Overview of the RF Chip Market in 2024 - The Future Is Here: The Pivotal Role of RF Chips in the Intelligent World

Radio Frequency (RF) Chips are the core components in wireless communication systems, specifically responsible for handling the transmission and reception of RF signals. Their main tasks include signal amplification, modulation and demodulation, filtering, and frequency synthesis, enabling devices to communicate efficiently and stably in a wireless environment. Since RF chips connect antennas and digital signal processors in the signal link, they play a crucial role in determining the communication performance of devices.

With the rapid development of wireless communication and the Internet of Things (IoT), RF chips have become an indispensable part of a wide range of applications from consumer electronics to the Industrial Internet of Things. The application areas of RF chips cover multiple industries such as consumer electronics, communication equipment, IoT terminals, and automotive electronics.

In consumer electronics, RF chips are commonly used in devices like smartphones, smart watches, and wireless headphones. These devices have higher requirements for the low power consumption, high integration level, and small size of the chips. Communication equipment such as base stations and routers places more emphasis on the signal transmission quality, distance, and anti-interference ability of RF chips. For IoT devices, applications such as smart homes and the Industrial Internet of Things are sensitive to the cost and power consumption of the chips. In the automotive electronics field, RF chips need to meet higher reliability and stability requirements to adapt to the special needs of vehicle networking and autonomous driving.

Filters
Filters can be regarded as the core components of the RF front end and are crucial for manufacturing 5G RF chips. Currently, the most mainstream implementation methods of RF filters are Surface Acoustic Wave (SAW) and Bulk Acoustic Wave (BAW). SAW, which stands for Surface Acoustic Wave filter, is a specialized filtering device made by utilizing the piezoelectric effect and the physical characteristics of surface acoustic wave propagation. It features excellent frequency selectivity (with an optional frequency range of 10 MHz to 3 GHz), small input and output impedance errors, low transmission loss, and good anti-electromagnetic interference performance. The BAW filter is different from the SAW filter. In the BAW filter, sound waves propagate vertically. The metals attached to the top and bottom sides of the quartz substrate excite the sound waves, causing them to bounce from the top surface to the bottom to form standing sound waves. However, the core technologies of filters are mainly in the hands of the United States. In the global market, it is also dominated by American companies. The main suppliers of SAW filters are TDK-EPCOS and Murata, which together account for 60 - 70% of the market share. The main suppliers of BAW filters are Broadcom and Qorvo, which hold more than 90% of the market share. This undoubtedly adds considerable difficulty to China's realization of fully independent manufacturing of RF chips.

Power Amplifiers (PA)
Radio Frequency Power Amplifiers (PA) are often referred to as the pearls on the crown of RF devices, and their importance is self-evident. As the main device in the transmitting path of the RF front end, PA is mainly used to amplify the low-power RF signals generated by the modulated oscillation circuit to obtain a sufficiently large RF output power. When PA is applied to mobile phones, it directly determines the distance of wireless communication, signal quality, and even standby time of the mobile phone. It is the most important part in the entire RF system besides the baseband. However, looking at the global market, the leaders in the PA market are still Skyworks, Broadcom, Qorvo, and Murata. But with the advent of the 5G era, the demand for RF PA will increase significantly. This is both an opportunity and a challenge for domestic RF PA.

RF Switches
The function of RF switches is to connect any one or several of multiple RF signals through control logic to achieve the switching of different signal paths, including the switching between reception and transmission, and the switching between different frequency bands. Although RF switches are not as important as filters and PA in the front-end module, they are also an indispensable part of RF chips. Different from the global markets of filters and PA, the global RF switch market size was 225.58 billion yuan (RMB) in 2022. In the same year, the domestic RF switch market capacity was 60.14 billion yuan, accounting for 26.66% of the global RF switch market. With the development of 5G communication, the proportion of China's RF switch in the global market is still expected to increase.

 

Global Market Analysis of RF Chips

According to the data collected by SIC, the global RF chip market size was approximately $17.283 billion in 2023 and is expected to reach $48.055 billion by 2030, with a compound annual growth rate of 15.73%. This is mainly due to the extensive deployment of 5G communication networks, the rapid growth in the demand for Internet of Things (IoT) and smart home devices, as well as the emergence of autonomous driving vehicles and vehicle-to-everything (V2X) technologies. These fields have a continuous demand for high-frequency, low-latency, and high-performance RF chips, driving the steady expansion of this market. The continuous technological advancements of RF chips have made them more excellent in signal processing, integration, and power consumption management, further promoting the growth of the market.

 

 

Analysis of the RF Chip Industrial Chain

The RF chip industrial chain consists of upstream raw material suppliers, midstream chip design and manufacturing companies, and downstream application equipment manufacturers and end markets. Each link in this industrial chain collaborates closely to jointly promote the technological progress and market expansion of RF chips, meeting the ever-increasing demands of wireless communication and the Internet of Things.

