FPGA Market Forecast to 2030 - Global Size, Growth and Share

The FPGA market is expected to grow from US$ 7.91 billion in 2022 to US$ 13.61 billion by 2030; it is estimated to grow at a CAGR of 6.55% from 2022 to 2030.

Analyst Perspective:

With the rise in concerns about climate change and air pollution, industries and consumers are showing interest in adopting electric vehicles. In addition, governments of several countries are seeking ways to introduce several initiatives and policies to fuel the manufacturing of electric vehicles to decrease carbon footprint and contribute to an eco-friendly and greener future. A few of these initiatives and policies are mentioned below:

• In September 2022, the US government announced its plan to boost the manufacturing of electric vehicles. By 2030, the country is expected to record 50% of the total electric vehicle sales share.
• In May 2022, Stellantis had planned to spend US$ 2.8 billion to increase the production of EVs at two of its Canadian plants. In support of this investment, the Canadian and Ontario governments set a target to invest up to US$ 410.7 million and US$ 398 million, respectively, to augment the domestic production of EVs and mitigate supply chain constraints.
• In March 2022, Triton Electric Vehicle LLC announced the launch of its new production plant in Gujarat, India. In addition, in June 2022, BMW announced the opening of its new electric vehicle production plant in China with an investment of US$ 2.2 billion.
• The UAE government plans to launch 42,000 electric cars, which will be on the roads by 2030.

In electric vehicles, FPGAs can be used for fine-tuned motor control, power conversion, battery management systems and inverters due to their support for high-performance PWM (pulse width modulation), which further helps to maximize power and efficiency to extend the range of the vehicle. Thus, the rising production of electric vehicles fosters the market.

Market Overview:

Field Programmable Gate Arrays (FPGAs) are integrated circuits that can reconfigure the hardware to meet some specific use case requirements after the manufacturing process. It consists of an array of programmable logic blocks and interconnects that can be configured to perform various digital functions.

The FPGA market has witnessed significant growth in recent years, driven by technological advancements, rising connectivity, and the increasing demand for semiconductors.

The demand for semiconductors has experienced a surge in recent years, owing to factors such as the growing digitalization, rising adoption of 5G technology, and growing industrialization. The inclination towards the growing demand for FPGA architecture is due to its capabilities, such as low power consumption and high compute density. The surge in demand for efficient data flow and streaming data processing for various applications bolsters the FPGA market.

The growth in the telecommunication sector will generate the demand for FPGA as it is the most versatile processor and can be fit into hardware to process applications such as edge networking and other low latency applications. In addition, using FPGA also helps lower the power consumption and latency of the devices.

Strategic Insights

Market Driver:

Growth in the Telecommunication industry to create lucrative growth opportunities for the FPGA Market

There is a rise in demand from consumers for high-speed internet and better connectivity of the devices. Small and large businesses are digitalizing their business to increase their output and simplify their business process and workflow. Due to the rise in demand for better connectivity, the governments of several countries are investing to strengthen their telecom sector. For instance, in December 2021, the US president announced an investment of US$ 1.2 trillion under the infrastructure package. Under this, a large portion of the package was used to boost the broadband infrastructure and affordability initiatives. In addition, according to GSMA, India is paving its path to becoming the world’s second-largest smartphone market by 2025, with over 1 billion installed devices. It is anticipated to have 920 million unique mobile subscribers by 2025, which includes 88 million 5G connections. It is also projected that 5G technology will fuel around US$ 450 billion to the Indian Economy from 2023 to 2040.

The growing investments and advancements in telecommunication infrastructure across developed and developing countries are fostering the growth of the global telecom industry. The telecommunication sector is experiencing a paradigm shift owing to the constantly changing technology landscape and growing penetration of smartphones and connected devices worldwide. The growing penetration of LTE networks coupled with increasing 5G deployments are some of the key factors that are fueling the growth of the telecommunications industry. Technologies such as IoT, AI, and edge computing are further contributing to the changing customer demands & preferences; these technologies are offering great opportunities and challenges for telecommunication companies.

In addition, the operational needs of telecommunication equipment/hardware and demand for secure communications are rising at a fast pace owing to the complex operations of the telecom industry and rising customer demands. The advantages offered by FPGAs, such as easy reconfigurability, low latency operations, flexibility, and efficient hardware acceleration, are expected to drive the growth of FPGAs in the growing telecommunication sector in the forecasted period.

