Robust Growth Expectations for IoT Chip Market
Chip makers are rushing to develop new revenue streams in the Internet of Things (IoT). There is a great sense of urgency for two reasons. The first and foremost reason is that the IoT market as a whole is anticipated to experience robust growth and there is a need for new, energy efficient chips.
Existing Chipset Revenues Flattening
The second reason is that existing revenue streams, driven largely by previously steep smartphone growth are plateauing. In the case of chipset leader Qualcomm, some existing revenue streams are even at risk. According to a lawsuit filed in federal court, Apple is suing Qualcomm. The complaint seeks $1 billion in rebate payments.
Apple sues Qualcomm over Licensing Practices: Apple is Qualcomm’s biggest customer, so this is a huge speedbump at best for the company. Investors hope that the company can smooth things over with Apple, allowing the company time to establish new revenues. The company is working to do just that as Verizon and Qualcomm Unveil Next Chapter of Growth for the Internet of Things.
There are many other chipset providers to consider in this multi-billion dollar market.
Leading chipset providers poised to benefit from the growth of IoT include:
- Cypress Semiconductor
- Electric Imp
- Marvell Technology Group
- Microchip Technology
- NXP Semiconductors
- Renesas Electronics
- Samsung Electronics
- Silicon Labs
- Texas Instruments
Outlook for IoT Chipset Makers
The global IoT Chip market is expected to reach $12.9 billion by 2022 with a growth rate of 13%. The chip market will account for about 1.4% of the total IoT hardware. Certain emerging areas will be key target areas such as the global System on a Chip market in Smart Buildings, which will reach $118M by 2022. Another example is the global healthcare IoT market, which will be a robust segment wherein System on a Chip alone will reach nearly $2.5B in revenue by 2022.
IoT Chipset Market Outlook and Forecasts 2017 – 2022 evaluates the chipset marketplace, analyzes the unique needs of IoT chipsets, and provides a market outlook and forecasts for IoT chipsets by industry vertical, region, and globally through 2022. All purchases of Mind Commerce reports includes time with an expert analyst who will help you link key findings in the report to the business issues you’re addressing.