SAN FRANCISO The worldwide wireless LAN (WLAN) semiconductor market will grow at a compound annual growth rate (CAGR) of 22.8 percent through 2012, when it will pass the $4 billion mark, according to a study by market research firm IDC.
PCs will remain the largest application segment for WLAN semiconductors, but mobile phone applications will grow at a CAGR of 49.3 percent and become the second-largest category for WLAN semiconductor revenue by 2012, according to IDC (Framingham, Mass.).
IDC said it expects the MIMO (multiple-input and multiple-output)-enhanced 802.11n technology to be the next growth driver for this market as the higher throughput and range provide a great opportunity for new applications and usage models.
"The need for connectivity and connected mobile clients continues to fuel the WLAN semiconductor market," said Ajit Deosthali, research manager for short-range wireless semiconductors at IDC, in a statement. "WLAN adoption is set to grow beyond notebook PC and into the mobile phone and consumer electronics devices."
IDC's study, Worldwide WLAN Semiconductor 2008-2012 Forecast, also makes the case that Wi-Fi is set to take off in mobile handsets with dual-mode phones that provide both conventional cellular and WLAN connectivity and says that connectivity is the fastest-growing segment for semiconductor companies, with WLAN leading the way.