Sensors for Internet of Things to bring 29% increase in semiconductors
The Internet of Things: The next growth engine for the semiconductor industry, finds that global semiconductor industry billings will increase to US$432 billion by 2019, corresponding to a compound annual growth rate (CAGR) of 5.2%.
Connected devices—ranging from consumer-oriented technologies such as smartphones, tablets, cars and wearables, to industrial machinery, commercial jet engines and oil-drilling rigs—rely on data-collecting components, and these sensors will be one the biggest growth drivers in the semiconductor industry.
The IoT, which influences both industry and private life, will particularly drive the growth of the semiconductor industry. Connected smart devices can collect and exchange information with each other.
Without sensor endpoints, this progress would not be possible. Semiconductor sales from sensors and actuators will reach US$14 billion by 2019, with an annual growth rate of 10.4%.
Examining the worldwide semiconductor market in terms of installed components, the sensors and actuators segment will show the highest growth rate.
One application that could be positively impacted by the IoT is wearables—a minicomputer that records a person’s movements and nutrition as they are worn. Wearables have seen some of the most advanced innovations of the last few years, and are now a booming consumer market.
The market has been flooded with wearable personal health tracking products that promise to improve overall health by monitoring activity, exercise, sleep, nutrition and heart rate. Semiconductor revenue from wearables is expected to grow from a combined US$15 million in 2013 to more than US$7billion in 2019. ■