However, the rapid growth also means the market is fragmenting as low-cost, power-efficient processors with slightly different optimizations emerge with advanced capabilities. Peddie has identified ten mobile device markets that are set to lead the way.

The ten markets are: DAB radio, digital picture frames, digital still cameras, e-books, mobile internet devices, mobile game consoles, navigation devices, personal media devices, smartphones, computer tablets together with smart books.

The total available market (TAM) for these multifunctional devices is almost 700 million units in 2010, growing to over 1.3 billion by 2015, representing a CAGR of 14.3 percent, Peddie predicts.