According to a recent report published by Allied Market Research, titled, “Power MOSFET Market by Type, Power Rate, and Application: Opportunity Analysis and Industry Forecast, 2020–2027,” the global power MOSFET industry size was valued at $5.43 billion in 2019, and is projected to reach $9.90 billion by 2027, registering a CAGR of 6.60% from 2020 to 2027.
The power MOSFET industry holds a substantial scope for growth in the global market. Currently, it is in its growing stage; however, its contribution to the global industry is expected to witness significant growth within the next few years. High cost associated with power MOSFET manufacturing is a major limitation for the market growth. However, recent innovations, which implant high efficiency and innovative features in smart devices, have enabled the technology to reach a wider audience base. Numerous players are entering the market with innovative products. Emerging development in IoT and growth of autonomous products are expected to drive the power MOSFET market growth in the future.
North America is the second largest region, in terms of revenue generation, in the global power MOSFET market. The consumer electronics industry is well-established in North America, which has led to increased adoption of enhanced technologies. In addition, rapid growth in the sales of smart consumer electronic products supplements the market growth. Moreover, increasing adoption of electric vehicles across the world drives the global power MOSFET market share.
In April 2020, Wingtech Technology, a global leader in semiconductors and communication based in China, raised $818 million for Nexperia China, a semiconductor assembly company, to introduce high-power MOSFET production line. The funds will be mainly used for plant upgrades and purchase & upgrade of various types of equipment and software. The upgrade is expected to increase Nexperia China's standard device production capacity by approximately 7.8 billion pieces per year, improve its test capacity & production efficiency, and increase its profitability in the near future.
According to global power MOSFET market trends, North America is the second largest region, in terms of revenue generation, in the global market. The telecommunication industry is well-established in North America, which has led to increased adoption of power MOSFET. In addition, rapid growth in the sales of consumer electronic products supplements the market growth. Moreover, widespread use of compound semiconductors in healthcare, consumer electronics, and automotive industries drives the market growth.
According to the power MOSFET market trends, China accounts for 50% of the global consumer electronics consumption. The outbreak of COVID-19 is having a major impact on both customers and companies. Electronics manufacturing hubs have temporarily been shut down to limit the virus spread. This is affecting the global supply chain, which is further expected to impact the suppliers and manufacturers across the world. COVID-19 is highlighting potential risk and vulnerability of the electronics industry and semiconductor value chain model.
The key players in the power MOSFET market are shifting toward agile supply chain network model that has multiple pathways to prevent single points of failure. This can help them to balance costs with better assurance for business continuity and sustainability. Shifting from single country hubs to more extensive regional supply networks is expected to initiate collaborative partnerships and industry associations. Stakeholders are anticipated to invest in resources and infrastructure that can quickly enable new manufacturing and supply nodes when required.
It is expected that the demand for innovative products could surge once the economy begins to recover. Rather than simply improving products using the current state-of-the-art technology, companies are looking forward to invest in next-generation products using new technologies as it is expected to amplify its goodwill, once customer demand surges.
Key Findings Of The Study
- By type, the enhancement mode power MOSFET segment generated the highest revenue in the global power MOSFET market forecast in 2019.
- By power rate, the low power segment generated the highest revenue in the global power MOSFET market share in 2019.
- By application, the automotive segment generated the highest revenue in the global power MOSFET market size in 2019.
The key players profiled in the report include Infineon Technologies AG, Fairchild Semiconductors, Renesas Electronics Corporation, Digi-Key Electronics, Toshiba Corp., IXYS Corporation, Power Integration, STMicroelectronics, NXP Semiconductors, and Texas Instruments. These key players adopt several strategies, such as new product launch & development, acquisition, partnership & collaboration, and business expansion, to increase their market share during the forecast period.