Embedded Computing Global Market Report 2024

The embedded computing market size has grown strongly in recent years. It will grow from $39.74 billion in 2023 to $43.37 billion in 2024 at a compound annual growth rate (CAGR) of 9.1%. The growth in the historical period can be attributed to the advancement of microprocessor technology, the expansion of consumer electronics, the emergence of the Internet of Things (IoT), the growth of automotive electronics, and the increased demand for portable devices.

The embedded computing market size is expected to see strong growth in the next few years. It will grow to $59.25 billion in 2028 at a compound annual growth rate (CAGR) of 8.1%. The anticipated growth in the forecast period can be linked to the expansion of edge computing applications, the growing integration of embedded systems in medical devices, the surge in cybersecurity concerns propelling embedded security solutions, and the rise in the autonomous vehicles market. Noteworthy trends in the forecast period encompass the widespread proliferation of edge computing, the creation of energy-efficient embedded devices, the flourishing growth of embedded vision systems, an intensified focus on open-source embedded software, and the adoption of ruggedized embedded solutions tailored for harsh environments.

The anticipated growth in the embedded computing market is expected to be propelled by the increasing adoption of consumer electronics. Consumer electronics (CE) denotes electronic devices designed for purchase and daily use by end-users, contributing to the ever-evolving landscape of consumer electronics. The integration of embedded systems enhances electronic products, ensuring they offer innovative features, seamless communication, optimal performance, and heightened efficiency. Notably, the growth rates for units in consumer electronics categories such as computers (+34%) and TV sets (+12%) have outpaced smartphones (+1%) over the past three years, as reported by Deloitte in 2022. Therefore, the escalating adoption of consumer electronics, including smartphones, is a driving force behind the growth of the embedded computing market.

The rise in the automotive industry is poised to drive the growth of the embedded computing market. The automotive industry encompasses a wide array of companies involved in the design, development, manufacturing, marketing, and sales of motor vehicles. Embedded computing technologies play a pivotal role in modern vehicles, powering advanced driver assistance systems (ADAS), infotainment systems, in-car connectivity, and engine control units. In 2022, the U.S. automobile industry saw sales of approximately 13.75 million cars and light truck vehicles, according to AutoLeap, a Canada-based modern and award-winning auto repair shop software. Consequently, the upward trajectory of the automotive industry contributes significantly to the growth of the embedded computing market.

A notable trend gaining traction is product innovation in the embedded computing market. Major companies within the embedded computing sector are actively engaged in the development of cutting-edge products as part of their strategy to maintain a competitive edge. A case in point is Neousys Technology, a Taiwan-based manufacturer specializing in rugged embedded systems and industrial equipment. In January 2022, Neousys Technology introduced the Nuvo-9000 series and Nuvo-9531 series, featuring fanless embedded computers. These solutions target industrial edge computing, vision inspection, and automation systems. The processors in the Nuvo-9000 and Nuvo-9531 series leverage Intel's 12th generation Core i processor with a 16-core/24-thread configuration, resulting in enhanced performance compared to the previous generation.

Major players in the embedded computing market involves forming alliances to bolster their market positions. Strategic collaborations enable companies to join forces with entities possessing complementary expertise, facilitating the realization of envisioned concepts. For instance, in August 2023, SECO, a renowned US-based leader with a 40-year track record in developing embedded microcomputers, integrated systems, and IoT solutions, announced a cooperative agreement with Gopalam Embedded Systems Pte Ltd (GES), an India-based provider of comprehensive hardware and software solutions for the embedded systems market in the Asia-Pacific (APAC) region. This collaboration grants Gopalam Embedded Systems access to SECO's extensive portfolio of embedded systems.

In September 2023, Concurrent Technologies, a UK-based embedded-computing company, completed the acquisition of Phillips Aerospace for an amount totaling $3.38 million. Concurrent Technologies stated that this acquisition enhances the company's capabilities in designing and manufacturing rugged systems that utilize its existing plug-in cards. Phillips Aerospace, a US-based rugged-computing company, is now part of Concurrent Technologies through this strategic acquisition.


Major companies operating in the embedded computing market report are Microsoft Corporation, Dell Inc., Intel Corporation, The International Business Machines Corporation, Qualcomm Technologies Inc., Fujitsu Limited, Advanced Micro Devices Inc., Texas Instruments Inc., MediaTek Inc., STMicroelectronics N.V., Infineon Technologies AG, NXP Semiconductors N.V., Renesas Electronics Corporation, Microchip Technology Inc., Super Micro Computer Inc.​, Arm Holdings PLC, Nuvoton Technology Corporation, DataArt, N-iX, Axiomtek Co. Ltd., Yalantis, Congatec AG​, Vates, CHI Software, Solwit SA, Softeq, ITRex Group, Interelectronix e.K., Smart Embedded Computing Inc.

Asia-Pacific was the largest region in the embedded computing market in 2023. The regions covered in the embedded computing market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the embedded computing market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Embedded computing comprises two main types hardware and software. Hardware encompasses the tangible components of an electrical or computer system. Microprocessors, microcontrollers, and system-on-chip (SoC) devices are examples of hardware elements that provide the processing power needed for computations and executing software commands in embedded systems. These embedded systems operate in real-time and can function in standalone, mobile, or networked configurations. End-users span diverse sectors, including automotive, industrial, healthcare, retail, consumer electronics, smart home technology, and others.

The embedded computing research report is one of a series of new reports that provides embedded computing market statistics, including the embedded computing industry's global market size, regional shares, competitors with embedded computing market share, detailed embedded computing market segments, market trends and opportunities, and any further data you may need to thrive in the embedded computing industry. This embedded computing market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.

The embedded computing market consists of revenues earned by entities by providing services such as system development, consulting and design, customization and tailoring, testing and validation, maintenance and support, and system integration. The market value includes the value of related goods sold by the service provider or included within the service offering. The embedded computing market also includes sales of microprocessors, microcontrollers, and digital signal processors, which are used in providing embedded computing services. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.