Wireless sensor network IC shipments bounce back in 2010

LONDON, UK: Demand for wireless sensor networks is showing significant growth following a period in which adoption was impacted by the economic downturn.

In 2009, 802.15.4 chipset shipments were down almost 30 percent compared with the previous year. But according to the latest ABI research report on the WSN market, a strong uplift in shipments in 2010 will help drive growth from a little more than 10 million chipsets in 2009 to 645 million in 2015, a CAGR of 99.6 percent.

“Because they are based on emerging technology, wireless sensor network adoption suffered during 2009 as pilots and early projects were scaled back or put on hold. However, 2010 has seen a significant rebound and strong shipment growth,” says ABI research principal analyst Jonathan Collins.

But the economy hasn’t been the only factor affecting market growth, and it should be noted that different markets have seen varying adoption rates. There is an increasing swing toward 802.15.4-based shipments compared with the proprietary solutions that have traditionally dominated the space.

Initiatives such as ZigBee RF4CE for home entertainment systems have already started to deliver significant market growth and while ZigBee is far from the only 802.15.4-based technology delivering short range wireless connectivity, it is leading in the early adoption of “smart energy” and home automation. Other key markets for WSN adoption are home, building and industrial automation.