Press release
Power over Ethernet (PoE) Chipset Market Expected to Hit USD 1,225.1 Million by 2031
Power over Ethernet (PoE) Chipset Market
The global Power over Ethernet (PoE) chipset market is experiencing rapid growth, supported by the increasing adoption of connected technologies and network-driven infrastructures. Valued at US$659.1 million in 2024, the market is projected to reach US$1,225.1 million by 2031, registering a steady CAGR of 9.6% during 2024-2031.
Key growth is fueled by the rise of smart buildings, the adoption of industrial automation, and the proliferation of Internet of Things (IoT) devices. Among market segments, PoE-powered devices hold the largest share due to their scalability and ability to support multiple applications without additional cabling. Regionally, Asia Pacific leads growth momentum, driven by expanding digital infrastructure, 5G deployment, and increasing investments in smart city initiatives.
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Key Highlights from the Report
The market is projected to grow from US$659.1 million in 2024 to US$1,225.1 million by 2031.
PoE-powered devices remain the dominant market segment, accounting for the largest share.
Rising adoption of smart buildings, IoT, and industrial automation drives demand for PoE chipsets.
Chip manufacturers focus on energy-efficient solutions to reduce power loss and integrate renewables.
Asia Pacific emerges as the fastest-growing region, led by large-scale digital and smart city projects.
The market has maintained a healthy historical CAGR of 9.1% (2018-2023), signaling sustainable growth.
Market Segmentation
The PoE chipset market is segmented primarily based on product type and end-user applications. On the product side, it includes PoE power sourcing equipment (PSE) and PoE-powered devices (PDs). While PSEs provide the required electricity over Ethernet cables, PDs dominate the market due to their wide use in IP cameras, wireless access points, and smart sensors.
By end-user, the market spans commercial buildings, industrial automation, IT & telecom, healthcare, and residential applications. Commercial buildings hold the leading share, driven by demand for efficient lighting, surveillance, and connected workplace technologies. The healthcare sector is also gaining traction as PoE-enabled devices enhance telemedicine and hospital automation.
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Regional Insights
North America remains a major contributor to the global PoE chipset market, driven by mature IT infrastructure, early adoption of IoT, and significant investments in automation and surveillance systems. The U.S. particularly drives revenue through strong demand in data centers and enterprise environments.
Asia Pacific, however, is expected to post the highest CAGR during the forecast period. Countries like China, India, and Japan are heavily investing in 5G, smart cities, and digitalization projects, which significantly boost demand for PoE solutions. The region's focus on cost-effective, scalable networking infrastructure strengthens its leadership in growth.
Market Drivers
The key driver of the PoE chipset market is the increasing adoption of IoT and smart devices across commercial and industrial sectors. PoE technology enables seamless power and data transmission over a single Ethernet cable, reducing costs and simplifying installation. Additionally, the growing need for network security, smart lighting, and energy-efficient solutions is fueling chipset demand.
Market Restraints
Despite growth prospects, challenges such as power limitations of PoE standards and the high initial cost of advanced PoE-enabled infrastructure pose restraints. Integrating PoE in large-scale networks often requires additional investments in switches and routers, which can hinder adoption among smaller enterprises.
Market Opportunities
Opportunities lie in the integration of renewable energy sources with PoE chipsets and the adoption of higher-wattage PoE standards that support power-hungry devices. Expanding use in healthcare, hospitality, and retail sectors creates new revenue streams, while advancements in 5G and edge computing will further accelerate market penetration.
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Reasons to Buy the Report
✔ Comprehensive analysis of global PoE chipset market size, share, and growth outlook.
✔ Insights into leading segments and fastest-growing applications.
✔ Regional breakdown highlighting opportunities in Asia Pacific, North America, and Europe.
✔ Coverage of key drivers, restraints, and opportunities shaping market trends.
✔ Company insights and recent developments for competitive benchmarking.
Frequently Asked Questions (FAQs)
How Big is the Power over Ethernet (PoE) Chipset Market in 2024?
Who are the Key Players in the Global Market for PoE Chipsets?
What is the Projected Growth Rate of the PoE Chipset Market from 2024 to 2031?
What is the Market Forecast for PoE Chipsets through 2032?
Which Region is Estimated to Dominate the PoE Chipset Industry during the Forecast Period?
Company Insights
Key players operating in the global PoE chipset market include:
Broadcom Inc.
Texas Instruments Incorporated
Microchip Technology Inc.
Analog Devices, Inc.
Silicon Laboratories Inc.
Realtek Semiconductor Corp.
Maxim Integrated Products, Inc.
STMicroelectronics N.V.
ON Semiconductor Corporation
NXP Semiconductors N.V.
Recent Developments:
In 2023, Texas Instruments launched a new line of PoE controllers with enhanced efficiency for high-wattage applications.
In 2024, Broadcom announced strategic partnerships to expand PoE solutions for data centers and enterprise networks.
Conclusion
The Power over Ethernet (PoE) chipset market is at the forefront of enabling next-generation connected infrastructure. With robust growth expected from US$659.1 million in 2024 to US$1,225.1 million in 2031, the market is positioned to benefit from rising IoT adoption, smart city initiatives, and digital transformation across industries.
Asia Pacific's rapid infrastructure expansion, coupled with innovation in energy-efficient chipsets, ensures the technology's role as a backbone of scalable and sustainable networking solutions. As businesses increasingly prioritize cost-effectiveness and energy efficiency, the PoE chipset market is set to thrive as a key enabler of connected ecosystems worldwide.
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