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                                  Application Processor Market Size Projected to Reach $ 45.02 Billion by 2026

                                  admin by admin
                                  January 30, 2022
                                  in Press Releases
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                                  (EMAILWIRE.COM, January 22, 2022 ) Application Processor market size is projected to reach US$ 45.02 billion by 2026 and is estimated to grow at around CAGR 5.6% during 2021-2026. With the increasing penetration of smart phones with high-end graphics and growing demand for achieving immersive user experiences among tech-savvy millennial, Application Processors Market is anticipated to gain huge traction due to the rise of system on chip and microprocessors. Rising demand for advanced digital signal processors in electronic devices handling primary processing and other smart functions including superior connectivity, enhanced camera functionality, immersive augmented reality (AR) and virtual reality (VR) experience, long battery life integrated with robust security solutions rather than only managing background functions such as display, wireless communication and power management have contributed to the Application Processor Market growth. With the increasing adoption of emerging technologies such as Artificial Intelligence (AI), microprocessors, Internet of Things (IoT) infrastructure the rising demand for data-centric real-time applications is augmenting the Application Processor Market.

                                  Application Processor Market Segment Analysis – By Architecture

                                  By architecture, Application Processor Market has been segmented under RISC, CISC, Application Specific Integrated Circuit (ASIC), Superscalar Processors, and Digital Signal Microprocessors (DSP). RISC architecture is estimated to hold the major Application Processor Market Share of 34% during the forecast period 2021-2026 owing to its reduced chip complexity and huge demand for RISC technology in consumer electronic devices such as smartphones, tablets and smart wears. ARM processor is analyzed to dominate the market during 2021-2026 owing to minimal power consumption, low cost and more mobile friendliness. The growing demand of ARM processors in portable devices has contributed to the Application Processor Market growth. For instance, in November 2020, Arm launched new Cortex-A78C processor enhancing gaming and productivity to power the next generation of flagship smartphones. Such developments are anticipated to propel the market growth during 2021-2026.

                                  Application Processor Market Segment Analysis – By End User

                                  By end user, Application Processor Market has been segmented under industrial, commercial and consumer sector. Consumer sector dominated the market in 2020 acquiring a market share of 42% and is estimated to hold the major market share of 45% by 2026 with a CAGR 9.56% during the forecast period 2021-2026 owing to massive penetration of smartphones globally. Furthermore growing demand for other consumer electronic devices such as tablets, laptops, smart watches is also boosting the market. The rising awareness among consumers about the fitness and productivity has significantly increased the demand for smart watches and thus accelerating the Application Processor Market growth. For instance, in November 2021, Samsung Electronics announced to deliver its smartphone application processors to Chinese smartphone manufacturing companies including Xiaomi, Oppo and Vivo. Such collaborations are anticipated to boost the Application Processor Market. In industrial sector, automotive Industry is estimated to be the fastest growing market with a CAGR 11.3% between 2021 and 2026 due to rising demand for advanced driver assistance system (ADAS) globally. For instance, in April 2021, SiFive Inc. announced a strategic partnership with Renesas Electronics Corporation to develop next-generation RISC-V application processors for automotive applications and such partnerships are anticipated to drive the market from 2021 to 2026.

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                                  Application Processor Market Segment Analysis – By Geography

                                  By geography, Application Processor Market has been segmented under North America, Europe, APAC, South America and RoW. APAC dominated the Application Processor Market in 2020 acquiring a share of 72% and is estimated to hold the major market share of 79% with a CAGR 12.78% during 2021-2026 owing to increasing investments towards setting up a digital infrastructure across this region. Massive and quick adoption of IoTs in this region is analyzed to accelerate the market growth during the forecast period 2021-2026. The presence of large consumer electronics manufacturers in the East Asia region such as Lenevo, Huawei, Samsung is contributing to the growth of the Application Processor market. For instance, in November 2021, Samsung Electronics introduced a new application processor “Exynos 1080” based on 5 nm EUV process with improved multi-core performance and power efficiency in Shanghai, China. Such new product launches are driving the market in this region. Indian Government initiatives such as “Make in India” is estimated to boost the market in this region during the forecast period 2021-2026

