Smartwatch Chips Market is projected to reach over USD 3 billion by 2032 and is expected to grow at a CAGR of around 10% from 2023 to 2032. The demand for smartwatch chips is expected to grow owing to growing health awareness and the increasing demand for smartwatches. Connected watches and other activity trackers are gaining popularity among health-conscious people, patients, and athletes. These cutting-edge gadgets collect data on user movements, activities, and vital statistics such as age, weight, sex, heart rate, and sleep cycle. Various external sensors that provide additional information can be connected to users depending on the nature of their activities. This enables users to view, evaluate, and share the data of their activities. A smartwatch chip can handle critical functions for IoT-enabled & connected smartwatches.
Technological advancements and increasing R&D investments in semiconductors are offering significant growth opportunities in the smartwatch chips market. In August 2021, Samsung unveiled the Exynos W920, a smartwatch chip. It is a new processor that supports smartwatches along with other wearable devices and will be equipped in the Galaxy 4 series. The Exynos W920 is the first 5nm-based wearable device-specific chip in the world, improving the effectiveness & performance of wearable technology. Such initiatives by major players will positively influence market expansion over the forecast period.
A high level of skill and large initial investments are needed due to the precision required for development & designing. Smartwatches have complex circuit layouts owing to the integration of various devices, such as screens, sensors, and other components, into a small compact device. The device is composed of numerous extremely small semiconductor parts comprising a core diameter of 10 micrometers. As control ICs are only approximately hundred nanometers in size, design professionals have difficulties in connecting multiple components into a single device. These factors are expected to restrain market growth of smartwatches over the forecast timeframe.
The rising demand among youth and children is further going to create market opportunities for smartwatch chips during the forecast period. Growing concerns among parents for the security & welfare of their young children have prompted them to take precautions for their protection, particularly when they are not present. Specific smartwatches designed solely for children are being developed.
Based on applications, the market is segmented into iOS system smartwatches, Android system smartwatches, and Windows system smartwatches. The Android segment growth can be credited to the accessibility of Android system smartwatches at an affordable price range and their efficient battery life. In July 2022, Qualcomm unveiled Snapdragon Wear 5 plus. It includes a processor for interactive operations and an always-on coprocessor that conserves battery life. Qualcomm is minimizing the primary chip size of the W5 Plus from 12nm to 4nm along with reducing the coprocessor size from 28nm to 22nm. Furthermore, a significant number of Android-based smartphones and other mobile devices, which employ smartwatches as an extension of these phones also contribute to segment expansion.
Based on type, the market is further segmented into 32-bit and 64-bit. The 64-bit segment is expected to grow significantly owing to device features such as enhanced processing power and larger memory capacity. A 64-bit computer architecture provides the processor with access to more memory & storage space. It also makes data processing easier & faster. As compared to the 32-bit technology, the 64-bit technology has the considerable benefit of accessing more memory at once, which results in reduced delays when executing an operation.
The Asia Pacific region is expected to register the fastest expansion rate during the forecast period. The market growth across the region can be attributed to various factors such as the rapidly growing consumer electronics industry and a rising tech-savvy population. With the growing popularity of fitness tracking apps, the sale of smartwatches with built-in sensors & processors has increased. Moreover, the rising penetration rate of smartphones along with high internet usage rates is expected to escalate the demand for the System-On-Chip (SOC) solutions made specifically for wearables. The rapid adoption & popularity of advanced gadgets as well as the increase in consumer disposable income levels are other factors driving market growth in Asia Pacific.
Some of the prominent players in the smartwatch chips market are Analog Devices, Inc., Arm Limited, Inc., Broadcom, Inc., Ltd., Ingenic Semiconductor Co., Ltd., Intel Corporation, Silicon Laboratories, Inc., Microchip Technology, Qualcomm Incorporated, Huawei Technologies Co., and Nordic Semiconductor. Industry players are investing in R&D to develop advanced solutions and gain a competitive edge in the industry, further boosting market expansion of smartwatch chips.
The smartwatch chips market research report includes in-depth coverage of the industry with estimates & forecasts in terms of revenue in USD from 2018 to 2032 for the following segments:
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