The photosensitive semiconductor device market size is expected to increase by USD 4.12 bn from 2021 to 2026. The growth momentum of the market will register a CAGR of 8.86% during the forecast period.
The increasing growth of wireless computing devices along with the advent of IoT is driving the growth of the photosensitive semiconductor device market. End-users across the world are demanding high-performance devices with reliable and highly portable computing platforms. IoT enables devices to collect data using sensors and actuators from wireless computing devices and transmit the data to a centralized location on a real-time basis. This helps users to make informed decisions. Wireless computing devices require a high level of integration. Therefore, semiconductor device manufacturers are developing new designs to support multiple applications on a single platform. Moreover, the need for small-sized gadgets has raised the demand for more functionalities from a single device. Hence, an IC chip will have to house more transistors to support more functionalities. In addition, IoT requires ultra-low-power (ULP) processors. This results in the development of new packaging technologies to reduce the size of the processor chips and fit them into compact devices such as wearables. Hence, the rising demand for compact devices will drive the growth of the global photosensitive semiconductor device market.
By end-user, the market has been segmented into OSAT, IDMs, and foundries. The OSAT segment will have significant market share growth during the forecast period. The OSAT providers play a significant role in the semiconductor industry and form a bridge between semiconductors foundries and consumers. In addition, companies such as Intel, AMD, Nvidia, and so on have contracts with OSAT companies for executing semiconductor designs and assembly. For instance, Intel outsources its chip packaging to several OSAT companies for assembly and testing services before shipping the chips to consumers. Hence, the rising need for OSAT companies by major semiconductor giants is propelling the growth of this segment during the forecast period.
By geography, the market has been segmented into APAC, North America, Europe, South America, and MEA. APAC will account for 58% of the market’s growth during the forecast period. China, Taiwan, South Korea (Republic of Korea), and Japan are the key countries for the photosensitive semiconductor devices market in APAC. Market growth in this region will be faster than the growth of the market in other regions. The presence of a majority of prominent semiconductor foundries will drive the photosensitive semiconductor device market growth in APAC during the forecast period.