At 8.15% CAGR, System-On-Chip Market Size, Share and Demand Rising Due to Covid Pandemic till 2027, says Brandessence Market Research

PUNE, India, Oct. 28, 2021 /PRNewswire/ — According to Brandessence Market Research, the System-On-Chip Market is expected to grow at…

PUNE, India, Oct. 28, 2021 /PRNewswire/ — According to Brandessence Market Research, the System-On-Chip Market is expected to grow at 8.15% CAGR, as tech giants like Microsoft, Apple, Amazon, and others jump into the R&D for the ‘next big thing’ in chips catering to AI functions. System-on-chip or SOC are designed to be mini-computers with memory blocks, control units, timing units, and interfaces powered by a single chip. As demand for advanced chips to drive growth of small smart devices like wearable watches grows, the innovation remains key to growth of the SOC market.

BEMR Logo

Demand for advanced functions like automated tracking, signaling, monitoring, connecting, and digital communication has led to robust innovation of advanced nano-chips. As demand for functionality rises, simultaneously, demand for smaller chips with more functions, storage, and faster speed rises. Furthermore, horizons of AI have made conventional and essentially ‘reactive’ functioning module of chips, completely outdated. This has created a tremendous demand for completely new innovation in chips catering to AI-driven cars, telecommunication, consumer electronics, healthcare devices, and industrial applications.

Get Sample Copy of This Premium Report@ https://brandessenceresearch.com/requestSample/PostId/1710

System-On-Chip Market: Key Trends  

In December 2020, Microsoft announced that it is working on an in-house processor design to power a SOC chip for computers used in its data centers. According to Microsoft, this chip would enable the company to deliver features that would reduce its reliance on Intel’s technology. There are two main reasons for Microsoft to take this strategic direction. On one hand, designing the future of smart computing and controlling is a key strategic advantage for a software maker. On the other hand, new generation chips are sought after by Microsoft’s key rival in the cloud business, Amazon. Amazon has reported that its newly designed SOC chips are ideally suited for advanced functions, while simultaneously bring down costs, and increase performance.

The high initial costs of design, and later maintenance costs are some restraints in growth of the SOC market. While the designing costs do not represent a challenge to  big technology giants like Microsoft, and Amazon, these pose high-barriers for small players. Hence, ventured funded start-ups represent a key to adoption of new SOC chips to overcome this restraint. The demand for SOC chips for smart, and electronic devices with rising adoption of IoTs remains a promising prospect to recover investments in the SOC market.

Energy efficiency also remains a strong driver to growth of the SOC market. Apart from personal devices, Nano-devices are ideal for monitoring patient health in healthcare. Nano devices are also essential in industrial application, wherein automated robots, conventional manufacturing processes need to be monitored for safety, hygiene, efficiency in real-time. The next-gen SOC chips with advanced energy efficiency, storage capacities, and AI-driven capabilities to respond to emergencies are ideal for growing requirements in new applications.

System-On-Chip Market: Covid-19 Impact

The covid-19 has had a limited impact on growth in the system-on-chip market. The large investments in developing technologies, and its reliable future application sheltered investments in chip designs in the market. However, the slowdown in venture investments to support new startups during the pandemic remained a minor restraint. The growing relaxation in covid-19 norms around the world, and growing prospect of vaccination are likely to spur growth of investments in the near future, with technologies to build next-gen electric vehicles, smart devices, cloud adoption, and smart infrastructure remaining key to growth.

The covid-19 led its worst impact on the market with disruption in labor force. The lack of conventional communication, increased danger, hospitalization, and fatalities forced a shift in attitudes among the labor force. In 2021, major tech firms continue to face higher rates of attrition, with growing competition for highly skilled labor, and increased change in attitudes towards employment globally. The labor trends are likely to drive increased manufacturing in Asia Pacific, while automation becoming far more important to global technology companies.

