© 2013

MEMS for Cell Phones

and Tablets 2013

- From a $2.2B Business in 2012 to $6.4B by 2018 ! -

Samsung

Jawbone AMS

DelfMEMSSensirion

CSR

Wavelens

© 2013 • 2

MEMS for Mobile

Table of contents

• Introduction, Definitions & Methodology 5

• Executive Summary 20

1. Trends in the mobile phone and tablet market and drivers

for the integration of MEMS in mobile devices 46

2. Trends in sensor / data fusion 61

3. Competitive trends and supply chain analysis 85

– Competitive landscape: MEMS player ranking

– Value chain evolution

4. MEMS in mobile phones / tablets: 2012-2018 market

overview 103

– MEMS diffusion model and historical data on MEMS

attach rate

– 2012-2018 market synthesis

5. Inertial sensors, magnetometers 126

– Overview

– MEMS accelerometers

– MEMS gyroscopes

– Magnetometers

– 6-axis e-compass

– 6-axis IMU combos

– 9-axis combo solutions

6. MEMS microphones and speakers 185

– Silicon microphones

– Microspeakers

7. Pressure and humidity sensors 200

– Pressure sensors

– Humidity / temperature sensors

8. BAW, RF-MEMS and silicon timing 220

– BAW filters and duplexers

– MEMS switches and variable capacitors

– Silicon MEMS oscillators / resonators

© 2013 • 3

MEMS for Mobile

Table of contents

9. Optical MEMS: mirrors, display, AF, IR 274

– Micromirrors for picoprojectors

– Microdisplays

– MEMS auto-focus

– IR sensors and micro bolometers

10. Emerging MEMS for mobile devices 312

– Bio-chemical detectors & gas sensors

– MEMS touchscreen

– MEMS joystick

– Radiation detectors

– MEMS fuel cells

– Energy harvesting

– Others: UV, Ultrasonic…

11. Other sensors in mobile phones (non MEMS technologies) 344

– CMOS image sensors

– ALS, proximity, color sensors

• Conclusion and perspectives 373

© 2013 • 4

Objectives of the report

• The scope of this report covers:

– All MEMS devices integrated in mobile phones => not only sensors but also actuators

• MEMS accelerometers, MEMS gyroscopes, Magnetometers, 6-axis E-compass, 6-axis IMUs, 9-axis combo solutions, Pressure sensors, MEMS

microphones, BAW filters and duplexers, MEMS switches and variable capacitors, Silicon MEMS oscillators / resonators, Micromirrors for

picoprojectors, Microdisplays, MEMS Auto-focus, Infra-Red sensors, Humidity + Temperature sensors, Emerging MEMS

– All types of mobile phones (smartphones, feature phones and voice phones) + media tablets

• Basic e-readers not taken into account

• Amazon Kindle Fire and B&N Nook Tablet are counted as tablets. They are based on Android OS and provide advanced multimedia functionalities and

possibility to install applications from an app store

• The objectives of this report are the following:

– To provide a global overview of market data for MEMS components used in cell phones and tablets, including key market metrics & dynamics:

• Unit shipments and revenue by type of sensor

• Average selling price analysis and expected evolution

• Market shares with detailed breakdown for each player and major OEM contracts

– To provide an analysis of major technology trends for each device type:

• Current technologies and new development for future generations of products

– To provide a deep analysis of the challenges and opportunities for MEMS sensors and actuators in handsets and tablets:

• Description of the different drivers for integration and historical data on penetration of MEMS

• Which drivers for new MEMS devices, why will it start, what will market adoption be like?

• Different levels of software and trends for sensor fusion: strategies for integration in the system, major software specialists and end-applications

• Insight about architecture changes linked to the emergence of combo solutions and of MEMS data processing

– To provide a clear understanding of the MEMS value chain, infrastructure and players for the cellular handset and tablet business:

• List of major players for each device under consideration

• Analysis on the potential new entrants with disruptive technologies

• Description of the ecosystem and evolution of the value chain

– To analyze sensor fusion developments and emerging major end-applications, including indoor navigation and context awareness

© 2013 • 5

Who should be interested in this report?

• MEMS device manufacturers

– Evaluate market potential of future technologies and

products

– Understand the differentiated value of your

products and technologies in this market

– Build roadmap for modules: which type of

modules? When?

