Certified Global Research Member
Key Questions Answered
- Global Market Outlook
- In-depth analysis of global and regional trends
- Analyze and identify the major players in the market, their market share, key developments, etc.
- To understand the capability of the major players based on products offered, financials, and strategies.
- Identify disrupting products, companies, and trends.
- To identify opportunities in the market.
- Analyze the key challenges in the market.
- Analyze the regional penetration of players, products, and services in the market.
- Comparison of major players’ financial performance.
- Evaluate strategies adopted by major players.
- Recommendations
Why Choose Market Research Future?
- Vigorous research methodologies for specific market.
- Knowledge partners across the globe
- Large network of partner consultants.
- Ever-increasing/ Escalating data base with quarterly monitoring of various markets
- Trusted by fortune 500 companies/startups/ universities/organizations
- Large database of 5000+ markets reports.
- Effective and prompt pre- and post-sales support.
The Application-Specific Integrated Circuit (ASIC) Market is undergoing noteworthy transformations shaped by technological advancements and evolving industry needs. In recent years, there has been a surge in the demand for ASICs, driven by their ability to provide customized and optimized solutions for specific applications. One prominent trend in the market is the increasing adoption of ASICs in emerging technologies like artificial intelligence (AI) and machine learning (ML). As these technologies become integral to various industries, the demand for specialized ASICs capable of efficiently handling complex computations and algorithms is on the rise.
The telecommunications industry is playing a pivotal role in driving trends in the ASIC market. The rollout of 5G networks and the ongoing development of 6G technologies are fueling demand for ASICs with enhanced processing capabilities to support high-speed data transmission, low latency, and improved network efficiency. ASICs designed for networking applications are becoming increasingly specialized to meet the unique requirements of modern communication systems.
Another notable trend is the focus on energy efficiency and low power consumption. As the importance of sustainable and energy-efficient technologies grows, manufacturers are developing ASICs that prioritize power efficiency without compromising performance. This trend is particularly evident in applications such as Internet of Things (IoT) devices, where power consumption is a critical factor for prolonged battery life and overall device sustainability.
The ASIC Market is also witnessing a shift towards the development of advanced semiconductor processes. Smaller nanometer technologies, such as 7nm and 5nm, are becoming more prevalent in ASIC design. This shift allows manufacturers to pack more functionality into a smaller footprint, resulting in improved performance, lower power consumption, and cost-effectiveness. The adoption of advanced process nodes is particularly prominent in industries like consumer electronics, automotive, and healthcare.
Furthermore, the demand for custom ASICs is growing across diverse sectors. In industries such as automotive and healthcare, where specific functionalities and reliability are paramount, custom ASICs offer tailored solutions to meet unique requirements. The trend towards customization is also driven by the increasing complexity of applications, necessitating specialized ASICs to achieve optimal performance and efficiency.
Security and data protection have become critical considerations in the ASIC Market. With the rise of cyber threats and the need for secure processing of sensitive information, manufacturers are incorporating security features into ASIC designs. Hardware-based security features, including encryption and secure key storage, are becoming standard in many ASICs, particularly in applications such as financial services, government, and critical infrastructure.
Moreover, the impact of the COVID-19 pandemic has accelerated certain trends in the ASIC Market. The increased reliance on remote work, online collaboration, and digital services has heightened the demand for ASICs in data centers and cloud computing infrastructure. The need for efficient data processing, storage, and networking solutions has led to innovations in ASIC technology to support the evolving requirements of the digital landscape.
The analysis and prediction of the ASIC have been made for the overall market on a global scale. It involves looking at various factors that drive and limit the market at both the global and regional levels. One significant driver contributing to the market's rapid growth is the widespread adoption of cryptocurrency, expected to greatly impact market dynamics. It is referred to as the industry's digital revolution, often denoted as Industry 4.0, indicating a significant boost for application-specific integrated circuits.
Covered Aspects:
| Report Attribute/Metric | Details |
|---|---|
| Market Opportunities | The technology inconsistency in the semiconductor industry & electronics industry makes it difficult for the vendors to keep up with the pace of innovation. |
| Market Dynamics | The growing demand for ASIC in the consumer electronics sector owing to the energy-efficient solutions |
Application Specific Integrated Circuit Market Highlights:
Global Application-Specific Integrated Circuit Market Overview:
Application Specific Integrated Circuit Market Size was valued at USD 18.857 Billion in 2023. The Application Specific Integrated Circuit industry is projected to grow from USD 20.554 Billion in 2024 to USD 37.573 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 7.83% during the forecast period (2024 - 2032). The growing demand for ASIC in the consumer electronics sector owing to the energy-efficient solutions and the global demand increase due to the growing use of application-specific integrated circuits (ASICs) in consumer electronics such as smartphones are the key market drivers enhancing the market growth.
Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review
Application-Specific Integrated Circuit Market Trends
-
Rising consumer electronics industry is driving the market growth
Due to their advantageous characteristics, including lower power consumption, higher integration, intellectual property protection, and higher functionality, the demand for ASICs has risen over the past few decades. The market CAGR for application-specific integrated circuits (ASICs) is also growing due to increased investment in developing sophisticated integrated circuits. No matter how expensive an ASIC design is, many high-volume applications can benefit greatly from using ASICS. The ASIC design can be modified to address the needs of the product specifications. With ASIC, a large portion of the total design can be included in a single integrated circuit, lowering the number of additional components. As a result, ASICs are frequently employed in high-volume goods like cell phones and office supplies.
Additionally, the increasing use of electronics across different automotive modules primarily supports the demand for ASICs in the automotive sector. The most significant factor fueling segment growth is the steadily rising automotive industry globally. With the rising discretionary income of people worldwide, especially in the Asia Pacific region, the industry is estimated to continue witnessing steady growth in the coming years. This would significantly fuel the overall application-specific integrated circuit market revenue in the coming years.
Application-Specific Integrated Circuit Market Segment Insights:
Application-Specific Integrated Circuit Product Type Insights
The Application-Specific Integrated Circuit Market segmentation, based on product type, includes full custom, semi-custom, and programmable designs. The semi-custom segment held the largest market share of 48.0% in 2022 and is also anticipated to dominate the market for application-specific integrated circuits over the forecast period. The growth is attributed to its low complexity and wide scope of applications compared to other segments. The full-custom ASIC segment is expected to register considerable growth. These ICs provide faster and more reliable performance with intellectual property protection using less electrical power. Besides, the full custom ASIC allows designers to customize logic cells, mechanical structures, layouts, and circuits and optimize memory cells on an IC, which helps to decrease processing time and risks. However, due to its complex design, the manufacturing time for these application-specific integrated circuits is eight weeks for a specific application, which is more than semi-custom ASICs.
Figure1: Global Application Specific Integrated Circuit Market, By Product Type, 2022 & 2032 (USD billion)
Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review
Application-Specific Integrated Circuit Application Insights
Based on application, the Application-Specific Integrated Circuit Market segmentation includes IT & Telecommunication, industrial, automotive, and consumer electronics. The consumer electronics segment accounted for over 34.0% of the global market share in 2022. The consumer electronics vertical is anticipated to offer significant growth opportunities for all the players involved in the value chain on the back of the increasing use of ASICs within phones, tablets, and laptops across the globe. These ASICs offer various advantages, including low power consumption, IP security, small size, and higher bandwidth, leading to increased adoption of ICs in the consumer electronics industry. Moreover, the rapid advancement of electronic devices enables stable performance and energy efficiency, propelling the application-specific integrated circuit market growth. Besides the consumer electronics vertical, these ICs are used in multiple verticals such as telecommunication, industrial, and healthcare. The consumer electronics segment accounted for over 34.0% of the global market share. The consumer electronics vertical is anticipated to offer significant growth opportunities for all the players involved in the value chain on the back of the increasing use of ASICs within phones, tablets, and laptops across the globe. These ASICs offer various advantages, including low power consumption, IP security, small size, and higher bandwidth, leading to increased adoption of ICs in the consumer electronics industry. Moreover, the rapid advancement of electronic devices enables stable performance and energy efficiency, propelling the application-specific integrated circuit market growth. Besides the consumer electronics vertical, these ICs are used in multiple verticals such as telecommunication, industrial, and healthcare.
Application-Specific Integrated Circuit Regional Insights
By Region, the study provides market insights into North America, Europe, Asia-Pacific, and the Rest of the World. The Asia Pacific application-specific integrated circuit market will dominate, owing to an increase in the growth attributed to the rapidly increasing demand for energy-efficient devices and the rising penetration of smartphones in the Region. This will boost the market growth in this Region. Moreover, China's application-specific integrated circuit market held the largest market share, and the Indian application-specific integrated circuit market was the fastest-growing market in the Asia-Pacific region.
Further, the major countries studied in the market report are The U.S., Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.
Figure2: GLOBAL APPLICATION SPECIFIC INTEGRATED CIRCUIT MARKET SHARE BY REGION 2022 (%)
Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review
Europe's application-specific integrated circuit market accounts for the second-largest market share due to technological advancements such as temperature sensors and power management in devices, including smartphones, household appliances, wireless headphones, and speakers are increasing the incorporation of ASICs in the systems. Further, the German application-specific integrated circuit market held the largest market share, and the UK application-specific integrated circuit market was the fastest-growing market in the European Region.
The North American application-specific integrated circuit market is expected to grow at the fastest CAGR from 2024 to 2032. This is due to the growth is attributed to the significant presence of prominent players in the Region, including Maxim Integrated Products Inc.; Qualcomm Inc.; Intel Corporation; and Texas Instruments Inc.
Application-Specific Integrated Circuit Key Market Players & Competitive Insights
Leading market players are investing heavily in research and development to expand their product lines, which will help the application-specific integrated circuit market grow even more. Market participants are also undertaking various strategic activities to expand their global footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. The application-specific integrated circuit industry must offer cost-effective items to expand and survive in a more competitive and rising market climate.
