Embedded Systems Market

Embedded Systems Market Size, Share, Growth (2023-2028)

Embedded Systems Market 116.2 billion by 2028 from USD 86.5 billion in 2023, growing at a CAGR of 6.3% from 2023-2028

Embedded Systems Market Overview:

Embedded systems are computer systems that have a dedicated function within a more extensive mechanical or electrical system that is with real-time computing constraints often. These systems are a combination of computer memory, a computer processor, and input/output peripheral devices that has a dedicated function within a more extensive mechanical or electrical system. This embedded system can control many devices in everyday use today. These embedded systems are designed to meet the requirements of the target system in which they are embedded and are application-specific systems. Rising demand for devices such as smart electricity meters is the factor that was driving the development of the global market over the outlook period. This growth of the embedded systems market owes to these devices getting incorporated in order to ensure proper and desired functionality in many other devices.

Recent Developments

• Infineon Technologies AG, a German semiconductor manufacturer, has announced that they have received all the necessary approvals for the acquisition of Cypress Semiconductor Corporation which is expected to close the transaction within five business days

• Broadcom Inc., an American designer, developer, manufacturer and global supplier of a wide range of semiconductor and infrastructure software products, has announced that its Stingray Ethernet-based adapter named 100G SmartNIC, has been selected by Baidu’s BIDU cloud platform to boost server performance and utilization.

Embedded Systems Market Drivers and Restraints 

With the surge in energy efficiency initiatives around the world, the need for smart meters is likely to expand over the prediction period, giving impetus to the embedded systems market. Also, technological advancements and decreasing prices of microcontroller units are expected to impact the target market, in a positive way, in the coming years. These embedded systems are utilized in various end-use industries which are resulting in growing demand from the application areas like consumer electronics, and healthcare is anticipated to bolster the Global Embedded Systems Market over the next five years.The augmenting demand for embedded systems that have multi-core technologies & embedded graphics and escalating demand for embedded systems in the automobile industry are the primary drivers of the Global Embedded Systems Market. Moreover, unrelieved research & development for introducing smarter and energy-efficient electronic devices are affecting the global embedded systems market positively. Also, an extensive number of applications of these systems in application areas like automotive, space, aeronautics, rail, communication, mobile, and electronic payment solutions is set to fuel the growth of the global embedded system market over the forecast period.However, concerns regarding security and the smaller lifespan involved with the usage of embedded systems in various applications that are process-related are hindering the growth of the target market. And the design constraints pertaining to real-time embedded systems are limiting the progression of the embedded system market.

Embedded Systems Market Segmentation:

Based on the type of Component, the global Embedded Systems Market is segmented into Hardware and Software. Whereas the hardware segment is sub-segmented into

• ASIC & ASSP

• Microcontroller (MCU)

• Microprocessor (MPU)

• Power Management Integrated Circuit (PMIC)

• Field programmable gate arrays (FPGA)

• Digital Signal Processor (DSP), & Memory

based on the functionality

• Standalone System

• Real-time System

• Network System

• Mobile System

On the size of system outlook, the global Embedded Systems Market is segmented into

• Small-scale Embedded Systems

• Medium-scale Embedded Systems

• Large-scale Embedded Systems

Embedded Systems Market Regional Analysis

• North America

• Europe

• Asia-Pacific

• South America

• Middle East & Africa

In the regional analysis of the Embedded Systems Market, North America held for the significant market share with over 45%. The growth of the target market is owing to the presence of major companies in this region like Intel and Microsoft. Also, the growing adoption of IoT technology in the US and the rising consumer demand for smart & connected devices for reducing human intervention is positively impacting market growth.

Also, the embedded systems market in the Asia-Pacific region is expected to grow at a higher CAGR of 6.7% from 2020 to 2025. This growth of the target market in this region is due to the rise in the number of trained professionals that are involved in software development of these embedded systems in the area. Moreover, the presence of fabrication plants such as the Taiwan Semiconductor Manufacturing Company (TSMC) alleviating lower manufacturing costs is further boosting the growth of the market in Asia-Pacific.

Embedded Systems Market Key Players

1. Analog Devices, Inc

2. ARM Holdings

3. Atmel Corporation

4. Broadcom Limited

5. Cypress Semiconductor Corporation

6. Fujitsu Limited

7. Infineon Technologies

8. Intel Corporation

9. Lattice Semiconductor

10. Marvell Technology Group Ltd.

11. Microchip Technology Inc.

12. NXP Semiconductor N.V.

13. Qualcomm Technologies Inc.

14. Renesas Electronics Corporation

15. Samsung, STMicroelectronics

16. Texas Instruments, Inc.

17. Toshiba Corporation