Grand View Research: Everybody wants artificial eyes
The global image sensors market size is expected to reach USD 12.03 billion by 2020, growing at a CAGR of 4.6 percent from 2014 to 2020. Technology advancements such as development of Backside illumination CMOS (BSI) are anticipated to drive industry growth.
These sensing devices are designed to overcome natural light degradation and quality that occur as pixel sizes decrease. They help to provide high sensitivity for sharp, low-light pictures, and high-speed video recording, and enable to benefit from the trend of smaller and slimmer designs.
The chip is turned upside down with the light falling on the backside to reduce light loss. These result in increased light-sensitivity and reduced noise recorded on the picture. In the full visible light spectrum, their efficiency is fairly constant between 75 percent and 88 percent.
CMOS technology enables better quality pictures as compared to Charge Coupled Device (CCD) technology. The cost of manufacturing these devices is also lower than other technologies; this is expected to provide positive avenues to its volume demand.
Increasing mobile phones market, particularly smart-phones is expected to drive revenue demand over the forecast period. Developing economies such as India, China, and Latin America countries are expected to majorly contribute to image sensor industry growth.
Key technologies include Charge-Coupled Device (CCD), Contact Image Sensors (CIS), and Complementary Metal–Oxide–Semiconductor (CMOS). CCD devices are particularly used in medical and scientific applications. The segment had a revenue share of over 12 percent in 2013, and is expected to grow at a CAGR of 1.3 percent from 2014 t0 2020.
However, they are losing market to CMOS technology owing to their efficiency and application in various industries. They consume comparatively less power and are low-priced. Additionally, they allow, image stabilization, electronic pan, random pixel access, and tilt.
Technology innovations such as development of backside illumination (BSI) and 3D motion and depth sensing are expected to offer improved picture quality at lesser costs. The CIS segment was valued at USD 387.1 million in 2013, and is expected to grow at a CAGR of 4.4 percent from 2014 to 2020.
The application segment includes automobile, consumer electronics, industrial, aerospace, defense, medical, and surveillance. Consumer electronics is expected to be the key application segment, having highest penetration. The volume growth is also expected to be at a CAGR of 6.3 percent from 2014 to 2020. These devices are increasingly used in mobile phones, notebooks, webcams, and gaming consoles.
Medical applications accounted for over 10 percent of overall revenue in 2013, and are expected to grow at a CAGR of 6.0 percent from 2014 to 2020. This growth is due to demand in minimally invasive procedures such as endoscopy.
In the automotive market, Advanced Driver Assistance Systems (ADAS) is expected to be the significant driver for sensing devices demand. This system heavily depends on machine vision, to react to situations encountered during driving. Machine vision can drive automotive growth rates, and the number of cameras per vehicle could significantly grow over the forecast period.
North America image sensor market was the largest regional industry in terms of revenue and is expected to grow at a CAGR of 3.7 percent from 2014 to 2020. This growth is attributed to stringent government regulations regarding driver and vehicle security.
North America was closely followed by Asia Pacific, which accounted for over 32 percent of the revenue share in 2013. Developing economies such as India, China, and Latin America countries are expected to majorly contribute to market growth
Europe image sensor market is also has a considerable revenue share of USD 2,006.8 million in 2013 is expected to be 2,503.1 million by 2020 growing at a CAGR of 3.2 percent from 2014 to 2020.