power, has better performance, requires less space, and it is more reliable than multi-chip systems. On the basis of type, the global system on a chip (SoC) is divided into digital SoC, analog SoC, and mixed-signal SoC.
Furthermore, there are various factors such as the increasing use of IoT devices, increasing adoption of smartphones, and others that are expected to drive the global system on chip (SoC) market over the forecast period.
The Global System on a Chip (SoC) Market was valued for US$ 1,40,985.6 Mn in 2021 is expected to exhibit a CAGR of 8.0% during the forecast period.
Market Driver
Increasing use of system on a chip (SoC) in wearable devices such as smart watches and fitness trackers are expected to drive growth of the global system on a chip (SoC) market during the forecast period.
People around the world are using advanced wearable devices such as smart watches and fitness trackers. These devices are equipped with various sensors such as accelerometers, gyroscopes, magnetometers, global positioning system (GPS), heart rate sensors, pedometers, pressure sensors, and many others. To control and coordinate these sensors, systems-on-chip devices are required. Thus, increasing demand for wearable devices is expected to boost the demand for system on a chip (SoC) during the forecast period.
Market Restraints
High research and development cost of system on a chip is expected to restrain growth of the global system on a chip (SoC) market over the forecast period.
In recent years technology is continuously evolving, several industries are adopting automation and digitization. These changes in technology and automation may bring opportunities to the key players to enter into new market but with high initial research and development costs on system on a chips (SoC). Due to increasing customization of SoC for various products, companies need to focus on various R&D projects at the same time. This will increase companies' project costs and increases the probability of product failure. These factors are expected to hamper the market growth over the forecast period.
| Report Coverage | Details | ||
|---|---|---|---|
| Base Year: | 2021 | Market Size in 2021: | US$ 1,40,985.6 Mn |
| Historical Data for: | 2017 to 2020 | Forecast Period: | 2022 to 2030 |
| Forecast Period 2022 to 2030 CAGR: | 8.0 % | 2030 Value Projection: | US$ 2,76,612.95 Mn |
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System on a Chip (SoC) Market are Apple Inc., Huawei Technologies Co. Ltd., MediaTek Inc., Qualcomm Technologies Inc., Samsung Electronics CO. LTD., Intel Corporation, STMicroelectronics N.V., Toshiba Corporation, NXP Semiconductors N.V., and Broadcom Inc. |
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Global System on a Chip (SoC) Market - Impact of Coronavirus (Covid-19) Pandemic:
Due to the Covid-19 pandemic, various industries in the world were heavily impacted. Furthermore, the government imposed a suspension of unnecessary Manufacturing industries which leads to the scarcity of raw materials required for SoC’s production. Moreover, the scarcity of raw materials disrupted the supply chain. Which showns the huge revenue drop in the System on a Chip (SoC) market.
However, post Covid-19 System on a Chip (SoC) market is recovering from its impact and it is sure to retain its position in the market in 2 to 3 years.
Competitive Scenario
Key companies operating in the global system on a chip (SoC) market include Apple Inc., Huawei Technologies Co. Ltd., MediaTek Inc., Qualcomm Technologies Inc., Samsung Electronics CO. LTD., Intel Corporation, STMicroelectronics N.V., Toshiba Corporation, NXP Semiconductors N.V., and Broadcom Inc.
Recent Developments:
Forecasted North America region is expected to hold a dominant position in the Global System on a Chip (SoC) Market in 2030
Statistics:
Among regions, North America region held a dominant position in the System on a Chip (SoC) Market in 2021, accounting for 39.8% share in terms of value, followed by Asia Pacific, Europe, Latin America, and MEA respectively.
Figure 1: Global System on a Chip (SoC) Market Share (%), By Region, 2021
North America System on a Chip (SoC) Market is expected to be one of the prominent region in the global market and witness high growth during the forecast period. This is owing increasing demand for smart phones in emerging economies such as U.S. and Canada.
Figure 2: Global System on a Chip (SoC) Market (US$ Mn) Analysis and Forecast, 2017 – 2030
The Global System on a Chip (SoC) Market was valued at US$ 1,40,985.6 Mn in 2021 and is expected to reach US$ 2,76,612.95 Mn by 2030, growing at a CAGR of 8.0% between 2022 and 2030.
The system on a chip (SoC) is an integrated circuit (IC), which include various electronic parts such as control unit, input and output ports (I/O Ports), interfaces, internal memory, and timing units, that are embedded on single small size silicon chip. Moreover, the system on a chip offers several advantages that include, small space, high performance, low cost, low power consumption, compact design, etc. as compared to multi-chip circuits. Due to all these benefits, system on a chip are used in various applications such as digital signal processor, embedded systems, video camera, mobile devices (smartphones, laptops, tablets, and others), set-top box, portable media devices, and others.
The global system on a chip (SoC) Market was valued for US$ 1,40,985.6 Mn in 2021.
Market Dynamics
The increasing demand for smart television is expected to drive the demand for system on a chip market over the forecast period. The television industry is going through a major shift, and its rapidly adopting internet of things (IoT) technology for new TV models. These smart televisions offers various facilities such as the internet connectivity, voice control, contains suggestions such as movies using AI and machine learning technology, and others. In order, to provide these facilities, TVs are embedded with system on a chip. For instance, according to Coherent Market Insights analysis, Samsung 4K model is equipped with 4K UHD Processor chip and Xiaomi’s models is equipped with ARM Cortex-A53 system on chips. Moreover, online streaming is gaining popularity all over the world. For instance, according to Coherent Market Insights analysis, the global video streaming market is estimated to exhibit a 22.3% CAGR during the forecast period 2019-2027. Moreover, to stream content on TV, TV should be smart TV or should be attached to a smart set-top box. In both of these cases, system on a chip is required in a set-top box or in the smart TV. Thus increasing demand for smart TV and smart set-top box are expected to drive growth of the global system on a chip (SoC) market over the forecast period.
Key features of the study:
Detailed Segmentation
“*” marked represents similar segmentation in other categories in the respective section.
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