Wi-Fi IC shipments forecast to surpass 770 million units in 2010

SINGAPORE: Global shipments of Wi-Fi ICs have experienced an extraordinary growth in recent years, due to the increasing demands for wireless-enabled devices and enterprise level applications.

Wi-Fi IC shipments are forecast to surpass 770 million units in 2010, up almost 33 percent compared to 2009. Shipment of 802.11n ICs will surge ahead of 802.11g and dominate the market this year, accounting for approximately 60 percent of the total Wi-Fi IC shipments.

Growth engine
“The 802.11n standard which was ratified last year is a powerful growth engine to drive the Wi-Fi IC market increases,” says ABI Research wireless and semiconductor industry analyst Celia Bo.The accompanying chart shows the Wi-Fi IC shipment forecast by product type.

The cellular handsets segment is seen to be maintaining the highest unit shipment of Wi-Fi-enabled products in next five years, achieving an estimated CAGR of 25 percent between 2009 and 2015; the penetration rate will reach approximately 40 percent of the total handsets shipped in 2015.

Laptops, netbooks, and MIDs are other segments which will see higher shipments across all Wi-Fi-enabled products, and the trend will carry on throughout the following years.

Consumer electronics set the pace
“The penetration rate of Wi-Fi ICs in consumer electronic products will to grow continue robustly,” Bo continues. “Total shipments of consumer electronic products with Wi-Fi functionality are expected to exceed 530 million in 2015, with a 26 percent CAGR between 2009 and 2015.

“Shipments of Wi-Fi-enabled digital still cameras, TVs and DVD players will increase more than ten-fold in 2015 as compared to 2009. The demand for Wi-Fi-enabled home entertainment products such as networked game consoles and handheld game consoles is increasing as well: between 2009 and 2015, the CAGR will reach 8 percent and 6 percent, respectively.”