GNSS Chipset Market Projected to Reach 2.4 Billion Units by 2029 Driven by Wearable Tech

The Future of GNSS Chipset Shipments

The Global Navigation Satellite System (GNSS) chipset market is on the verge of significant growth, with forecasts indicating shipments could reach an astounding 2.4 billion units by 2029. Driven by surging demand within various high-tech sectors, this escalation is particularly evident in the automotive, consumer electronics, and asset tracking applications. ABI Research, a prominent global technology intelligence firm, has outlined these projections in a recent report, shedding light on the factors influencing this upward trend.

Key Growth Drivers

China is predicted to be at the forefront of this boom, showcasing the highest compound annual growth rate (CAGR) of 7.2% from 2024 to 2029. Following closely, Western Europe is anticipated to see a 6.7% CAGR, while the Asia-Pacific region, excluding China, is expected to record a 5.6% growth rate. In contrast, the Middle East and Africa may experience a slower growth trajectory, with a modest CAGR of 2.7% anticipated during the same period.

Rachel Kong, a Research Analyst at ABI Research, attributes this increase to the rising demand for consumer electronics, particularly in nations like India, Indonesia, Vietnam, and Thailand. The growth of the middle class and higher smartphone penetration in these regions is significantly bolstering the adoption of GNSS-enabled devices, including smartphones, wearables, and tablets.

Among these categories, the sport wearables sector—encompassing smartwatches, fitness trackers, and even wearable cameras—is forecasted to enjoy the highest CAGR of 13.2% through 2029. This sharp increase is indicative of a broader trend towards a more connected and technology-driven lifestyle.

Introducing High-Precision Applications

In addition to consumer electronics, there is an increasing integration of GNSS chipsets that support the E6 band. This emerging frequency is designed specifically for high-precision applications and is projected to grow significantly at a CAGR of 36.7% from 2024 to 2029. Applications requiring this high level of precision include autonomous driving, aerospace, critical infrastructure monitoring, land surveying, and a range of new location-based services.

As the global market for seamless and precise navigation expands, the need for interoperability among diverse GNSS solutions becomes increasingly critical. According to Kong, manufacturers are now more inclined to integrate multi-constellation chipsets that enable versatility across a wider array of applications and geographical regions.

Leading vendors like Quectel, Unicore, Trimble, and ComNav Technology are stepping up their game by launching products that cater to the E6 band. The recent updates from firms such as Trimble, which released firmware enabling the Galileo High Accuracy Service on their devices, and Unicore's introduction of the UM981 high-precision positioning model, underscore the burgeoning traction of this particular frequency band.

Moreover, these multi-frequency bands are becoming imperative in enhancing positioning accuracy, improving signal reliability, and providing better resistance to interference. As Kong highlights, these technologies are already extensively utilized across aviation, maritime, and automotive sectors, and their adoption is expected to broaden as new applications evolve.

Conclusion

The projections outlined by ABI Research reflect a dynamic future for GNSS chipsets. As demand surges across multiple sectors, it reaffirms the necessity for innovation and adaptability among manufacturers and technology providers. With every indication pointing towards a thriving market landscape, the next several years promise to be pivotal for the GNSS technology industry.

For further insights, ABI Research continues to provide comprehensive analysis in their Outdoor/Wide Area Location Technologies report, part of their larger Space Technologies and Innovation research service.

About ABI Research

ABI Research stands as a global leader in technology intelligence, effectively linking technology solution providers with market needs. Their insights guide businesses in implementing successful strategies that cater to evolving consumer demands.