Communication Logic Integrated Circuits Market Size
| Study Period | 2019 - 2030 |
| Base Year For Estimation | 2024 |
| Forecast Data Period | 2025 - 2030 |
| Market Size (2025) | USD 64.87 Billion |
| Market Size (2030) | USD 93.82 Billion |
| CAGR (2025 - 2030) | 7.66% |
| Market Concentration | Low |
Major Players*Disclaimer: Major Players sorted in no particular order |
Communication Logic Integrated Circuits Market Analysis
The Communication Logic Integrated Circuits Market size is estimated at USD 64.87 billion in 2025, and is expected to reach USD 93.82 billion by 2030, at a CAGR of 7.66% during the forecast period (2025-2030).
- Logic integrated circuits (ICs) are specialized semiconductor devices that perform logical operations on digital signals. These operations include fundamental functions such as AND, OR, and NOT, which are the building blocks of digital circuits.
- Logic ICs allow for the integration of many logic gates and functions within a single chip. This miniaturization leads to compact designs that save space in various applications, from consumer electronics to industrial machinery. Smaller devices can be produced with enhanced functionality, which is essential in the era of portable and wearable technology.
- The design of logic ICs enables faster processing speeds and improved performance compared to discrete components. As technology advances, the speed and efficiency of these circuits continue to improve, allowing for high-speed computing and real-time processing in applications such as telecommunications and data centers.
- Technological advances have led to the development of low-power logic ICs that consume less energy, which is crucial in battery-operated devices and sustainable technology initiatives. This focus on power efficiency aligns with global efforts to decrease energy consumption and carbon footprints. Such advantages offered by logic ICs are anticipated to drive the growth of the studied market.
- With the proliferation of IoT devices, mobile applications, and cloud services, data traffic is escalating at an unprecedented rate. Logic ICs are essential for managing and processing this data efficiently. Telecommunications companies and data centers require high-performance logic ICs that can provide the necessary processing power to support increased data flows, ensuring that networks remain robust and responsive under heavy loads.
- As businesses increasingly migrate to cloud-based solutions, the demand for data centers is rising. Logic ICs are integral to the architecture of data centers, facilitating the functionality of servers, storage systems, and networking equipment. The shift toward virtualization and the need for scalable solutions amplify the demand for advanced logic ICs that can optimize performance and energy efficiency in data center operations.
- On the other hand, the rapid pace of technological advancements, leading to frequent obsolescence and requiring continuous investment in R&D, is likely to significantly restrain the studied market's growth. In addition, stringent regulations and compliance standards can increase operational costs and complicate product development.
- The increased inflation and interest rates reduced consumer spending, hampered the semiconductor and electronics demand, and led to slow growth in the studied market. The United States and China trade war disturbed the global semiconductor supply chain. In addition, owing to strict export and import controls on semiconductor manufacturing equipment in China by the United States, the production of the consumer electronics sector is compromised, thereby affecting the telecommunications and data center industries.
- The Russia-Ukraine war has negatively impacted the supply of specific raw materials used in semiconductor manufacturing, such as neon and palladium. These materials are critical inputs for certain stages of the manufacturing process, thereby restraining the growth of the studied market.
Communication Logic Integrated Circuits Market Trends
The MOS Logic Segment is Anticipated to Hold a Major Market Share
- MOS logic ICs serve various roles in telecommunications, including signal processing, data routing, and modulation. These ICs enable high-speed data transmission and provide the processing power necessary for complex algorithms used in encoding and decoding data.
- MOS logic ICs are integral in developing optical communication systems, where they facilitate the conversion of electrical signals to optical signals and vice versa. This conversion is crucial for enhancing bandwidth capabilities, enabling faster data transfer rates essential for today's communication demands.
- The advent of 5G technology has significantly amplified the demand for MOS logic ICs. These circuits are crucial for implementing Massive MIMO (Multiple Input Multiple Output) systems, which require sophisticated signal processing capabilities to handle multiple data streams simultaneously. MOS logic ICs enable the rapid processing of signals and data, ensuring reliable and efficient communication in densely populated urban areas and enhancing network coverage.
