Global Power Semiconductors Market: Asia Pacific to Remain the Most Lucrative Region

According to a report recently added to the vast repository of Market Research Reports Search Engine (MRRSE), the global market for power semiconductor is slated to ride on a steady CAGR throughout the forecast period, 2017 to 2025. Sales of power semiconductors across the globe are expected to account for revenues worth approximately US$ 55,000 Mn by 2025-end. The report is titled, “Global Power Semiconductor Market – Industry Analysis, Size, Share, Growth, Trends, and Forecast 2017 – 2025” and offers a comprehensive analysis on the global power semiconductors market.

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Advent of 5G Mobile Communication to drive Demand for Power Semiconductors

Advent of the fifth-generation or 5G mobile communication across the globe is expected to be a leading growth driver for the power semiconductor market. The 5G mobile communication is anticipated to come into effect in this year, 2018, with the number of 5G base stations to surpass that of 4G base stations. As mobile communications create the requirement for power semiconductors, particularly the radiofrequency (RF) type, proliferation of 5G base stations will lead toward deployment of several power amplifiers for each base station. Gallium arsenide (GaA), gallium nitride (GaN), and silicon carbide (SiC), are among a slew of key compounds currently being used in the production of power semiconductors for the fifth-generation communication.

With increasing penetration of electric vehicles, plug-in electric vehicles and hybrid electric vehicles, there has been a rapid rise in deployment of semiconductors in cars. In addition, the advent of x-by-wire and drive-by-wire technologies that include electronic throttle control, shift-by-wire, electric content, and steer-by-wire are increasingly replacing mechanical vehicle parts. In addition high power consumption requirements of data centers also acts as a major factor bolstering demand for power semiconductors. At present, WBG compound power semiconductors are substituting silicon-based power semiconductors, as they hold promise to effectively enhance the data center efficiency by helping curtail its cooling load.

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Key Research Findings from the Report on Power Semiconductors Market

  • Automotive electronics sector will continue to prevail as the largest end-user of power semiconductors, mainly driven by growing penetration of electric vehicles. Telecommunications will also remain a lucrative end-user of power semiconductors, as demand for IGBTs and RF amplifiers is witnessing a surge in this sector.
  • Asia-Pacific will continue to be the most lucrative region for growth of the power semiconductor market. China significantly contributes to the region’s market growth, with the country being the leading automotive production hub and the largest manufacturer of electric vehicles.
  • Based on component, Gallium Nitride (GaN) will remain dominant in the market, with revenues projected to account for over one-fourth share of the market by 2025-end.

The global market for power semiconductors is characterized by the occupancy of a numerous companies of varying sizes. The nature of the market is fragmented, with intense competition among vendors. Leading companies in the global power semiconductors market are adopting strategies including aggressive pricing, product upgrades, and product differentiation to sustain competition. Apart from these strategies, key companies in the market are also focusing on distribution partnerships, with an aim of enhancing their customer base, which in turn will enable them in expanding their regional and global market reach. Key market participants included in the report are Infineon Technologies AG, ON Semiconductor, Texas Instruments, Fuji Electric Co. Ltd., Mitsubishi Electric Group, ST Microelectronics N.V., Toshiba Corporation, and Semikron International GmbH.

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