OFweek electronic engineering network ten years ago, semiconductor industry growth is the main driving force of mobile phone as the representative of the intelligent terminal, with the intelligent mobile phone growth slowed to single digits, the semiconductor industry driven effect weakened. We believe that the main drivers of the global semiconductor industry in the coming years will come from the innovation of smart phones, as well as the rapid growth of the automotive and IOT market, which will continue to be stronger and more influential.

 

　　Communications and computers remain the main market, and long-term power comes from cars and things

 

　　Semiconductor products are widely used downstream, the main market in smart terminals, computers, consumer electronics, industry, automobiles, military, medical and other fields. According to the prediction of IC Insights, in 2016 the global IC product sales of approximately $291 billion 300 million, the downstream market is broadly divided into communications (including mobile phone), computer, consumer electronics, automotive, medical, industrial / government / military and other fields, the main market is communication and computer field, the two accounted for 74%. Followed by the consumer electronics, automotive and industrial sectors.

 

　　In the past 10 years, the popularity of smart terminals is the most important driving force for the growth of integrated circuit industry scale, with the slowdown in smart phones, the driving effect of weakening. Looking to the future, we believe that the Internet of things, smart cars, industrial applications will become the main driving force for the development of integrated circuit industry. IC Insights research shows that mobile phones and personal computers are the two largest markets for IC products, with market sizes of $74 billion 200 million and $54 billion 600 million in 2016, accounting for 25.5% and 18.7% respectively. It is estimated that in 2015-2020 years, the composite growth rate of mobile phone and personal computer CAGR is about 5% and 2% respectively. From the perspective of growth rate, the next few years, the fastest growing demand for IC products is the Internet of things, automotive, medical and other applications.

 

　　Mobile phone chip demand momentum continues: sales growth and innovation

 

　　Mobile phone chip market growth: mobile phone sales growth, as well as mobile phone innovation brings the growth of single chip value.

 

　　As the "heart" of smartphones, mobile phone chips will expand as smartphone shipments increase. IC Insights latest data show that the global mobile phone chip market has risen steadily, from $52 billion 400 million in 2011 to $72 billion 700 million in 2015, but during this year the annual growth rate tends to decline. With the mobile phone chip prices continued to increase, mobile phone chip sales will steadily in the years 2016-2019, breaking the weak structure of 2015 only 2% growth is expected in 2019, the global mobile phone chip market size of $94 billion 300 million, a compound annual growth rate will be higher than the overall chip market reached 6.7%, which fully shows the mobile phone is still one of the main power source of semiconductor the growth of industry.

 

　　In general, the semiconductor chip for intelligent mobile phone BOM cost 40-50%, which mainly comprises a baseband processor, application processor, transceiver, front-end chip, connection chip, power management chip, memory chip, optical / non optical sensor, analog chip etc.. From the iPhone5 (16G) and iPhone7 (32G) BOM cost comparison, the former semiconductor component costs about $110, while the latter was $128, an increase of $18. Mainly processors, sensors, logic chips and other costs are increasing. In general, the proportion of the chip cost in the total cost of apple in the mobile phone is still in the promotion, with the future of fingerprint recognition, dual cameras, wireless charging off and the advent of 5G era, mobile phone chip market still has a broad space for growth.

 

　　In 2013, apple pioneered the first Touch ID fingerprint identification technology iPhone 5S smartphone, and then successfully promoted the fingerprint recognition technology applications in the smart phone market. Fingerprint recognition chip industry through the outbreak of 2015, by 2016, has become the mainstream mobile phone standard, and gradually began to be less than 1000 yuan of low-end smart phones popular.

 

　　According to research institutions data show that in 2015 the global smart terminal fingerprint recognition chip shipments reached 478 million, the market sales reached $2 billion 110 million. It is expected that by 2018, the global intelligent terminal fingerprint identification chip market will reach 1 billion 199 million, $3 billion 70 million in sales, sales Compound annual growth rate of about 36%, the fingerprint chip manufacturers, fingerprint identification and fingerprint identification module manufacturers will benefit from solution provider.

 

　　The automobile and the Internet of things have become the next outlet of the semiconductor industry

 

　　With the global safe driving assistant system, ADAS vehicle information system and electric energy development frontier breakthrough technology, automobile industry are intelligent, and the direction of the development of the electric network. Due to the technical innovation of auto industry 60%-70% are driven by the automotive electronic technology, and the chip is the core equipment of intelligent vehicle, so intelligent, car networking and new energy automobile era will make the car chips can be used more widely. Over the next ten years, automotive electronics will be a major growth point for semiconductor applications. According to market research company analysis, in 2015 the global semiconductor market size of 29 billion 600 million yuan, is expected by 2020 will exceed 40 billion U. s.dollars, of which the automatic auxiliary system, ADAS chip business growth is the most rapid.

 

　　The development of intelligent vehicle driving on chip industry is mainly reflected in the following two aspects: 1) gradually penetrate networked vehicles, energy saving and safety increase consumption of single car semiconductor; 2) the traditional consumer electronics manufacturers and automotive electronics manufacturers to develop new target market. According to IC Insights's forecast, the proportion of future automotive electronic costs to vehicle costs will be higher and higher. In 2012, the average semiconductor cost per vehicle was $440, an increase to $520 in 2015, and global vehicle semiconductor consumption will reach $610 in 2018.

 

　　The slowdown in the growth rate of smart phones such as smartphones and tablets is already a matter of fact, and global semiconductor chip companies will use the Internet of things as the next wave of semiconductors. According to the statistical data of IC Insights in 2015, the global networking semiconductor sales of $15 billion 400 million, is expected in 2016 amounted to $18 billion 400 million, in 2019 the market size will expand to $29 billion 600 million, from 2014-2019 CAGR is about 19.1%. HIS latest forecast data show that in 2015 the global Internet of things market size of $15 billion 410 million, is expected to reach $75 billion 440 million in 2025. The development of the Internet of things in the same Chinese like a raging fire, the Ministry of industry data show that in 2015 China's Internet industry reached 750 billion yuan, an increase of 29.3%, 2016 is expected to reach 930 billion yuan, the overall size of 2020 Chinese things will be more than 1 trillion and 800 billion yuan.