The global Gallium Nitride Power Device Market is estimated to be valued at US$ 345.33 Mn in 2023 and is expected to exhibit a CAGR of 24. % over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Gallium nitride (GaN) is a next-generation semiconductor material used to make high-frequency power device due to its superior material properties like high switching speed and high breakdown voltage. GaN power devices finds applications in switching power supplies, electric vehicles and Internet of Things devices.
Market key trends:
Gallium nitride (GaN) is increasingly being used to manufacture power devices for high-power applications like fast chargers due to its ability to operate at higher voltages and frequencies as compared to legacy silicon chips. GaN devices allow more power to be processed or transmitted in a smaller size. This helps reduce the size and weight of electric vehicle charging stations, telecom base stations and 5G network infrastructure equipment. Charging phones and laptops much quicker and enabling faster wireless communication are some of the major advantages driving the adoption of GaN power devices across multiple applications.
Segment Analysis
The global gallium nitride power device market is segmented based on device type, voltage range, application, and region. Based on device type, the market is segmented into opto-semiconductor devices, RF power devices, and power semiconductors. Power semiconductors dominate the market as they exhibit superior electrical characteristics compared to silicon and are suitable for high-frequency power conversion applications.
Key Takeaways
The global gallium nitride power device market is expected to witness high growth, exhibiting a CAGR of 24% over the forecast period, due to increasing demand for energy-efficient power electronics solutions.
The market size for 2023 is US$ 345.33 Mn. Regionally, North America leads the gallium nitride power device market and is expected to maintain its dominance over the forecast period. This is attributed to the high adoption of GaN-based power transistors in 5G communications infrastructure and data center applications in the region.
Key players operating in the gallium nitride power device market include Cree Inc., Efficient Power Conversion (EPC) Corporation, Infineon Technologies, GaN Systems Inc., Macom, Microsemi Corporation, Mitsubishi Electric Corporation, Navitas Semiconductor, Qorvo, Inc., and Toshiba Electronic Devices & Storage Corporation. Cree Inc. is projected to maintain its dominance in the market owing to its well-established distribution network and diverse product portfolio.
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Gallium Nitride Power Device Market is Estimated To Witness High Growth Owing To Increasing demand for fast charging Electric vehicle infrastructure
The Gallium Nitride Power Device Market is estimated to be valued at US$ 345.33 Mn in 2023 and is expected to exhibit a CAGR of 24.% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Gallium nitride (GaN) is a material that can handle higher voltages and current densities than traditional silicon. It can operate at higher temperatures, frequencies, and power levels while providing higher efficiencies. GaN power devices are replacing silicon in power supplies for servers, telecom infrastructure, EV charging stations, renewable energy applications, and electric vehicles. They enable faster charging, more powerful power adapters and supplies, and more robust systems.
Market key trends:
One of the major market trends is the increasing demand for fast charging electric vehicle infrastructure. GaN power devices enable significantly faster charging times compared to silicon-based systems. They allow for higher-power charging stations that can charge an electric vehicle to 80% battery capacity within 20-30 minutes. This removes range anxiety issues for electric vehicle drivers and encourages greater EV adoption. As countries aim to shift to electric-only new car sales by 2030 or earlier, massive investments are being made in public fast charging stations. This will drive strong demand for GaN devices to support the fast charging needs of the growing electric vehicle market over the coming decade.
Porter’s Analysis
Threat of new entrants: The possibility of new players entering the gallium nitride power devices market is moderate as this market requires high initial investments for R&D and capacity building. However, new players can collaborate with established companies to gain market share.
Bargaining power of buyers: Buyers have moderate to high bargaining power due to the availability of substitute technologies. They can negotiate on the price front with different suppliers.
Bargaining power of suppliers: Leading wafer and raw material suppliers have moderate to high bargaining power due to their critical role and limited availability of raw materials.
Threat of new substitutes: Other compound semiconductors like silicon and silicon carbide are potential substitutes but gallium nitride devices have advantages in terms of providing higher power density and efficiency.
Competitive rivalry: The market is highly competitive with major players competing on the basis of product portfolios and pricing.
SWOT Analysis
Strengths: GaN devices offer higher power density and efficiency as compared to silicon. They enable smaller form factors and lighter weight power electronic systems.
Weaknesses: High initial investments are required for R&D, mass production equipment and substrate procurement. Yield and reliability issues exist currently.
Opportunities: Increasing demand for electric vehicles, rapid chargers and renewable energy will drive the need for high power converters based on GaN. Adoption in 5G infrastructure also presents an opportunity.
Threats: silicon and silicon carbide devices are continuously improving and narrowing the technological gap with GaN. Customers may hesitate to transition unless robust reliability is proven.
Key Takeaways
The global Gallium Nitride Power Device Market is expected to witness high growth, exhibiting CAGR of 24% over the forecast period, due to increasing adoption in electric vehicles and rapid EV charging infrastructure. Rising deployment of 5G networks will further augment the demand.
Regionally, Asia Pacific dominated the gallium nitride power device market in 2023 with more than 45% share. Rapid expansion of manufacturing facilities for electric vehicles and related charging infrastructure in China, South Korea and Japan is boosting the regional market growth. Europe and North America are also lucrative markets driven by presence of major automotive OEMs and communication equipment manufacturers.
Key players operating in the Gallium Nitride Power Device market are Cree Inc., Efficient Power Conversion (EPC) Corporation, Infineon Technologies, GaN Systems Inc., Microsemi Corporation, Mitsubishi Electric Corporation, Navitas Semiconductor, Qorvo, Inc., and Toshiba Electronic Devices & Storage Corporation. Leading companies are focusing on new product launches, capacity expansions and technology innovations to strengthen their market position.