Manufacturing locally to minimize operational costs is one of the key business tactics manufacturer’s uses in the global application-specific integrated circuit industry to benefit clients and increase the market sector. In recent years, the Application Specific Integrated Circuit Industry has offered some of the most significant advantages to the IT industry. Major players in the application specific integrated circuit market, including Intel Corporation (U.S.), Texas Instruments Inc. (U.S.), STMicroelectronics N.V (Switzerland), Infineon Technologies AG (Germany), Renesas Electronics Corporation (Japan), Maxim Integrated Products Inc. (U.S.), Analog Devices Inc.(U.S.), ON Semiconductor (U.S.), NXP Semiconductors N.V (The Netherlands), Qualcomm Inc. (U.S.), Linear Technology Corporation (U.S.) and others, are attempting to increase market demand by investing in research and development operations.
Onsemi is an American semiconductor supplier company based in Phoenix, Arizona, and ranked 483 on the 2022 Fortune 500 based on its 2021 sales. Semi is driving disruptive innovations to help build a better future. With a focus on automotive and industrial end-markets, the company is accelerating change in megatrends such as vehicle electrification and safety, sustainable energy grids, industrial automation, and 5G and cloud infrastructure. With a highly differentiated and innovative product portfolio, onsemi creates intelligent power and sensing technologies that solve the world’s most complex challenges and create a safer, cleaner, and smarter world. Onsemi introduced a trio of USB Power Delivery (PD) design products. The new drivers and controllers integrate novel features that significantly lower the material content of high-efficiency DC/AC power supplies, particularly for load ranges greater than 100W.
OmniVision Technologies Inc. is an American subsidiary of the Chinese semiconductor device and mixed-signal integrated circuit design house Will Semiconductor. Founded in 1995, OmniVision has been at the leading edge of technology, developing and delivering advanced digital imaging, analog, and touch & display solutions for multiple applications across several industries. With more than 3,000 employees worldwide and over 13 billion products shipped, OmniVision is a well-known global fabless semiconductor company. OmniVision partnered with Valens Semiconductor to develop a MIPI A-PHY standard-compliant camera solution, which is expected to find wide-scale applications in the automobile industry.
Key Companies in the Application Specific Integrated Circuit market include
-
Intel Corporation (U.S.)
-
Texas Instruments Inc. (U.S.)
-
STMicroelectronics N.V (Switzerland)
-
Infineon Technologies AG (Germany)
-
Renesas Electronics Corporation (Japan)
-
Maxim Integrated Products Inc. (U.S.)
-
Analog devises Inc.(U.S.)
-
ON Semiconductor (U.S.)
-
NXP Semiconductors N.V (The Netherlands)
-
Qualcomm Inc. (U.S.)
-
Linear Technology Corporation (U.S.)
-
Brunswick Corporation
Application-Specific Integrated Circuit Industry Developments
February 2022: Researchers at MIT developed an application-specific integrated circuit (ASIC) chip that can be implemented on the Internet of Things devices to defend against power-based side-channel attacks. The team's chip is based on a particular type of computation known as threshold computing. Rather than holding a neural network operating on actual data, the data is first split into unique, random components. The network operates on the random components individually, in a random order, before accumulating the final result.
June 2021: Taiwan-based IC design houses reported that they are optimistic about their shipments for smartphone applications in the third quarter of 2021 due to the upcoming rollouts of new 5G-enabled models, particularly by Chinese brands. Most IC vendors expect their order volumes to increase by over 10% sequentially in the third quarter, and revenues of related vendors will also see significant increases as quotes for 5G chips are generally higher than those for 4G applications. The analog IC vendors also insisted that their shipment targets of 5G chips for 2021 remain unchanged as they expect global 5G phone shipments to grow exponentially in 2021 and 2022.
Application-Specific Integrated Circuit Market Segmentation:
Application Specific Integrated Circuit Product Type Outlook
-
Full Custom Design
-
Semi-Custom Design
-
Programmable
Application Specific Integrated Circuit Application Outlook
-
It & Telecommunication
-
Industrial
-
Automotive
-
Consumer Electronics
Application-Specific Integrated Circuit Regional Outlook
-
North America
- US
- Canada
-
Europe
- Germany
- France
- UK
- Italy
- Spain
- Rest of Europe
-
Asia-Pacific
-
China
-
Japan
-
India
-
Australia
-
South Korea
-
Australia
-
Rest of Asia-Pacific
-
-
Rest of the World
-
Middle East
-
Africa
-
Latin America
-
Leading companies partner with us for data-driven Insights
Kindly complete the form below to receive a free sample of this Report
Tailored for You
- Dedicated Research on any specifics segment or region.
- Focused Research on specific players in the market.
- Custom Report based only on your requirements.
- Flexibility to add or subtract any chapter in the study.
- Historic data from 2014 and forecasts outlook till 2040.
- Flexibility of providing data/insights in formats (PDF, PPT, Excel).
- Provide cross segmentation in applicable scenario/markets.
