Why Is the Audio IC Market Growing | Key Drivers, Trends & Forecast 2025–2031

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Code: MTA3622

Publication Date: May 2025

Audio IC Market Size Growth Rate

As per 6Wresearch, Audio IC Market was valued at USD 32.79 billion and is projected to reach USD 53.89 billion by 2031, growing at a CAGR of 8.5%. The rising trend of teleconferencing and remote work has also accelerated the adoption of high-quality audio technologies.

Why Is the Audio IC Market Growing?

The audio IC market is experiencing significant growth due to the ongoing advancements in consumer electronics and the increasing demand for high-fidelity sound systems. With the surge in smartphones, wearables, and smart home devices, audio ICs have grown to be a vital component within these devices to ensure the customer has a low noise, high fidelity experience. The move towards streaming services has created renewed demand for devices like wireless earbuds and smart speakers that experience greater reliance on audio ICs to deliver flawless sound. All of this, in conjunction with a persistent focus on user experience, has compelled the adoption of advanced audio ICs to proliferate across sectors, while features like noise cancellation, voice recognition and 3D audio, have also sped up the expansion of the advanced audio IC market.

How Audio ICs Are Revolutionizing Everyday Tech

Audio ICs are critical in changing the way people interact with technology in their everyday lives. These integrated circuits are essential in enabling voice commands - from virtual assistants in a smart speaker to hands-free functions in a vehicle. The shrinking of audio ICs has given manufacturers the ability to develop smaller and lighter devices while retaining audio quality. Additionally, improvements in audio signal processing enable devices to provide a fully immersive soundscape for gaming, streaming, and augmented reality (AR) experiences. Audio ICs are bridging the gap between advanced audio technology and user-focused functionality and redefining the audio experience on many platforms.

What’s Fueling the Global Rise in Audio IC Demand?

Several factors are driving the global rise in demand for audio ICs. One of the primary contributors is the surge in adoption of smart devices such as wireless earbuds, soundbars, and smart TVs. These devices require sophisticated audio ICs to handle functions like audio amplification, signal processing, and power management efficiently. The demand for audio ICs in these smart devices is expected to continue to rise due to the additional functions of audio amplifying, signal processing, and power management. The interests and availability surrounding electric vehicles (EV) and the growth of autonomous driving technologies have also positively affected the demand for audio ICs, as they are typically an important factor in today's infotainment, and/or the communication systems in vehicles. The growing emphasis and availability of sustainability, and energy efficiency in audio IC design has also made audio IC's more attractive. Opportunities in design, such as advancing connectivity with 5G, newer internet of things (IoT) and application of nature and sound, continue to lead to incredible design possibilities for audio ICs.