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The Evolving Landscape of System on Chip (SoC) Technology


06th November - Valencia.

In the ever-evolving world of technology, System on Chip (SoC) has emerged as a crucial component, driving innovation across a wide range of industries. SoCs have become the backbone of modern devices, offering a compact, integrated solution that combines various hardware and software components. In this article, we'll explore the key developments in SoC technology and its impact on the electronics industry.


1. Shrinking Process Technology and Efficiency:

One of the most notable trends in SoC development is the relentless march towards smaller process technology nodes, such as 7nm, 5nm, and even 3nm. This miniaturization enables SoCs to deliver higher performance, improved energy efficiency, and smaller form factors. Additionally, manufacturers are implementing advanced power management techniques and low-power modes to extend the battery life of portable devices [Source: Acumen Research and Consulting].


2. AI Integration and Machine Learning:

SoCs are increasingly incorporating dedicated AI accelerators to enhance tasks like image recognition, natural language processing, and autonomous decision-making in devices like smartphones, IoT devices, and automotive systems [Source: Acumen Research and Consulting].


3. Heterogeneous Computing Architectures:

Modern SoCs are adopting heterogeneous computing architectures, combining different types of processing units like CPUs, GPUs, NPUs (Neural Processing Units), and DSPs (Digital Signal Processors) to optimize performance for specific tasks and workloads. This approach also includes hardware-based encryption, secure boot processes, and hardware-based root of trust to enhance security features [Source: Acumen Research and Consulting].


4. Enhanced Security and Connectivity:

SoC manufacturers are implementing advanced security features like secure boot processes and hardware-based root of trust. They also integrate high-speed, low-latency connectivity, including 5G modems, Wi-Fi 6/6E, and Bluetooth enhancements [Source: Acumen Research and Consulting].


5. Customization and Environmental Considerations:

SoCs are becoming more customizable and configurable to meet diverse application needs. Designers can select and integrate specific components and features to suit their unique requirements. Additionally, as sustainability gains prominence, manufacturers are adopting eco-friendly manufacturing processes and designing SoCs for longevity and recyclability [Source: Acumen Research and Consulting].


AI Chips: A Growing Opportunity:

In addition to the evolution of SoCs, the semiconductor industry is witnessing a substantial growth opportunity in the AI chips segment. According to Gartner, semiconductors designed to execute artificial intelligence (AI) workloads are forecasted to generate $53.4 billion in revenue for the semiconductor industry in 2023, marking a 20.9% increase from 2022. This growth is attributed to developments in generative AI and the increasing use of AI-based applications in data centres, edge infrastructure, and endpoint devices.

AI semiconductor revenue is expected to continue experiencing double-digit growth, increasing by 25.6% in 2024 to reach $67.1 billion. By 2027, AI chips revenue is projected to be more than double the size of the market in 2023, reaching $119.4 billion.


SoC Market Growth:

According to research by Acumen Research and Consulting, the Global System on Chip (SoC) market is projected to reach USD 335.4 billion by 2032, experiencing significant growth from USD 159.2 billion in 2022. This growth is driven by factors such as the proliferation of consumer electronics, increasing demand for powerful and efficient computing solutions, and the pivotal role of SoCs in industries like smartphones, IoT devices, and automotive systems.


SoC Market Statistics:

  • Global System-on-Chip Market value was worth USD 159.2 Billion in 2022, with a 7.9% CAGR from 2023 to 2032.
  • Asia-Pacific System-on-chip Market share occupied around 49% in 2022.
  • By type, the digital segment captured the majority of the market.
  • By end-use industry, the consumer electronics segment is expected to show noticeable growth during the predicted period.
  • The growth of the Internet of Things (IoT) market is propelling System-on-chip Market revenue [Source: Acumen Research and Consulting].


In conclusion, System on Chip (SoC) technology continues to evolve and shape the future of electronics. These innovations impact various industries, from consumer electronics to automotive and industrial applications, and are instrumental in meeting the growing demands for compact, efficient, and high-performance solutions. With technology that is growing at such a rate, it will need highly skilled engineers with experience of System-on-Chip for the future.  It requires experts to find this scarce resource. Experts like CIS have been placing high skilled embedded engineers on a global basis for over 20 years. Make sure your System-on-Chip project plans are covered, call CIS on +34 963 943 500 or email on info@cis-ee.com