Analog integrated circuits (ICs) consist of active circuit elements like operational amplifiers, comparators, voltage regulators for use in applications requiring continuous analog signals. Such circuits find use in a variety of electronic devices like wireless communication systems, medical imaging devices, industrial automation equipment and consumer electronics. Analog ICs help to process continuous real-world signals like temperature, pressure, sound or speed for further digital processing. They provide signal amplification, filtering, processing and conversion while maintaining signal strength and integrity. Increased adoption of automation and incorporation of advanced technologies such as AI, IoT in industrial applications have augmented demand for analog ICs globally.
The Global Analog IC Market is estimated to be valued at US$ 83.59 Bn in 2024 and is expected to exhibit a CAGR of 16% over the forecast period 2024 To 2031.
Key Takeaways
Key players operating in the Analog IC are Illumina, Inc., Thermo Fisher Scientific, Inc., Qiagen N.V., F. Hoffmann-La Roche Ltd., Foundation Medicine, Inc. (Roche), Invitae Corporation, NeoGenomics Laboratories, Inc., Myriad Genetics, Inc., Genomic Health, Inc. (Exact Sciences Corporation), Caris Life Sciences, ArcherDX, Inc. (Invitae Corporation), Guardant Health, Inc., Personal Genome Diagnostics Inc., Biocept, Inc., Tempus Labs, Inc. These key players are focused on improving their product portfolio and expanding their global footprint through mergers and acquisitions.
The growing Analog IC Market Demand for sophisticated consumer electronics with rapid advancements in nanotechnology, wireless connectivity and increasing adoption of Internet of Things is fueling the analog IC market growth. Also, increasing focus on automation across industries is propelling the need for advanced IC solutions for devices used in industrial machines and robots.
Key players are expanding their geographic footprint to tap the growing demand for analog ICs across regions especially in Asia Pacific and Middle East & Africa. Manufacturers are significantly investing in R&D to deliver optimized and customized IC solutions as per application requirement to strengthen their market position.
Market Key Trends
One of the key trends gaining traction in the analog IC market is integration of MEMS/sensors. Analog IC Market integrated with MEMS sensors like gyroscopes, accelerometers provide improved functionality in automotive, industrial and consumer devices. For example, ADCs and DACs integrated with pressure and temperature sensors are enabling next-gen medical devices. Advanced nodes below 10nm are enabling higher power efficiency & performance. Miniaturization and development of system-on-chips (SoCs) with embedded analog and digital functions is another trend allowing more compact designs.
Porter’s Analysis
Threat of new entrants: High upfront investment in manufacturing and R&D prevents new companies from entering easily.
Bargaining power of buyers: Analog IC manufacturers produce a standardized product with multiple similar alternatives available, increasing buyer power.
Bargaining power of suppliers: Specialized parts and materials with few substitutes gives suppliers greater influence over pricing and availability.
Threat of new substitutes: New process technologies pose a substitute threat but require high investment to displace entrenched analog ICs.
Competitive rivalry: Fierce competition on pricing and technological innovation.
Geographically, North America currently holds the largest share of the analog IC market, driven by the large number of embedded systems in established industrial and automotive sectors. The Asia Pacific region is poised to become the fastest growing market during the forecast period, with China expected to surpass the United States as the top consumer of analog ICs by 2026 due to expanding domestic industries and rapid urbanization. Major manufacturing hubs in South Korea and Taiwan will further stimulate regional demand.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
