Taiwan Analog Integrated Circuits Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 4.33 Billion |
| Market Size (2029) | USD 5.74 Billion |
| CAGR (2024 - 2029) | 5.80 % |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Taiwan Analog Integrated Circuits Market Analysis
The Taiwan Analog Integrated Circuits Market size is estimated at USD 4.33 billion in 2024, and is expected to reach USD 5.74 billion by 2029, growing at a CAGR of 5.80% during the forecast period (2024-2029).
- Analog IC has gained traction in recent years due to the proliferation of smartphones, consumer electronics, computers, and storage devices, as well as the increased sales of electric vehicles. Various ICs used in smartphones include charge IC, display PMIC, SoC PMIC, and Camera PMIC. Players such as Apple, Qualcomm, Intel, and Samsung S.LSI are leading in this market. Therefore, with the growing production and sales of smartphones with better technologies and the surging incorporation of 5G and 6G in Taiwan, the analog IC market is expected to gain a vast share of traction globally.
- Moreover, the increasing 5G networking capabilities in Taiwan are expected to create a massive demand for analog IC modules. In March 2024, Ericsson partnered with Taiwanese carrier Chunghwa Telecom through an MoU to enhance 5G technology in Taiwan. This collaboration focuses on advancing and commercializing technologies related to the 3GPP Release 18. Set to be officially frozen in March 2024, Rel-18 marks the inception of 5G-Advanced technology. These advancements are expected to lay the groundwork for future 6G networks, ensuring a smooth transition from 5G to 6G.
- With the rise of EVs (electric vehicles) and advanced driver-assistance systems (ADAS), there is an increasing need for analog ICs in automotive applications. Taiwan's focus on the automotive sector is boosting the demand for analog integrated circuits (IC). In addition, as Taiwan continues to advance in industrial automation, there is a growing need for analog ICs in applications such as motor control, sensors, and power management.
- Taiwan's government actively supports the semiconductor industry through policies, subsidies, and investments in research and development (R&D), further fueling the growth of analog integrated circuits (ICs). The new incentives include proposals to attract overseas or international semiconductor talent and equipment/materials suppliers. Government policies and incentives are expected to improve Taiwan's semiconductor ecosystem in the coming years.
- Modern IC technology grapples with significant design challenges. Advanced technology nodes show marked variability during manufacturing. Additionally, running various devices on these cutting-edge ICs amplifies this variability, leading to operating voltage, temperature, and performance changes. To maintain essential qualities like fidelity, precision, and consistency, the analog design must skillfully navigate these variabilities, challenging the market's expansion.
- Macroeconomic factors like increasing inflation and interest rates further decrease consumer spending, which restricts the growth of the market studied. The geopolitical issues, particularly between Taiwan and China, are significant concerns. China's military exercises and trade restrictions pose a threat to Taiwan's trade-dependent economy. Any disruptions in trade relationships, especially with China, a significant export market, can severely impact Taiwan's analog IC market.
Taiwan Analog Integrated Circuits Market Trends
Application-specific ICs Expected to Witness Significant Growth
- Application-specific ICs for infotainment include equipment like control and safety electronics, such as airbags, LiDAR or light detection and ranging, backup and circumferential camera systems, security electronics, power train engine management electronics, and lighting, such as the head and taillights. LiDAR is primarily used for the advanced driver assistance systems (ADAS) in automobiles for the driver's convenience, with a human-machine interface for safe guidance and smooth operation.
- As LiDAR adoption gains momentum, several carmakers have announced or are poised to integrate this technology into their future vehicles, fueling the demand for analog ICs. As the adoption of ADAS and autonomous driving technology rises, Taiwan-based III-V semiconductor suppliers predict a sustained growth in automotive LiDAR demand. In April 2024, Lumotive teamed up with electronics distributor EDOM to boost the adoption of solid-state Lidar technology in Taiwan. The LCM LiDAR offers high-resolution, wide-angle sensing in a compact, solid-state design and plays a significant role in creating safer and more reliable vehicles.
- Analog ICs or linear ICs are often used as audio-frequency (AF) and radiofrequency (RF) amplifiers. The audio amplifier chip plays a pivotal role in the speaker system in smartphones and tablets. This chip energizes the speaker, causing the speaker driver to oscillate and generate sound by agitating the air. The growing penetration of these devices is expected to accelerate the demand for analog ICs.
- In the 5G wireless cellular networks, smartphone battery efficiency and optimal power utilization have emerged as important factors contributing to the growth of analog ICs for power management. The growing investments in 5G networks have significantly increased data transfer speeds and internet penetration. According to Ookla, Chunghwa Telecom's 5G network covers 97.6% of Taiwan's locations. In Q3 2023, Taiwan's 5G network boasted a median download speed of 265.35 Mbps, outpacing neighboring countries, including Vietnam, the Philippines, China, Hong Kong, and Japan.
