Published: June 2020 | Report Code: SE12043 | Available Format: PDF | Pages: 197
The radio frequency (RF) semiconductor market value was $2.1 billion in 2019, and it is expected to progress at a CAGR of 8.8% during 2020–2030. The primary growth drivers for this market include the increasing adoption of mobile communication technologies, such as 4G and 5G, and growing deployment of the internet of things (IoT) technology.
The COVID-19 outbreak has had a negative impact on the market growth, as it has disrupted the supply chain of components and raw materials. Moreover, a possible economic recession enkindled by the pandemic may reduce the information technology (IT) budget of companies, which otherwise make substantial use of RF technologies.
The 200 mm wafers category held the largest market share in 2019, in the wafer size segment. This is ascribed to the wide adoption of this type of transceivers in telecommunications, consumer electronics, and automotive electronics applications. An RF semiconductor with a 200-mm wafer consumes less power, and it can operate with low voltages in a wireless system.
The SHF category within the frequency band segment of the RF semiconductor market generated the highest revenue in 2019. This can be owed to the swift deployment of SHF RF semiconductors for wireless communication and telecommunication applications. Moreover, the increasing adoption of the 5G technology and surging focus on product launches by the key market players will fuel the demand for such semiconductors in the coming years.
The <5 V category will register a significant growth under the operating voltage segment in the foreseeable future, primarily on account of the widening application base of RF semiconductors with a <5-V operating voltage. The devices within this operating range are used in computers, IoT devices, automotive electronics, mobile phones, and smart wearables. Additionally, the rising penetration of smart devices will accelerate the usage of such semiconductors in the future.
The IT & telecommunications category generated the highest revenue in the application segment during 2014–2019. The rising data consumption across the world has escalated the requirement for the upgradation of the telecommunications network. Therefore, the mushrooming number of 5G deals being inked by network providers and the advancing mobile devices sector will supplement the IT & telecommunications category’s growth in the RF semiconductor market.
The RF semiconductor industry is growing at a steady rate in the APAC region, majorly due to the rising demand for smartphones and increasing deployment of the 5G technology in South Korea, Japan, and China. The 5G deployment rate is intensifying in China due to the ‘Made in China 2025’ plan, which envisages that 5G will play a transformative role in China’s objective of gaining a worldwide lead in an array of advanced technologies, including artificial intelligence (AI), industrial IoT, and cloud computing. This would, therefore, ensure a steady demand for RF semiconductor components in this region.
North America is expected to demonstrate the fastest growth in the market for RF semiconductors between 2020 and 2030 due to the extensive internet penetration and massive utilization of the 5G technology and smartphones in the region. It has been forecast that the 5G network would penetrate over half the continent by 2030. Additionally, the soaring investments by mobile operators in content and media capabilities, IoT applications, and 5G services will fuel the market growth. The increasing procurement of RF semiconductors in North America can also be ascribed to the upgradation of ultra-large and large data centers from 10G transceivers to new 40G and 100G transceivers, for higher digital signal transformation speed.
The RF semiconductor market growth is being aided by the large-scale adoption of the AI technology. AI is boosting businesses by improving the experience of customers and enabling predictive maintenance to enhance network reliability. By incorporating effective machine learning algorithms, businesses can reduce the complexities in the design of RF semiconductor devices and maximize RF parameters such channel bandwidth, spectrum monitoring, and antenna sensitivity. AI is also unearthing new capabilities in military applications, while radio applications in spectrum sensing, communication systems, and signal classification and detection in unfavorable spectrum conditions are also being immensely benefitted.
The surging usage of smartphones has become a key growth driver for the market for RF semiconductors. The penetration of smartphones has amplified in developing and developed countries after a decade of their introduction. A vast number of users are now present in the emerging economies of Indonesia, China, Nigeria, India, and Pakistan. Apart from this, the increasing disposable income and escalating urbanization rate are driving the RF semiconductor market growth in these nations.
The rapid adoption of the IoT technology has propelled the requirement for a robust network capacity and, in turn, the RF semiconductor market advance. IoT helps in developing an interconnected framework of physical things, such as smart appliances, via secure networks, using RF technologies. For example, RF transceivers are integrated in smart home appliances to connect with the internet using Wi-Fi or Bluetooth. Additionally, the escalating number of smart city projects in several corners of the world has significantly increased the demand for smart devices.
|Base Year (2019) Market Size||$2.1 billion|
|Forecast Period (2020-2030) CAGR||8.8%|
|Report Coverage||Market Trends, Revenue Estimation and Forecast, Segmentation Analysis, Regional and Country Breakdown, COVID-19 Impact, Company Share Analysis, Companies’ Strategical Developments, Product Benchmarking, Company Profiling|
|Market Size by Segments||By Wafer Size; By Frequency Band; By Component; By Material; By Operating Voltage; By Application|
|Market Size of Geographies||U.S., Canada, Germany, France, Italy, U.K., Spain, Russia, Japan, China, India, South Korea, Brazil, Mexico, Israel, South Africa|
|Secondary Sources and References (Partial List)||International Society of Automation (ISA), International Telecommunication Union, International Telecommunications Society (ITS), International Trade Union (ITU), Internet of Things Association (IOTA), American Electronics Association (AEA), China Consumers Association (CCA), Consumer Electronics & Technologies Industry Association (CETIA), Consumer Electronics Association (CEA), Control System Integrators Association (CSIA), Industrial Internet Consortium, International Association of Computer Science and Information Technology (IACSIT), GSM Association Organisation for Economic Co-operation and Development (OECD) Note: Above listed references and organizations are partial; the detailed and complete list is available in the final report.|
With the widespread adoption of the IoT technology, robust network capacity has become imperative. IoT helps build an interconnected framework of physical things, such as smart devices, through secure networks, using RF technologies. For instance, RF transceivers are used in smart home devices, to connect with the internet using Bluetooth or Wi-Fi. Further, with the increasing smart city projects in different parts of the world, the demand for smart devices is growing considerably.
In recent years, players in the RF semiconductor industry have been focused on product innovation, to stay ahead of their competitors. For instance:
The RF Semiconductor market report offers comprehensive market segmentation analysis along with market estimation for the period 2014–2030.
Based on Wafer Size
Based on Frequency Band
Based on Component
Based on Material
Based on Operating Voltage
Based on Application
In 2030, the RF semiconductor market will generate $5.0 billion.
GaAs is the preferred material in the RF semiconductor industry because components made from it consume and dissipate less power, tolerate high voltages and temperatures, and are highly efficient.
APAC had been the largest region in the RF semiconductor market till 2019, while North America will likely witness the fastest growth during the forecast period.
The strongest growth drivers for the RF semiconductor industry are the increasing uptake of smartphones and IoT and heavy investments in the advancement of the telecom infrastructure.
To grow continuously, the RF semiconductor market players are launching new products.
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