Camera Modules Market Growth, Trends Analysis Report

Updated on : Oct 22, 2024

Camera Modules Market Size & Share

The global camera modules market size was valued at USD 43.3 billion in 2023 and is estimated to reach USD 68.5 billion by 2028, growing at a CAGR of 9.6% during the forecast period from 2023 to 2028

The increasing demand for consumer electronics applications due to heavy adoption and advancements in smartphones, tablets, and wearables, as well as growing automotive applications due to ADAS and vehicle automation, is driving the growth of the camera modules market. Furthermore, the rising adoption of IoT-based security systems and growing demand for industrial automation and digitalization are also expected to drive the market for camera modules.

Camera Modules Market Forecast to 2028

To know about the assumptions considered for the study, Request for Free Sample Report

Camera Modules Market Trends

Driver: Increasing demand for consumer electronics application

End users’ demand for consumer electronics has increased in recent years. The shorter replacement cycles, falling prices of electronic items, easy availability through e-commerce websites, and new technologies such as wearables, virtual and augmented reality, 4K televisions, smart homes, 3D printers, autonomous vehicles, drones, and communication robots encourage frequent purchases of the same.

Camera modules are becoming more common in electronic devices all around usThe demand for camera modules in consumer electronics has surged due to the proliferation of smartphones, where flagship models from companies like Apple, Samsung, Google, and Huawei continuously enhance camera capabilities. Tablets, laptops, and desktop computers also integrate cameras for video conferencing and content creation, while action cameras like GoPro cater to outdoor enthusiasts. Gaming consoles, drones, smart home devices, wearable tech, AR/VR headsets, and automotive applications all incorporate camera modules for various purposes, from gaming enhancements to safety features.

This trend is driven by the pursuit of better image quality, innovative features, and the integration of cameras into daily life, shaping the future of consumer electronics.. Smartphones are increasingly featuring two, three, and even four camera systems on a single device, allowing users to access features previously only available through high-end photographic equipment. LG Innotek, OFILM Group Co., Ltd., Sunny Optical Technology (Group) Co., Ltd., and other companies have been offering their products and adopting different strategies to cater to the consumer electronics industry. For instance, in September 2021, LG Innotek developed the ECO Magnet in collaboration with Sung Lim Group Industry (SGI) Co. (South Korea)–a magnet company. The ECO Magnet helps provide more explicit photos and videos by increasing the driving force of the actuator when applied to a high-pixel smartphone camera.

Restraint: Interoperability and workforce skills

Interoperability is paramount in the camera modules market, ensuring seamless integration with diverse consumer electronics. Camera modules must work harmoniously across various platforms, emphasizing compatibility between hardware, software, and operating systems. Simultaneously, a skilled and adaptable workforce is essential for innovation and addressing evolving consumer demands. Workforce expertise spans electrical engineering, optical technology, software development, quality assurance, and manufacturing processes, with continuous training and education required to stay abreast of rapid technological advancements. These interconnected aspects drive the camera modules industry, enabling versatile and cutting-edge solutions to meet a wide range of consumer needs, from smartphones to automotive applications and beyond..

Opportunity: Expansion of e-commerce and logistics industry

The continuous innovations and advancements in image sensor technology are fueling a growing demand for camera modules across diverse applications. These developments encompass higher-resolution sensors for sharper imaging, improved low-light performance crucial for night photography and security, HDR and WDR technologies enabling balanced images in varying lighting conditions, miniaturization for smaller form factors in devices like smartphones and wearables, depth-sensing capabilities for facial recognition and augmented reality, integration with AI and machine learning for object recognition and intelligent processing, and the emergence of specialized sensors for applications like agriculture and environmental monitoring. Additionally, higher frame rates, reduced power consumption, customization options, and seamless integration further drive the role of camera modules in capturing the full potential of evolving image sensor technologies across industries ranging from consumer electronics to healthcare and industrial automation.

Challenge: Complex manufacturing and supply chain process.

The primary camera module industry challenge is the complex manufacturing and competitive supply chain. Camera modules have many different components, each of which must be manufactured to high standards. The supply chain for camera modules is also complex, with many other companies producing and distributing the components. This complexity can lead to delays and disruptions in the supply of camera modules, which can impact the market.

The camera modules market is a very competitive market, with many different companies competing for market share. This can lead to price wars and other challenges for manufacturers. Despite these challenges, the camera modules market is expected to grow in the coming years. This growth is driven by the increasing demand for camera modules in various applications, such as smartphones, tablets, and security cameras.

