The annual shipments of wireless connectivity combo ICs is expected to cross the two billion mark by 2017, according to the latest research from ABI Research (News - Alert). These integrated solutions have seen rapid adoption in smartphones and are seeing strong usage growth in many other applications such as laptops, flat panel TVs, and automotive infotainment systems.
Smartphones accounted for almost 60 percent of total wireless connectivity combo IC shipments in 2011. The market will see a dramatic change over the next five years as other segments such as laptops and tablets start to use combo ICs in ever-increasing numbers.
Other key markets for wireless connectivity combo ICs include feature phones, games consoles, health and medical equipment and home automation gateways. There are several other markets that will adopt combo ICs as penetration rates for wireless connectivity technologies increase.
Major IC vendors like Broadcom, Qualcomm, TI, Marvell, MediaTek (News - Alert), and others are keen to increase their respective market share with these robust connectivity solutions.
"Combo ICs have seen strong adoption in the smartphone market as attach rates of Bluetooth and Wi-Fi are very high. This move towards combo ICs has not only helped reduce BoM costs but has also changed the competitive environment entirely," said Peter Cooney, practice director, in a statement. "Whereas once there were many competitors, all focused on individual technologies, there are now fewer vendors with wide product portfolios able to push combo ICs into many new markets."
According to Cooney, the next phase in market development is the further integration of wireless connectivity technologies into platform ICs. He added, “This is already starting to happen in the smartphone market and is expected to accelerate as lower-end smartphones, with tight costs constraints, become the largest section of the market over the coming years.”
While Qualcomm (News

- Alert) is currently leading this trend with its latest snapdragon four platform, several other firms are likely to follow. Although this platform is not fully integrated (it currently uses a separate RF chip for connectivity) it shows a clear progression towards more fully integrated solutions. Further, Intel's (News

- Alert) recent unveiling of its "Radio Free Intel" strategy shows that integration continues to be a major focus for many IC vendors.
Edited by Jamie Epstein