The 360-page report shows combined O-S-D sales growing 5% in 2016 to a new record-high $70.2bn, after increasing just 3% in 2015 to the current annual peak of $66.6bn. O-S-D revenues accounted for nearly 19% of the semiconductor industry’s $353.7bn sales total in 2015 versus about 81% coming from ICs (Figure 1), according to IC Insights’ newly released report.
Total O-S-D revenues continued to outgrow the larger integrated circuit market, which dropped 1% last year to $291.5bn, primarily because of the weak global economy and a 3% decline in memory IC sales. O-S-D’s share of 2015 semiconductor sales was the highest it has been since 1988. IC Insights expects the O-S-D marketplace to account for 20.0% of total semiconductor sales in 2020.
On the strength of optoelectronics and sensor products—including CMOS image sensors, high-brightness LEDs and devices built with microelectromechanical systems (MEMS) technology—total O-S-D sales have outpaced the compound annual growth rate (CAGR) of ICs since the mid-1990s. IC Insights’ new report shows this trend continuing in the next five years.
The 2016 O-S-D Report says modest improvements in the global economy, steady increases in electronic systems production, and new end-use applications—such as wearable systems and connections to the IoT—are expected to collectively lift the three O-S-D market segments by a CAGR of 6.5% between 2015 and 2020 compared to a projected 4.9% annual growth rate for IC sales in the second half of this decade. During 2015, the O-S-D marketplace was a mixed bag of double-digit growth in most optoelectronics products and sales declines in discretes and a number of large sensor categories.
Optoelectronics sales grew 11% to a record-high $35.2bn in 2015 while the discretes market suffered its worst decline since the 2009 semiconductor downturn year, falling nearly 8% to $21.2bn, says the O-S-D Report. The sensors/actuators market increased about 4% in 2015 to a record-high $10.2bn, with steep price erosion in accelerometers, gyroscope devices and magnetic-field sensors dragging down overall growth in this semiconductor segment, according to the report.
In 2016, optoelectronics sales are expected to increase 9% to $38.2bn, while sensors/actuators revenues are forecast to rise again by 4% to $10.6bn and the commodity-filled discretes market is projected to grow just 1% this year. Between 2015 and 2020, all three O-S-D market segments are forecast to expand by more normal annual dollar-sales growth rates—with optoelectronics rising by a CAGR of 8.3%, sensors/actuators increasing at a rate of 5.6%, and discretes being up by a CAGR of 3.5% (Figure 2).
In a one-of-a-kind study, IC Insights continues to expand its coverage of the semiconductor industry with detailed analysis of trends and growth rates in the optoelectronics, sensors/actuators and discretes market segments in its newly revised 360-page O-S-D Report—A Market Analysis and Forecast for the Optoelectronics, Sensors/Actuators and Discretes. Now in its 11th annual edition, IC Insights’ 2016 O-S-D Report contains a detailed forecast of sales, unit shipments, and selling prices for more than 30 individual product types and categories through 2020. Also included is a review of technology trends for each of the segments.
The 2016 O-S-D Report, with more than 240 charts and figures, is attractively priced at $3,390 for an individual-user license and $6,490 for a multi-user corporate license.