Key Findings
- Growing demand for embedded computing in automotive, industrial automation, and robotics is fueling SoM adoption in Latin America.
- Edge AI, 5G infrastructure, and Industry 4.0 applications in Latin America are accelerating the deployment of SoM-based designs in real-time, mission-critical environments.
- Startups and OEMs in Latin America are leveraging SoMs to reduce time-to-market and development complexity for smart devices and IoT systems.
- Adoption of Arm-, x86-, and RISC-V-based SoMs is expanding across various embedded platforms in Latin America, supported by strong vendor ecosystems.
- Compact, power-efficient, and customizable SoMs are increasingly preferred in Latin America’s medical imaging, surveillance, and aerospace sectors.
- Government-backed digitalization and smart city initiatives in Latin America are driving demand for SoM-based gateways, edge servers, and sensor nodes.
- Open-source hardware and modular design practices are lowering the entry barrier for custom embedded systems development in Latin America.
- High-performance SoMs with integrated GPUs and neural processing units (NPUs) are gaining traction in computer vision and AI inference workloads.
Latin America System on Module Market Size and Forecast
The Latin America System on Module Market is projected to grow from USD 1.2 billion in 2025 to USD 3.7 billion by 2031, expanding at a CAGR of 20.6% during the forecast period. Growth is primarily driven by the miniaturization of computing platforms, rising automation, and the proliferation of AI and IoT-enabled devices in Latin America. From industrial controls to smart retail and autonomous systems, SoMs are enabling rapid prototyping, energy efficiency, and scalable performance—crucial factors in Latin America’s growing digital economy.
Introduction
The System on Module (SoM) Market in Latin America encompasses compact, plug-and-play computing boards that integrate a processor, memory, and essential peripherals onto a single module. These modules are embedded into a wide range of applications including robotics, automotive infotainment, medical devices, industrial machines, and smart cameras. SoMs simplify embedded system design, enabling faster development cycles, lower R&D costs, and flexible upgrades. As Latin America accelerates its transition toward intelligent infrastructure and connected industries, SoMs are becoming central to embedded computing strategies.
Future Outlook
By 2031, the SoM landscape in Latin America will shift towards AI-native modules, secure edge computing platforms, and heterogeneous system architectures. AI and ML workloads will increasingly be handled at the edge, with SoMs powering real-time video analytics, anomaly detection, and autonomous decision-making. Advances in chiplet design, low-power AI engines, and integration of FPGA fabrics will redefine performance benchmarks. Government push for domestic electronics manufacturing and RISC-V adoption will further boost SoM innovation ecosystems in Latin America. Customized, application-specific SoMs will dominate the design-to-deployment journey in sectors like defense, agriculture, and telemedicine.
Latin America System on Module Market Trends
- Edge AI and Real-Time Inference
The deployment of SoMs with integrated NPUs and GPUs is enabling edge AI use cases such as predictive maintenance, traffic analytics, and facial recognition in Latin America. These modules reduce cloud dependency by processing data locally with minimal latency. - Adoption of Open Standards and RISC-V Architectures
Open hardware platforms and open instruction set architectures (like RISC-V) are empowering local developers in Latin America to build cost-effective, secure, and customizable embedded systems. These trends are driving innovation in academic and prototyping environments. - SoMs for Industrial and Medical Automation
Harsh-environment-ready SoMs with long lifecycle support are increasingly adopted in medical devices, industrial HMIs, and SCADA systems. In Latin America, sectors such as diagnostics, manufacturing, and energy rely on rugged, certified modules for reliability. - Compact, Low-Power SoMs for Wearables and IoT Nodes
Battery-efficient SoMs with wireless connectivity are central to wearables, smart home controllers, and remote monitoring systems. In Latin America, these applications are growing in healthcare, agriculture, and environmental monitoring. - High-Performance SoMs for Vision and Robotics
SoMs based on Arm Cortex-A, NVIDIA Jetson, and Intel Atom platforms are powering machine vision, AGVs, and cobots. Latin America’s factories, warehouses, and security systems are seeing increased adoption of these platforms to achieve automation goals.
