Global USB Hub Market by Type (USB 2.0, USB 3.0, USB 3.1), By End-User (Residential and commercial), By Region and Companies - Industry Segment Outlook, Market Assessment, Competition Scenario, Trends and Forecast 2023-2032.

Report Overview

The Global USB Hub Market size is expected to be worth around USD 8.4 Billion by 2032, from USD 4.4 Billion in 2023, growing at a CAGR of 7.6% during the forecast period from 2023 to 2032.

The USB Hub Market encompasses the manufacturing, distribution, and sale of devices that expand a single USB port into multiple ports, enabling users to connect various peripherals like mice, keyboards, storage devices, and other hardware to computers and electronic devices.

These hubs are essential for enhancing connectivity in both personal and professional settings, especially as device ecosystems become more complex and require efficient data and power management. The market includes various types of USB hubs, such as powered and unpowered hubs, offering diverse use cases across industries.

Key growth drivers of the USB Hub Market include the increasing proliferation of electronic devices, the demand for multi-device connectivity, and advancements in USB technology, such as USB 3.0 and USB-C. The rise of remote work and hybrid work models has amplified the need for efficient and flexible connectivity solutions, boosting demand for USB hubs in home offices and corporate environments. Moreover, the growing integration of USB ports in automotive, consumer electronics, and industrial applications also supports market expansion.Demand for USB hubs is driven by the need for enhanced device connectivity and data transfer capabilities. The surge in laptop and ultrabook sales, many of which come with limited ports, has created a significant market for external hubs to compensate for connectivity shortfalls. Additionally, industries such as gaming, media production, and education require reliable and efficient ways to connect multiple peripherals, further fueling demand. Consumers are also seeking high-speed, versatile hubs compatible with emerging USB standards, such as USB 4.0.

Emerging trends such as the shift towards USB-C and Thunderbolt technologies present growth opportunities for the USB Hub Market, as these hubs offer faster data transfer speeds and enhanced power delivery, meeting the needs of high-performance applications.

Furthermore, the expanding use of USB hubs in sectors like healthcare, automotive, and smart homes, coupled with the adoption of IoT devices, provides an untapped opportunity for manufacturers to innovate and cater to specialized industrial needs. Expanding into these sectors can significantly broaden the market scope, driving long-term growth.

Valens recently completed the acquisition of Acroname for a purchase price of $7.8 million in cash, along with an additional $1.3 million representing Acroname’s cash on hand at closing. The final purchase price remains subject to post-closing adjustments based on net working capital.

Additionally, the transaction includes potential earn-out payments of up to $7.2 million, contingent on Acroname meeting specific revenue, EBITDA, and cashflow milestones in 2024 and 2025, as well as achieving the development of a specified product by June 2026.This acquisition positions to enhance its capabilities in the industrial and machine vision markets, where USB3 Vision cameras now make up nearly 30% of connectivity interfaces.

Acroname, known for its high-end programmable USB hubs, switches, and test automation systems, brings key expertise in software control, telemetry data, and USB-PD. Combined with Valens’ proprietary VS6320 chipset the only industrial-grade solution offering 100m SuperSpeed USB extension via a single-chip copper connection the companies aim to deliver a comprehensive solution for USB peripherals, unlocking new growth opportunities in sectors like industrial machine vision and test automation.

Key Takeaways

• The Global USB Hub Market is projected to grow from USD 4.4 billion in 2023 to USD 8.4 billion by 2032, at a CAGR of 7.6%, driven by the increasing demand for multi-device connectivity and technological advancements in USB technologies.
• USB 3.0 leads the market by type, accounting for 58% of the market share in 2023, favored for its balance between high-speed data transfer capabilities and cost-effectiveness.
• The commercial segment dominates the end-user analysis, holding a 53% share in 2023, driven by widespread use in enterprise environments requiring extensive connectivity solutions.
  Regional Analysis:
• North America leads the global USB Hub Market with a 37.2% share, propelled by robust consumer electronics adoption and advanced IT infrastructure.