In the upstream, raw material suppliers provide the key materials required for manufacturing RF chips, including silicon, gallium arsenide (GaAs), gallium nitride (GaN), and other compound semiconductor materials. The selection of these materials has a decisive impact on the performance of RF chips, as different materials determine the working frequency, power, and heat resistance of the chips. With the development of high-frequency applications such as 5G and millimeter-wave communication, the demand for high-performance materials is increasing daily, and the competition among upstream manufacturers in terms of technology and cost optimization is intensifying.

The midstream mainly comprises the design, manufacturing, and packaging and testing of RF chips. The design process of RF chips involves various technologies such as high-frequency circuit design, signal processing, and power amplification, with high complexity and strict requirements. During the manufacturing process, advanced technological processes (such as 28-nanometer or even smaller process nodes) and high-precision packaging technologies have a direct impact on the stability, integration, and power consumption of the products. Chip design and manufacturing enterprises in China, the United States, South Korea, and Japan are in fierce competition in the midstream section. Some of these companies are increasing their investment in research and development to enhance their design capabilities and manufacturing processes, meeting the demands of high-bandwidth communications such as 5G and future 6G.

The downstream application links cover multiple fields such as consumer electronics, communication equipment, IoT devices, and automotive electronics. The demand for RF chips in smartphones, routers, smart home devices, wearable devices, and autonomous driving systems is increasing year by year. These application scenarios have different requirements for RF chips: consumer electronics focus on low power consumption and miniaturization, communication equipment pays attention to anti-interference and signal quality, and automotive electronics pursues high stability and durability. Downstream manufacturers cooperate closely with midstream chip enterprises, meeting the diverse needs of the end market through mass production and customized design.

In addition, policy support and changes in international market demand are also affecting each link of the RF chip industrial chain. The policies and market demands of China and the United States in the semiconductor field have had a profound impact on the RF chip industrial chain. Some companies are responding to the changing market environment through independent research and development, supply chain integration, etc. Driven by the common forces of demand, technological progress, and policy support, the entire industrial chain will experience rapid development in the coming years.

 

Competition Pattern in the RF Chip Market

According to the data collected by SIC, the competition pattern in the global RF chip market exhibits highly concentrated and regionalized characteristics. The competition in the RF chip market is mainly dominated by leading countries such as the United States and Europe. Major companies rely on their technological advantages and scale effects to occupy leading positions in different fields. Generally speaking, these companies have their own characteristics in terms of chip design, manufacturing processes, and application field layouts. Globally, the United States and Europe are the main competitors in the RF chip field.

Companies in the United States such as Qualcomm, Broadcom, Skyworks, Qorvo, Texas Instruments, ADI (Analog Devices), and MaxLinear rely on their advanced technological capabilities and strong investment in research and development to dominate the smartphone, communication equipment, and IoT RF chip markets. Qualcomm has a significant advantage in the research and development and marketing of 5G millimeter-wave chips, which are widely used in multiple global mobile phone brands. Broadcom excels in the field of Wi-Fi and Bluetooth chips, and its RF chips are widely used in routers and IoT devices. Skyworks and Qorvo, as suppliers of RF front-end modules, provide high-performance products in terms of power amplifiers, filters, and switches, meeting the demand for high-performance RF solutions in consumer electronics and communication infrastructure.

In Europe, NXP Semiconductors and Infineon Technologies occupy important positions in the RF chip market. NXP stands out in the fields of automotive electronics and Industrial Internet of Things RF chips, providing highly secure and reliable chip solutions, especially suitable for applications such as vehicle-to-everything (V2X) and industrial automation. Infineon has a competitive advantage in high-frequency RF chips and power amplification, and is widely used in automotive electronics, communication, and industrial control fields. These European enterprises rely on technological innovation and industrial layout to promote the application expansion of RF chips in key markets such as automobiles and industry.

In addition, Murata and Sony in Japan also have relatively strong competitiveness in the RF chip market, especially in the fields of filters and module integration. Samsung Electronics in South Korea, relying on its strong vertical integration ability, adopts self-developed RF chips in its own-brand smartphones and devices, gradually increasing its global market share.

China's position in the RF chip market is constantly rising, and it has achieved rapid growth in recent years driven by applications such as 5G and the Internet of Things. The main competitors in the Chinese market include SMIC, Maxscend, and UNISOC. These enterprises continue to invest in the research and development and market expansion of RF chips to meet the demands of domestic communication equipment and Internet of Things applications in China.

