News: Markets
15 September 2025
Micro-LED chip market to surpass $461m by 2029, driven by adoption in smartwatches
The penetration of micro-LEDs into consumer electronics is accelerating, notes market analyst firm TrendForce. Following South Korea-based Samsung’s launch of its 140-inch micro-LED TV in 2023, Garmin is set to introduce the Fenix 8 Pro smartwatch with micro-LEDs in 2025, alongside Japan-based Sony Honda’s planned 30-inch automotive display in its Afeela model at the end of this year. These milestone products mark the micro-LED’s entry into key application segments. TrendForce believes that their rollout will gradually boost the micro-LED chip market, rising at a compound annual growth rate (CAGR) of 75% from just $28m in 2024 to $461m by 2029.
Despite these advances, the high power consumption and cost of micro-LEDs remain significant challenges, limiting their ability to compete in the short term with more mature and cost-effective organic light-emitting diode (OLED) technology. Nevertheless, micro-LEDs offer unique advantages for outdoor sports watches, such as extreme brightness and strong potential for integrating sensors, laying the groundwork for future product innovation and differentiation.
For the Garmin Fenix 8 Pro, Taiwan-based AUO plays a central role in the supply chain, supported by PlayNitride (equivalent to ~15μm x 30μm micro-LED chips) and Raydium Semiconductor Corp (micro-LED driver ICs). AUO’s proprietary image calibration technology further enhances the 1.39-inch display. This collaboration illustrates how early investments in the micro-LED ecosystem are beginning to take hold and, as adoption expands, the technology’s maturity and cost competitiveness are expected to advance significantly, says TrendForce.
Commercialization of micro-LEDs is gradually materializing across TVs, smartwatches and automotive displays, with each flagship launch representing a fresh technological breakthrough, notes the firm. Due to their superior brightness and contrast, micro-LEDs have already been adopted by some next-generation smart glasses startups.
Looking ahead, as global tech giants enter the market and micro-LED light source suppliers push forward, the technology is poised to gain momentum in near-eye displays, further enhancing overall industry value, forecasts Trendforce.
