MPEG Video IC Market to Grow to 1.6 billion Units by 2011

With video capture and playback now appearing in previously untapped markets, the MPEG video IC market has plenty of room for growth, reports In-Stat. MPEG IC unit shipments will grow from 649 million in 2006 to 1.6 billion in 2011, the high-tech market research firm says. MPEG video ICs are used in the compression and decompression of video streams in many consumer devices from small mobile handsets to large digital TV sets.

“Unit shipments for MPEG-2/4 ASP encoder and decoder ICs will grow slowly if at all in the future as H.264 encoder and decoder ICs experience much higher growth rates,” says Michelle Abraham, In-Stat analyst. “Revenue in the MPEG-2/4 ASP encoder and decoder IC markets will decline, as there is enormous price pressure in these markets and a lot of competitors.”

Recent research by In-Stat found the following:

  • The advent of H.264 has given rise to startups like Ambarella and Horizon Semiconductor, while 2006 saw the first mobile MPEG-4 IC shipments from Rockchip, MtekVision, and Chipnuts.
  • MediaTek was again the top supplier in 2006 of MPEG-2 DVD decoder ICs, LSI Logic the top supplier of MPEG-2 encoder ICs, and STMicroelectronics was the top supplier of MPEG-2 MP@ML set top box decoder ICs and H.264 decoder ICs.

The research, “MPEG Video ICs: H.264 in the Limelight” (#IN0703556MI), covers the worldwide market for MPEG Video chips. It provides forecasts for unit sales, revenue and average selling prices on MPEG ICs by type through 2011. It also contains unit and revenue market share for X MPEG IC markets.

The price is $3,495 (US).

About In-Stat
Technology vendors, service providers, technology professionals and market specialists, worldwide, rely on In-Stat’s experienced staff and in-depth research to support critical business, product and technology decisions. In-Stat’s insights are derived from both a deep technology understanding and comprehensive research, which examines each segment of the value chain for each market. Regular and ongoing end-user demand and primary research surveys underpin much of the analysis, enabling In-Stat to provide incisive market knowledge and guidance on future market opportunities.