According to the latest report released by IC Insights, another year of double-digit market growth is expected for analog integrated circuits in 2022 after sales in this semiconductor category surged by an unprecedented 30% in 2021, during the economic recovery from the global recession caused by the Covid-19 virus crisis in 2020.

Total analog IC sales are forecast to rise 12% to $83.2 billion in 2022, with unit shipments increasing 11% to 238.7 billion. The average selling price of analog ICs is projected to grow 1% in 2022.

IC Insight: Analog market expected to grow 12% in 2022 follows historic 30% jump in analog sales in 2021-SemiMedia

IC Insights pointed out that last year’s analog IC market will be one to remember on account of the strength and breadth of its growth. The analog market’s extraordinary increase of 30% in 2021 lifted sales to an all-time high of $74.1 billion. IC Insights’ 1Q Update shows analog unit shipments climbed 22% in 2021 to a record-high level of 215.1 billion. The combination of strong demand and well-documented supply-chain disruptions contributed to a 6% increase in the average selling price for analog ICs last year. (Prior to that, the last year that the analog ASP increased was 2004.)

This year, every major general-purpose analog and application-specific analog market category tracked by IC Insights is forecast to post a sales increase, ranging from 7% growth in the amplifiers and comparators segment to 17% growth for automotive application-specific analog ICs (Figure 2).

IC Insight: Analog market expected to grow 12% in 2022 follows historic 30% jump in analog sales in 2021-SemiMedia

The report stated that growing shipments of 5G cellphone handsets and the infrastructure to support them are one of the key reasons that the communications segment is forecast to account for the largest portion of analog IC sales in 2022. Wireless communication applications are expected to represent 91% of sales within the communication analog segment this year with wired communications applications accounting for 9%.

Power management ICs are forecast to be the second-largest analog segment in 2022. Power management chips help regulate power usage to keep devices running cooler and help extend battery life—essential features in mobile/battery operated systems like cellphones, laptops, and many other portable systems. They also regulate functions like stepper motors, communication interfaces, and back lighting in displays.