SerDes Market

SerDes Market Outlook (2023 to 2033)

The global SerDes market stands at US$ 577 million in 2023. According to this detailed study by Fact.MR, worldwide demand for SerDes is predicted to accelerate at a CAGR of 15.4% and reach a market value of US$ 2.42 billion by 2033-end.

Demand for SerDes (serializer/deserializer) is increasing owing to the rising need for speedy data connections to stream and download HD movies and for an exchange of larger datasets without hassles. The growing amount of data is boosting demand for more effective data transfer services, thus leading to SerDes development. SerDes is a prominent technology that is used for the transmission of high-speed data between chips or integrated circuits (ICs). It can convert parallel data into a required serial stream or vice versa. Further, it enables effective communication between numerous components of electronic systems.

The technology plays a significant role in different applications that require reliable and fast data transfer, including automotive systems, data centers, consumer electronics, and telecommunications. The application of SerDes is crucial across different industries. In telecommunication, the technology is used in optical communication systems while ensuring high-speed data transmission in fiber-optic systems.

SerDes is essential for ADAS (advanced driver assistance systems), in-vehicle networking, and infotainment systems in the automotive sector. In consumer electronics, including gaming consoles, tablets, and smartphones, the technology is used to enable high-speed data transfer between components.

Significant expansion of cloud computing services and the proliferation of data centers bolstering requirements for effective communication between storage devices and servers are contributing to the rising demand for SerDes solutions. Implementing SerDes solutions offers several benefits, such as reduced power consumption and the efficient utilization of board space by replacing wide parallel data buses.

Increasing instances of serialization attacks and cyberattacks are leading to growing concerns about the security of data from respective end-use industries. This factor is projected to impede market growth opportunities.

This newly published research report by Fact.MR, a market research and competitive intelligence provider, covers the dynamics of the SerDes market. New developments, growth opportunities, regional overview, prominent challenges, key product ranges, growth strategies, etc., are some vital factors provided in the research report.

Report Attributes	Details
SerDes Market Size (2022)	US$ 500 Million
Global Market Value (2023)	US$ 577 Million
Projected Market Value (2033)	US$ 2.42 Billion
Global Market Growth Rate (2023 to 2033)	15.4% CAGR
Key Companies Profiled	Rambus ON Semiconductor Corporation Texas Instruments Inc. ROHM Semiconductor STMicroelectronics NV NXP Semiconductors NV Renesas Electronics Corp. Cypress Semiconductor Corp. Broadcom Maxim Integrated

Why is Implementation of SerDes Increasing Rapidly on a Global Scale?

“Expansion of Network Infrastructure and Rise of Big Data Fueling Demand for Faster Data Transmission”

Expansion of network infrastructure produces a vast amount of data that needs to be transmitted while following data privacy laws. Data, in recent years, is referred to as fuel to the global economy. With an enormous amount of data being generated every minute, there is a growing need for faster delivery to the respective servers.

Serial interconnects are considered the backbone of modern communication systems that operate as a conduit for consumers’ data. The rise of big data and the digital revolution have led to increased demand for SerDes solutions, necessitating stringent regulations on data privacy.

“Growing Use of SerDes in Telecom Sector and Increased Need for Quantum Computing”

SerDes can transform SOC (system-on-chip) input into serialized data and then transfer the same through an electrical interface. Therefore, the growing use of SerDes in the telecom sector is predicted to enhance opportunities for players.

Expansion of quantum computing activities and data centers is bolstering demand for SerDes chips. This technology transfers data at a rapid speed. Multimedia hardware and powerful microprocessors with high bandwidths are required to enhance system performance and push data transfer limits. These factors are projected to expand the footprint of industry players across the globe.

What Challenges Do SerDes Suppliers Need to Tackle in Their Pursuit of Profitability?

“Rigorous Testing Requirements and Manufacturing & Design Challenges Associated with High-speed Data Transmission”

To achieve reliable and efficient performance in high-speed data transmission, rigorous testing and advanced signal integrity techniques are essential. Development of SerDes technology with increased power efficiency and higher data rates is also predicted to pose manufacturing and design challenges.

“High Cost of SerDes Implementation & Maintenance and Lack of Skilled Professionals”

SerDes technology is comparatively costly. The high cost related to the implementation and maintenance of the technology is curtailing expansion opportunities for the industry. The requirement for skilled personnel proficient in implementing and designing SerDes solutions is also estimated to act as a challenge for market players.

Which Key Innovations by New Players are Expected to Drive High Demand for SerDes?

“Growing Emphasis on Development of SerDes for Devices with Lower Power Modes”

Start-ups are focusing on using SerDes in smart devices with comparatively lower power modes. This is due to the rising need for power conservation across the globe.

