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Smartphone Apps Processor Revenue to Reach $30 Billion in 2018 says Strategy Analytics

LTE, 64-bit and Multi-Core to Fuel 10.8 percent CAGR Revenue Growth

Boston, MA – April 9, 2014 – The global smartphone applications processor market will register a healthy 10.8 percent CAGR in revenues from 2013 to 2018 to reach $30.0 billion in 2018, based on Strategy Analytics Handset Component Technologies service forecast report, "LTE, 64-bit and Semiconductor Technologies to Lift Smartphone Apps Processor Market to $30 Bn in 2018."  http://www.strategyanalytics.com/default.aspx?mod=reportabstractviewer&a0=9307

According to Sravan Kundojjala, Senior Analyst, the smartphone applications processor market will be boosted by LTE-Advanced, 64-bit, multi-core and semiconductor process technologies. Strategy Analytics forecasts that stand-alone applications processor penetration in smartphones will drop to 28 percent in 2018 from 38 percent in 2012. This can be attributed to an increased push from integrated vendors such as Qualcomm, MediaTek, Spreadtrum, Broadcom and Marvell. Multi-core penetration in smartphone applications processors is forecast to rise from 50 percent in 2012 to almost 100 percent in 2018, by Strategy Analytics estimates.

According to Sravan Kundojjala, Senior Analyst, "Strategy Analytics forecasts that the 64-bit chip penetration in smartphone applications processors will rise from 3 percent in 2013 to approximately 75 percent in 2018. Apple, Intel, Qualcomm and Samsung among others will drive this growth. Strategy Analytics believes that 64-bit chip adoption will be somewhat slower than multi-core chip adoption in smartphones as the required software ecosystem transition is likely to take time."

According to Stuart Robinson, Director of the Strategy Analytics Handset Component Technologies service, "Strategy Analytics forecasts ARM based chip penetration in smartphones will drop to 83 percent in 2018 from almost 100 percent in 2012. This can be attributed to concerted efforts by Intel in smartphones combined with the company’s lead in 14 nm and beyond process technologies. Strategy Analytics believes that upcoming 3G / 4G integrated products from Intel could lift the company’s smartphone applications processor share in the near-term."


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