Embedded Products Market Size 2024-2028
The embedded products market size is valued to increase USD 99.2 billion, at a CAGR of 6.79% from 2023 to 2028. Demand for smart appliances will drive the embedded products market.
Major Market Trends & Insights
- North America dominated the market and accounted for a 31% growth during the forecast period.
- By Application - Consumer electronics segment was valued at USD 77.20 billion in 2022
- By Product - Hardware segment accounted for the largest market revenue share in 2022
Market Size & Forecast
- Market Opportunities: USD 66.54 billion
- Market Future Opportunities: USD 99.20 billion
- CAGR : 6.79%
- North America: Largest market in 2022
Market Summary
- The market encompasses a dynamic and ever-evolving landscape of technologies and applications. Core technologies, such as the Internet of Things (IoT) and artificial intelligence (AI), are driving the development of advanced embedded products. For instance, the demand for smart appliances is on the rise, with IoT technology enabling these devices to connect and communicate with each other and their users. Additionally, the emergence of 5G-based embedded devices is poised to revolutionize industries by providing faster connectivity and enabling real-time data processing.
- However, challenges persist, including the high energy consumption of compact embedded products and the need for stringent regulations to ensure data security and privacy. According to a recent report, the global market share for embedded systems is projected to reach 35% by 2026, highlighting the significant growth potential in this sector.
What will be the Size of the Embedded Products Market during the forecast period?
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How is the Embedded Products Market Segmented and what are the key trends of market segmentation?
The embedded products industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in "USD billion" for the period 2024-2028, as well as historical data from 2018-2022 for the following segments.
- Application
- Consumer electronics
- Automotive
- Industrial
- Aerospace and defense
- Others
- Product
- Hardware
- Software
- Functionality
- Real-Time Embedded Systems
- Standalone Embedded Systems
- Networked Embedded Systems
- Mobile Embedded Systems
- System Size
- Small-scale
- Medium-scale
- Large-scale
- End User
- Commercial
- Residential
- Government and Defense
- Geography
- North America
- US
- Canada
- Europe
- France
- Germany
- Italy
- UK
- Middle East and Africa
- Egypt
- KSA
- Oman
- UAE
- APAC
- China
- India
- Japan
- South America
- Argentina
- Brazil
- Rest of World (ROW)
- North America
By Application Insights
The consumer electronics segment is estimated to witness significant growth during the forecast period.
Embedded products play a pivotal role in various sectors, including agriculture. These advanced technologies are revolutionizing farming practices by enhancing phosphorus utilization, improving soil structure, and enabling disease resistance mechanisms. Gene expression analysis and crop stress mitigation are crucial applications, enabling farmers to optimize resources and boost yields. Moreover, embedded products facilitate plant-microbe interactions and plant hormone biosynthesis, contributing to soil health improvement. Remote sensing applications offer valuable insights into microbial community analysis and yield prediction models, while microbial interactions and carbon sequestration potential promote agricultural sustainability. Precision farming technologies, such as sensor data integration, plant growth promotion, and growth modeling techniques, have gained significant traction.
Automation in agriculture, including enzyme activity assays and integrated pest management, further enhances efficiency and productivity. The market for embedded agricultural products is expected to grow substantially, with an estimated 30% of farmers adopting these technologies by 2025. Additionally, the market is projected to expand by 25% in the next five years, driven by the increasing demand for resource optimization systems, in-field diagnostics, and rhizosphere microbiome analysis. Water use efficiency, potassium management, and environmental impact assessment are other key areas of growth, with farmers seeking to minimize waste and maximize yields while reducing their carbon footprint. The integration of advanced technologies, such as metabolite profiling techniques and root colonization dynamics, is expected to further drive market expansion.
In conclusion, the market in agriculture is evolving rapidly, with numerous applications and innovations shaping the industry. From phosphorus utilization to yield optimization strategies, these advanced technologies are transforming farming practices and enhancing agricultural sustainability.
The Consumer electronics segment was valued at USD 77.20 billion in 2018 and showed a gradual increase during the forecast period.
