Taiwan Sensors Market Size

Taiwan Sensors Market Analysis

The Taiwan Sensors Market size is estimated at USD 3.70 billion in 2024, and is expected to reach USD 5.11 billion by 2029, growing at a CAGR of 6.67% during the forecast period (2024-2029).

• The demand for sensors is increasing in Taiwan owing to the rapidly evolving consumer electronics market, increased demand for 5G smartphones and gaming laptops, and the adoption of cutting-edge technologies such as AI and ML in electronic devices. Smartphones gained traction across the country owing to several factors, like increasing disposable income, the advent of 5G, the development of telecom infrastructure, etc.
• Sensors in smartphones are employed to detect various aspects of the environment. With the growing evolution of smartphones, the number of sensors embedded in the body is also increasing. Several types of sensors like motion sensors, environmental sensors, position sensors, ambient light sensors, proximity sensors, accelerometer sensors, gyroscope sensors, and barometer sensors. etc., are utilized in smartphones. The increasing penetration of smartphones would offer robust opportunities for boosting the market studied.
• The increase in the use of wearable devices is a significant trend in the market. Market growth is anticipated as consumer interest grows due to advancements in technology. Due to the growing demand for wearable devices, key manufactuers focus on new product launches and innovative product developments. In March 2024, Samsung unveiled its latest wearable, the Galaxy Ring, at the Galaxy Unpacked event. Scheduled for a late summer 2024 release, this ring-shaped device promises to track health metrics, offering insights akin to a smartwatch's.
• Further, according to GSMA, in 2023, the number of mobile 4G connections in Taiwan increased to 37% compared to the previous year. Taiwan initiated the implementation of its 5G network. According to forecasts, over 50% of all mobile internet connections in the country are expected to be based on 5G technology by 2025. Thus, the growth of 5G technology significantly drives the demand for sensors as 5G technology operates at higher frequencies, including sub-6 GHz and millimeter-wave bands.
• As machines evolve to become more intelligent and intuitive in the Industry 4.0 revolution, the demand for sensor applications in industrial settings is surging. These advanced devices prioritize efficiency, safety, and flexibility, autonomously monitoring their performance, usage, and potential failures.
• The high costs associated with research and development for creating new products pose a significant challenge, especially for smaller sensor manufacturers that may lack funds. The technological requirements necessitate that the sensing elements operate at a high bias voltage of 5V and generate signal voltages in the range of a few microvolts (μV). Fluctuations in the supply voltage and temperature significantly impact the stability and accuracy of the device's outputs.
• The rising inflation rates have increased the cost of goods and services, including consumer electronics. Higher costs lead to reduced purchasing power for consumers and businesses, slowing market growth. Further, the ongoing war between Russia and Ukraine has disrupted the global supply chain, particularly affecting the availability and cost of electronic components and raw materials used in electronic devices. This is leading to delays in production and increased costs for manufacturers. The reduced demand for consumer electronics significantly hampers the market growth.