Smartphone Application Processor Market - Size, Industry Share, Growth Trends and Forecasts (2024 - 2031)

By Type:

Based on type the market is segmented into dual-core processors, quad-core processors, hex-core processors, octa-core processors, deca-core, and others.

Trends in the panel type:

• There is a general trend towards increasing the number of cores in smartphone processors. Manufacturers are consistently pushing for higher core counts to enhance multitasking and performance.
• Quad-core processors often feature power management technologies that enable them to adjust performance based on the workload. This improves energy efficiency by optimizing power consumption, rather than constantly running at full speed.

The octa-core processors segment accounted for the largest revenue share in 2023.

• Octa-core processors have eight cores organized into two groups of four cores, with each core capable of performing tasks similar to a quad-core processor.
• It offers a balanced combination of performance and efficiency, making it suitable for a worldwide range of smartphones from mid-range to flagship models.
• In January 2022, Samsung Electronics launched the Exynos 2200, the smartphone processor featuring a powerful AMD RDNA 2 architecture-based Samsung Xclipse graphics processing unit (GPU) and octa-core CPU for enhanced performance.
• Hence, the market analysis concludes that the trend for balanced performance and efficiency of octa-core processors is boosting the global smartphone application processor market trend.

The Deca-core processor segment is anticipated to register significant CAGR growth during the forecast period.

• The Deca-core processor incorporating ten Central Processing Unit (CPU) cores can run multiple applications offering superior multitasking performance and smooth operations.
• These processors with a high core count provide the necessary computational power to handle complex graphics, higher frame rates, and 4K video playback.
• Additionally, these processes allow for more cores to be packed into a single chip while maintaining power efficiency and thermal management.
• In May 2024, Apple introduced the M4 chip, offering remarkable performance with advanced 3-nanometer technology. The chip boosts the power efficiency of Apple silicon and enables the sleek design of the iPad Pro. The most recent CPU has a maximum of 10 cores, while the 10-core GPU is built on M3's next-generation GPU architecture, introducing dynamic caching, hardware-accelerated ray tracing, and hardware-accelerated mesh shading to iPad.
• Thus, the growing trend for superior multitasking and smooth operations is anticipated to propel the global smartphone application processor market opportunities.

By Operating System :

Based on the operating system, the market is segmented into iOS, Android, and others.

Trends in the operating system:

• Custom OS platforms often used in niche markets, emphasize security and privacy. These smartphone devices prioritize secure communication and data protection catering to personalized demand.
• iOS provides timely and consistent software updates across its devices, for seamless and lag-free usage of the smartphone.

The Android segment accounted for the largest revenue share of 57.88% in 2023.

• Android is the most widely used mobile operating system globally, with a substantial user base.
• Factors including app and service ecosystems available through the Google Play Store and Google Cloud for data storage, as well as support and enhance the functionality of Android devices.
• Additionally, the processors integrated with Android systems offer smooth multitasking, enhanced connectivity, and reduced latency.
• For instance, Qualcomm Technologies' Snapdragon Seamless, a cross-platform technology that facilitates a smooth multi-device experience on Android operating systems. It includes a wide range of tools and services, connects devices, and enables information sharing through advanced low-power, low-latency technologies.
• Therefore, as per the analysis, the need for apps and services incorporated with Android is boosting the smartphone application processor market growth.

The iOS segment is expected to witness significant CAGR growth during the forecast period.

• iOS is known for seamless integration with Apple products and services, including iPhones, iPads, Macs, Apple Watch, and Apple TV, providing enhanced user experience.
• Features including secure enclave, Face ID, and regular security updates ensure secure user information and communication offering personalization.
• In September 2022, Apple released iOS 16 with new features and enhancements including a customizable lock screen designed to use Touch ID or Face ID for biometric verification, improved focus mode, and advanced privacy protection.
• Hence, the demand for enhanced security and protection is driving the smartphone application processor market opportunities in the forecast period.

By End User:

Based on end-user the market is segmented into Individuals, Professionals, Gamers, Students, Photographers, and Others.

