SerDes Market

Market Definition

A SerDes (Serializer/Deserializer) is an integrated circuit that converts data between serial and parallel formats, enabling high-speed communication between electronic components with minimal signal degradation. The market includes technologies and solutions designed for high-bandwidth data transmission in compact, efficient formats.

It is widely applied across data centers, automotive electronics, and telecommunications to support faster connectivity, reduce latency, and ensure reliable signal transmission across high-performance digital systems. This report outlines the primary drivers of market growth, emerging trends, and evolving regulations shaping the industry.

SerDes Market Overview

The global serdes market size was valued at USD 745.3 million in 2024 and is projected to grow from USD 833.2 million in 2025 to USD 2,015.6 million by 2032, exhibiting a CAGR of 13.45% during the forecast period. 

The growth of the market is fueled by the expansion in 5G infrastructure and rising demand for high-speed, low-latency connectivity. Additionally, the integration of AI and machine learning in serdes design is enhancing signal integrity, power efficiency, and design optimization for advanced data-driven applications.

Major companies operating in the SerDes industry are Broadcom, Lattice Semiconductor, Texas Instruments Incorporated., Marvell, STMicroelectronics, ALPHAWAVE SEMI, Synopsys, Inc., Cadence Design SystemsInc., Semiconductor Components Industries, LLC, Qualcomm Technologies Inc., NXP Semiconductors, ROHM Co., Ltd., Renesas Electronics Corporation., Analog Devices, Inc., and Microchip Technology Inc.

The market is driven by the growing use of advanced electronics in modern vehicles that require fast and reliable data transfer. As vehicles integrate more cameras, sensors, and high-resolution displays, the need for efficient in-vehicle communication increases. 

The development of high-speed asymmetric communication standards supports this demand by enabling seamless connectivity. A robust infrastructure of advanced semiconductor technologies, development platforms, and testing tools is also contributing to faster implementation, enabling scalable and efficient in-vehicle communication solutions essential for next-generation automotive systems and safety features.

• In June 2024, the Automotive SerDes Alliance (ASA) announced the successful development of a robust ecosystem for the ASA Motion Link (ASA-ML) standard, supporting asymmetric high-speed communication in vehicles. This ecosystem enhances SerDes adoption by enabling multi-vendor semiconductor support, testing tools, and complementary components such as cables and connectors, streamlining deployment in camera, sensor, and display systems.

Key Highlights:

1. The serdes industry size was recorded at USD 745.3 million in 2024.
2. The market is projected to grow at a CAGR of 13.45% from 2025 to 2032.
3. North America held a market share of 36.55% in 2024, with a valuation of USD 272.4 million.
4. The standalone serdes segment garnered USD 419.8 million in revenue in 2024.
5. The physical coding sub-block segment is expected to reach USD 883.5 million by 2032.
6. The automotive segment is anticipated to witness the fastest CAGR of 16.59% during the forecast period.
7. Asia Pacific is anticipated to grow at a CAGR of 14.64% during the forecast period.

Market Driver

Growth of 5G Infrastructure

The SerDes market is driven by the rapid growth of 5G infrastructure, which demands high-speed and low-latency data transmission across base stations and backhaul networks. With growing demand for reliable communication across various frequency bands, SerDes technology facilitates efficient signal transfer. 

It supports the performance, scalability, and responsiveness essential for advanced 5G networks. This increasing reliance on high-speed connectivity positions SerDes as a crucial component in enabling seamless communication across evolving digital, industrial, and next-generation communication applications.

• In December 2024, 5G Americas reported that global 5G connections exceeded two billion in Q3 2024, marking 48% year-over-year growth. With over 170 million new connections added in the quarter, the adoption of 5G continues to accelerate. Projections estimate 8.4 billion connections by 2029, highlighting 5G’s expanding impact on global connectivity and digital transformation.

Market Challenge

High-Speed Signal Integrity Issues

The SerDes market faces a significant challenge due to high-speed signal integrity issues, especially at data rates exceeding 10 Gbps. Signal distortion, jitter, crosstalk, and electromagnetic interference degrade performance over longer distances and complex PCB layouts. These challenges result in higher bit error rates and compromise overall system reliability.

To overcome these challenges, companies are actively investing in advanced equalization techniques such as Decision Feedback Equalizers (DFE), Forward Error Correction (FEC), and adaptive voltage scaling. These technologies help maintain signal clarity and reduce transmission errors. 

In addition, there is a strong focus on developing low-loss materials, enhanced packaging technologies, and high-precision simulation tools to improve signal integrity and optimize the physical layout of high-speed circuits. 

Overall, addressing signal integrity challenges is essential for sustaining the performance and scalability of SerDes technologies in data-intensive applications such as data centers, high-speed networking, and advanced computing systems.

Market Trend

Integration of AI and ML Techniques for SerDes Design

A key trend in the SerDes market is the integration of AI and machine learning techniques in SerDes design, which enables improved signal integrity, power efficiency, and performance optimization. These methods enhance the accuracy of modeling and simulation, reduce design complexity, and shorten development cycles. 

They support a wide range of applications, including AI, high-performance computing, switching, and optical systems, by delivering adaptive and scalable SerDes solutions. This approach ensures reliable data transmission across various reach types, meeting the growing demand for faster and more efficient connectivity.

• In February 2024, Credo Technology Group Holding Ltd launched its latest 112G PAM4 SerDes IP family on TSMC’s advanced N3 and N7/N6 process nodes. Complementing its existing N5 and enhanced N4 offerings, this SerDes IP portfolio supports LR+, LR, MR, and VSR applications across AI, machine learning, high-performance computing, switching, security, and optical infrastructure deployments.

