The overall MEMS market is expected to triple, from $3.8 billion to more $11 billion, between 2000 and 2005, according to a report from Peripheral Research Corp.

Much of the MEMS market to date has come from applications in the automotive industry, such as sensors for air bag deployment, and other applications such as Ink Jet print heads and blood pressure sensors. During the next few years, however, the report predicts a variety of new applications will emerge.

Some applications will come from industries with experience using MEMS, such as automotive, where MEMS will play a crucial part in drive- and brake-by-wire systems, which replace traditional mechanical systems with electronics.

Other future MEMS applications mentioned in the report include optical network switches, image sensors, digital TV products, game controllers and data storage positioning motors. MEMS will also find uses in biotech, such as bio chips and DNA analysis.

The Peripheral Research report also predicts MEMS technology will undergo a change from sensor-based technology today, to an actuator technology, with very controlled microscopic movements. With increased production volume expected from the new applications comes a lower price, which will open up new markets. During 2001, the sensor prices were approximately $10 per unit; Peripheral expects this to decrease to $1 for the same product in 2005.

A separate report from In-Stat/MDR predicts revenues for wireless MEMS, in the form of RF MEMS components and wireless MEMS sensors, will experience compound annual growth of 37.2 percent between 2001 and 2006.

According to In-Stat's report, the cell phone, automobile and industrial processing/condition monitoring markets stand to benefit the most from what wireless MEMS technology has to offer.

"Development of the MEMS piece of the wireless pie has required significant innovation at the engineering level, while the electronics that provide the wireless portion, by and large, are already well established," said Marlene Bourne, a senior analyst with In-Stat/MDR. "It is the pairing of the two that is opening the doors to markets and applications that have been waiting for such a breakthrough."

Packaging hurdles appear to have been overcome for RF MEMS, but the next real issue is getting the devices into the market — no one has yet proven volume manufacturability. Sales of RF MEMS (switches/relays, filters, inductors, etc.) are forecast to reach the $200 million mark by 2006, according to In-Stat, which is down considerably from earlier forecasts. This is a result of better pricing and volume guidance from companies in this brand new market segment.

Sales of wireless MEMS sensors are forecast to reach about $700 million in 2006, largely based on the use of sensors in tire pressure monitoring systems. This application, however, relies on a pending government decision that could either completely eliminate this segment beyond 2006, or provide for exponentially higher revenues.