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  • Application Specific Integrated Circuit Market Growth Analysis | 2023-2028

    Application Specific Integrated Circuit Market Growth Analysis | 2023-2028

    Application Specific Integrated Circuit Market Growth Analysis | 2023-2028
    Report code - SRCG201 Delivery - 2 Weeks
    Application Specific Integrated Circuit Market Size, Share, Trends, Dynamics, Forecast, &a See more...

    Market Insights

    The application specific integrated circuit market was estimated at USD 16.01 billion in 2022 and is likely to grow at a CAGR of 5.32% during 2023-2028 to reach USD 21.94 billion in 2028.

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    What is an application specific integrated circuit (ASIC)?

    Application specific integrated circuit (ASIC) is an integrated circuit (IC) chip customized for a particular range of uses, rather than intended for general-purpose use. Application specific integrated circuits (ASICs) tailored for AI and ML applications, including tasks like neural network inference and training, deliver superior processing capabilities and enhanced energy efficiency when contrasted with general-purpose processors.

    Based on the product type, application-specific integrated circuits can be categorized into full custom ASIC, semi-custom ASIC, and Programmable ASIC. Based on application type, it can be categorized into telecommunication, industrial, automotive, consumer goods, and others.

    Application Specific Integrated Circuit Market Highlights

    Market Size in 2022

    USD 16.01 billion

    Market Size in 2028

    USD 21.94 billion

    Market Growth by 2023-2028

    CAGR of 5.32%

    Base Year of Study

    2022

    Trend Period

    2017-2021

    Forecast Period

    2023-2028

    Dominant Region

    Asia-Pacific is estimated to be the largest market during the forecast period.

    Market Dynamics

    The application specific integrated circuit market is poised to surge, driven by several reasons. The following are some key drivers of the market:

    • Increasing demand for high-performance and energy-efficient electronic devices: ASICs are designed to meet specific application requirements, which makes them more efficient and power-saving than general-purpose ICs. With the growing demand for high-performance and energy-efficient electronics, the demand for ASICs is set to surge.
    • Growing demand for smart devices: The rapidly growing demand for smart devices such as smartphones and tablets is expected to drive market growth. There are more than 6.8 billion smartphones in the world. The count for total smartphones by 2025 is estimated to cross 7.3 billion by 2025. According to different sources, the global economy is expected to rise to more than 75 billion connected things or devices by the end of 2025. There will be more than 9 smart devices per person. ASICs help in providing the high-bandwidth, smaller size & weight, low-cost, and long battery life requirements of next-generation smart devices.
    • Faster Time-to-Market: ASICs allow for quicker time-to-market compared to designing complex systems with off-the-shelf components. New ASIC design tools and methodologies are making it easier and faster to design complex ASICs. The growing demand for smart devices, along with advanced technologies such as 5G, AI, IoT, and autonomous vehicles is driving the adoption of ASICs across industries.
    • Reduced cost of ASIC manufacturing: The cost of ASIC manufacturing has been reducing in recent years, allowing more and more companies to make use of ASICs in a wider range of applications.

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    Segment Analysis

    By Product Type

    The application specific integrated circuit market is segmented as full custom ASIC, Semi-custom ASIC, and programmable ASIC. The Semi-custom ASIC segment dominated the market with a share of >45% in 2022 and is expected to maintain its position during the forecast period. A wide range of applications and low complexities are the major factors that have led to the dominance of the semi-custom ASIC segment.

    Semi-custom ASICs are the most popular type of ASIC because they are less complex and have a wider range of applications than other types of ASICs. Manufacturers typically offer three types of ASICs: semi-custom, full-custom, and programmable. Semi-custom ASICs are further divided into two subcategories: cell-based and array-based.

    By Application Type

    The market is segmented as telecommunications, industrial, automotive, consumer electronics, and others. The Consumer Electronics segment held the largest share of >35% of the market in 2022 and is also expected to witness healthy growth during the forecast period. Increasing usage of ASIC in smartphones, tablets, and laptops along with rapidly growing demand for these products from consumers across the globe is the major factor behind the growth of the consumer electronics segment.

    ASICs offer many advantages, including low power consumption, IP security, a compact size, and enhanced bandwidth, making them widely adopted in the consumer electronics industry. Additionally, rapid advancements in electronic devices have enabled ASICs to achieve greater stability and energy efficiency, further driving the growth of the ASIC market. Beyond the consumer electronics sector, ASICs are also extensively used in a variety of other industries, such as telecommunications, industrial, and healthcare.

    Regional Insights

    Asia-Pacific is estimated to be the largest market with a share of >20% in 2022 for application-specific integrated circuits during the forecast period. China, Japan, Taiwan, South Korea, and India are the major economies contributing to the growth and high demand for application-specific integrated circuits in the region. A huge consumer base, growing disposable income of consumers, and rapidly growing urbanization are the major factors driving the growth of the Asia-Pacific market.

    North America and Europe are also expected to witness a healthy demand for application-specific integrated circuits during the forecast period. North America is expected to grow at a healthy CAGR during the forecast period, primarily due to the significant presence of prominent players in the region.

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    Critical Questions Answered in the Report

    • What are the key trends in the global market?
    • How the market (and its various sub-segments) has grown in the last five years and what would be the growth rate in the next five years?
    • What is the impact of COVID-19 on the global market?
    • What are the key strategies adopted by the major vendors to lead in the market?
    • What is the market share of the top vendors?

