Image sensor refers to an electronic component that detects light waves and converts them into digital signals to convey information. An image sensor works on the principle of the conversion of variable attenuation of light waves into analog or digital signals. It is a vital component of camcorders, cameras, and other imaging devices.
As the sales of cameras and related equipment have stabilized after a long-term decline, the increasing use of image sensors, from next-generation cameras to smartphones to cars, is propelling their market growth. Companies operating in this area have reaped huge profits from image sensor sales, and the trend is expected to continue for a long time, owing to growing investments and continuous technological developments by major players in the image sensor market. For instance, Sony Corporation, a consumer electronics company, attributes much of the company’s recent revenue growth from cameras, such as new a9 series or a7 series, to sensor-powering smartphone photography and rise in the use of dual-camera devices. Ongoing technological developments, including stacked sensor technology and a two-millimeter sensor, are expected to revolutionize the global image sensor market, with investments in such developments expected to continue in the next two decades.
The image sensor market is experiencing a steady growth, majorly driven by the rise in the demand and sales of dual-camera mobile phones. CMOS image sensors are widely used in dual-camera mobile phones, owing to increased consumer interest in next-generation photography.
The increasing popularity of social media platforms for social networking has enabled users to share high-quality photos. This has led many companies to manufacture smartphones featuring a smart and dual-camera system. The dual-camera technology enables improved image quality and sensitivity through advanced image sensors. At the same time, the rising demand for a dual-camera system in smart devices has propelled the entry of many OEMs into the image sensor industry with innovative, low-power products.
Changing trends in the mobile technology and advancements in the connectivity technology have also generated a significant demand for dual-camera mobile phones in the market. The migration from second-generation to third- and fourth-generation technologies in developing markets, such as China and India, along with an increasing market for low-end smartphones and featured smartphones, is expected to continue driving the image sensor market in the coming years.
Geographically, APAC is expected to continue being the largest market for image sensors, globally, in the coming years, because of the presence of the highest number of image sensor foundries and manufacturers in the region. Some of the major image sensor manufacturers operating in APAC are Canon Inc., Hamamatsu Photonics K.K., Hitachi Ltd., Mitsubishi Motors Corporation, NHK, Sony Corporation, Toshiba Corporation, and Sharp Corporation. With increasing investments by key regional players, the image sensor market in APAC is expected to register the highest CAGR during the forecast period. The growth of the industrial, medical, and defense sectors in the U.S. is driving the image sensor market in North America.