Aerospace Semiconductor Market size is projected to reach USD 80 Billion by 2032, growing at a CAGR of 8% during the forecast period 2024-2032

Aerospace Semiconductor Market Size

Aerospace Semiconductor Market size was USD 35 Billion in 2023 and is expected to reach USD 80 Billion during 2032, at a CAGR of 8% during 2024-2032.

Suppose you are in the technology world, where semiconductors resemble small computer brains that operate your smartphone to space exploration. The Aerospace Semiconductor Market is an enormous market that’s valued at more than 35 billion dollars in 2023. And it’s booming, set to become even larger in the coming years. Why? Because satellites and space exploration are becoming increasingly vital. And guess what? Satellites and spacecraft use semiconductors to communicate, navigate, and process data. And as satellites and spacecraft get launched, the semiconductor business receives a boost in demand. Semiconductors are the superheroes of space technology, enabling rockets, probes, and satellites to be more efficient, powerful, and intelligent. As satellite launches and space exploration increase, the semiconductor business will continue to raise the bar, coming up with even more astounding technologies for our quest into the great unknown.

For example, in May 2022, STMicroelectronics launched cost-effective radiation-hardened ICs for space satellites. ST’s new series of radiation-hardened power, analog, and logic integrated circuits in low-cost plastic packages plays fundamental functions in the electrical systems of the satellites. A data converter, a voltage regulator, an LVDS transceiver, a line driver, and five logic gates are some of the first nine devices in the series, which were launched. These products are used in applications like power generation & distribution, on-board computers, telemetry star trackers, and transceivers.

Aerospace semiconductors are electronic devices composed of materials with intermediate conductivity, which are required for spacecraft and aircraft systems. These devices such as microprocessors & integrated circuits support important functions like communication, navigation, and data processing, and are an integral part of the advanced technology used in aerospace applications.

Report Attribute Details
Base Year 2023
Aerospace Semiconductor Market Size in 2023
USD 35 Billion
Forecast Period
2022 to 2032
Forecast Period 2022 to 2032 CAGR
8%
2032 Value Projection
Over USD 80 Billion
Historical Data for
2018 – 2023
No. of Pages
220
Tables, Charts & Figures
244
Segments covered
Type, Application & Region
Growth Drivers
Growing need for advanced avionics
Growing demand for connectivity and data transfer
Developments in IoT and AI applications
Shift to More Electric Aircraft (MEA)
Demand due to space exploration and satellite technology
Pitfalls & Challenges
Reliability and toughness in harsh conditions
Cybersecurity and Data Protection
Radiation hardening and space compatibility

Semiconductor design for aerospace use is constrained by radiation hardening and space compatibility because of the increased complexity & costs of developing components that can withstand the harsh conditions of space environments. These requirements place constraints on the market because of the need for special materials and manufacturing processes, limiting the flexibility and economic feasibility of semiconductor manufacturing for the aircraft sector.

Aerospace Semiconductor Market Trends
Increased demand for sophisticated avionics leads the aerospace sector to pursue high-performance semiconductors, pivotal in automation, communication & navigation. At the same time, IoT integration into aerospace fuels real-time data processing demand for semiconductors. The quest of the aerospace industry for lighter, fuel-conserving designs necessitates semiconductor players to develop small, light & power-efficient chips to address aerospace’s strict standards.

Sophisticated chips hold the key to the future of aerospace. They’re the minds behind autonomous aircraft and equipment that can forecast when components require repair. Supply chain problems in the sector have us concerned. We’re developing more resilient supply chains and spare suppliers so we can ensure we have what we require. We’re also prioritizing sustainability. Environmental aviation initiatives are encouraging us to create energy-efficient chips for cleaner aircraft. And increasing the application of digital technologies such as digital twins, virtual reality, and augmented reality is also demanding chips capable of processing sophisticated computations and producing high-quality images.

Aerospace Semiconductor Market Share
Aerospace semiconductor players emphasize using various growth strategies to enhance their products and increase their market penetration. These strategies include new product launches & developments, collaborations & partnerships, mergers & acquisitions, and retention of customers. These players also invest significantly in research & development to bring innovative and technologically superior solutions into the market.

Aerospace Semiconductor Market Companies

Major players operating in the aerospace semiconductor industry are

• Analog Devices, Inc.
• Infineon Technologies AG
• Microchip Technology Inc.
• NXP Semiconductors NV
• ON Semiconductor Corporation
• Raytheon Technologies Corporation
• Texas Instruments Incorporated