- In addition, MOS logic ICs are pivotal in developing edge computing solutions within the 5G framework. By processing data closer to the source, these ICs reduce latency and improve response times, which is critical for applications requiring real-time data processing.
- According to Ericsson, there were an estimated 2.17 billion 5G mobile subscriptions worldwide in 2024, up from just 1.58 billion the previous year. This figure is expected to exceed 5.56 billion by the end of the decade, with 5G set to surpass 4G as the world's leading mobile network technology. The increasing penetration of 5G is likely to drive the growth of the studied market.
- According to 5G Americas, in the first quarter of 2024, the global adoption of 5G connections continued its steady climb, reaching approximately two billion with an addition of 185 million new connections. North America spearheads the global 5G adoption wave, accounting for 32% of all wireless cellular connections in the region. In a robust first-quarter performance, North America bolstered its 5G landscape by adding 22 million new connections. As of Q1 2024, the tally of 5G connections in North America reached an impressive 220 million.
- In data centers, MOS logic ICs are essential for managing high-performance computing tasks and supporting cloud services. They are employed in servers to optimize data routing and processing, ensuring efficient operation in environments that demand high energy efficiency and performance. The increasing reliance on cloud-based services has further intensified the demand for robust MOS logic ICs that can handle extensive data workloads without compromising performance.
- MOS logic ICs play a significant role in data center networking equipment, including switches and routers. These circuits help manage and direct data traffic efficiently, which is vital as data centers serve as the backbone of the Internet and cloud computing.
China is Expected to Witness Robust Market Growth Rate
- China stands at the forefront of the global telecommunications revolution, particularly with the advent of 5G technology. The nation's aggressive rollout of 5G networks, vast telecommunications infrastructure, and rapidly expanding data center capabilities reflect its strategic vision for digital dominance.
- The three major telecom operators, China Unicom, China Mobile, and China Telecom, dominate the landscape, providing a range of services from basic voice to advanced data services. The liberalization of the telecom sector has spurred innovation, investment, and competition, positioning China as one of the largest telecommunications markets globally.
- The Chinese government has prioritized deploying 5G infrastructure, with a robust plan to install millions of 5G base stations across urban and rural areas. Initiatives, such as the "13th Five-Year Plan for Economic and Social Development," emphasize technological advancement and the integration of 5G into various sectors, including healthcare, education, and transportation.
- According to the Ministry of Industry and Information Technology (MIIT), by the end of 2023, the number of 5G base stations in China amounted to approximately 3.38 million. With extensive infrastructure investments and ambitious rollout plans, China has achieved significant 5G coverage. According to forecasts, the number of base stations was projected to reach approximately 6 million by 2024.
- Significant investments have been made by both the government and private enterprises in developing 5G technologies. Telecommunications giants like Huawei and ZTE have emerged as prominent global players in 5G technology, contributing to the design and manufacturing of essential equipment.
- Environmental sustainability is becoming increasingly important. The Chinese government has emphasized the need for energy-efficient data centers. Many operators are investing in renewable energy sources, innovative cooling technologies, and energy-efficient designs to minimize their carbon footprint.
Communication Logic Integrated Circuits Industry Overview
The communication logic integrated circuits market is fragmented, with the presence of several major players, such as Analog Devices Inc., Texas Instruments Inc., Intel Corporation, STMicroelectronics NV, and Broadcom Inc. These market players are striving to innovate new products through extensive investments in R&D, collaborations, and mergers to cater to consumers' evolving demands.
• June 2024 - STMicroelectronics unveiled its plans to construct an advanced manufacturing facility in Catania, Italy, dedicated to producing power devices and modules using 200 mm silicon carbide (SiC) technology. The facility is also claimed to include testing and packaging facilities. According to the company, the establishment is a significant achievement aimed at assisting customers in utilizing SiC devices in many sectors, such as communications, consumer, automotive, industrial, and cloud infrastructure.
• October 2023 - Samsung Electronics Co. Ltd, a prominent advanced semiconductor technology company, unveiled its latest analog and logic semiconductor technologies innovations and outlined its blueprint for technological advancements at the Samsung System LSI Tech Day event. Samsung emphasized its vision to lead hyper-connected, hyper-intelligent, and hyper-data technologies in the Fourth Industrial Revolution era with its exhaustive logic solutions tailored for various industries, including the communications industry.
