GPS (Global Positioning System) Chips Market Size, Share, Demand, Value 2030

GPS (Global Positioning System) Chips Industry Perspective:

The global GPS (Global Positioning System) Chips market size was worth around USD 189.67 million in 2022 and is predicted to grow to around USD 721.36 million by 2030 with a compound annual growth rate (CAGR) of roughly 17.93% between 2023 and 2030.

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The report analyzes the global GPS (Global Positioning System) Chips market drivers, restraints/challenges, and the effect they have on the demands during the projection period. In addition, the report explores emerging opportunities in the GPS (Global Positioning System) Chips industry.  

GPS (Global Positioning System) Chips Market: Overview

GPS chips are electrical components that allow devices to receive signals from GPS satellites and pinpoint their exact location on the surface of the Earth. These chips are essential for location-based services such as mapping software, tracking devices, navigation systems, and many more. Through the use of a system of satellites circling the Earth, this technology operates. These satellites continuously send out signals that contain timestamps and precise position information. Trilateration, a technique used by GPS chips in receiving devices, enables them to determine the position of the device. The market for GPS (global positioning system) chips is expanding as a result of the increasing need for digitalization in industrial applications. The GPS chips are used to receive GPS signals that are satellite-based. Data transmission from the chips to the controlling computers or mobile phones is possible. To display the location of the chip, a GPS tracking program is often loaded. Almost all electronic devices may now incorporate GPS chips because of their decreasing size and weight. The market for GPS (global positioning system) chips is expanding as a result of rising demand for tracking devices and security systems, as well as rising consumption and production of smartphones. Additionally, the increase in commercial vehicles and the rapid use of digital media serve as catalysts that will accelerate market expansion.

Key Insights

• As per the analysis shared by our research analyst, the global GPS (Global Positioning System) Chips market is estimated to grow annually at a CAGR of around 17.93% over the forecast period (2023-2030).
• In terms of revenue, the global GPS (Global Positioning System) Chips market size was valued at around USD 189.67 million in 2022 and is projected to reach USD 721.36 million, by 2030.
• The increasing automotive industry is expected to drive the GPS chips market growth during the forecast period.
• Based on the application, the mobile phone segment is expected to capture a significant market share over the forecast period.
• Based on the end user, the automotive industry is expected to grow significantly during the forecast period.
• Based on region, the Asia Pacific is expected to dominate the market over the forecast period.

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GPS (Global Positioning System) Chips Market: Growth Drivers

Increasing demand for GPS-Enabled wearable devices drives the market growth

The expansion of the GPS chip market is predicted to be fueled by the development of GPS-enabled consumer wearable devices, including fitness trackers, smartwatches, apparel, and footwear. Due to rising disposable income, customer demand for convenience, and rising fitness & health consciousness, consumer wearable technology is becoming more and more popular. Through wearable technology, the rise of fitness monitoring bands affects the fitness industry. Fitness trackers are used more commonly because they help people establish daily objectives, remain motivated, get the most out of their workouts, and regularly check their fitness. Thus, this is expected to drive market growth during the forecast period.

GPS (Global Positioning System) Chips Market: Restraints

Privacy concerns act as a major restraint on the market growth

The tracking of exact positions might include sensitive data, hence the usage of GPS chips poses privacy issues. The gathering, storing, and use of location data received by GPS chips may be limited in some areas by laws and user preferences about privacy and data protection. Manufacturers of GPS chips and application developers must take user privacy issues into account while developing their products. Thus, privacy is the major concern that hampers the GPS chips industry growth over the forecast period.

GPS (Global Positioning System) Chips Market: Opportunities

Innovative product launches are expected to offer a significant opportunity

The innovative product launch in the GPS chip industry is expected to offer a lucrative opportunity for the growth of the GPS chips market over the forecast period. For instance, in June 2023, the Qualcomm® 212S Modem and the Qualcomm® 9205S Modem are two modem chipsets with satellite capabilities that were disclosed by Qualcomm Technologies, Inc. The new Qualcomm® modem chipsets enable IoT enterprises, developers, ODMs, and OEMs to use real-time information and insights to manage business projects in off-grid industrial use cases that need a standalone non-terrestrial network (NTN) connectivity or hybrid connectivity alongside terrestrial networks. To assist with the creation and management of this new connection medium, Qualcomm Technologies has a partnership with Skylo, an NTN service provider. Moreover, in April 2023, an indigenously developed NavIC chip that can leverage India's navigation satellite system to deliver positioning services has been launched by Elena Geo Systems, a Bengaluru-based space firm incubated at IIT-Kharagpur. Both the civilian and military sectors may use the chip. The navigation chip uses either the Indian Regional Navigation Satellite System (IRNSS) or the Indian Constellation (NavIC) satellites for its operation. Thus, this type of innovation in the industry is expected to provide a lucrative opportunity for market expansion.

