Asia Pacific System on Module (SoM) Market Outlook and Strategic Insights by 2028

The Asia Pacific system on module (SoM) market is expected to grow from US$ 591.45 million in 2021 to US$ 1,068.98 million by 2028; it is estimated to grow at a CAGR of 8.8% from 2021 to 2028.

A system on module (SoM) is a small-form-factor computing solution that consists of a hardware and software for developing embedded products. It is a single physical module that incorporates many computing components such as a central processing unit (CPU), random access memory (RAM), flash memory, power management unit, an Ethernet bus, and Wi-Fi and Bluetooth radios. This availability of hardware components as a single unit reduces the complexity of final product designs. The integration of system on module with ready-to-use operating systems, and integrated support for development environments, frameworks, and other third-party software are providing lucrative growth opportunities for industry participants. Many players in the system on module market are providing off-the-shelf carrier boards that can be used for development in a wide range of applications. Further, system on module benefit through reduced complexity while maintaining high flexibility in the form factor, further supporting the market growth.

The COVID-19 pandemic has forced governments, suppliers, and manufacturers in Asia Pacific to review their supply chain operations and identify gaps. To recover from the economic impact and modernize the regional semiconductor sector, most Asian nations increased their budgets of 2021. A few of the initiatives that are anticipated to drive the growth and agility in the Asia Pacific system on module manufacturing sector are investing in manufacturing flexibility to help drive future growth, focusing on profitable products and eliminate complexity, working closely with struggling suppliers, strengthening ties to customers, and rebuilding customer confidence. Major semiconductor suppliers, such as Taiwan Semiconductor Manufacturing and United Microelectronics, announced investment plans to increase production capacities of the semiconductor chips. China pledged to boost spending and drive research into cutting-edge chips as part of its new five-year economic blueprint. The Semiconductor Manufacturing International Corporation has already announced plans for a US$ 2.35 billion plant with funding from the government of Shenzhen. The Indian Government announced to offer around US$ 1 billion to every company that sets up a chip manufacturing unit in India, which is projected to boost the Asia Pacific system on module market growth in the coming years.

With the new advancements and technologies, vendors can attract new customers and expand their footprints in emerging markets. This factor is likely to drive the Asia Pacific system on module (SoM) market. The Asia Pacific system on module market is anticipated to grow at a significant CAGR during the forecast period. The projected growth is attributed to the rise in government initiatives to support the ongoing industrialization and increasing demand for efficient electronic components such as processors, boards, and system in modules from the consumer electronics sector. Government support to boost the regional electronics & semiconductors sector is anticipated to provide significant growth opportunities to the market. With the 2014 National Integrated Circuit Industry Development Guidelines, the State Council of China set the goal of becoming a leader in all segments of the semiconductor industry by 2030. In addition, through its Made in China 2025 initiative, the country aims to achieve the standards of advanced semiconductor manufacturing as a vital component of its future economy. The Chinese government is spending aggressively in investments, acquisitions, and talent recruitment for encouraging the proliferation of the semiconductors industry, which is anticipated to boost the growth of the system on modules market. Countries such as Taiwan and India are focusing on the development of their manufacturing and industrial automation sectors. Foreign investments, coupled with the establishment of facilities of the Asia Pacific players, and rise of startups is anticipated to positively impact the systems on modules market growth, especially in China.
 

Asia Pacific System on Module (SoM) Market Segmentation

• Asia Pacific System on Module (SoM) Market – By Processor Type
  • ARM
  • X86
  • POWER
  • FPGA
  • GPU
  • DSP
• Asia Pacific System on Module (SoM) Market – By Application
  • Industrial Automation
  • Entertainment
  • Medical
  • Transportation
  • Test and Measurement
  • Others
• Asia Pacific System on Module (SoM) Market – By Standard
  • Qseven
  • SMARC
  • COMExpress

• Asia Pacific System on module (SoM) Market – By Country
  • Australia
  • China
  • India
  • Japan
  • South Korea
  • Rest of Asia Pacific

Asia Pacific System on Module (SoM) Report Scope