The image sensors market is expected to grow at a compound annual growth rate of 7.76% over the forecast period to reach a market size of US$22.497 billion in 2026, from US$13.333 billion in 2019.
Introduction
An image sensor is a sensor, installed in devices, that translates the light waves into signals and conveys information about the image when detected. It is used across diverse industries, prominently in consumer electronics, healthcare, automotive, defense, transportation, etc. Cameras, camera phones, medical imaging equipment, autonomous vehicles, etc. are some devices that deploy image sensors. There are two types of image sensors: Charge-Coupled Device (CCD) and Complementary Metal-oxide Semiconductor (CMOS). CMOS sensors are usually deployed in cheaper consumer electronics as they usually consume less power. The high-end quality cameras find CCD sensors more suitable to serve their needs.
Market Trend
The growing disposable income and the changing lifestyle patterns in the developing regions and developed economies are fueling up the demand for high-end electronic products. With the ever-increasing demand for electronic products like cameras, smartphones, etc. the market for image sensors is projected to drive in the coming years. Besides that, the heavy reliance of gaming and technology industries on audiovisuals is expected to positively drive the image sensors market in the upcoming years.
Additionally, image sensors constitute an important part of the healthcare and defense industries. Technological advancements in surveillance, security, and defense along with the projected increase in healthcare investment and its increasing use for diagnosis, ophthalmology, radiography, etc. are leveraging the capabilities of image sensors which is expected to make this market even more profitable for investment.
Besides the various opportunities, the image sensor market does suffer from various restraints including quality issues during harsh conditions. Also, factors like the shortage of semiconductors and variability in the price can pose some hurdles for the growth of this market.
Growth Factors
The rising disposable income and the changing lifestyle of people have positively affected the demand for high-end electronics over the past years. The growing technology is enabling people to switch from keypad phones to smartphones with cameras as the sensors in them support the camera features and provide high resolution-based image quality. The quality of the camera and image sensing proportionally affects the demand for such electronic products because of which manufacturers are putting efforts
to develop image sensors with enhanced functionalities to provide better resolution in megapixels. With the rising investment in digital infrastructure and increasing opportunities in 5g technology, this market stands at an opportunistic platform.
For instance, recently NHK reported that it has developed a 240fps 33MP broadcast camera for 4x slow-motion video which will help to capture more frames per second so that fast-moving subjects can be portrayed smoothly. Besides that, Canon has developed a new image sensor that can see in almost-total darkness which is expected to pave a way for highly advanced cameras.
Rising adoption in the automotive and automation segment:
Automotive Sector is demanding more use of sensors to supplement the augmenting features of artificial intelligence, virtual reality to power the Advanced Driver Assistance System, and Driver Monitoring Systems (DMS) which is expected to provide a boost to new opportunities to the image sensors market. Image sensors for the automotive segment are used to deliver high dynamic range (HDR) and LED flicker mitigation (LFM) at high levels and are generally based on automotive specifications. The increasing investment and growth opportunities in emerging fields like Autonomous cars have become a trend. Autonomous cars are evolving out of the automotive sector, which would augment the growth of image sensors during the forecast period. In 2021, Samsung unveiled a new automotive image sensor, ISOCELL Auto 4AC, for rearview cameras and surround-view monitors of vehicles.
Recently, MIPI Alliance, which is an international organization that develops interface specifications for mobile and mobile-influenced industries, announced an update to its MIPI Camera Serial Interface 2 to enable advanced machine-vision applications not just in mobiles and tablets but also in medical devices, drones, industrial systems, and automobiles as well.
Geographically, the image sensor market is segmented into North America, South America, Europe, Asia-Pacific, and the Middle East & Africa. Of these Asia-Pacific is expected to witness significant growth in the sector due to the increasing adoption of smartphones in the developing economies in India, China. Also, Asia-Pacific is investing heavy amounts in autonomous vehicles which might reward it with trillions of dollars and at the same time, boost the demand for image sensors. The emergence of smart cities in the region holds the potential to drive the image sensor market by increasing the demand for associated electronics like monitoring, surveillance, etc. Besides that, the presence of market players like Sony Corporation, Samsung Electronics, Canon Inc., Toshiba Corporation, etc. in the region can play a significant role in the performance of Asia-Pacific in the image sensor market.
Restraints
Image sensors are semiconductor chips and its global shortage especially after the covid pandemic has created some hurdles for this market. Due to this shortage, the image sensors have witnessed some serious variability in their prices (for instance, Samsung Electronics rose the price of CMOS image sensor chips by 40% in 2021). Many researchers and news platforms report that the shortage will continue to exist in 2022 as well which can pose a major restraint to this market in the projected period.
The outburst of the covid pandemic around the globe severely hampered the image sensors market. Since the demand for electronic products like cameras and smartphones fell significantly during the covid pandemic, the image sensors market took a severe hit. Along with that, the lockdown, curfew, temporary shutdown of industries, and labor shortage served as some major restraints for this market during the corona pandemic.
| Report Metric | Details |
| Market size value in 2019 | US$13.333 billion |
| Market size value in 2026 | US$22.497 billion |
| Growth Rate | CAGR of 7.76% from 2019 to 2026 |
| Base year | 2019 |
| Forecast period | 2021–2026 |
| Forecast Unit (Value) | USD Billion |
| Segments covered | Technology, Processing Type, Spectrum, Array-Type, End-user Industry, And Geography |
| Regions covered | North America, South America, Europe, Middle East and Africa, Asia Pacific |
| Companies covered | Sony Corporation, Samsung Electronics C. Ltd., Canon Inc., OmniVision Technologies Inc., STMicroelectronics, ON Semiconductor Solutions, SK Hynix Inc., ams AG, Panasonic Corporation, Hamamatsu Photonics K.K. |
| Customization scope | Free report customization with purchase |
Segmentation:
Frequently Asked Questions (FAQs)
Q1. What are the growth prospects for the image sensor market?
A1. The global image sensors market is expected to grow at a CAGR of 7.76% during the forecast period.
Q2. What factors are anticipated to drive the image sensor market?
A2. The image sensors market is growing due to increased demand for smartphones and advancements in the automotive sector.
Q3. What will be the image sensor market size by 2026?
A3. The image sensor market is projected to reach a market size of US$22.497 billion by 2026.
Q4. Which region holds the maximum market share in the image sensor market?
A4. Asia-Pacific is expected to witness significant growth in the image sensor market due to the increasing adoption of smartphones in developing economies.
Q5. What is the size of the global image sensor market?
A5. Image Sensors Market was valued at US$13.333 billion in 2019.
Sony Corporation
Samsung Electronics C. Ltd.
Canon Inc.
OmniVision Technologies Inc.
STMicroelectronics
ON Semiconductor Solutions
SK Hynix Inc.
ams AG
Panasonic Corporation
Hamamatsu Photonics K.K.
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