The multimedia chipsets market has been forecast to increase at a compound annual growth rate (CAGR) of 6.9% over the next five years, rising from a valuation of $19.8 billion in 2012, to reach $27.7 billion by the end of 2017.
Silicon technology has come a long way since the first microcontrollers were introduced in 1993. Microcontrollers permitted integration of memory with processors allowing specialized embedded applications. As the technology shrank and matured, more and more peripherals were integrated into a microcontroller giving rise to a System on a Chip (SoCs).
Multimedia SoCs (also referred as multimedia chipsets) primarily deal with audio, image and video processing. These features are at the heart of a wide range of electronic devices such as TVs, DVD players, digital cameras, MP3 players, etc.
Each of these devices features one or more chipsets that processes multimedia in conjunction with a Central Processing Unit (CPU).
Market growth is driven by the insatiable appetite of consumers looking for a perfect display. Marketing and hype provided by upcoming devices such as tablets that boast near paper-quality display drive consumers to buy new multimedia devices.
Due to technology advancements, this phenomenon is repeated across the globe and is giving boost to multimedia chipsets. Consumers are willing to pay a premium for devices with enhanced displays, and this trend is evident in all of the device segments.
Asia is the largest market for multimedia chipsets, accounting for nearly $9.1 billion in 2011, followed by North America at $3.5 billion. Each of the markets is expected to continue momentum and grow at CAGRs of 7.2% and 6.3%, respectively, during the next five years.
The rapid growth in Asia is attributed to the growing purchasing power of the population and their fondness for new multimedia technologies.
For more information on the multimedia chipsets market, see the latest research: Multimedia Chipsets Market
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