Get Methodology @ https://brandessenceresearch.com/requestMethodology/PostId/1710

System-On-Chip Market: Competitive Analysis

The system-on-chip market remains fragmented, despite the heavy-costs of intial investments. The global race to deliver the next-gen chip, and its implications for key needs like national security, aviation, transport, logistics, and others remain a promising driver of its growth. Some key players in the global system-on-chip market are Microsoft, Amazon, MediaTek Inc., Qualcomm Technologies, Inc., HiSilicon (Shanghai) Technologies CO, Infineon Technologies AG, Broadcom, STMicroelectronics, Intel Corporation, among others. 

The demand for SOC chips in smart electronic devices remains the key opportunity for growth. Microsoft has already installed new SOC chips on its surface devices, making way for advanced graphical integration, along with tremendously fast processing speeds, for conventional applications, as well, future applications like complete cloud integration. In March 2021, Samsung announced a partnership with Marvell to develop a new chip to offer enhance 5G performance. The new chip is another evidence of growing competition among technology giants globally to deliver the next big thing in key niches like IoT, machine learning, and AI. Similar developments also took place when Mediatek Inc announced acquisition of Intel Enpirion for $85 million. The deal positions Mediatek to deliver integrated power solutions to deliver the next-gen chip performance in enterprise-level systems.   

Global System-on-Chip (SoC) Market Segmentation:

By Type:

  • Digital
  • Analog
  • Mixed Signal

By Application:

  • Consumer Electronics
  • Telecommunication
  • Automotive

System-On-Chip Market: Regional Analysis

The system on chip market report is divided into North America, Europe, Asia pacific, Latin America, and Middle East & Africa. Among these, the North America is expected to hold largest share of the global revenues. The growing advents like automatic electric cars, trends like manufacturing 4.0, and growing investment in chip manufacturing by key players remain key drivers of growth in the region. The Asia Pacific is likely to register fastest growth, as various new players from China continue to engage in indigenous innovation, creating new opportunities for growth. South korea also remains a key country for innovation, thanks to tremendous penetration of high-speed connectivity, high-disposable income, and horizons of new technologies with introduction of 5G remain key drivers.

System-on-chip market in Europe also remains a promising prospect. In March 2021, over 24 countries in the EU region deployed 5G infrastructure. Furthermore, Europe remains an extremely diverse home of communication players, as nearly 15 key players continue to develop 5G infrastructure in the region.

Global system on chip Market Analysis and Forecast, By Regional Analysis

North America

  • U.S.
  • Canada

Europe

  • Germany
  • France
  • U.K.
  • Italy
  • Spain
  • Sweden
  • Netherland
  • Turkey
  • Switzerland
  • Belgium
  • Rest of Europe

Asia-Pacific

  • South Korea
  • Japan
  • China
  • India
  • Australia
  • Philippines
  • Singapore
  • Malaysia
  • Thailand
  • Indonesia
  • Rest Of APAC

South America

  • Mexico
  • Colombia
  • Brazil
  • Argentina
  • Peru
  • Rest of South America

Middle East and Africa

  • Saudi Arabia
  • UAE
  • Egypt
  • South Africa
  • Rest Of MEA

Get Full Access of Trends of this SOC Market: https://brandessenceresearch.com/semiconductor/system-on-chip-market

Have a Look at Related Reports Bellow

About Brandessence Market Research & Consulting Pvt ltd.

Brandessence market research publishes market research reports & business insights produced by highly qualified and experienced industry analysts. Our research reports are available in a wide range of industry verticals including aviation, food & beverage, healthcare, ICT, Construction, Chemicals and lot more. Brand Essence Market Research report will be best fit for senior executives, business development managers, marketing managers, consultants, CEOs, CIOs, COOs, and Directors, governments, agencies, organizations and Ph.D. Students. We have a delivery center in Pune, India and our sales office is in London.

Website: https://brandessenceresearch.com 

Blog: System on Chip (SoC) Companies

Mr. Aniket Patil

Email : aniket@brandessenceresearch.com

Email : sales@brandessenceresearch.com 

Corporate Sales: +44-2038074155

Asia Office: +917447409162

Cision View original content:https://www.prnewswire.com/news-releases/at-8-15-cagr-system-on-chip-market-size-share-and-demand-rising-due-to-covid-pandemic-till-2027–says-brandessence-market-research-301411116.html

SOURCE Brandessence Market Research And Consulting Private Limited