ASIC is known for its user-specific requirements, featuring a wide variety of products in small quantities, which necessitates a short design and production cycle. It represents the integration of circuit technology with specific user systems, offering advantages such as smaller size, lighter weight, lower power consumption, higher reliability, better performance, enhanced security, and cost efficiency compared to general-purpose ICs.
Artificial intelligence is accelerating the growth of ASIC design, with projections indicating a compound annual growth rate (CAGR) of 20% by 2021. This trend is expected to drive significant expansion across multiple sectors.
According to Semico Research, AI is set to become a core feature in nearly every device and application in the coming years, appearing in forms like image recognition, speech processing, and language translation. These functions will require varying levels of computing power, including processors, DSPs, or FPGAs.
Rich Wawrzyniak, a senior research analyst at Semico, highlights that AI capabilities are becoming essential across all market segments. He believes these features will soon be considered must-haves, potentially fueling the next major wave of growth in the semiconductor industry.
In its 2017 ASIC design project report, Semico predicted a 10.1% growth in ASIC shipments between 2016 and 2021, driven primarily by the industrial and consumer markets. While traditional applications face slowing growth due to market saturation, emerging fields like IoT, AI, smart grids, wearables, SSDs, drones, IIoT, ADAS, and 5G infrastructure are experiencing rapid expansion.
The report also forecasts a 19% CAGR for consumer electronics SoC design projects by 2021, with Industrial IoT ASICs expected to grow by 25%. Additionally, it predicts that IoT-related ASIC unit shipments will surpass 1.8 billion units in the coming year.
As more companies focus on integrating AI into their products—especially in the consumer space—there’s a growing demand for specialized chips that support voice control and other AI-driven features. Startups and established players alike are investing heavily in this area, signaling a strong future for ASIC innovation.
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