Communication Logic Integrated Circuits Market Leaders
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STMicroelectronics N.V.
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Analog Devices Inc.
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Broadcom Inc.
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Intel Corporation
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NXP Semiconductors N.V.
- *Disclaimer: Major Players sorted in no particular order
Communication Logic Integrated Circuits Market News
- December 2023: Toshiba Corporation announced the expansion of its new product lineup in CMOS Logic ICs. It has extended the CMOS Logic and One-gate Logic lineup with an extended operating temperature range up to Ta = 125°C. In addition, Toshiba plans to increase general-purpose CMOS logic products and high-temperature guaranteed One-gate Logic(L-MOS), bus switch, and Level shifter products.
- December 2023: Siemens AG, a prominent technology firm, and Intel Corporation, a global giant in the semiconductor industry, inked a Memorandum of Understanding. This collaboration aims to propel the digitalization and sustainability of microelectronics manufacturing. The partnership is expected to prioritize enhancing future manufacturing initiatives, refining factory operations and cybersecurity measures, and bolstering a resilient global industry ecosystem.
Communication Logic Integrated Circuits Industry Segmentation
Logic integrated circuits (ICs) are specialized semiconductor devices that perform logical operations on digital signals. These operations include fundamental functions such as AND, OR, and NOT, which are the building blocks of digital circuits.
For market estimation, the revenue generated from sales of various types of communication logic integrated circuits, such as digital bipolar and MOS logic, across a diverse range of geographic regions worldwide is tracked. Market trends are evaluated by analyzing product innovation, diversification, and expansion investments. Enhancements in energy efficiency, artificial intelligence, miniaturization, machine learning, 5G, data centers, etc., are also crucial in determining the growth of the studied market.
The communication logic integrated circuits market is segmented by IC type (digital bipolar and MOS logic [MOS general purpose, MOS gate arrays, MOS drivers/controllers, MOS standard cells, and MOS special purpose]) and geography (the United States, Europe, Japan, China, Korea, Taiwan, and Rest of the World). The market sizes and forecasts are provided in terms of value (USD) for all the above segments.
| By IC Type | Digital Bipolar | ||
| MOS Logic | MOS General Purpose | ||
| MOS Gate Arrays | |||
| MOS Drivers/Controllers | |||
| MOS Standard Cells | |||
| MOS Special Purpose | |||
| By Geography*** | United States | ||
| Europe | |||
| Japan | |||
| China | |||
| South Korea | |||
| Taiwan | |||
| Latin America | |||
| Middle East and Africa | |||
Communication Logic Integrated Circuits Market Research FAQs
How big is the Communication Logic Integrated Circuits Market?
The Communication Logic Integrated Circuits Market size is expected to reach USD 64.87 billion in 2025 and grow at a CAGR of 7.66% to reach USD 93.82 billion by 2030.
What is the current Communication Logic Integrated Circuits Market size?
In 2025, the Communication Logic Integrated Circuits Market size is expected to reach USD 64.87 billion.
Who are the key players in Communication Logic Integrated Circuits Market?
STMicroelectronics N.V., Analog Devices Inc., Broadcom Inc., Intel Corporation and NXP Semiconductors N.V. are the major companies operating in the Communication Logic Integrated Circuits Market.
What years does this Communication Logic Integrated Circuits Market cover, and what was the market size in 2024?
In 2024, the Communication Logic Integrated Circuits Market size was estimated at USD 59.90 billion. The report covers the Communication Logic Integrated Circuits Market historical market size for years: 2019, 2020, 2021, 2022, 2023 and 2024. The report also forecasts the Communication Logic Integrated Circuits Market size for years: 2025, 2026, 2027, 2028, 2029 and 2030.
Communication Logic Integrated Circuits Industry Report
Statistics for the 2025 Communication Logic Integrated Circuits market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Communication Logic Integrated Circuits analysis includes a market forecast outlook for 2025 to 2030 and historical overview. Get a sample of this industry analysis as a free report PDF download.
