We’ve now officially entered the era of integration, says a new report from ABI.
The trend towards more integrated platforms is particularly crucial in today’s market, the report suggests. However, it is because the revenue of standalone components is folding into integrated platforms and the revenue for mobile device semiconductors lie with the higher cost components – mostly the application processor.
So while the shift from standalone components to integrated platforms is drastic over the next five years in terms of shipments, this shift is even more radical in terms of revenue.
“From 2013 to 2018,” ABI projects, “the share of integrated platforms compared to all application processors in terms of shipments will jump from 46% to 79% while the revenue shares of the same will be higher.”
Specifically, smartphone application processor (integrated and standalone) revenue as a percentage of total mobile device semiconductor revenue for the major components will increase from 71% in 2013 to 89% in 2018.
These findings and more can be reviewed in-depth through ABI here.