By Type Analysis

USB 3.0 Dominates By Type Segment of USB Hub Market with 58% Largest Share in 2023

In 2023, USB 3.0 held a dominant market position within the By Type analysis segment of the USB Hub market, capturing over 58% of the total market share. This strong presence can be attributed to USB 3.0’s balance between cost-effectiveness and performance, offering significantly higher data transfer speeds (up to 5 Gbps) compared to USB 2.0, while maintaining backward compatibility with older devices.

The widespread adoption of USB 3.0 across consumer electronics, computing devices, and industrial applications further cemented its leadership position in the market.Despite the growing prevalence of higher-speed standards, USB 2.0 continued to maintain relevance, particularly in cost-sensitive applications where high-speed data transfer is not a primary requirement. In 2023, USB 2.0 accounted for a moderate share of the market, valued primarily for its lower cost and wide compatibility, especially in peripherals like keyboards, mice, and printers.

As the dominant type in the USB Hub market, USB 3.0’s broad application in high-demand sectors like external storage, media players, and gaming devices secured its leading market share of more than 58% in 2023. The standard’s ability to support fast data transfer while being energy-efficient has been key in meeting consumer and industrial needs, making it a preferred choice for both personal and professional use cases.

USB 3.1, with its superior data transfer speed of up to 10 Gbps, is gaining traction, particularly in high-performance devices that require faster communication between peripherals. However, in 2023, its market share remained smaller compared to USB 3.0. USB 3.1’s adoption is expected to accelerate in the coming years, driven by technological advancements and the rising demand for faster, more efficient data transmission in sectors like video production, gaming, and cloud computing.

The USB Hub market is expected to continue evolving, with USB 3.1 and subsequent generations likely to gain momentum, but in 2023, USB 3.0 remains the clear leader in the market by type.

By End-User Analysis

Commercial Segment Leads By End-User Analysis of USB Hub Market with 53% Share in 2023

In 2023, the commercial segment held a dominant market position in the By End-User analysis of the USB Hub market, capturing more than 53% of the total market share. This dominance is largely driven by the increasing use of USB hubs in enterprise environments, educational institutions, healthcare, and other industries where multiple devices need to be connected and powered simultaneously.

The demand for efficient, multi-port USB hubs is growing in workplaces to support various peripherals such as printers, scanners, and external storage devices, which solidifies the commercial sector’s leading position.The residential segment, while smaller compared to the commercial sector, still commands a significant portion of the USB Hub market.

In 2023, residential use of USB hubs was primarily driven by the growth of home offices, gaming setups, and home entertainment systems. As more consumers integrate multiple devices like laptops, monitors, and external drives into their personal spaces, the demand for reliable, multi-port USB hubs has seen steady growth. Despite this, the residential segment’s market share remains smaller than that of the commercial sector due to the higher volume requirements and more frequent use in business environments.

Capturing over 53% of the market share in 2023, the commercial segment has emerged as the key driver of growth in the USB Hub market. Businesses in sectors such as IT, finance, and healthcare have increasingly adopted USB hubs to streamline workflows, manage numerous peripherals, and enhance data transfer efficiency.

The trend of digital transformation across industries has further accelerated demand for USB hubs, particularly in sectors where employees rely on multiple connected devices. Additionally, the growing integration of USB hubs into meeting rooms, workstations, and collaborative setups has solidified the commercial segment’s leading position.

Key Market Segments

By Type

• USB 2.0
• USB 3.0
• USB 3.1

By End-User

• Residential
• Commercial

Driver

Gaming and E-Sports Growth Drives Market Expansion

The rapid rise of gaming and e-sports is a significant driver of growth in the USB Hub market. The gaming industry, valued at over $200 billion in 2023, demands high-performance peripherals that enhance player experience and meet the technological requirements of modern gaming setups. USB hubs are crucial in this ecosystem, as gamers increasingly rely on multiple devices such as gaming mice, keyboards, external storage, and headsets, all of which require simultaneous connectivity.

Additionally, the e-sports industry, which has grown at an annual rate of over 20%, further intensifies demand for efficient multi-port USB hubs to support professional gaming stations that integrate video capture devices, multiple monitors, and streaming hardware.

This trend interconnects with advancements in peripheral technologies, such as high-speed external drives and customizable gaming accessories, which necessitate faster data transfer and power delivery features that modern USB hubs offer.

