Australia Application Processor Market

Australia Application Processor Market Overview:

The Australia application processor market size reached USD 1.06 Billion in 2024. Looking forward, IMARC Group expects the market to reach USD 1.77 Billion by 2033, exhibiting a growth rate (CAGR) of 5.30% during 2025-2033. The market is fueled by increasing smartphone adoption, growing demand for AI-enabled devices, expanding IoT applications, and supportive government initiatives for digital infrastructure. Additionally, consumer expectations for high-performance mobile functionality and the rollout of 5G networks are driving innovation in processor technology, contributing to the rising Australia application processor market share.

Australia Application Processor Market Trends:

Integration of AI and Machine Learning in Edge Processing

A significant trend in the Australian application processor market is the integration of artificial intelligence (AI) and machine learning (ML) capabilities directly into edge devices. Australian tech firms and research institutions are actively developing processors with embedded AI engines to handle complex tasks locally, minimizing latency and improving user experience. This is especially relevant in mobile health, autonomous systems, and augmented reality applications. Edge AI enables devices to function efficiently without relying heavily on cloud-based processing, which is crucial in remote and low-connectivity areas across Australia. The adoption of these processors is being supported by a growing ecosystem of AI software developers, fostering innovation in localized smart applications that are both privacy-focused and responsive to user behavior. For instance, at Snapdragon Summit 2024, Qualcomm unveiled its AI-first vision across mobile, PC, and XR platforms, driven by its Snapdragon 8 Elite chip and second-gen Oryon CPU. Collaborations with Microsoft, Meta, and OpenAI aim to power AI at the edge. Qualcomm’s tech now supports devices from Xiaomi and Honor, with Samsung also participating. The company is evolving from wireless leader to AI-driven, connected computing pioneer.

Growing Role of 5G in Processor Design Optimization

The deployment of 5G networks across Australia is shaping the evolution of application processors, influencing their design for improved connectivity, lower power consumption, and enhanced thermal management. For instance, as per IMARC report, Australia's 5G network deployment market was valued at USD 341.87 Million in 2024. The market is projected to grow significantly, reaching USD 15,160.96 Million by 2033, with a compound annual growth rate (CAGR) of 48.60% between 2025 and 2033. With mobile devices now required to handle faster data transmission and more complex networking tasks, manufacturers are focusing on optimizing processor architecture for 5G compatibility. This includes the integration of multi-core systems and advanced modems that can efficiently manage high-bandwidth applications such as real-time video streaming, cloud gaming, and telehealth services. The emphasis on 5G-ready processors is further supported by strategic partnerships between telecom providers and semiconductor companies aiming to meet the performance standards expected by modern consumers in Australia’s urban and regional areas.

Expansion of Application Processors into Non-Smartphone Devices

Beyond smartphones, application processors are increasingly being deployed in a variety of connected devices, including wearables, smart home systems, and industrial IoT applications, which represents one of the key factors influencing the Australia application processor market growth. For instance, in May 2024, Samsung launched the Exynos W1000, its first application processor (AP) using advanced 3-nanometer technology, in the Galaxy Watch7, aiming to surpass Apple and TSMC. The chip boosts performance and efficiency by over 20%. It will also power future Galaxy smartphones like the S25. Samsung will unveil new AI-powered wearables and foldables, including the Galaxy Ring and Galaxy Z Fold6, at its Galaxy Unpacked event in July, leveraging AI to regain smartphone leadership from Apple. This diversification reflects a broader shift in consumer and enterprise demands for seamless interconnectivity and smart automation. Processors are now tailored to meet the specific power, size, and performance requirements of niche devices, such as smartwatches, fitness trackers, and edge computing units in manufacturing environments. Australian innovators and OEMs are leveraging this trend to create integrated device ecosystems that enhance productivity and user experience. As a result, the application processor market is expanding into new verticals, driving sustained demand and opening opportunities for localized chip development and customization.

Australia Application Processor Market Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the region/country level for 2025-2033. Our report has categorized the market based on device type and core type.

Device Type Insights:

• Mobile Phones
• PC Tablets and E-Readers 
• Smart Wearables
• Automotive ADAS and Infotainment Devices

The report has provided a detailed breakup and analysis of the market based on the device type. This includes mobile phones, PC tablets and e-readers, smart wearables, and automotive ADAS and infotainment devices.

Core Type Insights:

• Octa-Core
• Hexa-Core
• Quad-Core
• Dual-Core
• Single-Core

The report has provided a detailed breakup and analysis of the market based on the core type. This includes octa-core, hexa-core, quad-core, dual-code, and single-core.

Regional Insights:

• Australia Capital Territory & New South Wales
• Victoria & Tasmania
• Queensland
• Northern Territory & Southern Australia
• Western Australia

The report has also provided a comprehensive analysis of all the major regional markets, which include Australia Capital Territory & New South Wales, Victoria & Tasmania, Queensland, Northern Territory & Southern Australia, and Western Australia.

Competitive Landscape:

The market research report has also provided a comprehensive analysis of the competitive landscape. Competitive analysis such as market structure, key player positioning, top winning strategies, competitive dashboard, and company evaluation quadrant has been covered in the report. Also, detailed profiles of all major companies have been provided.

Australia Application Processor Market News:

• In January 2025, Samsung launched its new Galaxy S25 series, featuring advanced AI capabilities and powered by the Snapdragon 8 Elite chip, in San Jose with Australian availability starting mid-February. The devices are slimmer, faster, and integrate Google’s Gemini AI for seamless, multi-app commands. Features include AI call summaries, audio editing, and smart calendar suggestions. Samsung reports 70% AI usage in Australia, with one in ten users engaging daily.
• In January 2025, BrainChip Holdings Ltd launched its Akida™ neuromorphic AI processor in the compact M.2 form factor, offering ultra-low power, high-speed edge AI processing. The AKD1000-powered boards consume just 1 watt and support advanced neural networks, ideal for space-constrained, power-sensitive applications like industrial and network devices. Available in B+M Key and E Key M.2 formats, the chip enables on-device learning and inference. Developers can evaluate or integrate it into custom products, since BrainChip’s Akida mimics brain-like efficiency for real-time AI at the edge.

Australia Application Processor Market Report Coverage:

Key Questions Answered in This Report:

• How has the Australia application processor market performed so far and how will it perform in the coming years?
• What is the breakup of the Australia application processor market on the basis of device type?
• What is the breakup of the Australia application processor market on the basis of core type?
• What is the breakup of the Australia application processor market on the basis of region?
• What are the various stages in the value chain of the Australia application processor market? 
• What are the key driving factors and challenges in the Australia application processor market?
• What is the structure of the Australia application processor market and who are the key players?
• What is the degree of competition in the Australia application processor market? 

Key Benefits for Stakeholders:

• IMARC’s industry report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the Australia application processor market from 2019-2033.
• The research report provides the latest information on the market drivers, challenges, and opportunities in the Australia application processor market.
• Porter's five forces analysis assist stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the Australia application processor industry and its attractiveness.
• Competitive landscape allows stakeholders to understand their competitive environment and provides an insight into the current positions of key players in the market.