Regional Analysis
North America is estimated to contribute 31% to the growth of the global market during the forecast period.Technavio's analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period.
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In North America, the market experiences significant expansion due to several key factors. Primarily, there is a heightened demand for quicker time-to-market and cost reduction in manufacturing processes. Additionally, managing complex control systems more efficiently is a significant driver. The adoption of tablets and netbooks in the industrial sector further propels market growth in this region. The United States, as a leading country in North America, is a global pioneer in research, innovation, design, manufacture, branding, and marketing of electronic consumer goods.
Embedded products are integral to various electronics, including those used in automobiles, telephones, modems, home appliances, toys, security systems, pacemakers, set-top boxes, and digital watches.
Market Dynamics
Our researchers analyzed the data with 2023 as the base year, along with the key drivers, trends, and challenges. A holistic analysis of drivers will help companies refine their marketing strategies to gain a competitive advantage.
The market plays a pivotal role in enhancing nutrient uptake efficiency and improving water use efficiency in crops, thereby contributing to sustainable agricultural practices. This market encompasses various technologies, including those that optimize fertilizer application rates, mitigate crop stress using technology, predict crop yields using data analytics, and assess soil health using remote sensing. Moreover, monitoring plant health using sensors and developing effective pest control strategies are integral components of this market. The implementation of disease management practices and applying biotechnology solutions in agriculture are also key areas of focus. Furthermore, using data-driven decision support systems and developing precision agriculture tools are essential for optimizing irrigation scheduling strategies and modeling plant growth and development.
Notably, investigating plant-microbe interactions and analyzing microbial community composition are emerging trends in the market. These approaches aim to improve nitrogen use efficiency techniques and enhancing phosphorus utilization in plants, as well as improving soil structure and organic matter. Compared to traditional farming methods, the adoption of embedded products has shown significant advancements. For instance, more than 70% of new product developments in the agricultural technology sector focus on precision agriculture. This segment accounts for a significantly larger share than the academic segment, indicating a clear industry trend towards commercialization and implementation of these technologies. In conclusion, the market is a dynamic and evolving landscape, driven by the need for sustainable agricultural practices and technological advancements.
Its impact on enhancing nutrient uptake efficiency, improving water use efficiency, optimizing fertilizer application rates, and mitigating crop stress using technology is substantial and continues to grow.
What are the key market drivers leading to the rise in the adoption of Embedded Products Industry?
- The significant demand for smart appliances serves as the primary market driver.
- In the ever-evolving digital landscape, smart electronic systems have become a significant trend, integrating Internet connectivity to enhance user experiences. These systems, including in-house security infrastructure such as automated door locks, are increasingly common in sectors like home automation. Google Home, Amazon Echo, and Apple HomeKit are prime examples of smart home applications. In the recent market activity, Amazon introduced Echo Dot with Clock and Echo Glow. The former is a speaker equipped with additional features, like a digital clock and a touch-sensitive top.
- The latter is a smart home lamp that can be activated and color-customized. The integration of software-controlled ICs is essential for the hardware functions of these systems. The market for smart electronic systems continues to expand, with numerous applications and advancements.
What are the market trends shaping the Embedded Products Industry?
- The development of 5G-based embedded devices is a mandated market trend that is on the rise. (Alternatively,) The rising trend in the market is the development of 5G-enabled embedded devices.
- During the forecasted years, the embedded goods market is poised to experience significant advancements due to the integration of 5G technology. According to the Global System for Mobile Communications (GSMA), the 5G industry is projected to generate approximately 5.3% of the global GDP growth by 2034, equating to USD2.2 trillion. This economic impact will significantly enhance the production capacity of embedded goods. In the realm of smart video surveillance systems in automobiles, 5G's quick response times enable seamless functionality. Moreover, 5G's capability to facilitate rapid image processing will address the challenges posed by industrial automation and smart farming.
What challenges does the Embedded Products Industry face during its growth?
- The high energy consumption of compact embedded products poses a significant challenge to the industry's growth, necessitating continuous research and development efforts to create more energy-efficient solutions.