    Market Segmentation

    This report studies the market covering a period of 12 years of trend and forecast. The report provides detailed insights into the market dynamics to enable informed business decision-making and growth strategy formulation based on the opportunities present in the market.

    The application specific integrated circuit market is segmented into the following categories.

    By Product Type

    • Full Custom ASIC
    • Semi-Custom ASIC
    • Programmable ASIC

    By Application Type

    • Telecommunications
    • Industrial
    • Automotive
    • Consumer Electronics
    • Others

    By Region

    • North America (Country Analysis: the USA, Canada, and Mexico)
    • Europe (Country Analysis: Germany, France, the UK, Russia, Spain, and Rest of Europe)
    • Asia-Pacific (Country Analysis: China, Japan, South Korea, India, and Rest of Asia-Pacific)
    • Rest of the World (Sub-Region Analysis: Latin America, the Middle East, and Others)

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    Key Players

    Some of the major players in the global market are-

    Report Features

    This report provides market intelligence most comprehensively. The report structure has been kept such that it offers maximum business value. It provides critical insights into the market dynamics and will enable strategic decision-making for the existing market players as well as those willing to enter the market.

    What Deliverables Will You Get in this Report?

    Key questions this report answers

    Relevant contents in the report

    How big is the sales opportunity?

    In-depth Analysis of the Application Specific Integrated Circuit Market

    How lucrative is the future?

    Market forecast and trend data and emerging trends

    Which regions offer the best sales opportunities?

    Global, regional, and country-level historical data and forecasts

    Which are the most attractive market segments?

    Market Segment Analysis and Forecast

    Which are the top players and their market positioning?

    Competitive landscape analysis, Market share analysis

    How complex is the business environment?

    Porter’s five forces analysis, PEST analysis, Life cycle analysis

    What are the factors affecting the market?

    Drivers & challenges

    Will I get the information on my specific requirements?

    10% free customization

    Research Methodology

    This report offers high-quality insights and is the outcome of a detailed research methodology comprising extensive secondary research, rigorous primary interviews with industry stakeholders, and validation and triangulation with Stratview Research’s internal database and statistical tools.

    More than 1,000 authenticated secondary sources, such as company annual reports, fact books, press releases, journals, investor presentations, white papers, patents, and articles have been leveraged to gather the data.

    We conducted more than 10 detailed primary interviews with the market players across the value chain in all four regions and with industry experts to obtain both qualitative and quantitative insights.

    Target Audience

    The following is a list of the customers that the market aims to convert the most:

    • Manufacturers
    • Suppliers
    • Distributors
    • Organizations
    • Government bodies

    Report Customization Options

    With this detailed report, Stratview Research offers one of the following free customization options to our respectable clients:

    Company Profiling

    • Detailed profiling of additional market players (up to 3 players)
    • SWOT analysis of key players (up to 3 players)

    Competitive Benchmarking

    • Benchmarking of key players on the following parameters: Product portfolio, geographical reach, regional presence, and strategic alliances.

    Custom Research: Stratview Research offers custom research services across sectors. In case of any custom research requirement related to market assessment, competitive benchmarking, sourcing and procurement, target screening, and others, please send your inquiry to sales@stratviewresearch.com.

    Frequently Asked Questions (FAQs)

    Application-specific integrated circuit (ASIC) is an integrated circuit (IC) chip customized for a particular range of uses, rather than intended for general-purpose use. Application-specific integrated circuits (ASICs) tailored for AI and ML applications, including tasks like neural network inference and training, deliver superior processing capabilities and enhanced energy efficiency when contrasted with general-purpose processors.

    The application specific integrated circuit market was estimated at USD 16.01 billion in 2022.

    The application specific integrated circuit market is likely to reach USD 21.94 billion in 2028.

    The application specific integrated circuit market is likely to grow at a CAGR of 5.32% during 2023-2028.

    Some of the major players in the market are- Infineon Technologies AG, Semiconductor Components Industries, LLC, OmniVision Technologies, Tekmos Inc., Seiko Epson Corporation, Socionext America Inc., and Intel Corporation.

    Asia-Pacific is estimated to be the largest market with a share of >20% in 2022 for the market during the forecast period.

    The global Application Specific Integrated Circuit (ASIC) market is poised to surge, driven by several reasons. The following are some key drivers of the ASIC market: 1. Increasing demand for high-performance and energy-efficient electronic devices: ASICs are designed to meet specific application requirements, which makes them more efficient and power-saving than general-purpose ICs. With the growing demand for high-performance and energy-efficient electronics, the demand for ASICs is set to surge. 2. Growing demand for smart devices: The rapidly growing demand for smart devices such as smartphones and tablets is expected to drive market growth. There are more than 6.8 billion smartphones in the world. The count for total smartphones by 2025 is estimated to cross 7.3 billion by 2025. According to different sources, the global economy is expected to rise to more than 75 billion connected things or devices by the end of 2025. There will be more than 9 smart devices per person. ASICs help in providing the high-bandwidth, smaller size & weight, low-cost, and long battery life requirements of next-generation smart devices. 3. Faster Time-to-Market: ASICs allow for quicker time-to-market compared to designing complex systems with off-the-shelf components. New ASIC design tools and methodologies are making it easier and faster to design complex ASICs. The growing demand for smart devices, along with advanced technologies such as 5G, AI, IoT, and autonomous vehicles is driving the adoption of ASICs across industries. 4. Reduced cost of ASIC manufacturing: The cost of ASIC manufacturing has been reducing in recent years, allowing more and more companies to make use of ASICs in a wider range of applications.