Global Microprocessor market was valued at USD85.85 billion in 2020 and is projected to grow around USD111.16 billion by 2026 owing to the growing popularity of 5G and high-performance computing devices. Furthermore, the increased adoption of cloud-based applications, data centres, advancement in artificial intelligence and machine learning technologies, as well as demand in household appliances and automobiles, is expected to drive the market growth. Also, the rising demand for Augmented Reality and Virtual Reality applications and devices, digital cameras, and gaming consoles is fueling the global microprocessors’ growth.

Microprocessor is a controlling unit of a micro-computer, fabricated on chip which can perform Arithmetic Logic Unit (ALU) operations and capable of doing communication with other devices connected to it. Microprocessor consists of a Control Unit, Register Array & ALU where ALU performs arithmetic & logical operations, Control Unit controls flow of data & instructions in the computer, Register Array is responsible for storing accumulators and data. Microprocessor follows sequence of Fetch, Decode & Execute in the given sequence.

Increasing Demand of Microprocessors in Automotive Industry

The use of microprocessors in the automotive industry is essential as automotive are getting smarter and employment of electronic systems are still rising. Automotive semiconductor vendors are profiting from a surge in the demand for various semiconductor devices in cars, such as MCUs, sensors, memory which are functioning with the help of microprocessors. The automotive industry has been working for a long period of time in terms of providing factory-installed electronics which have the advantages that are meant for the safety and security of the user’s data along with comfort. Most of the automotive innovations today have arisen from the development in electronics architecture rather than mechanics.

Use of Micro Data Center to Positively Influence the Growth

Infrastructure housed in micro-data centers of any microprocessor includes IT infrastructure, UPS (uninterruptible power supply) systems, power distribution units (PDUs), and cooling units. The numerous advantages that include lower transactional costs, high functioning, and high storage by using micro-data centers are likely to escalate the microprocessor market globally. The growing exchange of data through IoT-connected devices has created a demand for micro-data centers all over the globe. These micro-data centers offer maximum efficiency by greatly reducing energy consumption which in turn drives their increased adoption all around the industries.

Increased Usage of IoT to Drive the Market Growth

One important factor driving the adoption of microprocessors is the rapid growth of Internet of Things (IoT). IoT technologies enable microprocessors because it is now technically and economically feasible to gather the required information from a relatively broad range of objects than was previously possible. Companies frequently underestimate the complexity and volume of data generated by IoT products and platforms, necessitating the use of tools to assist them in managing and making sense of all the data that they are now collecting.