GPS (Global Positioning System) Chips Market: Challenges

The emergence of alternative technologies poses a major challenge to the market growth

Alternative technologies have arisen that can provide locating services in particular conditions, even though GPS chips have been the predominant technology for outdoor positioning. GPS alternatives or complements include Wi-Fi-based positioning, cellular network-based positioning, and Bluetooth-based beacons. These alternative technologies may compete with GPS chips or work in conjunction with them, depending on the needs of the application, which will impact GPS chips market demand.

GPS (Global Positioning System) Chips Market: Segmentation

The global GPS (Global Positioning System) Chips industry is segmented based on product type, application, end-user, and region.

Based on the product type, the global market is bifurcated into simple type, professional type, and others.

Based on the application, the global GPS (Global Positioning System) Chips industry is divided into navigation, mobile phone, and others. The mobile phone segment is expected to capture a significant market share over the forecast period. The segment growth is attributed to the increasing demand for smartphones across the globe. For instance, Google's study indicates that 80% of people worldwide use smartphones. The survey also discovered that more people (27%) than (14%), only utilize smartphones as opposed to computers.  

Based on the end user, the market is segmented into consumer electronics, automotive, military and defense, transportation, aerospace, and others. The automotive industry is expected to grow significantly during the forecast period. In ADAS applications, GPS chips are used to increase driving convenience and safety. To increase accuracy and performance, GPS chips, for instance, can be combined with lane departure warning systems, adaptive cruise control, and collision avoidance systems. To allow context-aware functionality and deliver more exact placement, GPS data is combined with additional sensor inputs. Thus, this is expected to drive the segment growth.

GPS (Global Positioning System) Chips Market: Report Scope

GPS (Global Positioning System) Chips Market: Regional Analysis

The Asia Pacific is expected to dominate the market during the forecast period

The Asia Pacific is expected to dominate the global GPS chips market during the forecast period. The regional growth is attributed to the growing automotive industry. China, Japan, and South Korea are three of the largest automobile markets in the world, and they are all located in this region. The need for GPS chips is being driven by the developing automotive industries in these and other nations in the region, particularly for telematics, connected cars, and in-car navigation systems. The biggest market is China, which is followed by India and South Korea.

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China will dominate the connected vehicle industry in the Asia Pacific due to the growth in connection features in the newest automobile models. With rising technological advantages in ICT, data processing, and platform services, secure industrial investment, and a highly focused industrial strategy and backing from the central government, China's home market will determine the future associated vehicle industry. By 2021, one in every two new automobiles sold in China, according to the National Development and Reform Commission, would have smart autonomous features. Thus, this is expected to drive market growth over the forecast period.

GPS (Global Positioning System) Chips Market: Competitive Analysis

The global GPS (Global Positioning System) Chips market is dominated by players like:

• Unictron Technologies Corporation.
• Broadcom
• SPK ELECTRONICS CO. LTD. Maxim Integrated
• SparkFun Electronics
• FURUNO ELECTRIC CO. LTD.
• ROADPOINT LIMITED
• Skyworks Solutions Inc.
• SkyTraq Technology Inc.
• Central Electronics Limited
• NovAtel Inc.
• ROAD POINT INDIA
• Isecuro
• ESINO
• SHENZHEN ZHONGHE ELECTRONIC CO. LTD.
• OriginGPS Ltd.
• Shenzhen Dragon Bridge Technology Co. Ltd
• VLSI Solution Oy
• Analog Devices Inc.
• Shenzhen Eelink Communication Technology Co. Ltd.
• ThinkRace Technology 

The global GPS (Global Positioning System) Chips market is segmented as follows:

By Product Type

• Simple Type
• Professional Type
• Others

By Application

• Navigation
• Mobile Phone
• Others

By End User

• Consumer Electronics
• Automotive
• Military and Defense
• Transportation
• Aerospace
• Others

By Region

• North America
  • The U.S.
  • Canada
• Europe
  • France 
  • The UK
  • Spain
  • Germany
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Southeast Asia
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • GCC
  • South Africa
  • Rest of Middle East & Africa