Power Management ICs Expected to Hold Significant Market Share
- Power management general-purpose analog ICs are used to convert, control, and distribute DC power. The dominant function is to convert a source voltage into another voltage to enhance management capability. Some applications of power management general-purpose ICs are linear regulators, switching regulators, voltage references, supervision, sequencing and control, battery charging, and management.
- Vendors are introducing new power management ICs. For instance, Nordic Semiconductor launched nPM1300 in June 2024, the industry's pioneering PMIC, which seamlessly integrates vital system management features designed for low-power embedded designs. This innovation has earned a spot on the prestigious electronics industry awards shortlist, competing in the power product of the year category. Notably, the nPM1300 boasts a distinctive algorithm-driven fuel gauge solution that monitors voltage and current, ensuring precision that surpasses traditional voltage-only fuel gauges.
- Taiwan's local solid supply chain, including the presence of fabless companies and foundries, supports developing and producing power management integrated circuits (PMICs), making the IC's critical component in Taiwan's semiconductor ecosystem. In addition, Taiwan is increasingly focusing on renewable energy sources and sustainable technologies, thus driving the demand for PMIC. PMICs are vital in renewable energy systems, such as managing power in solar panels and energy storage solutions.
- Power management ICs are vital to today's sophisticated consumer electronics system designs. Size and cost continue to be driving factors for engineers for PMICs. With the proliferation of the IoT and distributed wireless networks in Taiwan, manufacturers need to integrate many small sensors and communications nodes while shrinking wireless systems. This is likely to boost the innovations in the market studied.
Taiwan Analog Integrated Circuits Industry Overview
The Taiwanese analog integrated circuits market is fragmented, with the presence of major players like Analog Devices Inc., Texas Instruments Inc., Infineon Technologies AG, STMicroelectronics NV, Renesas Electronics Corporation, Microchip Technology Inc., NXP Semiconductors NV, and many others. Players in the market are adopting strategies such as partnerships, mergers, innovations, investments, and acquisitions to enhance product offerings and gain sustainable competitive advantage.
- June 2024: Cadence Design Systems Inc. and Intel Foundry reached significant milestones in the strategic partnership. Building on the collaboration, which spans 3D-IC enablement, EDA flows, and IP development across several Intel process nodes, Cadence has rolled out a comprehensive suite of offerings. These include a complete embedded multi-die interconnect bridge (EMIB) 2.5D advanced packaging flow, upgrades to the Intel 18 A digital and custom/analog flows, an extensive IP portfolio, and the associated process design kits (PDKs) designed for various process nodes, starting with Intel's 18 A.
- May 2024: Rohm partnered with Nanjing SemiDrive Technology Ltd, China's significant SoC manufacturer of smart cockpits, to co-develop an intelligent cockpit reference design. This design predominantly utilizes SemiDrive's X9M and X9E automotive SoCs, complemented by PMICs (power management integrated circuits). A reference board built on this design is also offered, featuring three components: the CoreBoard, the SerDes Board, and the Display Board.
Taiwan Analog Integrated Circuits Market Leaders
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Analog Devices Inc.
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Texas Instruments Inc
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Infineon Technologies AG
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STMicroelectronics N.V.
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Renesas Electronics Corporation
*Disclaimer: Major Players sorted in no particular order
Taiwan Analog Integrated Circuits Market News
- March 2024: Onsemi Semiconductor Corporation announced its new Analog and Mixed-Signal Group (AMG). This group aims to enhance Onsemi's already prominent lineup of power management devices. The company's goal is to tap into an additional USD 19.3 billion total addressable market, propelling the company's expansion in the automotive, industrial, and cloud sectors. AMG focuses on developing power management ICs, high-precision sensor interfaces, and communication products that prioritize low power consumption.
- February 2024: Siemens Digital Industries Software announced that its premier Calibre platform tool, designed for integrated circuit (IC) design verification, alongside its renowned Analog FastSPICE (AFS) platform, catering to analog, radio frequency (RF), custom digital, and mixed-signal circuit verification, have both received certification for Intel's 18A and 16 process technologies. Furthermore, Intel's 18 A has been integrated with the Open Model Interface (OMI), a widely accepted platform in the industry, facilitating aging modeling and reliability analyses, and is backed by the AFS Platform.