– Identify new business opportunities

– Identify potential strategic partners or technology

providers

– Monitor and benchmark your competitor’s

advancements

• MEMS foundries, material and equipment suppliers,

packaging houses

– Understand what are the applications that will drive

the volumes in 2018

– Identify new business opportunities and prospects

• Specialists of microcontrollers, baseband/ transceiver,

application processor…

– Spot new opportunities and define diversification

strategies linked to sensor / data fusion

• Mobile phone and media tablet OEMs

– Evaluate market potential of future technologies and

products to differentiate your products

– Evaluate the benefits of using these new technologies

in your end system, design architectures for the next

generation of systems

– Screen potential new suppliers able to provide new

functionalities, or cost and size savings

• R&D centers

– Evaluate market potential of future technologies and

products for new applicative markets

– Identify the best candidates for technology transfer

• Financial & strategic investors

– Understand the structure and value chain of the

cellular handset and media tablet industry

– Estimate the potential of new devices such as RF

MEMS tuners, oscillators, auto-focus, speakers…

– Get the list of the main key players and emerging start-

ups of this industry worldwide

© 2013 • 6

Companies cited in this report

AAC Acoustics, Analog Devices, Aichi MI, AKM, Alps Electric, Amazon, AMS, Apple, Aptina

Imaging, Asus, Atmel, Audiopixels, Avago, BlackBerry, BodyMedia, Bosch Sensortec,

Broadcom, Canon, Capella, Cavendish Kinetics, CSR, DelfMEMS, Discera, Epcos, Excelitas,

Fairchild, Freescale, Fujitsu, Gettop, Goertek, Google, Hillcrest Labs, HTC, Huawei, IDT, Intel,

Intersil, InvenSense, Jabra, Jawbone, Kionix, Knowles Acoustics, Lemoptix, LG, Marvell,

Maxim, mCube, Mediatek, MEMS Vision, MEMSensing Microsystems, Memsic, Micello,

Microvision, MiraMEMS, Mobiplex, Mosoro, Motorola, Movea, Murata, Nano-, EMS, Navisens,

Netatmo, NEWCO, Nextinput, Nokia, Nvidia, NXP, Omnivision, Omron, On Semiconductor,

Panasonic, Peregrine, PoLight, Pyreos, Qualcomm, RFMD, Rohm, Samsung, Sand 9,

Senodia, Sensirion, Sharp, Silicon Labs, SiTime, Sony, Spreadtrum, ST Microelectronics,

Synkera, Tactus Technology, TCL, Tessera, Texas Instrument, Toshiba, TreLab, TriQuint,

Trusted Positioning, Ublox, Variable Technologies, Visioglobe, Wavelens, Wispry, Withings,

Wolfson, Yamaha, ZTE and many more !

© 2013 • 7

IntroductionMarket demand for new sensors will support lead to a $6.4B

market by 2018!

• MEMS devices are proliferate in mobile devices. We count 25+ sensors and actuators in production or in development for mobile applications, including

MEMS accelerometers, MEMS gyroscopes, magnetometers, 6-axis e-compasses, 6-axis IMU combos, 9-axis combo solutions, silicon microphones,

microspeakers, pressure sensors, humidity/temperature sensors, BAW filters and duplexers, MEMS switches and variable capacitors, silicon MEMS

oscillators/resonators, micromirrors for picoprojectors, microdisplays, MEMS auto-focus, IR sensors and micro bolometers, bio-chemical detectors & gas

sensors, MEMS touchscreen, MEMS joystick, radiation detectors, MEMS fuel cells, energy harvesting, UV sensors, ultrasonic sensors and more!

• Mobile phones and tablets are becoming more sophisticated, and MEMS content is ever-increasing. Indeed, MEMS sensors and actuators bring a strong

value proposition at different levels:

- Navigation & environmental sensing

- Improved sound quality

- Better communication performance

- Improved visual experience + new tactile interface

- Increased battery life

- Infrared sensing

• The past 12 months have seen big changes. While in the past, cell phone MEMS were limited to three categories (inertial, microphones and filters), we’ve

seen strong adoption of new device types targeting environmental sensing. Also, pressure sensors are being heavily adopted in flagship phones and tablets,

and humidity sensors are being adopted in the Samsung Galaxy S4. All of these new MEMS killer applications are detailed in this report.

