Market Overview
The Ethernet PHY chip market can reflect growth at 10.3% CAGR during the forecast period 2018 to 2026. Factors propelling the market development include adoption of 25GB Ethernet based servers in data centers and need for high intensity switches for fast-paced connection. The permeation of internet in far-flung countries, progressions in internet of things (IoT), and online video streaming can stir high demand in the Ethernet PHY chip market. Enterprises are rapidly adopting 25GbE servers owing to its top-notch performance when matched to 40GbE servers. Furthermore, it can decrease the sale of Ethernet switches and offer low cost advantages by curtailing operational spending. Surged demand for high-density switches can procure massive demand in the Ethernet PHY chip market. Popularity of online video streaming sites and inclination towards connected cars can drive its application. But lack of network infrastructure in emerging economies can restrain the market growth.
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Key Players
Global Ethernet PHY chip market is dominated by prominent players such as Cirrus Logic, Inc. (U.S.), Texas Instruments Incorporated (U.S.), Barefoot Networks (U.S.), Broadcom (U.S.), Marvell (U.S.), Intel Corporation (U.S.), Davicom Semiconductor Inc. (Taiwan), Microchip Technology Inc. (U.S.), NXP Semiconductors (The Netherlands), and Silicon Laboratories (U.S.).
Market Segmentation
The Ethernet PHY chip market is segmented based on number of ports, industry application, and data rate. Based on number of ports, single ports can portray 8.8% CAGR, while dual ports can reflect 8.1% CAGR. The ‘others’ segment displays the highest CAGR of 17.3% throughout the forecast period to attain an approximate revenue of USD 3,583.1 mn by the conclusion 2026. In 2017, the market worth was USD 863.5 mn. Based on industry application, the automotive segment is projected to witness growth at an exemplary 12.7% CAGR to create a revenue of USD 2,070.8 mn by the conclusion of 2026. Meanwhile, the industrial automation segment is estimated to portray 11.9% CAGR throughout the review period to reach a size of USD 2,446.1 mn. Based on data rates, the greater-than-100-Gbps or equal-to-100-Gbps segment is likely to present the highest CAGR of 14.7% over the assessment period. It can accumulate around USD 3,577.4 million by the conclusion of 2026. However, the 10/100/1000 Mbps segment is anticipated to project growth at a CAGR of 12.8% throughout the review period to produce close to USD 6,169.2 million by the ending of 2026.
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Regional Analysis
Based on geography, the Ethernet PHY chip market is segmented into North America, Asia Pacific (APAC), Europe, and Rest-of-the-World (RoW). In 2017, APAC represented 37% market share, followed by North America (29%), Europe (24%), and RoW (11%). The APAC market is expected to hold 9.6% CAGR to attain a worth of USD 4,973.7 mn by 2026. Forces that propel regional growth broadly include demand for high performing applications, burgeoning expansion of the telecommunications sector, and rapid industrialization. Presence of electronics and assorted semiconductor chip manufacturers in the market can enable the Ethernet PHY chip market growth. On the other hand, the North America market is likely to witness growth at 11.6% CAGR over the forecast period to generate almost USD 4,517.2 mn. The growth is owing to the rapid development of the semiconductor segment and implementation of updated communication networking technologies. Furthermore, the establishment of data servers to deal with the incessant diffusion of information at prompt speeds can stimulate the Ethernet PHY chip market demand. The Europe market is estimated to witness 10.1% CAGR over the assessment period to attain an estimated turnover of USD 3,328.4 million by the conclusion of 2026.
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