Market Growth Drivers
- Proliferation of Embedded and IoT Devices
Latin America is witnessing rapid deployment of connected devices across sectors from agriculture and transportation to defense and healthcare. SoMs provide the ideal balance of size, power, and performance for such use cases, driving broad adoption. - Shorter Product Development Cycles
OEMs in Latin America are using off-the-shelf SoMs to cut time-to-market by bypassing complex chip design. This modularity is accelerating innovation in consumer electronics, drones, and smart appliances. - Advancements in AI and Machine Learning at the Edge
SoMs with integrated AI capabilities allow real-time inferencing, enabling smart cameras, diagnostics, and automation systems. Latin America’s smart city and industrial AI programs are directly benefiting from these capabilities. - Strong Demand for Compact, Scalable Computing Platforms
Space-constrained applications such as mobile robots, surveillance devices, and medical instruments are growing in Latin America. SoMs offer high functionality in small footprints, making them ideal for embedded environments. - Supportive Government Policies for Electronics and Semiconductor Manufacturing
Incentives for local manufacturing, semiconductor fabs, and R&D grants are attracting SoM manufacturers to invest in Latin America. These policies are also encouraging domestic startups to develop homegrown platforms.
Challenges in the Market
- High Cost of High-End SoMs
Premium SoMs with AI and multimedia capabilities often carry high price tags, limiting their use in low-margin industries. In Latin America, cost-sensitive segments face adoption hurdles despite growing awareness of the benefits. - Limited Local Manufacturing and Assembly Ecosystem
Dependence on imported modules and components can lead to supply chain bottlenecks. Latin America currently lacks sufficient local capacity for SoM-level integration, testing, and support. - Compatibility and Integration Complexities
Integrating SoMs into diverse end-use applications requires deep software-hardware co-design. In Latin America, small and medium enterprises often face engineering challenges during prototyping and mass production. - Thermal Management and Power Efficiency Trade-offs
High-performance SoMs generate heat, requiring thermal solutions that add to design complexity and cost. In Latin America’s hot climates and energy-constrained applications, managing power and cooling is an ongoing concern. - Short Product Lifecycles and Fast-Moving Tech Landscape
Rapid evolution in SoM platforms means that products quickly become obsolete. Maintaining long-term support and backwards compatibility is challenging for developers and integrators in Latin America.
Latin America System on Module Market Segmentation
By Processor Architecture
- Arm Cortex-A / Cortex-M
- x86 (Intel Atom, Core)
- RISC-V
- FPGA-based SoMs
- GPU-Accelerated SoMs (e.g., NVIDIA Jetson)
By Application
- Industrial Automation
- Automotive & Transportation
- Medical & Healthcare
- Consumer Electronics
- Robotics & Drones
- Smart City / Surveillance
- Telecom & Networking
- Aerospace & Defense
By Form Factor
- Qseven
- SMARC
- COM Express
- Custom SoMs
- Others
By End-User
- OEMs
- ODMs
- System Integrators
- Research & Academic Institutions
- Government and Defense Agencies
Leading Key Players
- Congatec AG
- Toradex AG
- Advantech Co., Ltd.
- AAEON Technology Inc.
- Variscite Ltd.
- TechNexion Ltd.
- SECO S.p.A
- Digi International Inc.
- Kontron AG
- NVIDIA Corporation
Recent Developments
- Variscite launched an ultra-compact SoM based on NXP i.MX93 processors with AI and security enhancements, targeting edge medical devices in Latin America.
- NVIDIA expanded Jetson module production in Latin America through regional manufacturing partners to support AI and robotics developers.
- SECO opened an embedded design center in Latin America to co-develop custom SoM-based platforms with local OEMs.
- Toradex introduced a modular, industrial-grade SoM for vision-based automation systems, with wide temperature and long-term support certification.
- Digi International signed an agreement with a leading university in Latin America to support R&D in secure SoM platforms for critical infrastructure.
This Market Report Will Answer the Following Questions
- What are the top growth industries adopting SoMs across Latin America, and what are their preferred architectures?
- What is the current balance of imports vs. domestic manufacturing for SoMs in Latin America?
- Which SoM form factors and processor types are most in demand for AI and automation applications in Latin America?
- How are government incentives shaping the local production of embedded platforms in Latin America?
- What challenges do system integrators in Latin America face when customizing or scaling SoM-based solutions?
- Who are the key players, OEMs, and partners driving innovation in the SoM market across Latin America?
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