Smart Sensor Market Analysis: Reaching USD 88 Billion by 2032

In 2022, the worldwide smart sensor market is expected to be valued at around USD 37.6 billion. But as smart sensors become more widely used in a variety of end-use sectors, including consumer electronics, automotive, security & defense, and healthcare, overall sales of smart sensors are predicted to rise at a quick CAGR of 19.2% between 2022 and 2032, reaching a total of over USD 88 billion by that year.

Smart sensors, also known as intelligent sensors, are made up of a sensor and an interfering circuit. Smart sensors are primarily used for digital processing, or analog to digital conversion and they can be found in a variety of industries, including consumer electronics, automotive, industrial, medical, security defense, and entertainment, due to the increased use of sensing elements and process controls in these industries. Smart sensors are also utilized for a variety of tasks such as decision-making, two-way communication, and logic functions.

Smart sensors offer various advantages such as high performance, high reliability, smaller size, low power consumption, wireless, ease of design & maintenance, and require minimal interconnecting cables.

The disadvantages of a smart sensor are that it is more complex as compared to traditional sensors as it consists of both sensor and interfering circuit which ultimately increases the cost of the sensor and an external processor is required for managing sensor calibration. Though the disadvantages are there, the advantages outweigh them.

Smart Sensor Market: Drivers and Restraints:
The smart sensor market is expected to grow in the coming years due to the increase in demand for consumer electronics and automobiles. The use of smart sensors is also increasing in smartphones and computer devices with touchscreen displays.

Drivers responsible for the growth of smart sensor markets are technological advancement, increasing use of smart sensors in various industries like logistics, defense, and healthcare, increasing demand for wireless smart sensors, and energy-saving functions of smart sensors. Increased terrorism activity and security issues further highlight the importance of smart sensors in counter-terrorism applications.

On the other hand lack of privacy, complex structure, high replacement as well as deployment cost, and lack of customization act as a restraining factor for the smart sensor market. Market growth opportunity for smart sensor technology is that, it will be used more effectively in the biomedical and healthcare care sector, and also use of smart sensors in wearable devices expands the scope of application.

Leading Key Players:
Key players in the global smart sensor market are ABB LTD., Customer Sensor & Technologies Inc., Analog Devices Inc., Eaton Corporation Plc., Honeywell International, Inc., NXP Semiconductors, Infineon Technologies AG, and Emerson Process Management. Key players are spending heavily on their research and development activity to launch new products for better market coverage.