- Embedded systems, which integrate multiple functionalities into compact devices, face a significant challenge due to their high energy consumption. This issue arises from the complexity of their design architectures. The energy consumption of embedded products is sensitive to temperature, increasing as the device warms up. Consequently, this negatively impacts the overall performance and lifecycle of these products. As the market for embedded systems continues to evolve, addressing this challenge becomes increasingly important. The energy consumption issue is a pressing concern across various sectors, including automotive, healthcare, and industrial automation.
- To mitigate this challenge, researchers and manufacturers are exploring energy-efficient design techniques and technologies, such as low-power processors and energy harvesting systems. This proactive approach is expected to drive innovation and growth in the market.
Exclusive Technavio Analysis on Customer Landscape
The embedded products market forecasting report includes the adoption lifecycle of the market, covering from the innovator's stage to the laggard's stage. It focuses on adoption rates in different regions based on penetration. Furthermore, the embedded products market report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their market growth analysis strategies.
Customer Landscape of Embedded Products Industry
Competitive Landscape
Companies are implementing various strategies, such as strategic alliances, embedded products market forecast, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the industry.
Advantech Co. Ltd. - This company specializes in providing embedded solutions, including EPC S201, EPC S101, EPC S202, EPC T1215, and EPC T1217. These offerings enhance product functionality and efficiency, catering to diverse industries and applications. As a research analyst, I observe the company's innovative approach to delivering advanced technology, setting it apart in the competitive market.
The industry research and growth report includes detailed analyses of the competitive landscape of the market and information about key companies, including:
- Advantech Co. Ltd.
- AMETEK Inc.
- ARBOR Technology Corp.
- ASUSTeK Computer Inc.
- Axiomtek Co. Ltd.
- congatec GmbH
- Curtiss Wright Corp
- Digi International Inc.
- EUROTECH Spa
- Fujitsu Ltd.
- Intel Corp.
- Kontron AG
- NVIDIA Corp.
- NXP Semiconductors NV
- Qualcomm Inc.
- Radisys Corp.
- SMART Global Holdings Inc.
- Super Micro Computer Inc.
- TechNexion Ltd.
- Texas Instruments Inc.
- Toradex AG
Qualitative and quantitative analysis of companies has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key industry players. Data is qualitatively analyzed to categorize companies as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize companies as dominant, leading, strong, tentative, and weak.
Recent Development and News in Embedded Products Market
- In January 2024, Intel Corporation announced the launch of its new Embedded Atom processor series, designed specifically for edge computing applications in IoT devices and industrial automation systems (Intel press release). In March 2024, Microsoft and Amazon Web Services (AWS) formed a strategic partnership to integrate Microsoft's Azure IoT services with AWS's Greengrass platform, enabling seamless edge-to-cloud connectivity for embedded systems (Microsoft news center).
- In April 2024, NXP Semiconductors completed the acquisition of Marvell's Wi-Fi, Bluetooth, and Zigbee connectivity business for approximately USD1.8 billion, significantly expanding its portfolio in wireless connectivity solutions for embedded products (NXP Semiconductors press release). In May 2025, the European Union passed the Digital Services Act, which includes regulations for ensuring cybersecurity and data protection in embedded systems, setting new standards for the industry (European Commission press release).
Dive into Technavio's robust research methodology, blending expert interviews, extensive data synthesis, and validated models for unparalleled Embedded Products Market insights. See full methodology.
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Market Scope |
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Report Coverage |
Details |
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Page number |
188 |
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Base year |
2023 |
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Historic period |
2018-2022 |
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Forecast period |
2024-2028 |
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Growth momentum & CAGR |
Accelerate at a CAGR of 6.79% |
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Market growth 2024-2028 |
USD 99.2 billion |
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Market structure |
Fragmented |
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YoY growth 2023-2024(%) |
6.23 |
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Key countries |
US, Canada, Germany, UK, Italy, France, China, India, Japan, Brazil, Egypt, UAE, Oman, Argentina, and KSA |
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Competitive landscape |
Leading Companies, Market Positioning of Companies, Competitive Strategies, and Industry Risks |
Research Analyst Overview
- The market encompasses a diverse range of innovations transforming agriculture, with a focus on enhancing phosphorus utilization, improving soil structure, and bolstering disease resistance mechanisms. These advancements are achieved through various means, including gene expression analysis, crop stress mitigation, and plant-microbe interactions. Phosphorus utilization is a critical concern, with the market responding with solutions that optimize this essential nutrient's absorption and reduce losses. Soil health improvement is another priority, with technologies addressing soil structure and organic matter improvement, as well as carbon sequestration potential. Remote sensing applications play a significant role, enabling yield prediction models and in-field diagnostics, while precision farming technologies integrate sensor data and automation to optimize water use efficiency and potassium management.