As gaming systems evolve to incorporate virtual reality (VR) and augmented reality (AR) elements, the need for robust USB hub solutions will continue to escalate, providing a steady growth trajectory for the market.

Restraint

Limited Power Delivery Capabilities Constrain USB Hub Market Growth

Limited power delivery capabilities present a significant restraint on the growth of the USB Hub market. Many traditional USB hubs are unable to provide sufficient power to meet the increasing demands of modern high-performance devices such as laptops, external hard drives, and gaming consoles. This shortfall affects their usability in environments where power-hungry peripherals are standard.

For instance, while newer devices often require higher wattage for optimal performance, many hubs still offer limited power outputs of only 10-15 watts, far below the requirements of power-intensive devices. This deficiency not only limits the functionality of these hubs but also discourages adoption in sectors such as gaming, media production, and enterprise IT where multiple high-powered devices are used concurrently.

The power limitations of existing USB hubs also create a bottleneck for future technological advancements, especially as USB standards like USB 3.1 and 3.2 become more prevalent. Devices utilizing these standards often demand faster data transfer rates and enhanced power support, requirements that existing hubs fail to meet adequately.

As the market moves toward more power-demanding applications, especially with the integration of AR/VR, 4K video production, and other high-performance uses, the need for improved power delivery in USB hubs becomes critical.

Opportunity

Expanding USB Hub Integration in Automotive Systems

The global USB Hub Market is poised for significant expansion in 2024, with a major growth opportunity identified in the integration of USB hubs into automotive systems. As the automotive industry increasingly embraces digital and connectivity solutions, the demand for USB hubs within vehicles is surging.

This trend is driven by the need for more complex infotainment systems and the integration of multiple USB-enabled devices in automobiles, such as smartphones, dashcams, and navigation systems. The proliferation of electric vehicles (EVs) and autonomous cars, which require extensive data transfer capabilities, further amplifies this demand.

Automakers are now focusing on enhancing user experience by integrating advanced USB hubs that support faster data transmission and charging capabilities, thereby adding value to their digital offerings. This integration is not merely a functional enhancement but also a strategic move to cater to the rising consumer expectations for seamless connectivity and advanced technological interfaces in their vehicles.

The market’s growth is fueled by the continuous advancements in USB technology, such as the development of USB 4.0, which offers higher data transfer rates and improved power delivery compared to its predecessors.

Latest Trends

USB-C Dominance Solidifies

In 2024, the global USB Hub market is witnessing a significant shift with the increasing dominance of USB-C technology. As industries and consumers alike continue to demand more efficient and faster data transfer solutions, USB-C hubs are becoming ubiquitous due to their superior transfer speeds, power delivery capabilities, and reversible design. This trend is not just shaping consumer electronics but also extending into enterprise solutions, where the need for high-speed data handling and connectivity is paramount.

The consolidation of USB-C as the preferred interface has catalyzed innovations in hub designs, integrating multiple functionalities that go beyond traditional data transfer. Modern USB-C hubs now often feature additional ports like HDMI, Ethernet, and SD card slots, making them central to both mobile and stationary tech ecosystems. This evolution is driving the development of more compact, multi-port devices, enhancing user convenience and system integration.

Moreover, the trend towards USB-C dominance is influencing market strategies across the technology sector. Manufacturers are increasingly investing in R&D to improve the performance and durability of USB-C hubs, aiming to capitalize on the growing market demand. The integration of advanced power management and faster data protocols within these hubs is anticipated to further boost their market appeal, especially among professional and power users who require robust and versatile connectivity solutions.

Regional Analysis

The global USB Hub Market is projected to grow significantly, reaching a market value of US$ 1.5 billion over the forecast period, driven by rising demand for enhanced connectivity across devices in various industries. Leading this growth is North America, which holds the dominant share of 37.2% in the global market.

The region’s dominance is attributed to the strong presence of the consumer electronics sector, extensive adoption of IoT devices, and the growing trend of remote working, especially in the U.S. and Canada. These factors, coupled with a well-established IT infrastructure, are driving sustained demand for USB hubs.

Europe follows closely, with significant contributions from countries like Germany, the U.K., and France. The region is characterized by increasing investments in digital infrastructure and the integration of USB hubs in automotive, industrial, and home automation systems. European markets are benefitting from growing demand for connectivity solutions as industries adopt digitalization.

