PUBLISHER: Stratistics Market Research Consulting | PRODUCT CODE: 1144186
PUBLISHER: Stratistics Market Research Consulting | PRODUCT CODE: 1144186
According to Stratistics MRC, the Global Integrated Passive Devices Market is accounted for $1.76 billion in 2022 and is expected to reach $3.16 billion by 2028 growing at a CAGR of 10.23% during the forecast period. The integrated passive device is a packaging technology that includes distinctive features such as decoupling, matching, resonating, converting, biasing, and filtering. It is a high-performance device that uses AL technology. Innovative technologies are increasing market demand. The increasing usage of in-vehicle infotainment (IVI) systems and enhanced telematics has bolstered the need for integrated passive devices in the automotive sector. Major automotive OEMs are focusing on the development of ADAS and self-driving cars, which will accelerate the deployment of IPDs in vehicle electronics.
According to the India Brand Equity Foundation (IBEF), the Indian appliances and consumer electronics market was valued at US$ 9.84 billion in 2021 and is expected to be valued at US$ 21.18 billion by 2025. In 2021, the country's smartphone shipments increased by 11% year on year, and this trend is expected to continue in the coming decade, propelling sales of integrated passive devices.
Integrated passive devices are widely used in the consumer electronics industry, including products such as digital televisions, set-top boxes, smartphones, tablets, and portable media players. Because smartphones have been in such high demand in recent years, integrated passive devices have emerged as a result of the need for many features to be crammed into a small form factor. Smartphones have a variety of functions, including Wi-Fi, Bluetooth, the positioning system, near-field communication and others. This would promote the use of IPDs in consumer electronics because they provide cost-effective miniaturisation solutions, which drives the IPDs market growth.
Integrated passive devices market is hampered by the high cost of IPDs in comparison to discrete components. Long-term effects are expected to be minimal because major players in this industry are working to reduce the cost of IPDs. Low-cost manufacturing is also critical for optimising profitability. The use of traditional PCBs with IPDs incurs additional costs. The cost of a single discrete component to IPD is 1:31. (1.5 X 1.5). This is due in part to the fact that discrete components have become commodities and are widely used.
Product makers are using robots to automate some of the monotonous procedures as demand rises across economies. According to the Robotic Industries Association, more than 250,000 industrial robots have been installed in the United States alone, providing an estimate of industrial robot penetration. Furthermore, the industrial robotics market has seen tremendous growth over the last decade, owing to the increasing adoption of smart factory systems, in which these robots play an important role. As Integrated Passive Devices, they are utilised to deliver signal and power to every portion of the robot in order for its functions to be activated. As a result, increased robot adoption will fuel market expansion during the projection period.
Manufacturers need a long product design cycle for RF tuning of IPDs, which poses a significant threat to the IPD market. It is difficult to replace or update them during RF tuning in IPD, which increases the product design cycle. As a result, incorporating IPD improves the design cycle of the final product, limiting the growth of the IPD market.
The COVID-19 epidemic and its impact on passive electronic components lowered supply chain operating levels at the component and raw material manufacturing levels. This indicates a reduction in the number of integrated passive devices across multiple regions and countries. The COVID-19 pandemic has had an impact on the semiconductor industry because to its impact on supply-chain activities. Furthermore, it had halted automotive production, which had hindered the growth of the integrated passive devices market. However, the market for integrated passive devices is gradually recovering and is expected to return to pre-COVID levels in the near future.
The Automotive segment is estimated to have a lucrative growth, due to wide usage of integrated passive devices in automotive electronics for wireless communication. The growing demand for automobiles and the widespread use of integrated passive devices in automotive sector for wireless communication is expected to drive growth in this market.
The Light-emitting diode (LED) is anticipated to witness the fastest CAGR growth during the forecast period. Because of their silicon embedded IPD, LEDs have low power consumption and long-lasting performance, which eliminates the drawbacks of traditional lighting systems. The use of LED products has accelerated the usage in electronic devices including hard drives, tablets, laptops, routers, and other applications such as healthcare and automotive, which drives the market furthermore.
Europe is projected to hold the largest market share during the forecast period. The developments cater to a wide range of applications, including healthcare, automotive and electronics attracting significant investment in this sector. Furthermore, rising technological breakthroughs and high investments by key enterprises, as well as increased interest in passive devices, are projected to drive IPD growth in Europe.
Asia Pacific is projected to have the highest CAGR over the forecast period due to government initiatives to expand semiconductor manufacturing in the region. Asia-Pacific dominates the integrated passive device market due to rising disposable incomes and better living conditions in countries such as India. Moreover, countries such as South Korea announced an ambitious goal of developing 50 artificial intelligence (AI) semiconductor systems.
Some of the key players in the Integrated Passive Devices Market include STMicroelectronics N.V., Infineon Technologies AG, Jiangsu Changjing, Electronics Technology Co. Ltd., Amkor Technology, Inc., Taiwan Semiconductor Manufacturing Company Limited, ON Semiconductor Corporation, Murata Manufacturing Co. Ltd., Johanson Technology, Inc., OnChip Devices, Inc., Semiconductor Components Industries, LLC, Infineon Technologies AG, Texas Instruments Incorporated, Global Communication Semiconductors LLC, Qorvo, Inc., NXP Semiconductors, CTS Corporation and 3DiS Technologies.
In April 2022, Brokerages predict Avnet, Inc. will post USD 5.62 billion in sales for the current fiscal quarter. Avnet, Inc, a technology solutions company, operates two segments, Electronic Components, and Farnell. The Electronic Components segment interconnects semiconductors, electromechanical and passive devices, and other integrated components from electronic component manufacturers.
In May 2022, STMicroelectronics, an electronics and semiconductor manufacturing company, collaborated with Microsoft, an ST authorized company, for leading the development of the IoT devices. This collaboration has brought about security features, provided secure boot and storage, and fulfilled customer demands for efficient and trusted solutions.
In June 2021, TSMC (Taiwan Semiconductor Manufacturing Company) and Amkor Technology Inc., one of the largest suppliers of the semiconductor industry,collectively outsource and process IPD chips for the new Apple devices. Recently, Apple is expected to enhance the adoption of IPD (integrated passive devices) for introducing their new iPhones and, other products to their customers.