Global Power Semiconductor Market Research, 2032
The global global power semiconductor market was valued at $48.9 billion in 2022, and is projected to reach $75.1 billion by 2032, growing at a CAGR of 4.5% from 2023 to 2032.
Power semiconductors are electronic devices specifically designed to handle high power levels in electrical circuits. They play a crucial role in various applications, including power electronics, renewable energy systems, electric vehicles, industrial automation, and others. Power semiconductors are essential for efficient energy conversion, control, and management, enabling reliable and effective operation of modern electrical systems. At their core, power semiconductors are solid-state devices made from semiconducting materials like silicon (Si) or silicon carbide (SiC). These materials possess unique electrical properties that allow them to control the flow of electrical current under different conditions. Power semiconductors are typically categorized into diodes, transistors, and thyristors.
The global power semiconductor market is segmented into Material, Product, and Industry Vertical.
[MATERIALGRAPH]
By material, the market is fragmented into SiC, GaN, and others. The SiC segment was the highest revenue contributor to the market.
[PRODUCTGRAPH]
By product, the market is segregated into power MOSFET, IGBT, Thyristor, power diode, and others. The power MOSFET segment was the highest revenue contributor to the market.
[INDUSTRYVERTICALGRAPH]
By industry vertical, the market is divided into IT & telecom, aerospace & defense, industrial, energy & power, electronics, automotive, and healthcare. The IT & telecom segment was the highest revenue contributor to the market in 2022.
[REGIONGRAPH]
By region, the power semiconductor market share are analyzed across North America (the U.S., Canada, and Mexico), Europe (UK, Germany, France, and rest of Europe), Asia-Pacific (China, Japan, India, South Korea, and rest of Asia-Pacific), and LAMEA (Latin America, the Middle East, and Africa).
Diodes are one of the simplest power semiconductors, and their primary function is to allow current flow in one direction while blocking it in the reverse direction. They are commonly used in rectifier circuits, where they convert alternating current (AC) into direct current (DC). Diodes are crucial for power factor correction, voltage regulation, and efficient energy utilization. Transistors are complex power semiconductors that can amplify and switch electrical signals. They are widely used for voltage and current control in various applications. Metal-Oxide-Semiconductor Field-Effect Transistors (MOSFETs) are common type of transistors used in power electronics. They have high switching speeds, low on-resistance, and can handle high voltage and current levels. MOSFETs are used in applications such as motor drives, power supplies, and inverters. Thyristors, also known as silicon-controlled rectifiers (SCRs), are power semiconductors designed for high-power applications. Thyristors can handle high voltages and currents and are primarily used for controlling power in AC circuits. They are commonly used in applications like motor speed control, lighting systems, and electric heating. Power semiconductors also include insulated gate bipolar transistors (IGBTs), which combine the features of MOSFETs and bipolar junction transistors (BJTs). IGBTs offer high voltage capability and low conduction losses, making them suitable for high-power applications. They are extensively used in motor drives, renewable energy systems, and traction applications.
The efficiency and performance of power semiconductors greatly depend on their ability to handle high power levels without excessive energy losses. This requires them to have low on-resistance, high voltage ratings, and fast switching capabilities. Furthermore, advancements in power semiconductor technology have led to the emergence of wide-bandgap semiconductors like silicon carbide (SiC) and gallium nitride (GaN). These materials offer superior electrical properties, including higher breakdown voltages, faster switching speeds, and lower losses compared to traditional silicon-based power semiconductors. The continuous development of power semiconductors has resulted in significant improvements in power conversion efficiency, miniaturization of devices, and enhanced system performance. These advancements have contributed to the widespread adoption of renewable energy sources, electric vehicles, and energy-efficient technologies. Power semiconductors have also facilitated the development of smart grids and microgrids, enabling efficient energy distribution and management.