Asia Pacific is expected to witness the fastest growth rate due to rapid industrialization, increased consumer electronics demand, and a thriving manufacturing sector in countries like China, Japan, and South Korea. The region’s large consumer base and significant tech industry advancements are key drivers. In particular, China, as a global manufacturing hub, plays a pivotal role in fueling market growth.

In Latin America, countries such as Brazil and Mexico are seeing moderate growth, driven by a rising middle class and increasing demand for smart devices and peripheral products. Meanwhile, in the Middle East & Africa, market expansion is being propelled by urbanization and growing digitalization efforts, particularly in the UAE and South Africa, where governments are emphasizing tech-driven growth.

Key Regions and Countries

• North America
  • US
  • Canada
• Europe
  • Germany
  • France
  • The UK
  • Spain
  • Italy
  • Russia
  • Netherlands
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • South Korea
  • India
  • Australia
  • Singapore
  • Thailand
  • Vietnam
  • Rest of APAC
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • South Africa
  • Saudi Arabia
  • UAE
  • Rest of MEA

Key Players Analysis

In 2024, key players in the global USB Hub Market are strategically positioned to leverage increasing demand for enhanced connectivity solutions across consumer electronics, industrial, and automotive sectors. Companies such as Anker Innovations Co. Ltd. have established themselves as leaders in the market by offering high-quality, affordable USB hubs that cater to the mass consumer market. Anker’s strong brand reputation and distribution network make it a major player, particularly in North America and Asia Pacific.

Conceptronic and Vaunix Technology Corp. are focused on niche segments, providing specialized hubs for industrial and commercial use. These companies benefit from a strong presence in Europe and North America, where there is growing demand for hubs designed for specialized tasks, such as high-speed data transfer and industrial automation.

Belkin International, Inc., with its long-standing reputation for high-performance connectivity products, continues to expand its product portfolio to meet evolving consumer needs. The company’s focus on innovation, reliability, and design ensures its dominance in markets like North America and Europe, where demand for premium products is strong.

Honeywell International and Texas Instruments, both with significant influence in the industrial sector, are capitalizing on the increasing use of USB hubs in automation and smart manufacturing. Their strong R&D capabilities and robust global supply chains provide them with a competitive edge in the B2B segment.

Other key players are also focused on R&D and expanding their product lines to include multi-functional USB hubs, driven by trends such as remote work and IoT expansion. This competitive landscape is poised to drive further innovation and market growth, particularly in regions like Asia Pacific.

Top Key Players in the Market

• Anker Innovations Co. Ltd
• Conceptronic
• Vaunix Technology Corp.
• Belkin International, Inc.
• Honeywell International
• Texas Instruments
• Other Key Players

Recent Developments

• In 2024 Valens Semiconductor has strategically expanded its industrial market footprint by acquiring Acroname, renowned for its advanced automation and control technologies. This move bolsters Valens’ portfolio with a comprehensive USB-focused offering, leveraging Acroname’s distinctive expertise to enhance Valens’ USB extension chipsets. The acquisition aims to fast-track customer innovation, providing an integrated solution that promotes the rapid deployment of novel products.
• In 2024 Infineon Technologies AG has inaugurated its joint Innovation Application Center in Shenzhen with Anker Innovations. The fully operational center focuses on developing energy-efficient and CO2-reducing charging solutions. This initiative underscores both companies’ commitment to supporting decarbonization efforts, signaling a significant advance in eco-friendly technology.
• In 2024 Honeywell announced the completion of its acquisition of CAES Systems Holdings LLC from Advent International for approximately $1.9 billion. This all-cash transaction is a strategic enhancement to Honeywell’s defense technology offerings, spanning land, sea, air, and space applications. The acquisition is also anticipated to generate favorable growth opportunities for Honeywell.
• In 2024 Grass Valley has entered into a significant strategic partnership agreement with ES Broadcast. This partnership, rooted in a relationship that spans over a decade, aims to further both companies’ growth and success in the live production solutions sector. The agreement reflects a mutual commitment to expand their longstanding collaboration, setting the stage for future advancements in the broadcast industry.

Report Scope