Prices for MEMS accelerometers and gyroscopes fell to as low as US$0.20 in the second quarter of 2015, down more than 30% from year-ago levels, according to industry sources.

The number of accelerometer and gyro suppliers has increased in China and Taiwan, due to a low barrier to entry for 2D accelerometers and gyros for use in mobile devices and wearables, said the sources.

Meanwhile, a price war triggered by China-based players has led to fierce competition in the market for 2D accelerometers and gyros, the sources indicated. Suppliers engaged in the entry-level and mid-range MEMS sensor market segment have been adversely affected and suffered substantial profit decreases as a result of the price falls, the sources said.

Taiwan-based Sitronix, 3S, Richtek, Dyna Image and GlobalMEMS have all stepped into the entry-level and mid-range accelerometer and gyro market segments.

In addition, IC design companies based in China and Taiwan have rushed to pour resources into R&D for MEMS barometers as they anticipate demand from wearable devices to surge, the sources noted.

By: DocMemory
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