Power semiconductor devices are critical components used in modern electrical systems, enabling efficient power conversion, control, and management. They come in various types, including diodes, transistors, thyristors, and IGBTs, each with specific characteristics suitable for different applications. The ongoing advancements in power semiconductor technology, including the utilization of wide-bandgap materials, have resulted in significant improvements in power electronics and have paved the way for a sustainable and energy-efficient future. The rapid advancements in technology have led to the development of gan semiconductors, which offer higher efficiency and power capabilities compared to traditional semiconductor materials.
The power semiconductor market size has been steadily increasing due to the increase in use of solar photovoltaic panels to generate electricity along with the surge in demand for power electronics modules across various industry verticals are the factors driving the market growth. However, the intricacy in the production network and planning cycle of SiC semiconductor innovation is hampering the power semiconductor market growth. Conversely, HVDC and smart grid initiatives by the government is expected to create lucrative market opportunity.
The key players profiled in the report include Fuji Electric Co., Ltd. Infineon Technologies, Mitsubishi Electric Corporation, Hitachi, Ltd., NXP Semiconductors N.V., ON Semiconductor Corporation, Renesas Electronics, STMicroelectronics N.V., Texas Instruments Inc., and Toshiba Corporation.
Top Impacting Factors
The rise in the installation of solar photovoltaic panels for electricity generation, driven by the increasing demand for eco-friendly technologies and government incentives, is fueling the adoption of power semiconductors. Additionally, the integration of renewable energy sources and the rapid adoption of electric vehicles are boosting the demand for power electronics modules across various industries. However, the complexity in the supply chain and manufacturing process of SiC semiconductor technology poses a restraint, leading to potential challenges in meeting growing demands. On the other hand, government initiatives promoting HVDC and smart grids present an opportunity for power electronics companies to supply high-power converters and grid integration solutions.
Competitive Analysis
The power semiconductor market overview report highlights the highly competitive nature of the power semiconductor market, owing to the strong presence of existing vendors. Vendors with extensive technical and financial resources are expected to gain a competitive advantage over their counterparts by effectively addressing market demands. The competitive environment in this market is expected to increase as agreements, innovations, expansions, product launches, collaborations, and other strategies adopted by key vendors increase. Competitive analysis and profiles of the major power semiconductor market players that have been provided in the report include Fuji Electric Co., Ltd., Infineon Technologies, Mitsubishi Electric Corporation, Hitachi, Ltd., NXP Semiconductors N.V., ON Semiconductor Corporation, Renesas Electronics, STMicroelectronics N.V., Texas Instruments Inc., and Toshiba Corporation.
Key Developments/ Strategies
According to the latest power semiconductor market forecast, ON Semiconductor Corporation, Infineon Technologies, Texas Instruments Inc., Fuji Electric Co., Ltd., and Mitsubishi Electric Corporation are the top players in the power semiconductor industry. Top market players have adopted various strategies, such as agreements, innovations, expansions, product launches, collaborations, and others to expand their foothold in the power semiconductor industry.
In May 2023, Infineon Technologies AG, the global leader in automotive semiconductors, and Hon Hai Technology Group (“Foxconn”), the world’s largest electronics manufacturing services provider, aimed to establish a long-term partnership in the field of electric vehicles (EV) to jointly develop advanced electromobility with efficient and intelligent features. The Memorandum of Understanding (MoU) focuses on silicon carbide (SiC) development, leveraging Infineon’s automotive SiC innovations and Foxconn’s know-how in automotive systems.
In June 2023, Mitsubishi Electric Corporation announced that the company will begin shipping samples of its new NX-type full-SiC (silicon carbide) power semiconductor module for industrial equipment. The module, which reduces internal inductance and incorporates a second-generation SiC chip, is expected to contribute to the realization of more efficient, smaller and lighter-weight industrial equipment.
In May 2023, Infineon Technologies AG has announced the business expansion for a new plant in Dresden together with political leaders from Brussels, Berlin and Saxony. EU Commission President Ursula von der Leyen, German Federal Chancellor Olaf Scholz, Saxony's Prime Minister Michael Kretschmer and Dresden's Mayor Dirk Hilbert symbolically launched construction work together with Infineon CEO Jochen Hanebeck. With an investment volume of five billion euros, the new plant is the largest single investment in Infineon's history.
