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Semiconductor Intellectual Property (IP) Market Latest Report, Innovations, Industry Analysis ,Future Market Projections

Semiconductor Intellectual Property (IP) Market10

UNITED STATES, December 7, 2023 / -- Market Overview:

Semiconductor intellectual property refers to reusable functional design that can be licensed out for use in semiconductor chips. It helps reduce design cycles and costs for chip developers.

The global semiconductor intellectual property (IP) market was valued at US$ 4,111.0 Mn in 2019 and is expected to reach US$ 7,103.0 Mn by 2027 at a CAGR of 8.9% between 2020 and 2027.

Market Dynamics:

Semiconductor intellectual property market is expected to witness significant growth over the forecast period owing to growing demand for semiconductors across various end-use industries such as automotive, consumer electronics, industrial, and communication. The proliferation of IoT and 5G technologies is increasing the demand for more advanced chips with greater functionality and performance. This is increasing the reliance on semiconductor IP cores which help integrate pre-designed functionalities into chips and reduce development time and effort. Additionally, continuous technological advancements and shrinking chip sizes have increased the complexity of chip design. This has further augmented the demand for semiconductor IP that integrates pre-validated functional blocks.

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Increased Demand for Advanced Technologies like 5G and IoT

The demand for advanced technologies like 5G, artificial intelligence (AI), and internet of things (IoT) is growing exponentially. These new technologies require highly capable and power-efficient semiconductors. Semiconductor IP provides reusable modules like processor cores, interfaces, memories, and other functions that help chip designers develop SoCs for emerging applications faster and at lower costs compared to developing everything from scratch. This has significantly driven the demand for configurable and customizable semiconductor IP cores that support new standards and applications.

Rise of Fabless Semiconductor Business Model

Due to high development costs of designing chips, many companies are outsourcing chip design to fabless semiconductor companies that focus only on chip design. This has led to a rise of fabless semiconductor business model. Fabless semiconductor designers rely heavily on third-party IP cores for functions like processors, storage elements, logic, and interfaces. They purchase and integrate IP functions from various providers rather than developing everything in-house. This dependence on third-party IP is a major factor spurring growth in the semiconductor IP market.

Top Key Players:

Arm Holdings, Synopsys, Inc., Cadence Design Systems, Inc., Imagination Technologies Limited, Lattice Semiconductor Corporation, CEVA, Inc., Rambus Incorporated, Silvaco Inc., Intel Corporation, eMemory Technology Inc., Dream Chip Technologies GmbH (Goodix Technology Co. Ltd.), VeriSilicon Microelectronics (Shanghai) Co., Ltd., Achronix Semiconductor Corporation, Open-Silicon, Inc., Dolphin Design SAS, Faraday Technology Corporation, Xilinx, Inc., Mentor, a Siemens Business, Semiconductor Manufacturing International Corp. (SMIC), Cobham Gaisler AB, Arasan Chip Systems Inc., HDL Design House, Mixel Inc., and TDK Corporation (InvenSense).

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High Development Costs of IP Cores

While IP cores help reduce design effort and costs compared to developing everything from scratch, developing new IP still requires significant investments. Creating customized processor cores, storage elements, and complex controllers from basic level involves high development costs. This deters some smaller IP providers and semiconductor companies from widely developing new and customized IP. The heavy initial investments and costs associated with IP development can restrain the semiconductor IP market to some extent.


Growing Demand for AI Chip Solutions

The huge growth in artificial intelligence applications across various domains has created strong demand for specialized AI chip solutions. AI workloads require dedicated hardware accelerators for efficient processing of deep learning algorithms. This has opened up opportunities for semiconductor companies to develop AI-centric system on chips (SoCs) that integrate AI processors, memory, and advanced interfaces. There is a massive opportunity for semiconductor IP providers to offer customized and application-specific AI processor cores, memory structures, and other IP modules for AI chips. This will help drive the next wave of AI technology solutions.


Increased Adoption of Multi-Standard Communication IP

With the simultaneous advent of 5G, WiFi 6, and Bluetooth 5 standards, next-gen devices need to support multiple wireless interfaces. This has increased the demand for multi-standard communication IP stacks and controllers that enable devices to seamlessly switch between different wireless interfaces. There is also a growing need for single-chip combo-solutions that integrate multi-standard radios, baseband processors, and communications IP. Semiconductor companies are looking at IP solutions that can accelerate the development of combo chips supporting multiple connectivity standards. This emerging trend of adoption of multi-standard communication IP will significantly boost the semiconductor IP market.

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Key Questions Addressed in the Market Report:

What is the expected size, share, and CAGR of the Semiconductor Intellectual Property (IP) Market over the forecast period?
What are the key trends expected to influence the Semiconductor Intellectual Property (IP) Market between 2023 and 2030?
What is the expected demand for various types of products/services in the Semiconductor Intellectual Property (IP) Market?
What long-term impact will strategic advancements have on the Semiconductor Intellectual Property (IP) Market?
Who are the key players and stakeholders in the Semiconductor Intellectual Property (IP) Market?
What are the different segments and sub-segments considered in the Semiconductor Intellectual Property (IP) Market research study?

About Coherent Market Insights

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