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Nov 7th, 2013
 
Inertial sensor market moves to combo sensors and sensor hubs
 
At least in the inertial sensor market, MEMS development is starting to look less like one product, one process, than like one product in a common ecosystem.
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While market demands for lower cost, higher performance MEMS devices continue unchanged, the options for meeting these demands are changing as the sector matures. As current process technology approaches its limits for easily reducing the size and cost of devices, integration, both in combination sensor hardware and sensor fusion software—is becoming the next technology driver. And that means lots of options for technologies, partnerships and business models to put all the parts together for competitive advantage.

Inertial sensor prices will continue to keep dropping, and though the rate of change is slowing, we expect strong competition and strong pressure from big customers to push the average selling prices down another 40% to 60% over the next five years, with a three-axis accelerometer falling to around ~ $0.19, a three-axis gyro to ~$0.31 and a 3-axis magnetometer to ~$0.18 by 2018.


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