Smart Sensor Market Statistics - 2027
The global smart sensor market size was valued at $37.12 Billion in 2019 and is projected to reach $91.37 Billion by 2027, registering a CAGR of 14.30% from 2020 to 2027.
A smart sensor is an important technological innovation that enables better control and monitoring of different operations. For instance, to sense physical input such as light, heat, motion, moisture, pressure, or any other entity, and respond by producing an output on a display or transmit the information in an electronic form for further processing with the help of signal conditioning, embedded algorithms, and digital interface. These sensors collect highly accurate environmental data with a minimum level of noise.
Smart sensors are applicable in advanced IT solutions, such as machine-to-machine communication and analytics, and to measure fluctuations regarding temperature or pressure acceleration, which are critical for a process. In addition, these devices are implemented in smart grids, smart cities, and smart environments (forest fire control, snow level monitoring, and earthquake early detection); and automobile, defense, sports, and electronic sectors.
The smart sensor industry is currently in its growth stage and is expected to register substantial growth in the future, attributed to high investments in R&D activities by market players and the focus of society on the Internet of Things (IoT). Other factors that drive the smart sensor market growth include an increase in demand for automobiles & electronics and the development of smart cities. According to the Edison Foundation, the U.S. installed 65 million smart meters in 2015 and the number of installations increased to 70 million in 2016, comprising more than half of households in the country. Such significant adoptions are being supported by the American Recovery and Reinvestment Act of 2009 (ARRA), which includes funding for the Smart Grid Investment Grant (SGIG) program that encourages utilities and municipalities to start implementing smart metering infrastructure in their communities.
Segmentation Overview
The global smart sensor industry is segmented into type, end-use, and region. By type, the market is segmented into touch sensors, image sensors, temperature sensors, motion sensors, position sensors, and pressure sensors. The end-user segment is divided into the automotive industry, consumer electronics, industrial, infrastructure, healthcare, and others.
By Type
Image Sensors segment is projected as one of the most lucrative segments.
Region-wise, the smart sensor market trends are analyzed across North America (U.S., Canada, and Mexico), Europe (UK, Germany, France, Italy, and Rest of Europe), Asia-Pacific (China, Japan, India, and Rest of Asia-Pacific), and LAMEA (Latin America, the Middle East, and Africa). Asia-Pacific is the largest segment and the region is expected to develop at a significant growth rate during the forecast period. This is attributed to the increase in the adoption of smartphones and the adoption of smart electronic appliances in residential, commercial, and industrial sectors.
Key Developments/ Strategies
Leading smart sensor market players such as Eaton, Honeywell International Inc., and Infineon Technologies AG are focusing their investments on technologically advanced and cost-effective products. For instance, in March 2018, Honeywell launched Amazon Alexa voice-ready sensors for hotels. Honeywell's INNCOM e7 Sensors (e7) is the first enterprise-grade environmental control and energy management solution that incorporates Amazon Alexa voice control for an effortless guest experience that includes room temperature, lighting, drapery, and amenities services. Such advancements are expected to significantly propel the market growth.
By End Use
Automotive segment is expected to secure leading position during forecast period.
Top Impacting Factors
Factors such as robust demand for smart sensors in the automobile sector, growth in trends toward the Internet of Things, and rise in demand for smart sensors in the development of smart cities majorly drive market growth. However, the incorporation of smart sensors in devices incurs extra value and reduces the life of devices. This is expected to hamper the market growth to a certain extent. Furthermore, the rise in the adoption of wearable devices and various innovative applications in the biomedical sector is expected to offer lucrative market opportunities in the global market.
Competition Analysis
Competitive analysis and profiles of the major smart sensor market players such as ABB Ltd., Analog Devices, Eaton, Honeywell, Infineon Technologies, NXP Semiconductors N.V., Renesas Electronics, Siemens, STMicroelectronics, and Texas Instruments.
Covid-19 Impact Analysis
The global smart sensor market has been significantly impacted by the COVID-19 outbreak. Production facilities of electronics and semiconductors have been halted, owing to the slowdown and unavailability of the workforce across the globe. The COVID-19 outbreak has caused a significant and protracted drop in manufacturing utilization, and travel bans & facility closures kept workers out of their factories, which has led to a slowdown in the growth of the smart sensor market in 2020. However, the negative impact of COVID-19 on the smart sensor market is expected to stay for a short period, and by early 2021, the market is anticipated to observe a robust recovery rate, owing to extensive demand for installation of IoT devices across numerous industries and rapidly growing initiatives for smart cities and smart grid technologies.
Asian and European countries under lockdowns have suffered major losses of business and revenue, owing to the shutdown of manufacturing units in these regions. Operations of production and manufacturing industries have been heavily impacted by the outbreak of the COVID-19 disease; thereby, leading to a slowdown in the growth of the smart sensor market in 2020.
By Region
Asia-Pacific would exhibit the highest CAGR of 15.7% during 2020-2027
However, the market is expected to witness a recovery in its growth rate in coming years, owing to growth in the focus of organizations to fulfill the surge in demand for smart technologies driven by the rapid acceleration in IoT-based infrastructure such as smart cities and smart grids across the globe. In addition, the pandemic has increased the number of organizations to modernize their infrastructure with IoT-based sophisticated technology so that production is not hampered if such a pandemic arises in the future.
Key Benefits for Stakeholders
- This study comprises an analytical depiction of the global smart sensor market size along with the current trends and future estimations to depict the imminent investment pockets.
- The overall smart sensor market analysis is determined to understand the profitable trends to gain a stronger foothold.
- The report presents information related to key drivers, restraints, and opportunities with a detailed impact analysis.
- The current smart sensor market forecast is quantitatively analyzed from 2019 to 2027 to benchmark financial competency.
- Porter’s five forces analysis illustrates the potency of the buyers and the smart sensor market share of key vendors.
- The report includes the market trends and the smart sensor market share of key vendors.
Smart Sensor Market Report Highlights
| Aspects | Details |
 By Type |
|
 By End Use |
|
 By Region |
|
 Key Market Players | INFINEON TECHNOLOGIES AG, STMICRO ELECTRONICS, HONEYWELL INTERNATIONAL INC., QUALCOMM TECHNOLOGIES, INC., EATON, NXP SEMICONDUCTOR, TEXAS INSTRUMENTS, SIEMENS AG, RENESAS ELECTRONICS, MICROCHIP TECHNOLOGY INC. |
Analyst Review
According to the insights of the CXOs of leading companies, the smart sensor market holds high potential in the residential sector. The current business scenario experiences rapid development in smart infrastructure and connectivity leading to the readiness to adopt smart sensors, particularly in the developed and the developing regions such as North America, Asia-Pacific, and Europe. Companies in this industry adopt various innovative techniques to provide customers with advanced and innovative features.
Rapid adoption of smart infrastructure in residential and commercial infrastructure, the penetration of IoT and AI based technologies and increased use of smart devices in medical monitoring drive the growth of the global market for smart sensors. However, high cost of products in the developing countries are the barriers to early adoption. This hampers the market growth. Furthermore, technological development by the emerging economies in Asia-Pacific boosts the embedded processors market growth. The ambitious project of 100 smart cities in India is projected to surge the adoption of smarter solutions, since the project is based on the concept of using smart sensors and wireless technology to establish a wide connectivity network.
The smart sensor market provides numerous growth opportunities to the market players such as NXP Semiconductors, STMicroelectronics, Renesas Electronics, and Texas Instruments.
Loading Table Of Content...