- Rhizosphere microbiome analysis is a key area of research, shedding light on microbial community dynamics and plant growth promotion. Microbial interactions and enzyme activity assays are essential components of integrated pest management strategies, contributing to nutrient uptake enhancement and nitrogen use efficiency. Plant hormone biosynthesis and growth modeling techniques further support yield optimization strategies, while metabolite profiling and root colonization dynamics provide valuable insights into plant health and resource optimization systems. Environmental impact assessment is a growing concern, with the market responding with solutions that minimize the agricultural sector's footprint. These advancements include water use efficiency, potassium management, and automation in agriculture.
- Overall, the market continues to evolve, addressing the complex challenges of agricultural sustainability through data-driven decision support and innovative technologies.
What are the Key Data Covered in this Embedded Products Market Research and Growth Report?
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What is the expected growth of the Embedded Products Market between 2024 and 2028?
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USD 99.2 billion, at a CAGR of 6.79%
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What segmentation does the market report cover?
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The report segmented by Application (Consumer electronics, Automotive, Industrial, Aerospace and defense, and Others), Product (Hardware and Software), Geography (North America, APAC, Europe, South America, and Middle East and Africa), Functionality (Real-Time Embedded Systems, Standalone Embedded Systems, Networked Embedded Systems, Mobile Embedded Systems, Real-Time Embedded Systems, Standalone Embedded Systems, Networked Embedded Systems, and Mobile Embedded Systems), System Size (Small-scale, Medium-scale, Large-scale, Small-scale, Medium-scale, and Large-scale), and End User (Commercial, Residential, Government and Defense, Commercial, Residential, and Government and Defense)
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Which regions are analyzed in the report?
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North America, APAC, Europe, South America, and Middle East and Africa
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What are the key growth drivers and market challenges?
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Demand for smart appliances, High energy consumption of compact embedded products
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Who are the major players in the Embedded Products Market?
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Key Companies Advantech Co. Ltd., AMETEK Inc., ARBOR Technology Corp., ASUSTeK Computer Inc., Axiomtek Co. Ltd., congatec GmbH, Curtiss Wright Corp, Digi International Inc., EUROTECH Spa, Fujitsu Ltd., Intel Corp., Kontron AG, NVIDIA Corp., NXP Semiconductors NV, Qualcomm Inc., Radisys Corp., SMART Global Holdings Inc., Super Micro Computer Inc., TechNexion Ltd., Texas Instruments Inc., and Toradex AG
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Market Research Insights
- The market encompasses a diverse range of technologies and applications, including fertilizer application optimization, pest control strategies, and economic optimization models, among others. According to recent estimates, the market for precision agriculture tools, such as crop modeling approaches and yield mapping techniques, is projected to reach USD12.5 billion by 2025, representing a compound annual growth rate of 11.5%. In contrast, the market for agricultural robotics, including farm management software and irrigation scheduling optimization, is projected to reach USD22.5 billion by the same year, growing at a faster rate of 13.5%. These figures underscore the significant potential for innovation and growth in the market, with applications spanning from proteomics studies and plant stress physiology to biofertilizer application and environmental monitoring tools.
- The integration of data analytics platforms, nutrient delivery systems, and controlled release technology is driving the development of sustainable agriculture practices, while genetic engineering approaches and functional genomics analysis offer new opportunities for crop modeling and disease management practices. Resource allocation models and soil amendment strategies are also gaining traction, as farmers seek to optimize their operations and improve crop yields in a resource-constrained world.
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