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The penetration rate for fingerprint-recognition sensors in the smartphone market will rise above 50% in 2017 from about 40% in 2016, according to industry observers. The ratio reached only 20% in 2015 indicating demand for fingerprint sensors has been growing robustly.
Falling ASPs has also been accelerating the adoption of fingerprint sensors by handset vendors, said the observers. An increase in the number of suppliers has led to fiercer competition in the market.
China- and Taiwan-based fingerprint sensor suppliers including Egis Technology (Egistec), Elan Microelectronics, FocalTech Systems, Goodix Technology and Silead remain focused on the China market, where smartphone demand will reach nearly 500 million units in 2016. The players are expected to see their shipments hike in the third quarter, the observers noted.
China- and Taiwan-based IC design houses were once lagging behind their international rivals in the development of fingerprint sensors. However, the players have gone through their learning curves and obtained orders from brand handset vendors starting the second half of 2016, the observers indicated.
Meanwhile, fingerprint sensor prices have fallen as low as US$3 in the second half of 2016, the sources added.
Fingerprint sensor shipments from China- and Taiwan-based chipmakers are set to climb more than 100% on year in 2017, the observers said.
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