Press release
FPGA Market Projections 2026 by Top Players Achronix Semiconductor, Cobham, Efinix, Intel Corporation, Lattice Semiconductor, Microsemi, QuickLogic, Xilinx, ByteSnap Design, EnSilica
The FPGA architecture enables highspeed data processing and ultralow latency in network connections, which are key requirements for datacentric systems. Small, medium, and large enterprises embracing the technology and implementing FPGA chipsets to achieve a better economy of scale and greater cost benefits. The architecture offers numerous benefits in IoT applications including the flexibility to customize both hardware and software, optimized time to market, and robust security.
Highlighted below are some of the major upcoming trends shaping the future of the FPGA market.
Emergence of North America as a prominent consumer electronics hub
In North America, the adoption of FPGA technology across consumer electronics applications is slated to increase at a robust 8% CAGR through 2026. The region, especially the U.S., has witnessed a notable uptick in the adoption of smartphones and portable electronics.
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In 2019, the country registered over USD 280 billion in smartphone sales, which is nearly 50% greater than China, according to the GSM Association. In future, access to highspeed internet connectivity will certainly lead to the widespread adoption of smart home appliances and connected devices.
Widespread adoption of electric and battery electric vehicles in Europe
The demand for FPGA chipsets across automotive applications is likely to grow at a healthy 12% CAGR in the forthcoming years. The concept of electric mobility and adoption of electric cars has gained considerable momentum in European countries.
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The International Energy Agency (IEA) reports that electric vehicle sales increased by over 50% during 2019. FPGA chipsets for a critical component of electric and battery electric vehicles which are integrated into power control units, electronic control units, and battery management systems for improved performance and functional safety.
Increasing investments in FPGA powered AI technologies in China
China is expected to be a lucrative revenue ground for the FPGA market in the future. Backed by robust investments by the government and local technology companies, the country is among the leading developers of AI technology today. Horizon Robotics, Cambricon, and Bitmain are among the leading AI chip developers in China at present who are focusing on development of FPGA based AI chipsets and accelerators.
The State Council of China has put the New Generation Artificial Intelligence Development Plan in action to further boost advances in the domestic AI industry by the year 2030.
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Growing penetration of AI in electronics new applications in the U.K.
The presence of numerus esteemed automakers and the emergence of new AI startups are indicating positive signs for the U.K. FPGA market. The country is witnessing constant developments in AI and IoT as electronics companies look to leverage the power of these technologies.
Consumer electronics giants such as Samsung Corporation, NVIDIA Corporation, BenevolentAI, and Graphcore are actively investing in AI technology to lead innovation in the space. Last year in July, Graphcore had unveiled a new AI chip processor featuring a 7 nm process technology integrated with 59.6 billion transistors.
Proliferation of smart factories and industrial automation worldwide
Ongoing developments in the smart factory and industrial automation space are expected to play a key role in driving future trends in the FPGA industry. Leading players in the market are looking to capitalize on these trends by developing novel FPGA powered solutions to support industrial automation operations.
In June 2019, Schneider Electric had set up its first smart factory in the U.S. with FPGA powered industrial robots, industrial communication devices, industrial control systems, human machine interface (HMI), and a related suite of offerings.
The advent of 5G, ongoing developments in the technology, and its widespread deployment over the next few years are likely to be important factors transforming the FPGA market outlook. 5G technology would require specific components and equipment for its deployment. This in turn is anticipated to create a significant demand for FPGA powered devices such as advanced antenna systems, telecom servers, and modulators, among other base station equipment.
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