by GaN semiconductors are a material option for power semiconductor devices capable of conducting electricity faster and with more power efficiency than standard silicon. GaN semiconductor materials have wide bandgaps and high electron mobility, which allows them to operate at much higher temperatures, voltages, and frequencies than traditional semiconductors. GaN semiconductors offer properties such as high power efficiency, high electron mobility and higher voltage and heat tolerance compared to silicon. As a result, GaN materials have garnered attention for use in compact and efficient power electronic devices such as power converters for power management and power supplies, radiofrequency devices for wireless infrastructure, and electric vehicles.
The global GaN semiconductor market is estimated to be valued at US$ 3.36 Bn in 2023 and is expected to exhibit a CAGR of 18% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
One of the key trends in the GaN semiconductor market is the growing adoption of GaN power semiconductors in electric vehicles. GaN power devices enable higher power density and efficiency in EV power electronics by reducing size, weight, and cost compared to silicon. Leading automotive OEMs and electric vehicle manufacturers are increasingly incorporating GaN devices into onboard chargers, DC-DC converters, and other power conversion applications to meet performance and efficiency targets. GaN power devices allow compact power systems which helps electric vehicles achieve longer range per charge. This has spurred research into new GaN-based components tailored for automotive power electronics.
Porter’s Analysis
Threat of new entrants: GaN semiconductors require significant capital investments for manufacturing facilities which acts as a barrier for new players.
Bargaining power of buyers: Large customers like smartphone manufacturers have significant bargaining power due to high volumes. However, specialized applications have limited buyer power.
Bargaining power of suppliers: Due to limited number of raw material and wafer suppliers, they wield considerable power in determining prices.
Threat of new substitutes: GaN competes with other wide bandgap materials like SiC. However, GaN offers higher efficiency and is expected to gain broader acceptance.
Competitive rivalry: The market comprises large global players and local niche vendors. Competition is expected to intensify with growing commercialization of GaN.
Key Takeaways
The Global Gan Semiconductor Market Demand is expected to witness high growth over the forecast period due to increasing demand for power electronics. Rising adoption of EVs and increasing need for rapid charging infrastructure will drive the market.
Regional analysis: Asia Pacific dominated the market in 2020 driven by presence of numerous wafer and device manufacturers in countries like China and South Korea. Government initiatives to develop domestic semiconductor industries also support regional growth. North America and Europe are also expected to emerge as high growth markets with ongoing R&D and applications in various industrial sectors.
Key players: Key players operating in the GaN Semiconductor market are Immersion, Texas Instruments Incorporated, Precision Microdrives Limited, Johnson Electric Holdings Limited, AAC Technologies, Analog Devices, Inc., ALPS ALPINE CO., LTD., Microchip Technology Inc., Cypress Semiconductor Corporation, Methode Electronics, NIDEC COPAL ELECTRONICS, SMK ELECTRONICS CORPORATION U.S.A, Visteon Corporation, Semiconductor Components Industries, LLC, Synaptics Incorporated, Apple Inc., and SAMSUNG. The market is witnessing increasing strategic collaborations and acquisitions among these players to gain greater foothold.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
