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New Application Design Starts Will Drive 40% of Unit Volumes by 2023, says Semico Research

Many of the traditional end-use applications are experiencing slower design start growth rates due to maturing markets and high design costs. The unit volumes associated with all applications remain healthy, exhibiting an 8.5% CAGR through 2023. However, removing the unit shipments attached to the new, emerging applications drops the CAGR to only 4.3% through 2023. Looking at design starts and unit shipments for new applications such as the IoT (Internet of Things), the Industrial Internet of Things (IIoT), and Artificial Intelligence (AI), both are expected to follow a higher growth curve over the next few years. A recent Semico Research report, ASIC Design Starts 2019: New Applications and AI Become Market Drivers (SC107-19), forecasts that new applications will reach 13.5% of total starts and 40% of unit shipments over the forecast period.
"Entire new applications based on the introduction of AI functionality will have a significant impact on the market. Companies and silicon designers are still exploring which silicon architectures will be the best fit for applications that will employ this new functionality," says Rich Wawrzyniak, Senior Analyst ASIC/SoC Research. "In addition, new business models will be possible using the increased productivity and efficiency brought to business through the introduction of AI capabilities. This could have a profound impact on the types of new applications created and the silicon architectures that power them."  
Key findings include:

  • Total ASIC Worldwide Unit Shipments will increase 10.4% in 2020.
  • Basic SoC design starts are growing at the fastest rate of any of the profiled product types with a CAGR of 11.5% from 2018-2023.
  • PLD ASIC unit volumes are forecast to increase 5.6% in 2019.
  • ASIC design starts today have the highest concentration in North America. China comes in fourth place but has the second-highest CAGR, 5.2%, over the forecast period.

The report, ASIC Design Starts 2019: New Applications and AI Become Market Drivers (SC107-19), contains comprehensive data regarding the current and future ASIC design start landscape. The report is 107 pages long with 63 tables and 68 charts covering the following key metrics:

  • End market applications:

               *Industrial and Automotive

  • ASIC product types analyzed by design starts with unit shipments for:

               *Analog and Mixed Signal
               *3 SoC types
               *FPGAs and PLDs

  • Design starts for the 9 ASIC product types by

             *Process Geometry - 500nm to 3nm
             *Design complexity by application category and average gate count

  • Two years of history (2017-2018) and a 5-year forecast (2019-2023)
  • A comparison between 1st time SoC design starts and SoC derivative designs
  • Definitions for the three types of standard SoCs and for SoCs with AI functionality added
  • Comparison of maturing to emerging applications for design starts and unit shipments

For pricing and additional information, please contact:
Rick Vogelei
Business Development
Phone: 602-997-0337
About Semico
Semico is a semiconductor marketing & consulting research company located in Phoenix, Arizona.  We offer custom consulting, portfolio packages, individual market research studies and premier industry conferences.