Wi-Fi Semiconductor Chipset Market

Wi-Fi Semiconductor Chipset Market Overview

The global Wi-Fi semiconductor chipset market is expected to reach US$ 20.1 Billion in 2022. It is projected to surpass US$ 26.3 Billion and exhibit growth at a CAGR of 5.2% from 2022 to 2032. The increasing penetration of the internet and the rising number of public Wi-Fi hotspots across the globe are likely to fuel the demand for Wi-Fi semiconductor chipset in the near future.

A Wi-Fi semiconductor chipset is an integral component within internal hardware that is specially designed to enable the device to efficiently communicate with another wireless technology-enabled device. It is often found in a wide range of wireless devices, such as laptops, personal computers, and smartphones.

The rising inclusion of these chipsets in home and industrial automation applications is another major factor that is anticipated to bode well for the market. The increasing demand for relatively low cost chipset configuration, especially 1X1 configuration owing to its usage in generic modems and tablets is likely to drive the Wi-Fi semiconductor chipset market share throughout the forthcoming years.

Besides, the high demand for wireless connectivity from both the private and public sectors is expected to compel manufacturers in focusing on making internet connectivity speedy and more accessible even in remote parts of the world. Governments of various countries are set to invest huge sums in the development of public Wi-Fi with the rising number of smart cities.

Wi-Fi semiconductor chipsets have proved to be beneficial for educational facilities as these help in providing free connections to those who otherwise cannot afford internet at home. Users can gain access to public services and professional educational databases through these connections.

Which are Some Prominent Drivers Spearheading Wi-Fi Semiconductor Chipset Market Growth?

The surging adoption of various wireless connectivity technologies, especially in the automotive sector is expected to propel the sales of Wi-Fi semiconductor chipsets in the upcoming years. The industry is persistently utilizing these chipsets in automotive lighting instrument clusters and audio systems.

The ability of these chipsets to deliver fast target wakeup time, enhanced security, high-speed data transmission, and smart interface handling is also anticipated to drive their demand in the automotive sector. Many chip manufacturers are projected to focus more on the rapid development of strategic collaborations and partnerships to provide automobile companies with application-specific chipsets.

The increasing usage of IEEE 802.11ax (Wi-Fi 6 & Wi-Fi 6E) standard backed by its several advantages, such as improved power efficiency, better data rates, and high capacity is likely to accelerate the market. These benefits are set to encourage consumer electronics OEMs to include chipsets in wearable devices, tablets, and smartphones.

What are the Challenges Faced by the Wi-Fi Semiconductor Chipset Industry?

The rising number of cyber and security threats is a vital factor that may hamper the Wi-Fi semiconductor chipset market share in the evaluation period. The perpetual threat of security risks and data breaches still exist even though the market is currently making sustainable progress.

Advanced hacking systems present in the cyber network are capable of lowering the reliability of internet connectivity. The cases of hacking and data leaks are expected to be more prevalent in future even with the deployment of security measures, such as WPA and WEP.

The shipment of tablets and PCs, on the other hand, is anticipated to decline in the forecast period owing to the falling prices of smartphones and the enhanced performance of phablets, which may obstruct the growth in this market.

Why is Asia Pacific Emerging as an Opportunistic Wi-Fi Semiconductor Chipset Market?

The presence of a large number of renowned manufacturers, such as Samsung Electronics Co. Ltd., ZTE Corporation, and Huawei Technologies Co. Ltd. in South Korea and China is expected to spur the demand for Wi-Fi semiconductor chipsets in Asia Pacific. The low-cost manufacturing of these chipsets and the huge pool of consumer electronics manufacturers in China are also projected to contribute to the regional growth.

Government bodies of various developing economies in this region are investing in the upgradation of frequency bands for supporting next generation Wi-Fi. They are partnering up with educational institutions to conduct exhaustive data-intensive research, which is likely to augur well for the market.

Nikhil Kaitwade

Principal Consultant

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How is North America Contributing to Growth of the Wi-Fi Semiconductor Chipset Market?

The surging adoption of smartphones in the U.S. and Canada is expected to drive the North America Wi-Fi semiconductor chipset market share in the assessment period. This growth is attributable to the affordable price and increasing advancements in the field of smartphones.

The demand for wireless technology in smartphones is growing at a rapid pace in North America and the usage of chipsets in these phones provide high-speed Wi-Fi or 2G/3G connectivity.

The sales of tablets are also increasing backed by the ongoing expansion of the digital market in the U.S. These are expected to be used more in the country, as compared to laptops. The incorporation of innovative Wi-Fi chipsets in tablets stoked by the high demand from the IT sector is set to push the market.

Market Competition

Some of the key players operating in the global Wi-Fi semiconductor chipset market are Qualcomm Technologies, Inc., Broadcom Inc., MediaTek Inc., Intel Corporation, Texas Instruments Incorporated., Hewlett Packard Enterprise Co., STMicroelectronics N.V., Samsung Electronics Co., Ltd., NXP Semiconductors N.V., On Semiconductor Co., Inc., Skyworks Solutions, Inc., Cisco Systems Inc., Simcom Wireless Solutions Limited, Peraso Technologies, Inc., Cypress Semiconductor Corporation, Dell Technologies, CommScope Holding Co., Quectel, Extreme Networks, and ASUS.

Leading players are focusing on upgrading organizations’ data transfer and bandwidth rate over wireless communication with the ongoing development in the field of IoT technology. Meanwhile, some of the other prominent companies are engaging in acquisitions and new product developments to cater to the increasing consumer demand globally by expanding their existing product portfolios.

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Scope of Report

Key Segments Profiled in the Wi-Fi Semiconductor Chipset Industry Survey

MIMO Configuration:

• SU-MIMO
• MU-MIMO

Band:

• Single & dual band
• Tri band

IEEE Standard:

• 802.11be (Wi-Fi 7)
• 802.11ax (Wi-Fi 6 and 6E)
• 802.11 ac (Wi-Fi 5)
• 802.11ad
• 802.11b/g/n

Vertical:

• Consumer Electronics
• Enterprise
• Industrial
• Retail
• BFSI
• Healthcare
• Automotive
• Others (Government & Public Sector)

End Use:

• Consumer Devices
• Cameras
• Gaming Devices
• AR/VR Devices
• Mobile Robots
• Drones
• Networking Devices
• mPOS
• In-vehicle Infotainment
• Others

Region:

• North America
• Latin America
• Western Europe
• Eastern Europe
• APEJ
• Japan
• Middle East and Africa