June 15, 2024
Sensor Market

Sensor Market Propelled by Emergence of IoT and Connected Devices

Sensors are devices that detect and respond to some type of input from the physical environment. The main technologies used in sensors include electronics, optics, electromagnetism, etc. Sensors detect physical properties like temperature, pressure, moisture, motion, etc., and convert them into electrical signals for transmission and display or for initiating other automatic controls. Sensors have wide applications in consumer electronics, wireless technologies, healthcare, automation, security surveillance, safety systems and many more. The global growth in smart home, smart cities and industrial automation initiatives has augmented the demand for various types of sensors.

The global Sensor Market is estimated to be valued at US$ 226.91 billion in 2024 and is expected to exhibit a CAGR of 6.0% over the forecast period 2024-2030, as highlighted in a new report published by Coherent Market Insights.

Market key trends:
Emergence of IoT and connected devices presents growth opportunity for various types of sensors markets. IoT involves embedding electronics and sensors in ordinary objects to connect them to a network, often the internet. By 2025, it is estimated that over 75 billion IoT devices will be connected globally incorporating various sensors to capture data and enable connectivity and automation. The proliferation of IoT devices for applications in wearables, smart home appliances, industrial controls, automation and more will spur demand for sensors dealing in temperature, pressure, motion, environmental and other parameters. Advances in nanotechnology have also enabled the development of highly compact and cost-effective sensor technologies which are fuelling its adoption in mass consumer products enabled by IoT. This growing IoT ecosystem acts as a key driver for various segments in global sensor market over the forecast period.
SWOT Analysis

Strength: Sensor technology is evolving rapidly with innovations in MEMS, wireless connectivity, and machine learning driving new applications and use cases. Advances in fabrication processes have made sensors smaller, cheaper, and more powerful.

Weakness: High initial investment costs associated with sensor R&D, manufacturing, and deployment can be prohibitive for some organizations. Integration challenges also exist with legacy systems not originally designed for sensor capabilities.

Opportunity: The growth of IoT, Industry 4.0, and smart cities is opening many new opportunities for sensor integration across a wide array of industries. Applications in automotive, healthcare, consumer electronics, and more continue to emerge.

Threats: Security and privacy concerns exist as more sensitive data is collected and transmitted. Increased low-cost competition from Asia threatens some established sensor brands. Standards fragmentation can complicate large-scale interoperability.

Key Takeaways

Global Sensor Market Size is expected to witness high growth over the forecast period of 2023 to 2030 supported by a projected CAGR of 6.0%. Rapid digitization and the widespread proliferation of connected devices are driving increasing need for various sensor types across multiple verticals.

Regional analysis comprises Asia Pacific currently dominates the global sensor market and is expected to continue high growth through 2030 supported by major manufacturing hubs in China, South Korea, Taiwan and investments in smart infrastructure. North America and Europe are also significant regional markets benefiting from ongoing industrial automation initiatives and focus on emerging technologies like autonomous vehicles.

Key players operating in the sensor market are Texas Instruments, STMicroelectronics, TE Connectivity Ltd., NXP Semiconductors, Broadcom Ltd., Infineon Technologies AG, Analog Devices, Inc., Sony Corporation, TDK Corporation, and Omron Corporation. Various acquisitions and partnerships have taken place to bolster product portfolios and expand into new geographies and applications. Innovation in materials and nanotechnologies are enabling more capable and cost-effective sensors.

1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it