Segmental Analysis:

Based on technology, the market is segmented into SRAM, flash, and antifuse. The SRAM segment held the largest market share in 2022. SRAM-based FPGA devices are utilized in several application fields, such as broadcast, wired and wireless communication systems, consumer products, cryptography, and network security, as well as in areas with stringent safety requirements, such as aerospace and defense, airborne, railways, industrial, and nuclear power plant control. The major reason for using this technology in the applications mentioned above is the capability of SRAM-based FPGAs to be partially and dynamically reconfigured at run-time, which makes it much more flexible and powerful than non-dynamically reconfigurable technologies, such as anti-fuse- and flash-based FPGAs. Thus, the growing demand for SRAM-based FPGA encourages the market player to introduce new products that foster the FPGA market growth. Some of the product development mentioned below are:

• In September 2022, GOWIN Semiconductor Corporation, a provider of FPGA, announced the launch of its new generation Arora V high-performance FPGA family utilizing advanced 22nm SRAM technology. The product is developed with fully controllable high-speed SerDes to support applications demanding very high data rates, such as video aggregation, communication, and AI computing acceleration.
• In July 2020, MoSys unveiled the new QUAZAR QPR family of low-cost, quad-partition rate SRAM memory integrated circuits (ICs) developed for accelerating INTEL and XILINX FPGA designs.

Regional Analysis:

The Asia Pacific market was valued at US$ XX billion in 2022 and is projected to reach US$ XX billion by 2030; it is expected to grow at a CAGR of XX% during the forecast period. Asia Pacific holds the highest CAGR in the market. Asia Pacific market consists of countries such as Australia, India, China, Japan, South Korea, and the Rest of APAC. The region has one of the most robust semiconductors in major countries such as China, India, Taiwan, and Japan. Under government initiative such as ‘Make In India’ and ‘Made in China 2025’, the government plans to increase its domestic semiconductor production, which fuel the FPGA market in the region.

Further, to support semiconductor research and development (R&D), the rising investment also fuels market growth. For example, in India, the Ministry of Electronics and IT (MeitY) announced a US$ 10 billion investment in the India Semiconductor Mission (ISM), demonstrating the government’s objective to establish a foothold in the semiconductor market. Thus, the rising semiconductor industry fuels the FPGA market.

Moreover, the rise in data centers is one of the prime factors fueling the APAC market share. The FPGA is required to improve the response time, throughput, and energy efficiency of high-performance computing in data centers. Thus, the rise in the launch of data centers fosters the market in Asia Pacific. Some of the new data center launches are mentioned below:

• In December 2022, NTT, a technology service company, opened a new hyperscale data center in Navi Mumbai, India, with a capacity of 5,000 racks and supports 30MW of IT load.
• In August 2023, Stack launched its first data center in Australia.

Key Player Analysis:

The market analysis consists of the players such as Advanced Micro Devices, Inc., Intel Corporation, Microchip Technology Inc., Lattice Semiconductor, Achronix Semiconductor Corporation, QuickLogic, Efinix Inc., Flex Logix, LeafLabs, and Napatech.

Recent Developments: 

Inorganic and organic strategies such as mergers and acquisitions are highly adopted by companies in the market. A few recent key market developments are listed below: 

• In May 2023, Intel’s Programmable Solutions Group launched Intel Agilex 7 with the R-Tile chiplet is shipping production-qualified devices in volume for their customers with the first FPGA with PCIe 5.0 and CXL capabilities and the only FPGA with hard intellectual property (IP) supporting these interfaces. The product was launched to deliver leading technology capabilities with two times faster PCIe 5.0 bandwidth as well as 4 times higher CXL bandwidth per port when compared to other competitive products.
• In September 2020, Microchip launched a US$ 500 RISC-V-based FPGA development kit.
• In March 2020, Cologne Chip AG, a long-time provider of telecommunications chipsets and IP, launched a family of small- to medium-sized FPGAs under the family name GateMate.

Download Free Sample

   Buy Now   

• Sample PDF showcases the content structure and the nature of the information with qualitative and quantitative analysis.

REGIONAL FRAMEWORK

FPGA Market Report Analysis

MARKET PLAYERS

FPGA Market Report Scope

Download Free Sample

   Buy Now   

• Sample PDF showcases the content structure and the nature of the information with qualitative and quantitative analysis.