PUBLISHER: The Business Research Company | PRODUCT CODE: 1455409
PUBLISHER: The Business Research Company | PRODUCT CODE: 1455409
Chiplets are individual semiconductor components or functional blocks that are manufactured separately and then assembled to create larger integrated circuits (ICs) or systems. They find applications across the semiconductor industry for designing and manufacturing integrated circuits.
The main processors in the chiplets market include Field Programmable Gate Arrays (FPGAs), Graphics Processing Units (GPUs), Central Processing Units (CPUs), Application Processing Units (APUs), and Artificial Intelligence Application-Specific Integrated Circuit (AI ASIC) coprocessors. Field Programmable Gate Arrays (FPGAs) are a specific type of integrated circuit that can be programmed or reprogrammed after manufacturing. Various packaging technologies are utilized in chiplet assembly, including System-in-Package (SiP), Flip Chip Chip Scale Package (FCCSP), Flip Chip Ball Grid Array (FCBGA), 2.5D/3D integration, Wafer-Level Chip Scale Package (WLCSP), and Fan-Out (FO). These chiplets find applications across various end-user industries such as enterprise electronics, consumer electronics, industrial automation, healthcare, automotive, military and aerospace, among others.
The chiplets market research report is one of a series of new reports from The Business Research Company that provides chiplets market statistics, including the chiplets industry global market size, regional shares, competitors with a chiplets market share, detailed chiplets market segments, market trends and opportunities, and any further data you may need to thrive in the chiplets industry. This chiplets market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The chiplets market size has grown exponentially in recent years. It will grow from $4.44 billion in 2023 to $7.8 billion in 2024 at a compound annual growth rate (CAGR) of 75.8%. The growth observed during the historic period can be attributed to several factors, including growth in the semiconductor industry, expansion of the healthcare sector, increased electronics manufacturing, adherence to stringent regulatory standards, and globalization of supply chains.
The chiplets market size is expected to see exponential growth in the next few years. It will grow to $64.4 billion in 2028 at a compound annual growth rate (CAGR) of 69.5%. The projected growth in the forecast period can be attributed to several factors, including the growing biopharmaceutical industry, increasing demand in the food industry, adoption of advanced manufacturing techniques, global health concerns, and stricter environmental regulations. Major trends anticipated in the forecast period include increased research and development activities, rising applications of nanotechnology, technological advancements, advancements in cleanroom equipment technology, and the expansion of biotechnology and life sciences research.
The increasing demand for electronic devices is poised to drive the growth of the chiplets market in the future. Electronic gadgets encompass various devices that utilize electronic components and technology to perform specific functions. Chiplets offer a more adaptable, cost-effective, and scalable approach to creating and producing electronic gadgets, catering to the evolving complexity and requirements of modern technologies. For example, as reported by the Japan Electronics and Information Technology Industries Association in May 2023, consumer electronics production reached $2,178,430 million (¥32,099 million), compared to $1,714,724 million (¥25,268 million) in May 2022. Moreover, according to Uswitch Limited in February 2023, the UK witnessed a 3.8% increase in mobile connections, totaling 71.8 million in 2022. With the UK population expected to reach 68.3 million by 2025, approximately 95% of individuals (around 65 million) are projected to own a smartphone. Consequently, the rising demand for electronic gadgets is a driving force behind the chiplets market.
Key players in the chiplets market are concentrating on developing innovative technological solutions such as 5G technology to enhance their market position. For instance, in 2023, Intel Corporation introduced the 4th Gen Intel Xeon Scalable processors with Intel vRAN Boost and announced the Intel infrastructure power manager for 5G core reference software. This solution aims to deliver a 30% average run-time CPU power savings, enabling 5G core networks to achieve a balance between power efficiency, performance, and latency while meeting critical business and customer requirements. This technology facilitates the operation of 5G core networks on software, providing cloud-native agility.
In February 2022, Advanced Micro Devices, Inc. (AMD) completed the acquisition of Xilinx for approximately $135 billion. Through this acquisition, AMD creates a leading high-performance and adaptive computing entity by combining complementary products, customers, markets, and technologies. This strategic move expands AMD's addressable market and strengthens its position in the high-performance computing industry. Xilinx, a US-based semiconductor manufacturing company, operates in the chiplets market.
Major companies operating in the chiplets market report are Samsung Electronics, Taiwan Semiconductor Manufacturing Company, Intel Corporation, IBM, Qualcomm Technologies Inc., NVIDIA Corporation, Micron Technology Inc., Advanced Micro Devices Inc., ASE Technology Holding Co. Ltd., MediaTek Inc., NXP Semiconductors N.V., United Microelectronics Corporation, GlobalFoundries, Synopsys Inc., Marvell Technology Inc., Cadence Design Systems Inc., Xilinx Inc., ALPHAWAVE SEMI, Tenstorrent, Ayar Labs Inc., Kandou Bus SA, SiFive Inc., Achronix Semiconductor Corporation, Ranovus, Netronome, X-Celeprint, NHanced Semiconductors, Rain Neuromorphics, Eliyan, Chipuller
Asia-Pacific was the largest region in the chiplets market in 2023. North America is expected to be the fastest-growing region in the forecast period. The regions covered in the chiplets market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
The countries covered in the chiplets market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain
The chiplets market includes revenues earned by entities by providing services such as chiplet integration services, chiplet design services, and testing and verification services. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included. The chiplets market consists of sales of security chiplets, sensor chiplets, quantum computing chiplets, and AI accelerator chiplets. Values in this market are 'factory gate' values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Chiplets Global Market Report 2024 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on chiplets market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for chiplets ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The chiplets market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The impact of sanctions, supply chain disruptions, and altered demand for goods and services due to the Russian Ukraine war, impacting various macro-economic factors and parameters in the Eastern European region and its subsequent effect on global markets.
The impact of higher inflation in many countries and the resulting spike in interest rates.
The continued but declining impact of covid 19 on supply chains and consumption patterns.