Maxscend, as China's leading supplier of RF front-end chips, has a strong advantage in low power consumption and high-frequency performance, and its products are widely used in smartphones and smart home devices. Maxscend focuses on the research and development of RF front-end modules and has made important breakthroughs in 4G and 5G communication standards. UNISOC mainly focuses on the smartphone and IoT terminal markets, and its RF chips have high integration, strong adaptability, and support multiple global communication bands, and is accelerating the improvement of its market position. SMIC, as China's largest semiconductor foundry, provides crucial manufacturing support for domestic RF chip design companies, promoting the formation of the local RF chip industrial chain.

 

Development Trends in the RF Chip Market

Driven by 5G and Future 6G Networks
The popularization of 5G and the preliminary research and development of 6G have put forward higher requirements for RF chips, including higher frequencies, larger bandwidths, and lower latencies. To meet these requirements, RF chip manufacturers are intensifying their research and development of chips in the millimeter-wave and sub-millimeter-wave frequency bands to meet the demand for high-performance RF chips from devices such as smartphones and base stations.

Promoted by Internet of Things (IoT) and Smart Home
The rapid development of the Internet of Things and smart home has driven the demand for low-power, low-cost RF chips. The scenarios of the Internet of Things are diverse, including smart cities, Industrial Internet of Things, and vehicle-to-everything (V2X), which require RF chips to have comprehensive advantages in connection performance, power consumption control, and miniaturization to meet the needs of distributed and low-maintenance applications.

Growing Demand from Vehicle-to-Everything (V2X) and Autonomous Driving
The emergence of autonomous driving and smart cars has brought new growth points to the RF chip market. Advanced Driver Assistance Systems (ADAS) and in-vehicle information entertainment systems require a large number of high-performance, durable RF chips to support vehicle-to-vehicle communication, road monitoring, and navigation functions. Therefore, automotive RF chips will continue to grow in the coming years, especially those with outstanding performance in terms of safety and stability.

 

About SIC Brand

SIC Electronics Component Company is a pioneer in the field of self-developed wireless radio frequency chips. Through its main businesses such as radio frequency, signal chain, and Internet of Things solutions, it covers a vast number of application fields including industrial control measurement, energy and environmental protection, smart agriculture, automotive electronics, wireless intelligent meter reading, smart city, smart agriculture, medical monitoring, building security, smart home, etc., and has served thousands of well-known branded enterprises over the years.

After years of steady operation, SIC started from market application service-oriented sales, deeply understood customer needs and carried out targeted development, provided technical R & D system services, then engaged in intelligent mass production manufacturing, and finally mastered the core links of the industrial chain such as chip design, development and application in the upstream. It has accumulated profound experience and has a good reputation for service in the segmented industry fields. In response to the various scenario needs of customers in product development, design and mass production implementation, the company provides customers with a package of precise services including product information, selection consultation, free samples, testing tools, technical support, quality and reliability assurance, etc., helping customers quickly realize project development and accumulating rich and flexible experience in application projects in various industries and successfully implementing a large number of cases.

SIC's products have covered more than forty countries and served global brand customers. They are increasingly widely used in fields such as outdoor sports, electronic navigation, industrial measurement, environmental monitoring, data collection, medical health, security monitoring, smart home, consumer electronics, etc. SIC adheres to independent R & D and forward development, and provides radio frequency chips and modules, sensors, isolators and other products & services for commercial, consumer and industrial applications.

In the future, SIC will, as always, focus on accumulation, make a scientific layout of product portfolios, upgrade core technologies, and do its best to serve new and old customers. It will continue to innovate and constantly change, promote the continuous progress of the industry, actively create social value, improve people's lives, achieve sustainable and healthy development, and build an evergreen foundation.

 

SIC RF/IF and RFID：

Attenuators (5006)
Balun (1323)
RF Accessories (4562)
RF Amplifiers (19340)
RF Antennas (12402)
RF Circulators and Isolators (1936)
RF Demodulators (242)
RF Detectors (403)
RF Directional Coupler (2700)
RF Front End (LNA + PA) (441)
RF Misc ICs and Modules (3211)
RF Mixers (2695)
RF Modulators (679)
RF Multiplexers (1398)
RF Power Controller ICs (36)
RF Power Dividers/Splitters (1194)
RF Receiver, Transmitter, and Transceiver Finished (2604)
RF Receivers (1969)
RF Shields (16432)
RF Switches (9189)
RF Transceiver ICs (4391)
RF Transceiver Modules and Modems (6659)
RF Transmitters (659)
RFI and EMI - Contacts, Fingerstock and Gaskets (4974)
RFI and EMI - Shielding and Absorbing Materials (4645)
RFID Accessories (486)
RFID Antennas (274)
RFID Reader Modules (473)
RFID Transponders, Tags (712)
RFID, RF Access, Monitoring ICs (1704)
Subscriber Identification Module (SIM) Cards (73)