Vision Processing Unit Market - Size, Share, Industry Trends, and Forecasts (2024 - 2031)

By Fabrication Process:

Based on the fabrication process, the market is bifurcated into ≤16 nm and 16–28 nm.

Trends in the fabrication process:

• The trend towards miniaturization of chipsets for enhancing performance and efficiency is driving the need for a ≤16 nm fabrication process.
• The trends towards the growing semiconductor sector which is propelling the advancement in the fabrication process for applications in AR and VR technologies.

The ≤16 nm segment accounted for the largest revenue share in the year 2023.

• ≤16 nm fabrication process has a major advantage of improved performance and less power consumption driving the adoption of ≤16 nm fabrication process.
• Additionally, the ≤16 nm fabrication process is majorly used in high-end mobile computing, automotive electronic applications, and others propelling the progress of the vision processing unit industry.
• For instance, Samsung has developed an Exynos 8895 processor for improved performance and power efficiency. The processor is embedded with a vision processing unit with advanced 10nm FinFET process technology.
• Thus, as per the analysis, the rising need for various applications and aforementioned advantages is driving the evolution of ≤16 nm fabrication process in turn propelling the vision processing unit market trends.

The 16–28 nm is anticipated to register the fastest CAGR during the forecast period.

• The 16-28 nm fabrication process features high performance and low power consumption capabilities driving the progress of the vision processing unit market.
• Further, the rising adoption in various applications including 5G RF transceivers, Internet of Things (IoT), and automotive radar among others propelling the vision processing unit market expansion.
• For instance, the Intel Movidius Myriad 2 Vision Processing Unit utilizes a 28nm fabrication process designed for enhancing performance and energy efficiency.
• Therefore, as per the analysis, the aforementioned features and a wide range of applications are anticipated to boost the market during the forecast period.

By Application:

Based on the application, the market is segmented into ADAS, Smart Phones, Cameras, Surveillance Systems, Medical Imaging Technologies, HVAC Systems, Smart Homes, and Others.

Trends in the Application:

• The trend toward smart city initiative is fueling the growth of the vision processing unit market in smart home applications.
• The growing healthcare sector is increasingly leveraging vision-based processing units for enhancing medical imaging and diagnostic capabilities propelling the market trend.

Smart Phones accounted for the largest revenue share in the year 2023 and are anticipated to register the fastest CAGR during the forecast period.

• The primary role of the vision processing unit in smartphones is to enhance the capabilities of various advanced features such as image processing, object detection, AR & VR, among others driving the vision processing unit market demand.
• Further, the increasing shift towards the user experience is propelling the development of smartphone applications.
• For instance, in December 2021, HiSilicon launched HiSilicon AI ISP`, which is a smart image signal processor for Internet of Things (IoT) smart devices. The Processor is a combination of the neural network processing unit and a vision processing unit for seamless hardware-software collaboration.
• Thus, as per the analysis, the shift towards enhancing user experience and the need to enhance the capability is driving the smartphone application of the market.

By End-User:

Based on the end-user, the market is segmented into Automotive, Security and Surveillance, Healthcare, Consumer Electronics and Others.

Trends in the End-User:

• The need for tracking patient movements and behaviors as well as improving patient care and safety is propelling the healthcare segment.
• The trend towards understanding customer buying patterns and preferences which helps in enhancing customer experiences is driving the market in the retail sector.

Security and Surveillance accounted for the largest revenue share of 33.98% in the year 2023.

• Vision processor unit in the security and surveillance segment utilizes smart image processing capabilities in the system to process, compress, and store digital images.
• Further, the rapidly advancing digital age is propelling the need for integrating computer vision into CCTV systems to improve security, public safety, and data analysis driving the progress of security and surveillance.
• For instance, in February 2023, Dahua launched the IPC WizMind S Series surveillance system. The system utilizes AI technology to improve image performance and intelligent functions and supports flexible environment adaptability.
• Thus, as per the analysis, the rapidly advancing digital age is driving the vision processing unit market demand for the security and surveillance segment.

The Automotive is anticipated to register the fastest CAGR during the forecast period.

• The vision processor unit plays a key role in enhancing various automotive features such as parking assistance, lane departure warnings, collision avoidance systems and other boosting the automotive segment.
• Further, the VPU has the ability to handle large amounts of data by providing a high level of functionality with low power consumption is driving the market.
• For instance, NXP Semiconductors have Automotive Vision Systems to enhance the advanced driver assistance systems and achieve fully autonomous L5 vehicles.
• Therefore, according to the vision processing unit market analysis, the ability to handle large amounts of data is anticipated to boost the evolution of the vision processing unit market size during the forecast period.