There is a growing demand from consumers for electronic devices that offer optimal battery consumption. In response to this demand, new entrants are investing in modifying the architecture of SerDes to meet the requirements of critical applications.

Country-wise Insights

What are the Key Trends Driving the Adoption of SerDes in the United States?

“High Demand for Effective Data Transmission in Data-Driven Services, Artificial Intelligence-based Systems, and IoT Devices”

The market in the United States is predicted to expand at a significant rate during the forecast period, driven by the presence of various SerDes vendors in the country, including Texas Instruments, Maxim Integrated, and Intesil (Renesas).

Growing application of SerDes in automotive and telecommunications industries as well as data centers is predicted to generate lucrative opportunities for players. The constant growth of various data-driven services, artificial intelligence, and IoT devices is boosting the need for effective data transmission. Early adoption of advanced technologies and concentration on product innovation is strengthening the position of the SerDes space in the United States.

What Makes the United Kingdom and Germany Profitable Markets for SerDes Providers?

“Extensive Adoption of Cloud Technology and Digital Equipment”

The United Kingdom and Germany are two prominent markets in the European region. Germany is predicted to hold a significant share of the Europe market, and the United Kingdom market is projected to expand at a rapid pace. The expansion of these markets is attributed to the increased uptake of cloud technology and digital equipment.

Why are Providers of SerDes Attracted to the Indian Market?

“Widespread Utilization of SerDes Technology in Computers, Smartphones, and Aircraft”

In the past few years, there has been a significant increase in the population of India, which is contributing to the expansion of various industries. Some of these industries include military & defense, healthcare, aerospace, automotive, manufacturing, and telecommunications & information technology. This trend is driving up the demand for SerDes, as the technology is used widely in a range of applications from computers and phones to aircraft.

Category-wise Insights

Which SerDes Technology Accounts for Higher Revenue Generation?

“Expansion of Quantum Computing Activities Driving Substantial Sales of Standalone SerDes”

The global market for SerDes can be classified into two types: standalone SerDes and SerDes IP core. Demand for standalone SerDes is expected to grow significantly in the next decade. This growth can be attributed to the increasing demand for SerDes chips driven by the expansion of quantum computing activities and the expansion of data centers.

SerDes provides data transfer facilities that are comparatively fast. Various multimedia hardware and powerful microprocessors with high bandwidths are required with the expansion of information technology networks to improve system performance and increase the limits of data transfer.

Which End-use Application of SerDes Offers Lucrative Opportunities for Market Players?

“Increasing Implementation of 5G Wireless Infrastructure Driving SerDes Adoption”

Optical fiber communication, data centers & cloud computing, 5G wireless infrastructures, ADAS (advanced driver assistance system), and vehicle infotainment are some popular application areas of SerDes. Among these, the 5G wireless infrastructure segment held a 66% share of the global market in 2022. SerDes is used significantly in televisions, laptops, and due to the challenges posed by slim cell phones with multiple features and capabilities, which require complex system design.

Certain difficulties are encountered in data rotation in smartphones while reducing noise and controlling energy consumption. Utilization of SerDes is predicted to help manufacturers in resolving these issues.

Key Market Players

Quality control, maintaining product standards, strengthening supply chain management systems, and similar initiatives are incorporated by prominent providers of SerDes. These initiatives are projected to help industry players with adding value to their portfolios, which is predicted to lead to the expansion of their global footprints.

Novel product launches and collaborations are some strategies incorporated by players to gain a competitive edge.

For instance :

• In August 2022, Credo Technology Group Holding Ltd. introduced the 112G PAM4 SerDes IP (Intellectual Property) family, catering to a range of applications such as switching, machine learning (ML), artificial intelligence (AI), computing, optical deployments, and security.

Prominent players in the SerDes market include Rambus, ON Semiconductor Corporation, Texas Instruments Inc., ROHM Semiconductor, STMicroelectronics NV, NXP Semiconductors NV, Renesas Electronics Corp., Cypress Semiconductor Corp. Broadcom, and Maxim Integrated.

Segmentation of SerDes Industry Research

• By Product :

  • Standalone SerDes
  • SerDes IP Core

• By Application :

  • Optical Fiber Communication
  • Data Centers & Cloud Computing
  • 5G Wireless Infrastructures
  • ADAS (Advanced Driver Assistance System)
  • Vehicle Infotainment

• By Component :

  • Clock Multiplier Units
  • Lanes
  • Physical Coding Sub-blocks

• By Region :

  • North America
  • Europe
  • Asia Pacific
  • Latin America
  • Middle East & Africa