                                  Application Processor Market Drivers

                                  Increasing penetration of smartphones

                                  Increasing penetration of smartphones along with high speed internet is analyzed to drive Application Processor Market during the forecast period 2021-2026. The Application Processor Market growth is majorly attributed to the growing demand for smart applications such as image enhancement techniques utilizing digital computation, rich AR & VR immersive experience, gaming. The increasing adoption of embedded application processors to run mobile operating system environment or a specialized real-time operating system is steering the market. For instance, in April 2021, Kingston Digital Inc. announced the partnership with NXP Semiconductor on their new i.MX 8M application processors to enhance their IoT business solutions and such partnerships are analyzed to drive the market from 2021 to 2026.

                                  Growing demand for Artificial intelligence

                                  Increasing demand for deep learning based AI applications such as image recognition, voice recognition, speech translation, data mining, video surveillance across various sectors is set to drive the market. The high rate of adoption of deep learning systems in autonomous cars, wearable devices, data analytics, cyber security, fraud detection is anticipated to stimulate the Application Processor market during the forecast period 2021-2026. Increasing adoption of cloud based applications for large volume data storage and processing has contributed to the growth of the market. Growing demand for digital assistants such as Alexa, Siri has contributed to the growth of Application Processor market. For instance, in December 2020, Qualcomm announced the launch of Snapdragon 888, 5G equipped latest flagship smartphone processor consisting of 6th generation Qualcomm AI Engine with Hexagon 780 processor.

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                                  Application Processor Market Challenges

                                  High cost

                                  The growing demand for high performance processors coupled with low power requirement have significantly triggered the growth of application processors. But the high cost of Application Processors due to its complex architecture secured with cryptographic algorithms is hampering the adoption.

                                  Application Processor Market Landscape

                                  Technology launches, Acquisitions, Collaboration, and R&D activities are key strategies adopted by players in the Application Processor market. Application Processor top 10 companies include Qualcomm Inc., Intel Corporation, Texas Instruments Inc., Meditek Inc., Nvidia Corporation, Huawei Technologies Co. Ltd., Samsung Technologies, Silicon Laboratories Inc., Renesas Electronics Corporation, NXP semiconductors N. V. and others.

                                  Acquisitions/Technology Launches

                                  In June 2020, Qualcomm introduced new snapdragon 690 processor which will enable 5g network usage in budget phones.

                                  In January 2020, Texas instruments launched Jacinto 7 processor platform to enhance deep learning capabilities for optimizing advanced driver assistance systems (ADAS) and automotive gateway applications.

                                  Key Takeaways

                                  RICS is estimated to dominate the market during the forecast period 2021-2026 owing to increasing penetration of portable devices.

                                  Consumer sector is estimated to witness highest growth during 2021-2026 due to massive and quick adoption of smartphones, tablets and laptops.

                                  APAC is estimated to dominate the Application Processor market during the forecast period 2021-2026 owing to increasing investments towards IoT infrastructure across this region.

                                  Increasing penetration of smartphones and growing adoption of Artificial Intelligence technology are driving the Application Processor Market.

                                  Increased cost is one of the major challenges to impede the market growth during 2021-2026.

                                  Related Reports

                                  A.Narrowband IoT Chipset Market

                                  https://www.industryarc.com/Report/16957/narrowband-iot-chipset-market.html

                                  B.Integrated Graphics Chipset Market

                                  https://www.industryarc.com/Report/15758/integrated-graphics-chipset-market.html

                                  For more Electronics Market reports, please click here

                                  About IndustryARC: IndustryARC primarily focuses on Cutting Edge Technologies and Newer Applications market research. Our Custom Research Services are designed to provide insights on the constant flux in the global supply-demand gap of markets. Our strong team of analysts enables us to meet the client research needs at a rapid speed, with a variety of options for your business. Any other custom requirements can be discussed with our team, drop an e-mail to sales@industryarc.com to discuss more about our consulting services.



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