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Aerospace Semiconductor Market Trends

Report ID: GMI7598
Published Date: Dec 2023
Report Format: PDF

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Aerospace Semiconductor Market Trends

Growing demand for advanced avionics propels the aerospace industry to seek high-performance semiconductors, crucial for automation, communication & navigation. Simultaneously, the integration of IoT in aerospace drives semiconductor demand for real-time data processing. The industry's focus on lightweight, fuel-efficient designs spurs semiconductor manufacturers to create smaller, lighter & more power-efficient chips to meet stringent aerospace requirements.

The need for high-performance semiconductors capable of handling complicated computations is being driven by the application of machine learning in autonomous decision-making and predictive maintenance. Concerns about supply chain resilience in the aerospace semiconductor industry led to an emphasis on creating strong supply chains and looking into alternate sources to reduce risks. Sustainability is emphasized by green aviation programs, which spurs the development of energy-efficient chips for environmentally friendly aviation systems. The demand for semiconductors that provide enhanced computation & visualization capabilities in digital twins, virtual reality, and augmented reality applications is fueled by the growing digital transformation of the aerospace sector.

Authors: Suraj Gujar, Deeksha Vishwakarma

Frequently Asked Questions (FAQ) :

Market size for aerospace semiconductor surpassed USD 35 billion in revenue in 2023 and is projected to expand at over 8% CAGR from 2024-2032 owing to the rising demand for space exploration and satellite technology.

Aerospace semiconductor industry from the communication and connectivity solutions application segment accounted for more than 25% revenue share in 2023 and is anticipated to record considerable growth through 2032 owing to the growing demand for advanced avionics and connectivity features.

North America industry for aerospace semiconductor held more than 35% revenue share in 2023 and is estimated to record robust growth through 2032 fueled by the strong presence of leading defense contractors and aerospace manufacturers in the region.

Some of the top aerospace semiconductor business players are Analog Devices, Inc., Infineon Technologies AG, Microchip Technology Inc., NXP Semiconductors NV, ON Semiconductor Corporation, Raytheon Technologies Corporation, and Texas Instruments Incorporated.