Trends in the End User:

• Enhanced security features, including biometric authentication and encrypted storage are increasingly being used by professionals who handle sensitive data and require robust protection.
• Increasing support for educational apps and e-learning platforms, with processors optimized to handle interactive learning, video lectures, and collaborative tools efficiently.

The individual segment accounted for the largest revenue share in 2023.

• The general individual segment includes the largest number of consumers globally.
• Smartphones are essential for everyday activities including communication, social media, web browsing, and basic multimedia consumption, making them indispensable for most individuals.
• Additionally, the processors offering enhanced security, data protection, and personalization are boosting the trend.
• In June 2023, Apple announced iOS 17 improving the personalized and user-friendly aspects of the iPhone. The update enhances communication with Phone, FaceTime, and Messages, streamlines sharing via AirDrop, and enhances typing with smarter input for speed and accuracy.
• Therefore, the analysis concludes that individuals seek enhanced personalization and security, propelling the smartphone application processor market share.

The gamer segment is anticipated to register the fastest CAGR growth during the forecast period.

• The rapid growth of mobile gaming is driving the entertainment industry, with the convenience and accessibility of gaming on smartphones leading the way.
• Features including high-refresh-rate displays, improved audio, and haptic interface in devices are targeting the gamers segment.
• Additionally, the processor supporting gaming apps in smartphones enhances the user experience by making it more interactive.
• In May 2023, the ONE Esports mobile app supported by Samsung was released solely for Samsung Galaxy smartphones, offering Samsung Galaxy users first access to the latest esports news, enhancing the gaming experience.
• Thus, the trend for gaming apps for smartphones is expected to boost the smartphone application processor market demand

Regional Analysis:

The regional segment includes North America, Europe, Asia Pacific, the Middle East and Africa, and Latin America.

Asia-Pacific region was valued at USD 3,571.80 Million in 2023. Moreover, it is projected to grow by USD 3,752.11 Million in 2024 and reach over USD 6,130.68 Million by 2031. Out of this, China accounted for the maximum revenue share of 36.1%.

Asia Pacific has the fastest-growing smartphone application processor market, fueled by a high population and increasing smartphone penetration in countries including, China, India, and Southeast Asia. Moreover, the rapid adoption of new technologies, including 5G, AI integration, and advanced gaming features, boosts the need for high-performance processors.

• In January 2021, Samsung Electronics Co. Ltd. (South Korea) introduced 5G advancement with the recent launch of the company's vRAN 2.0 solutions, offering fully virtualized commercial 5G RAN from a single vendor. This will assist in developing programmable networks that can dynamically and effectively deliver the necessary network resources to customers using various advanced wireless services and applications.

North America is estimated to reach over USD 8,085.36 Million by 2031 from a value of USD 4,877.77 Million in 2023 and is projected to grow by USD 5,108.90 Million in 2024.

North America remains a significant market due to the increasing need for premium smartphones. The region sees continuous expansion driven by technological advancement and consumer preferences for high-performance devices. Additionally, the presence of major tech companies and strong R&D capabilities contribute to the development of advanced processors.

• In January 2022, Intel (US) unveiled the 12th Gen Intel Core H-series mobile processor, with Up to 5 GHz frequencies, 14 cores (6 P-cores and 8 E-cores), and 20 threads, delivering the fastest and most high-performance processor.

Europe is experiencing consistent growth driven by the increasing need for high-performance smartphones in countries including the UK, Germany, and France. Consumers prefer devices with robust performance and security features sustainable and energy-efficient processors proliferating the smartphone application processor market demand.

As per the smartphone application processor market analysis, the Latin American market is expanding, with growing consumer adoption of smartphones, the main markets being Brazil, Argentina, and Mexico. Consumer interest in high-end smartphones is increasing, leading to a higher demand for improved processors.

In the Middle East and Africa, the market is poised to grow with the increase in digitalization and smartphone penetration among consumers. The adoption of 5G and enhanced security is propelling the expansion of smartphone application processors.