Global Multimedia Chipsets Market - Segmented by Type (Graphics, Audio), End-user Industry (Consumer Electronics, IT and Telecommunication, Media and Entertainment, Government), and Region - Growth, Trends, and Forecast (2018 - 2023)
The multimedia chipsets market has been valued at USD 26.48 billion in 2017 and is expected to register a CAGR of 6.9% during the forecast period (2018 - 2023), to reach USD 39.76 billion by 2023. The scope of the report covers the applications of chipsets in multimedia products such as TVs, set top boxes, computers, and handheld devices across various industries.
Rising penetration of high-speed internet connection, increasing demand for functional hardware in various mobile devices, including smartphones and wearable combined with the high growth potential of multimedia chipsets in the gaming industry are major factors driving the market for multimedia chipsets. The rapid growth of set top box and IPTV is also driving the demand for multimedia chipsets. Moreover, initiatives have been taken by various governments across the world that instruct the digitization of conservative cable television, like the changeover from analog to an internet centered digital television system, which has increased the demand of set top boxes at a tremendous rate. However, higher static costs related to the formation of manufacture unit is limiting the development of multimedia chipsets market.
Owing to the increasing demand for smartphones and other handheld devices there has been a growth in the number of users demanding consumer electronics for the purpose of watching videos and movies online. Improved internet facilities across the world has made it easier for consumer to stream videos online, considerably increasing their numbers over the past few years. Hence, graphics chipsets have consistently been holding the larger revenue share in multimedia chipsets market.
Furthermore, the market in 2017 witnessed several technological developments taken up by various companies. For instance, in October, Advanced Micro Devices Inc. introduced Embedded Radeon E9170 Series graphics processing unit which expanded display capabilities and were available with multi-chip module format, which was integrated with memory. This core graphics technology is ideal for delivering crystal clear resolution and a stunning and seamless 4K experience across multiple displays. Also, in July 2017, Cirrus Logic had launched a development kit for Alexa Voice Service that boosted the smart speakers and smart home applications including hands-free portable speakers, voice-controlled devices, and networked speakers. These advances have introduced market with various new innovative products that have spurred the adoption of these chipsets.
Asia Pacific to remain a Lucrative Market for Multimedia Chipsets
APAC is expected to witness a higher demand for handheld devices and set top boxes and IPTVs, which form the two most lucrative application segments for multimedia chipsets. Asia Pacific multimedia chipsets also take in high investments for SoC manufacturing, which complements the fact that this region is a global hub for semiconductor companies. China holds the largest number of smartphone users in the world, while also having a huge subscription base for IPTVs, making it a key market for multimedia chipset players. At the same time, Singapore offers a very high level of market penetration for smartphones and consumer electronics, allowing most entrants a good shot at gaining revenues.
Key Developments in the Market
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