SerDes Market Report Snapshot

Segmentation	Details
By Type	Standalone SerDes, SerDes IP Cores
By Component	Clock Multiplier Uni, Lanes, Physical Coding Sub-Block
By Industry Vertical	IT & Telecom, Automotive, Healthcare, Industrial, Others
By Region	North America: U.S., Canada, Mexico
	Europe: France, UK, Spain, Germany, Italy, Russia, Rest of Europe
	Asia-Pacific: China, Japan, India, Australia, ASEAN, South Korea, Rest of Asia-Pacific
	Middle East & Africa: Turkey, U.A.E., Saudi Arabia, South Africa, Rest of Middle East & Africa
	South America: Brazil, Argentina, Rest of South America

 Market Segmentation:

• By Type (Standalone SerDes, SerDes IP Cores): The standalone serdes segment earned USD 419.8 million in 2024 due to its widespread adoption in high-speed data transmission applications across data centers, telecom, and networking equipment.
• By Component (Clock Multiplier Uni, Lanes, Physical Coding): The physical coding sub-block segment held 41.45% of the market in 2024, due to its critical role in ensuring reliable data transmission through encoding, error detection, and signal integrity optimization in high-speed interfaces.
• By Industry Vertical (IT & Telecom, Automotive, Healthcare, and Industrial): The automotive segment is projected to reach USD 719.5 million by 2032, owing to the rising integration of advanced driver-assistance systems (ADAS) and in-vehicle infotainment requiring high-speed, low-latency data communication enabled by SerDes technology.

SerDes Market Regional Analysis

Based on region, the market has been classified into North America, Europe, Asia Pacific, Middle East & Africa, and South America.

North America serdes market share stood at 36.55% in 2024 in the global market, with a valuation of USD 272.4 million. The region dominates the market due to its well established data center infrastructure, which requires high-speed, low-latency data transmission to manage increasingly complex and data-intensive workloads. 

As AI and cloud computing applications expand, data centers require advanced interconnect solutions to handle large-scale data movement efficiently. SerDes technology enables high-bandwidth communication between servers, switches, and storage systems, ensuring optimal performance. This widespread integration of SerDes in hyperscale data centers in the region is driving the growth of the market.

Asia Pacific serdes industry is poised for significant growth at a robust CAGR of 14.64% over the forecast period. This growth is driven by the rising adoption of high-speed in-vehicle networking technologies built on open standards like automotive serdes alliance (ASA). 

With increasing demand for connected and autonomous vehicles, automotive manufacturers across the region are integrating SerDes solutions to enable seamless, high-bandwidth communication among cameras, sensors, and displays. 

This integration is accelerating the deployment of advanced driver assistance systems (ADAS) and improving overall vehicle safety. As a result, Asia Pacific is emerging as a key region for innovation and implementation of automotive SerDes technologies, thereby driving market growth.

• In April 2024, Microchip Technology Inc. completed the acquisition of Korea-based VSI Co. Ltd., a leader in high-speed connectivity solutions for cameras, sensors, and displays using Automotive SerDes Alliance (ASA) standards. This acquisition strengthens Microchip’s position in advanced SerDes-based in-vehicle networking technologies for next-generation automotive applications.

Regulatory Frameworks

• In the U.S., the Federal Communications Commission (FCC) regulates SerDes technologies by setting standards for electromagnetic interference (EMI) and radio frequency (RF) emissions. These regulations ensure that electronic components, including SerDes, comply with national communication and safety requirements.
• In India, the Telecommunication Engineering Centre (TEC) regulates SerDes by setting technical standards and specifications for telecommunications equipment to ensure interoperability, safety, and performance in high-speed data transmission systems across networks.
• In Europe, European Telecommunications Standards Institute (ETSI) regulates SerDes by developing applicable standards for telecommunications and electronic communications, ensuring reliable high-speed data transfer and system interoperability.

Competitive Landscape

Companies in the SerDes industry are actively pursuing strategic initiatives such as mergers and acquisitions, product portfolio expansions, and advanced technology launches to strengthen their market position. Key players are acquiring specialized firms to enhance their IP assets, expanding into advanced process nodes, and launching high-speed SerDes solutions tailored for AI, automotive, and data center applications. 

• In September 2023, Cadence Design Systems, Inc. completed the acquisition of Rambus Inc.'s SerDes and memory interface PHY IP business, enhancing its IP portfolio to support AI, data center, and networking demands. This move strengthens Cadence’s position in high-speed connectivity solutions and aligns with its Intelligent System Design strategy, while also expanding its global SerDes engineering expertise across the U.S., India, and Canada.

List of Key Companies in SerDes Market:

• Broadcom
• Lattice Semiconductor
• Texas Instruments Incorporated.
• Marvell
• STMicroelectronics
• ALPHAWAVE SEMI
• Synopsys, Inc.
• Cadence Design Systems, Inc
• Semiconductor Components Industries, LLC
• Qualcomm Technologies, Inc
• NXP Semiconductors
• ROHM Co., Ltd.
• Renesas Electronics Corporation.
• Analog Devices, Inc.
• Microchip Technology Inc.

Recent Developments (Partnerships/ Product Launch)

• In September 2024, Inova Semiconductors introduced new APIX3 SerDes transmitters, INAP567TAQ and INAP597TAQ, featuring DisplayPort 1.4a with multi-stream transport support for up to four daisy-chained displays. Designed for automotive cockpit and infotainment systems, these transmitters enable real-time transmission of video, audio, Ethernet, and data at up to 12 Gbit/s, supporting high-resolution and safety-critical display applications.
• In August 2023, the MIPI Alliance and Automotive SerDes Alliance (ASA) formed a partnership to allow direct use of the MIPI CSI-2 camera interface with the ASA Motion Link (ASA-ML) SerDes physical layer. This move helps simplify camera integration in vehicles and includes added support for safety and security features through MIPI’s service extensions.