Camera Modules Market Ecosystem

The Camera modules market is competitive, with major companies such as LG Innotek, OFILM Group Co., Ltd., Sunny Optical Technology (Group), Hon Hai Precision Inc. Co., Ltd. (Foxconn), Chicony Electronics, Sony, Intel, and Samsung Electro-Mechanics are the significant manufacturers of camera modules, and numerous small- and medium-sized enterprises. Many players offer both camera modules and their components, while many players and components offer integration services. These integration services are widely required in automotive, electronics, and industrial applications, among others.

Based on components, the image sensor segment is expected to account for the largest market share during the forecast period.

The image sensors segment is projected to account for a significant market share during the forecast period. Image sensors are critical components in camera modules, and their advancement directly impacts the quality and capabilities of cameras in various devices, including smartphones, digital cameras, automotive cameras, and more. Image sensors have catalyzed rapid growth in the camera modules market, driven by rising demand for higher-resolution images and enhanced low-light performance.

They have enabled advanced features like HDR imaging and seamlessly supported multi-lens configurations in devices like smartphones to provide improved zoom and wide-angle capabilities. The integration of AI algorithms further boosted camera performance, while their application in the automotive sector, particularly in advanced driver-assistance systems (ADAS) and autonomous vehicles, fueled substantial demand. Manufacturing advancements have yielded smaller, more cost-effective sensors, making them accessible across various devices and emerging markets like IoT, drones, and robotics.

Based on Pixel, the above 13 MP segment is projected to grow with the highest CAGR during the forecast period

The above 13 MP pixel type is expected to grow the fastest in the camera modules market because of the increasing demand for better image quality from end users. This is especially true in the smartphone market, where consumers demand higher-resolution cameras for taking photos and videos.

Machine vision systems are used in various applications, such as quality control, robotics, and medical imaging. These systems require high-resolution camera modules to capture detailed images of objects. The increasing shift to high-resolution camera modules, especially in machine vision systems, is also driving the growth of this market segment. In addition, the declining prices of camera components and modules are making them more affordable for a broader range of applications.

Based on region, Asia Pacific is projected to grow fastest for the camera modules market

The scope of the camera modules market in Asia Pacific includes China, Japan, South Korea, India, and the Rest of Asia Pacific. The region is experiencing the fastest growth due to the increasing adoption of industrial automation and the growing industries such as automotive and electronics applications.

As Asia Pacific is a significant automobile manufacturing hub, the adoption of cameras is high in the region. Companies such as Toyota, Hyundai, Suzuki, Yamaha, and Nissan exist in Japan, China, and South Korea. The region is home to the world's largest and fastest-growing smartphone market. This is driving the demand for smartphone camera modules, as consumers demand higher-resolution cameras for taking photos and videos.

Camera Modules Market by Region

To know about the assumptions considered for the study, download the pdf brochure

Top Camera Modules Companies - Key market players

The camera modules companies is dominated by a few globally established players such as

• LG Innotek ,
• OFILM Group Co., Ltd.,
• Sunny Optical Technology (Group),
• Hon Hai Precision Inc. Co., Ltd.,
• Chicony Electronics,
• Samsung Electro-Mechanics and so on.

Camera Modules Market Report Scope

Camera Modules Market Highlights

This research report categorizes the camera modules market based on type, pitch, and application, and region

Recent Developments in Camera Modules Industry

• In September 2023, MCNEX, in partnership with Corephotonics, a firm acquired by Samsung Electronics with crucial multi-camera patents, has created the 8MP DUAL SCANNING CAMERA, an advanced driver assistance system (ADAS) aimed at improving blind spot detection in autonomous vehicles
• In December 2022, LG Innotek unveiled its inaugural Optical Telephoto Zoom Camera Module at CES. The module features pristine and vibrant image clarity with seamless filming across magnifications ranging from 4 to 9 times. The image quality has been elevated through the culmination of optical advancements, eliminating the need for a protruding 'Camera Bump.
• In August 2021, Hon Hai Precision Inc. Co., Ltd. (Foxconn) expanded its applications from just fitting completed units in iPhone to assembling iPhone camera components. This expansion aimed to strengthen Foxconn’s position in the market.
• In March 2021, Samsung Electro-Mechanics developed an optical 10x zoom folded camera module and initiated its mass production.

Frequently Asked Questions (FAQs):

To speak to our analyst for a discussion on the above findings, click Speak to Analyst