Mobile processor market to hit 4 billion units in 2014

Competition in the mobile processor market will heat up in the coming years, particularly between ARM and x86, which currently dominate the low and high-end segments respectively. The battle will move toward midrange devices, says In-Stat.
Midrange devices include e-readers, tablets and notebooks. Tablets represent the fastest growing market segment for mobile processors with a compound annual growth rate (CAGR) of 123.6% from 2009 through 2014.

“ARM will dominate in the handsets and high-end handheld solutions like tablets and e-readers; the x86 architecture, primarily Intel at this point, will dominate in the PC-like solutions ranging from netbooks up through traditional notebooks; MIPS will continue to dominate in the limited-function handheld solutions; and SH will continue to have its market niches in the Japanese device market,” says Jim McGregor, In-Stat's chief technology analyst.  “In addition, there are likely to be many moves by both start-ups and existing companies, such as the ASIC, MCU, and connectivity vendors to expand into the mobile processor market through internal growth and acquisitions.”

The company pointed out that other architectures, such as MIPS and SH, are equally suited to power mobile SoCs and as more emphasis is placed on the OS and mobile applications, the use of a particular processor architecture or instruction set is likely to become less important, says In-Stat.  The differentiating factors will become become price, power, and performance.

The trend toward integrated baseband modems will also become a critical differentiator for mobile processors over the next few years, the company predicted. It estimated that about 75 perent of all mobile processors will be multi-core in 2014, and an even higher percentage will have integrated baseband.

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