Core Insights - Sony Group's imaging and sensing solutions division (I&SS) forecasts a revenue of 1.799 trillion yen for FY2024, a 12% year-on-year increase, with operating profit expected to reach 261.1 billion yen, a 35% increase, both hitting historical highs [2] - Despite revenue growth, Sony's market share in the image sensor sector is projected to remain flat at 53% for 2024, with a revised target of 56% for 2025 due to underperformance of major clients and intensified competition in the high-end Chinese market [2][3] Revenue and Profit Forecast - The anticipated revenue growth for FY2024 is attributed to favorable exchange rates, improved product mix, and increased sales of mobile device sensors [2] - The operating profit forecast of 261.1 billion yen represents a significant increase, indicating strong operational performance [2] Market Share Dynamics - Sony's market share in the image sensor market is expected to remain unchanged at 53% for 2024, with a delay in achieving the 60% target initially set for 2025 [2][3] - The company aims to maintain its operational strategy with a long-term goal of reaching 60% market share despite the temporary setback [3] Competitive Landscape - Increased competition in the high-end segment in China has been identified as a key factor affecting Sony's market share stability [3] - Counterpoint Research predicts that global smartphone CMOS image sensor (CIS) shipments will grow by 2% in 2024, reaching 4.4 billion units, with Sony retaining the top position [5][8] Product Development and Strategy - Sony Semiconductor's strategy focuses on enhancing product capabilities across five functional axes: sensitivity/noise, dynamic range, resolution, readout speed, and power consumption [3] - The company plans to expedite the launch of new products that balance these technological features to capture market share [3] Future Market Trends - Counterpoint Research notes that the average number of cameras per smartphone is expected to decrease from 3.8 in 2023 to 3.7 in 2024, which may impact CIS demand [8] - The exit of SK Hynix from the CIS market by March 2025 could create new growth opportunities for Chinese suppliers like GalaxyCore and OmniVision [9]

Core Insights - The global smartphone CMOS image sensor (CIS) shipment is expected to grow by 2% year-on-year in 2024, reaching 4.4 billion units [1][4] - Sony remains the market leader, followed by GalaxyCore and OmniVision [1][4] Group 1: Market Predictions - The average number of cameras per smartphone is projected to decrease from 3.8 in 2023 to 3.7 in 2024 [4] - The increase in CIS shipments is driven by a recovery in end-market demand [4] - The average selling price (ASP) of CIS is expected to rise due to advancements in technologies like LOFIC and multispectral imaging [6] Group 2: Company Performances - Sony's shipment volume has slightly increased due to improved production yields and higher demand for premium smartphones [4] - GalaxyCore's shipment volume has surged by 34% year-on-year, attributed to its cost efficiency and transition to a light wafer fab model [4][5] - OmniVision anticipates a 14% year-on-year growth in shipments, supported by the success of its 50MP image sensor [5] Group 3: Market Dynamics - SK Hynix plans to exit the CIS business by March 2025, potentially creating new growth opportunities for Chinese suppliers like GalaxyCore and OmniVision [5] - Geopolitical tensions and macroeconomic uncertainties are expected to pose challenges to the global smartphone market, leading to a slight decline in CIS shipments in 2025 [6]