MEMS on the fast-track, says Yole
MEMS will see 20% CAGR for units and 13% CAGR for revenues to become a $21bn market in 2017, says Yole Développement.
Yole expects continued strong growth in motion sensing and microfluidics as those sectors will increasingly come to dominate the MEMS market totals, making up almost half of the overall market in 2017, with accelerometers, gyroscopes, magnetometers and combos accounting for about 25% of the total, and microfluidics for 23%.
Yole reckons the market for discrete inertial sensors will begin to decline, but the growth for inertial combo solutions will be huge.
Currently less than $100m, Yole expects combos to be a $1.7bn opportunity by 2017.
Almost all MEMS players had a growth in sales in 2011 compared to 2010.
Companies involved in inertial sensors and microphones are growing the most.
STMicroeletronics has been able to diversify its MEMS offer with a wide range of MEMS devices and 90% of its IDM business done with 2 devices only (accelerometers, gyroscopes).
It has anticipated the growth with early investment in high-volume manufacturing infrastructure with an 8’’ production line.
STMicroeletronics has entered into diverse partnerships to speed time to market and enlarge product offering.
Bosch benefits from the fab infrastructure primarily dedicated to automotive applications to decrease price.
New MEMS devices are coming with CAGR > 90% for some of them!
The MEMS market is still very fragmented, with a number of high volume MEMS applications still limited today.
However, a whole range of new MEMS devices now reaches the market and new “emerging MEMS” devices are coming as well. Some of them have the possibility to Some emerging MEMS devices are ramping up to large volumes quickly: especially those that can be applied to mobile devices like RF MEMS switches, oscillators, auto-focus etc.
New sensors, like humidity and touchscreen, and new actuators like switches, energy harvesting etc are driving future growth.
In addition, growth of the MEMS market will also come from existing sensors that are expanding into new market spaces, sometimes using new types of integration (e.g. pressure sensors).
In 2011, both the number and values of MEMS M&A transactions have boomed, says Yole, a total of $1.7bn in MEMS acquisition value has been realised in 2011.
Early stage MEMS companies are acquired at high prices (e.g. SensorDynamics and Pixtronic) because there are a limited number of candidates which are private and have a solid technology, which make them increasingly attractive given the expansion of the MEMS market and the willingness of many large companies to enter this area.