Global Application Specific Communications Analog IC Market Size

Application Specific Communications Analog IC Market Analysis

The Global Application Specific Communications Analog IC Market is expected to grow by registering a CAGR of about 6% during the forecast period. The growing adoption of advanced technologies such as AI, IoT, and other wireless communication technologies, along with increasing investment in developing new-generation communication solutions, is among the significant factors driving the growth of the analog communication ASICs market.

• Analog communication ASICs are primarily used in telecommunication modules to detect, interpret, and transmit data signals. These ICs support multiple technologies and are designed to reduce the complexity of the electronic communication equipment used for various end-user applications. Furthermore, analog communication ASICs play an essential role in developing portable electronic devices such as mobile phones or navigation systems.
• The Analog ASICs are integral to various communication chips, including cellular modem chips, chip antennas, error correction chips, GPS and GPRS chips, Bluetooth chips, RF transmitters & transceivers, and other network and communication chips.
• With the demand for related products increasing, the communication industry is focusing on developing new connectivity technologies and chips that can facilitate the future requirements of the industry. Furthermore, the development of new-generation telecommunication technologies, such as 5G, is also creating a good market scenario for the growth of the studied market.
• For instance, in December 2021, Ensilica, a U.K.-based custom design house, announced that it is developing the cellular ASIC to support AST SpaceMobile's planned space-based cellular broadband network. AST SpaceMobile is working on a project to build what it claims to be the first global cellular broadband network in space to operate directly with standard, unmodified mobile devices.
• However, with miniaturization being one of the highly prioritized trends in the semiconductor industry, the growing demand for more minor-size chips is expected to challenge the growth of the studied market as scaling down the chip size significantly enhances the designing and production complexity.
• The COVID-19 pandemic significantly impacted the market's growth, as supply chain disruptions, especially during the initial phase of the pandemic, impacted the production capabilities of chip manufacturers. However, on a positive note, the increasing penetration of digital technologies, considerably since the outbreak of the pandemic, has increased the demand for high-band connectivity services across the globe, which is expected to have a long-term positive impact on the studied market.