• Changes have even occurred in existing high-volume MEMS areas:

- Significant architectural changes have been observed in inertial sensors, with current strong adoption of IMU combo sensors. Likewise, a new opportunity has

appeared with a camera module’s dedicated OIS gyroscope.

- A trend has developed involving integration of a third MEMS microphone to provide HD voice recording (i.e. in the iPhone 5), in addition to the dual microphone

architecture described in the last report. This trend is a market booster.

- Strong adoption of LTE in high-end platforms will boost the duplexer market for the next three years.

• The long-term outlook for MEMS companies is brighter than ever, as existing products and products just ramping up will drive solid growth over the next

few years. Additionally, a new wave of MEMS products will enable further growth. This report describes why some of these emerging MEMS (speakers,

oscillators, chemical sensors, switches, auto-focus, etc.) will ramp up in volume almost overnight, just as pressure and humidity sensors did in the past few

months. A nice 19% yearly growth is predicted for a market that reached $2.2B in 2012, and volume growth will be even more impressive, with 17.5B units

expected by 2018, up from 4.5B in 2012.

© 2013 • 8

IntroductionSensor fusion is heating up with its first commercial

implementations!

• As sensor popularity enables new applications, software is key for obtaining the best performance and

functionalities. Sensor hubs appeared at the end of 2012 -- in Windows Phone architectures and also in some

Android platforms such as the Samsung Galaxy Note 2 and Galaxy S4, which integrate Atmel hub. This greatly

impacts the MEMS value chain, since successful products must offer the right level of software and be qualified

with sensor hubs possessed of the right timing.

• Sometime in 2013, evolution is still expected in value partitioning, in particular with sensor fusion integration

in the application processor. Also, as the value chain continues moving and new architecture appears, new killer

functionalities will hit the market. In particular, an ecosystem for context awareness or indoor navigation is put

in place, with technology demonstrations (such as Movea’s recent demo at CES) and release of the first

commercial chipsets enabling new sensor and data fusion concepts (Qualcomm iZat, Gimbal, CSR SiRFusion

Platform, etc.). The most recent end-user trends shaping demand for next-generation MEMS devices are

carefully analyzed in this report. In fact, one of the strongest impacts on sensor fusion architecture is the growth

of connected devices and the use of the cell phone as a hub.

© 2013 • 9

IntroductionA price war and market share erosion – all in the last year!

• A large, growing market often comes with a strong price decrease. This is true for MEMS in mobile devices, as was observed in

2012. Continuous competition between STMicroelectronics and InvenSense, and the arrival of a third player in gyroscope and IMU,

had a significant impact on pricing -- which decreased 25% in just one year! In the magnetometer area, the price decrease was even

more significant, at 35%. Also, Memsic’s aggressive pricing strategy forced market leader AKM to realign. Details are provided in

this report.

• While the big guys still dominate this field and possess most of the business (STMicroelectronics for gyros and accelerometers,

AKM for magnetometers, Knowles for microphones and Avago for BAW), things are changing. For example, in some cases we’ve

seen an erosion of market share, for reasons described in this report. In fact, our analysis shows that in one year, Knowles lost 19%

market share, AKM 8% and Avago 2% in their respective markets.

• Opportunities for challengers are emerging every day, driven by several factors:

- Technology shift linked to the demand for higher performance in order to enable new-end functionalities and integration levels (this

may be happening for magnetometers)

- New business models, such as integrating MEMS dies, which are sold off-the-shelf (typically by Infineon)

- Adoption of disruptive concepts for new sensors and actuators

• Out of the 20+ players currently doing business in mobile MEMS applications, only three have been able to successfully diversify

by enlarging their MEMS product portfolio. It’s a difficult achievement because Yole’s MEMS law remains valid: there is still no

standardization for MEMS products and processes. However, all industry players are actively looking to provide new functions and

launch new components.

© 2013 • 10

MEMS devices in volume in 2013:

• IMU combo

• Magnetometer

• MEMS microphones

• Pressure sensor

• Humidity + Temperature sensor

• BAW filters and duplexers

• Antenna tuner

Simplified view of TODAY (2013’s) smart-

phone boardMEMS in red

© 2013 • 11

New MEMS devices in volume in 2018?

• 9-axis combo

• Pressure + Humidity + T° combo

• More microphones!