Taiwan Analog Integrated Circuits Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET INSIGHTS
4.1 Market Overview
4.2 Industry Attractiveness - Porter's Five Forces Analysis
4.2.1 Bargaining Power of Suppliers
4.2.2 Bargaining Power of Consumers
4.2.3 Threat of New Entrants
4.2.4 Threat of Substitute Products
4.2.5 Intensity of Competitive Rivalry
4.3 Industry Value Chain Analysis
4.4 Impact of COVID-19 Aftereffects and Other Macroeconomic Factors on the Market
5. MARKET DYNAMICS
5.1 Market Drivers
5.1.1 Rising Penetration of PC's and Tablets
5.1.2 Increased Deployment of 5G and Rising Demand for 5G Smartphones
5.2 Market Restraint
5.2.1 Increasing Design Complexity of Analog IC
6. MARKET SEGMENTATION
6.1 By Type
6.1.1 General-purpose IC
6.1.1.1 Interface
6.1.1.2 Power Management
6.1.1.3 Signal Conversion
6.1.1.4 Amplifiers/Comparators (Signal Conditioning)
6.1.2 Application-specific IC
6.1.2.1 Consumer
6.1.2.1.1 Audio/Video
6.1.2.1.2 Digital Still Camera and Camcorder
6.1.2.1.3 Other Consumer
6.1.2.2 Automotive
6.1.2.2.1 Infotainment
6.1.2.2.2 Other Infotainment
6.1.2.3 Communication
6.1.2.3.1 Cell Phone
6.1.2.3.2 Infrastructure
6.1.2.3.3 Wired Communication
6.1.2.3.4 Short Range
6.1.2.3.5 Other Wireless
6.1.2.4 Computer
6.1.2.4.1 Computer System and Display
6.1.2.4.2 Computer Periphery
6.1.2.4.3 Storage
6.1.2.4.4 Other Computer
6.1.2.5 Industrial and Others
7. COMPETITIVE LANDSCAPE
7.1 Company Profiles*
7.1.1 Analog Devices Inc.
7.1.2 Texas Instruments Inc.
7.1.3 Infineon Technologies AG
7.1.4 STMicroelectronics NV
7.1.5 Renesas Electronics Corporation
7.1.6 Microchip Technology Inc.
7.1.7 NXP Semiconductors NV
7.1.8 On Semiconductor Corporation
7.1.9 Richtek Technology Corporation (MediaTek Inc.)
7.1.10 Skyworks Solutions Inc.
7.1.11 Qorvo Inc.
8. INVESTMENT ANALYSIS
9. FUTURE OF THE MARKET
Taiwan Analog Integrated Circuits Industry Segmentation
Analog integrated circuit (IC) is a collection of interconnected parts produced on a single wafer made of semiconductor material. Unlike digital circuits, which operate with only two levels of input and output voltages, analog circuits work with a continuous range of input signals. These circuits can process, receive, and produce multiple levels of energy output during their operation. Electronic devices like oscillators, DC amplifiers, multi-vibrators, and audio amplifiers use analog circuits with balanced input and output levels. The study tracks the revenue accrued through the sale of analog integrated circuit products by various players in Taiwan. The study also tracks the key market parameters, underlying growth influencers, and major vendors operating in the industry, which supports the market estimations and growth rates over the forecast period. The study further analyses the overall impact of COVID-19 aftereffects and other macroeconomic factors on the market. The report's scope encompasses market sizing and forecasts for the various market segments.
The analog integrated circuits market in Taiwan is segmented by type (general-purpose IC (interface, power management, signal conversion, and amplifiers/comparators), application-specific IC (consumer (audio/video and digital still camera & camcorder, and other consumers), automotive (infotainment and other automotive application ICs), communication (cell phone, infrastructure, wired communication, short range, and other wireless), computer (computer system & display, computer periphery, storage, and other computers), and industrial and other analog IC types)). The market sizes and forecasts are provided in terms of value (USD) for all the above segments.
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Taiwan Analog Integrated Circuits Market Research FAQs
How big is the Taiwan Analog Integrated Circuits Market?
The Taiwan Analog Integrated Circuits Market size is expected to reach USD 4.33 billion in 2024 and grow at a CAGR of 5.80% to reach USD 5.74 billion by 2029.
What is the current Taiwan Analog Integrated Circuits Market size?
In 2024, the Taiwan Analog Integrated Circuits Market size is expected to reach USD 4.33 billion.
Who are the key players in Taiwan Analog Integrated Circuits Market?
Analog Devices Inc., Texas Instruments Inc, Infineon Technologies AG, STMicroelectronics N.V. and Renesas Electronics Corporation are the major companies operating in the Taiwan Analog Integrated Circuits Market.
What years does this Taiwan Analog Integrated Circuits Market cover, and what was the market size in 2023?
In 2023, the Taiwan Analog Integrated Circuits Market size was estimated at USD 4.08 billion. The report covers the Taiwan Analog Integrated Circuits Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Taiwan Analog Integrated Circuits Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Taiwan Analog Integrated Circuits Industry Report
Statistics for the 2024 Taiwan Analog Integrated Circuits market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Taiwan Analog Integrated Circuits analysis includes a market forecast outlook for 2024 to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