In May 2023, Texas Instruments, a leader in high-voltage technology, today debuted a highly integrated, functional safety-compliant, isolated gate driver that enables engineers to design more efficient traction inverters and maximize electric vehicle (EV) driving range. The new UCC5880-Q1 reinforced isolated gate driver offers features that enable EV powertrain engineers to increase power density and reduce system design complexity and cost while achieving their safety and performance goals.
In May 2023, Vitesco Technologies and Onsemi announced a decade long-term supply agreement worth $1.9 billion (€1.75 billion) for silicon carbide (SiC) products to enable Vitesco Technologies’ ramp in electrification technologies.
Key Benefits For Stakeholders
- This report provides a quantitative analysis of the market segments, current trends, estimations, and dynamics of the global power semiconductor market analysis from 2022 to 2032 to identify the prevailing global power semiconductor market opportunity.
- The market research is offered along with information related to key drivers, restraints, and opportunities.
- Porter's five forces analysis highlights the potency of buyers and suppliers to enable stakeholders make profit-oriented business decisions and strengthen their supplier-buyer network.
- In-depth analysis of the global power semiconductor market segmentation assists to determine the prevailing market opportunities.
- Major countries in each region are mapped according to their revenue contribution to the global market.
- Market player positioning facilitates benchmarking and provides a clear understanding of the present position of the market players.
- The report includes the analysis of the regional as well as global global power semiconductor market trends, key players, market segments, application areas, and market growth strategies.
Global Power Semiconductor Market Report Highlights
| Aspects | Details |
 Market Size By 2032 | USD 75.1 billion |
 Growth Rate | CAGR of 4.5% |
 Forecast period | 2022 - 2032 |
 Report Pages | 430 |
 By Product |
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 By Application |
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 By Component |
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 By Region |
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 Key Market Players | Hitachi, Ltd., ON Semiconductor Corporation, Fuji Electric Co., Ltd., STMicroelectronics N.V., Infineon Technologies AG, Texas Instruments Inc., NXP Semiconductors N.V., Mitsubishi Electric Corporation., Toshiba Corporation, Renesas Electronics |
Analyst Review
The ongoing business situation has been seeing an expansion sought after for power gadgets, especially in the created areas like the U.S., Europe, and China. Businesses in this sector have been introducing a variety of new products, such as SiC MOSFETs and Schottky barrier diodes due to their increasing application in photovoltaic inverters, industrial motor drives, and electro-mobility.
SiC power devices have been experiencing rapid expansion in tandem with the rising popularity of electric vehicles and photovoltaic inverters. Organizations, like Infineon advancements and Cree, Inc., have been shaping vital associations for supply of silicon wafers. High wafer costs and design issues are major barriers to the expansion of SiC power devices by major players in the power semiconductors market. As a result, businesses have started designing power devices on 6-inch wafers and larger.
In contrast, GaN has gradually emerged as a sustainable semiconductor material for upcoming power electronic converters, due to its advantageous properties, such as a wide band gap and the potential to form hetero structures. Even though GaN power gadgets are in their underlying stage, they have previously outperformed their silicon partners. GaN is mostly used in high-speed and optical electronic devices, but power electronics applications have been gaining popularity in recent years. According to reports, the revenue of high-voltage transistors with a voltage of more than 600V rises at a rapid rate. In the previous ten years, execution of GaN power gadgets has in practically no time moved along.
The Power Semiconductor Market is expected to expand at a CAGR of 4.51% from 2023-2032.
IT and Telecom is the leading application of the Global Power Semiconductor Market.
Asia-Pacific is the largest regional market for Global Power Semiconductor.
The industry size of Global Power Semiconductor is estimated to be $48,870.0 million in 2022.
The top companies to hold the market share in Global Power Semiconductor are ON Semiconductor Corporation, Infineon Technologies, Texas Instruments Inc., Fuji Electric Co., Ltd., and Mitsubishi Electric Corporation.
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