System on chip (SoC) market to grow at 11% CAGR to 2019
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System on chip (SoC) market to grow at 11% CAGR to 2019

The system on chip (SoC) market will see a compound annual growth rate of 11% between now and 2019, according to Sandler Research (SandlerResearch.org).

The need to differentiate so as to compete in the increasingly competitive printer market has led to the innovation of 3D printers. 3D printers are increasingly being adopted in key technology-driven markets such as aerospace, automotive, educational, healthcare, and manufacturing sectors, according to the research group. With the increase in the number of functions per IC, ICs have become denser, which helps manufacturers to add more functionality.

Miniaturization also helps reduce the overall cost of a SoC. Miniaturization of electronics is a major trend, as can be seen in the ever-increasing number of sleek smartphones, smart watches and wearables popping up at trade shows. Almost all industry segments, including automotive, healthcare, and industrial vendors are following the trend, which has led to a high demand for compact SoCs. Vendors in the global SoC market are continually adding new features and launching innovative products in the market. Technological advancements mean that SoCs are displaying high performance, less power consumption, and more energy efficiency than ever before.

Sandler Research says the system on chip market is facing a tough challenge because of the emergence of System-in-Package technology. SiP is the 3D packaging of many dies vertically, reducing the overall size as well as reducing the overall development cost. With the demand for miniaturized products, SiP is a great threat to the SoC market.

System-on-chip technology (SoC) is the integration of several components that are useful in the working of a device onto a single silicon chip to form an electronic system. SoC can be considered as a small computer carrying all the essential components such as motherboard, processor, graphics processor, memory, and peripherals, all onto a single chip. With the demand for more efficient systems and with the trend moving towards compact and small devices, SoC technology has become an alternative for big processing units. In a network and data driven world and with semiconductors becoming more internet centric, data storage SoCs are expected to grow at a rapid pace, according to Sandler Research.

 

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