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Data Converter Market worth $7.4 Billion by 2028 - Exclusive Report by MarketsandMarkets

CHICAGO, Jan. 25, 2023 /PRNewswire/ -- The data converter market size is valued at USD 5.5 Billion in 2023 and is anticipated to be USD 7.4 Billion by 2028; growing at a CAGR of 6.0% from 2023 to 2028 according to a new report by MarketsandMarkets. The key factors contributing to the growth of the data converter market include the growing demand for high-resolution images in scientific and medical applications, and the increasing adoption of technologically advanced data acquisition systems are among the factors driving the growth of the data converter market.

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Browse in-depth TOC on "Data Converter Market"
194 - Tables
64 - Figures
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Digital-to-Analog Converters (DACS) is expected to hold the second-largest share during the forecast period

A digital-to-analog converter is a system that converts a digital signal into an analog signal. The DAC, present in many computers, smartphones, and tablets, is the key to unlocking digital audio. It produces high-quality audio by converting vast volumes of digital data into analog signals. Most modern devices require a DAC to convert digital audio to an analog signal. It functions as a digital sound source before being transferred into devices such as CD or Blu-ray players, gaming consoles, digital TV boxes, or portable music players. The growing demand for home entertainment devices, in-car infotainments, and professional audio equipment is likely to drive the market for general-purpose DACs.

High-speed data converters to grow at a higher CAGR during the forecast period

A high-speed data converter operates at a sampling rate of 10 MSPS to multi-GSPS. These types of converters are highly used for communications applications due to their ability to convert analog signals to a digital form, or vice versa, at high speed and resolution. In the communications industry, the infrastructure-providing companies are expected to enhance their R&D capabilities to create new equipment to cater to the requirement of high-speed communications, which, in turn, would create opportunities for high-speed data converter providers. High-speed data converters are commonly used for communications and T&M applications. The increasing development toward the commercialization of 5G technology is likely to be a significant opportunity for the communications application, which is anticipated to drive the high-speed data converter market.

Communications application is expected to hold the largest share of the data converter market during the forecast period

The communications industry is one of the biggest and most rapidly changing sectors. In the highly competitive communications sector, products have to be largely scalable, technologically innovative, and cost-effective. The evolution of wireless communication networks, such as 3G, 4G, and long-term evolution (LTE), has resulted in the growth of base stations, optical communication devices, and other communications-based infrastructural products in recent years. The 5G wireless communications technology is developing rapidly and is expected to increase the demand for data converters globally. The wireless sector is gradually transitioning its infrastructure from 4G to 5G, and in this context, the market for data converters is seeing innovation due to the demand for wide input bandwidth, higher sampling rates, and more spectral efficiency. As a result of the 4G and 5G wireless networks extensive coverage of signal bands, data converters are a crucial part of the entire communication system. For advanced high-performance communications applications, electronics and network infrastructure manufacturers need to develop a high-speed lag-free solution, which results in the increased demand for high-speed data converters. The rising adoption of several types of high-speed broadband communication equipment has resulted in high demand for data converters. The in-house and in-building communication systems are driving the market for data converters. Under the wireless infrastructure segment, high-speed data converters are used in software-defined radio (SDR) and digital repeaters, among many others.

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North America to hold the second-largest market share during the forecast period

North America is home to several component manufacturers of automated testing equipment systems, such as Teradyne (US), Roos Instruments (US), and others. End-user industries, namely, industrial and communications in North America, are extensively using T&M solutions for the better delivery of video, voice, and data services. The increasing demand for T&M equipment is expected to drive the data converter market growth in North America. The R&D, at academic as well as industry levels, is broadening the application areas of connected solutions and IoT in different industries. Rapid digitization across various industries, increasing adoption of smart connected devices, and technological advancements are assisting the growth of the data converter market in North America.

The key players in this market are Texas Instruments (US), Analog Devices (US), Skyworks Solutions, Inc. (US), Infineon Technologies AG (Germany), STMicroelectronics (Switzerland), Qorvo, Inc. (US), NXP Semiconductor (Netherlands), ON Semiconductor (US), Microchip Technology (US), Renesas Electronics Corporation (Japan). The players in this market have adopted various strategies to expand their global presence and increase their market shares.

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Browse Adjacent Market: Semiconductor and Electronics Market Research Reports &Consulting

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About MarketsandMarkets

MarketsandMarkets is a blue ocean alternative in growth consulting and program management, leveraging a man-machine offering to drive supernormal growth for progressive organizations in the B2B space. We have the widest lens on emerging technologies, making us proficient in co-creating supernormal growth for clients.

The B2B economy is witnessing the emergence of $25 trillion of new revenue streams that are substituting existing revenue streams in this decade alone. We work with clients on growth programs, helping them monetize this $25 trillion opportunity through our service lines - TAM Expansion, Go-to-Market (GTM) Strategy to Execution, Market Share Gain, Account Enablement, and Thought Leadership Marketing.

Built on the 'GIVE Growth' principle, we work with several Forbes Global 2000 B2B companies - helping them stay relevant in a disruptive ecosystem. Our insights and strategies are molded by our industry experts, cutting-edge AI-powered Market Intelligence Cloud, and years of research. The KnowledgeStore (our Market Intelligence Cloud) integrates our research, facilitates an analysis of interconnections through a set of applications, helping clients look at the entire ecosystem and understand the revenue shifts happening in their industry.

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