• Silicon timing for XO / TCXO / 32kHz clock

• Antenna switching

• Gas / biochemical sensors

• Auto-focus

• MEMS mirrors

• Microspeaker

• Touchscreen?

• IR sensor?

Simplified view of TOMORROW (2018’s)

smart-phone boardMEMS in red

Joystick?

UV sensor?

LIDAR?

Ultrasonic sensor?

Radiation sensor?

…

Energy harvesting?

© 2013 • 12

New major trendsShaping the demand for the next generation MEMS devices

Affordable smartphones

growing, brands get

increasingly involved

Phablets

New applications outside of

social networking and online

gaming

Cloud-based services

Demand for longer battery

life

“No-contract phones”

Multimedia applications,

Video streaming

Feature phones decline,

smartphones growth

More processing power

available

More data, more antennas

Envelope tracking / Carrier

aggregation in LTE-A

Higher level of integration

for RF, for sensors…Context awareness

Driving the demand for more MEMS sensors and actuators

Driving the demand for

differentiation(new types of sensors,

packages, functionalities…)

Wearable electronics

connected to smartphones

Standardization of interface

and MEMS specifications

© 2013 • 13

Smartphones and tablets: at the core of wearable

electronics / connected devicesExample of new devices (2/4)

Mosoro 3D-motion

NodeKore from Variable

Technologies

BodyMedia

• Integrates MEMS accelerometer (from Kionix and

ST) in his systems for fitness application

• We note that no gyroscopes are used presently.

This would enable more precise monitoring and

new sports applications, however power

consumption would be too high. It could be part of

larger systems in the future.

• After a wrist product that has to be worn during 6

months, BodyMedia is introducing a new product

tageting a much larger market: disposable patchs

worn during 1 week, that would be sold for $30.

Jawbone Up

Cell Phone

as a Hub

© 2013 • 14

Sampling

/ R&D

High

volume

Small

production

MEMS value proposition in mobile devices

DelfMEMS switch

Freescale pressure sensorPolight MEMS

autofocus

Sensirion Humidity

Sensor

AudioPixel microspeaker

Sand 9 MEMS

Oscillator

NextInput SoftTouch

interface

TI temperature sensor versus

a competing thermopile

sensor

Wispry antenna tuner on cell

phone board

Thermal imager MuOptics

Mirasol display

STM 9-axis

Knowles microphones

Scanning mirror from

Lemoptix

Improved

visual

experience

Navigation &

environment

sensing

Sound

quality

Better communication

performances

New tactile

interface

Infra red sensing

Increased battery lifetime

Nectar fuel cell

© 2013 • 15

Successful companies are still large leaders

in distinct MEMS categoriesTop 4 players have >50% market shares on 5 different MEMS markets,

although it starts to decrease in some cases

© 2013 • 16

L3G4IS dual core gyroTeardown of Nokia Lumia 920

• This gyro is integrated in the cameramodule and is

able to provide both the image stabilization function

and the user interface function (replace the gyroscope

on the main board)

© 2013 • 17

More slides from the report…

© 2013 • 18

Available MEMS Reports

Trends in MEMS

Manufacturing &

Packaging

MEMS Cosim+

MEMS Manufacturing

Cost Simulation Tool

Ferro-Electric

Thin Films

MEMS

Microphone

Permanent Wafer

BondingThin Wafer

Handling

Infrared Detector

Market, Applications

and Technology

Trends

Technology Trends

for Inertials MEMS

RF Filters, PAs,

Antenna Switches &

Tunability for Cellular

Handsets

Trends in MEMS

Manufacturing &

Packaging

Ferro-Electric

Thin Films

Motion Sensors for

Consumer & Mobile

applications

Uncooled Infrared

Imaging: Commercial &

Military Applications

IMU & Gyro for

Defense, Aerospace

& Industrial

Status of the

CMOS Image

Sensors

New!

3-Axis Consumer

Gyroscopes

New!

Emerging Energy

Harvesting

Devices

New!

MEMS Front-End

Manufacturing

Trends

New!

MEMS Pressure

Sensor

Sensor fusion of

acceleros, gyros &

magnetometers

MEMS Gyro Patent Investigation

© 2013 • 19

Yole activities in MEMS

Media businessNews feed / Magazines /

Webcasts

ReportsMarket

Research

Consulting servicesMarket research,

Technology & Strategy

www.yole.fr