The global microprocessor market size is projected to reach $196,5-billion by 2030, growing at a CAGR of 8,2% from 2024 to 2030, according to a new report by Grand View Research.
Moreover, the global microprocessor market volume is projected to reach 3,9-billion units in 2030.
In recent years, growing IT industries and increasing data centers have been observed continuously demanding cloud and web-based services. The shifting inclination towards cloud data storage is expected to result in growing demand for servers, further boosting the demand for microprocessors over the forecast years.
At the same time, there is a surging need to minimize the size of microprocessors due to the compact size of devices that enable improved processing, speed, and portability, resulting in the growth of the market across the globe.
Escalating demand for microprocessors in various applications such as 5G technology, smart cards, artificial intelligence (AI), and machine learning techniques is expected to be one of the key factors boosting the market growth. The aforementioned applications enable speedier transit of organizational data across the IT network and thus find extensive usage in public clouds, data center facilities, and connected devices.
Most organisations are, therefore, incorporating ICs to support the functioning of advanced technologies in devices, resulting in lower operational costs.
Embedded devices application is driven by extensive usage of microprocessors. Based on the type of application, embedded microprocessors can use 8-, 16-, 32-, and 64-bit processors. High-end processors find use in communications infrastructure equipment such as soft switches and firewalls, whereas usage of low-end processors lies in consumer electronics and industrial applications.
Furthermore, economic betterment in Asia Pacific and consequent growth in market penetration of consumer electronics remain key contributors to regional as well as global growth.
Companies manufacturing microprocessors are investing in Research and Development (R&D) to provide new products to their customers.
Highlights from the microprocessor market report include:
* Based on architecture, the ARM MPU segment is expected to register the fastest CAGR from 2024 to 2030. The segment’s growth is attributed to the versatility and energy efficiency of ARM-based processors, which serve a wide range of applications.
* Based on application, the personal computers segment dominated the market in 2023. It is driven by the rising use of advanced microprocessor chips and key players like Advanced Micro Devices. introducing new products such as the Ryzen 8000G Series to enhance performance and energy efficiency.
* In 2023, Asia Pacific led the microprocessor market, driven by an improving technological infrastructure in the region. Moreover, high electronics manufacturing activity in the region drives the demand for microprocessors.
* In July 2023, Microchip Technology Incorporated opened its new R&D center in Hyderabad, India, enhancing its presence in India alongside existing centers in Bangalore and Chennai.