Global Gallium Nitride Device Market Size, Share, Opportunities, COVID-19 Impact, And Trends By Wafer Size (2 Inch, 4 Inch, 6 Inch, More Than 6 Inch), By Type Of Device (Power Semiconductor Device, RF Semiconductor Device, Opto-Semiconductor Device), By Application (Radio Frequency, Power Drives, Lighting And Laser, Light Detection And Ranging), By Industry (Consumer Electronics, Telecommunication, Renewable, Automotive, Defense, Others), And By Geography - Forecasts From 2021 To 2026

The global gallium nitride device market is projected to grow at a CAGR of 5.03% during the forecast period to reach US$27.822 billion by 2026 from US$19.729 billion in 2019. Gallium Nitride, commonly known as GaN is used in the development of semiconductor devices. GaN is a rigorous however mechanically stable wide bandgap semiconductor having higher breakdown strength and faster switching speed. Its higher thermal conductivity and low resistance make it an ideal semiconductor for electronics and other devices. By creating a GaN epilayer on a silicon surface, silicon manufacturer can reduce their manufacturing cost by removing the need for specialization with the existing manufacturing infrastructure. This layer also enables the production of larger silicon wafers at a lower cost. Furthermore, it has been observed that the power devices based on GaN technology outperform those based on silicon at a noteworthy rate. Hence, owing to its better performance, GaN is gaining more popularity as a semiconductor.

The prime reason driving the market growth is the booming demand for consumer electronics and telecommunication services. Increased disposable income is anticipated to increase the demand for consumer electronics. Furthermore, technological advancement has significantly increased the demand for telecommunication services which is projected to drive market growth. A report published by Cisco predicts that IP traffic will increase at a quadruple rate, reaching 4.8 Zettabytes per year in 2022 from 1.5 Zettabytes per year in 2017. Furthermore, to accommodate booming demand, the wireless industry plans to establish 5G networking, from 4G and is projected to increase the industry demand for GaN during the forecasted period.

IP TRAFFIC, IN ZB.

Source: Cisco

An increase in consumer electronics and a surge in the adoption of renewable energy are anticipated to drive the market size of the global gallium nitride industry during the forecasted period.

By end-users, the global gallium nitride market is segmented into consumer electronics, telecommunication, renewable energy, automotive, defense, and others. The Consumer Electronics, telecommunication, and renewable energy segment of the market are predicted to hold a dominating share in the global industry during the forecasted period. Rising internet penetration and growing demand for technologically advanced services will drive the segment growth of the telecommunication sector. The rising penetration of the 4G network and growing development of 5G networking for enhanced communication is projected to derive GaN demand by the sector. Moreover, with the outbreak of coronavirus and the adoption of work from home culture, the demand for wireless communication services surged to an exponential level. Containment measures implemented by the government included the physical shutdown of many institutions, which then opted for virtual platforms to continue operations. Hence, the demand for wireless networking surged to a significant level which increased the demand for telecommunication service and hence of GaN market.

Growing disposable income and a rise in technology penetration increased the demand for consumer electronics, particularly in the Asia Pacific region. Smart devices, in particular, saw a surge in users with increasing penetration and a rise in users. The number of smartphones users in 2021, is 3.8 billion, or 48.3% of the global population, as per data provided by bankmycell.com. The number of mobile phones users, on the other hand, stood at 4.88 billion, or 62.07% of the global population. In total, there are 5.28 billion people who own mobile devices. Growing penetration of smart devices is expected to derive the market growth of the gallium nitride industry at a quadruple rate during the forecasted period. Technological innovation in the sector is expected to open new growth opportunities for the GaN market.

USERS, GLOBAL, 2021, IN BILLIONS.

Source: bankmycell.com

The Asia Pacific GaN market is projected to show lucrative growth during the study period. with industrialization, consumer electronics manufacturing companies are mushrooming in the region owing to low labor costs, high production potential, and easy outsourcing policies. Furthermore, increased disposable income has surged the demand for smart devices along with other consumer electronics which also supports the market growth.

The booming renewable energy sector will also play a significant role in the development of the market. Growing energy and power demand coupled with a rising human carbon footprint on the surface of the Earth have increased the preferability for the development of renewable energy. To meet the demand, the government is implementing new energy projects. The TuNur Project in Sahar Desert was sanctioned in 2021 and is estimated to install 2,250 MW solar CSP, having the capacity to generate 9.400 GWh of renewable energy. Pecan Prairie Solar Project in Texas sanctioned in 2020, will generate 13.310 MW of capacity and supply energy to 50,000 homes. Growth on both offshore and onshore solar power plants is expected to provide robust growth potential for the global gallium nitride market.

Key Development

• December 2020. Outsourcing. Epistar signed an agreement with TSMC to undertake outsourced production of GaN on Si. The shipment is agreed to begin in the second quarter of 2021.

Global Gallium Nitride Device Market Scope:

Report Metric	Details
Market size value in 2019	US$19.729 billion
Market size value in 2026	US$27.822 billion
Growth Rate	CAGR of 5.03% from 2019 to 2026
Base year	2019
Forecast period	2021–2026
Forecast Unit (Value)	USD Billion
Segments covered	Wafer Size, Type of Device, Application, Industry, And Geography
Regions covered	North America, South America, Europe, Middle East and Africa, Asia Pacific
Companies covered	Ifineon Technologies AG, Dialog Semiconductor, Woflspreed (Cree), Qorvo, Inc,   Northrop Grumman, Texas Instruments, Sumitomo Electric Industries Ltd., GaN   System, MACOM, Mitsubishi Electric Corporation, Epistar
Customization scope	Free report customization with purchase

 

Key Market Segments

• By Wafer Size
  • 2 inch
  • 4 inch
  • 6 inch
  • More than 6 inch
• By Type of Device
  • Power Semiconductor Device
  • RF Semiconductor Device
  • Opto-Semiconductor Device
• By Application
  • Radio Frequency
  • Power Drives
  • Lightning and Laser
  • Light Detection and Ranging
• By Industry
  • Consumer Electronics
  • Telecommunication
  • Renewable
  • Automotive
  • Defense
  • Others
• By Geography
  • North America
    • USA
    • Canada
    • Mexico
  • South America
    • Brazil
    • Argentina
    • Others
  • Europe
    • Germany
    • France
    • United Kingdom
    • Italy
    • Spain
    • Others
  • Middle East and Africa
    • Saudi Arabia
    • UAE
    • Israel
    • Others
  • Asia Pacific
    • China
    • Japan
    • South Korea
    • India
    • Thailand
    • Taiwan
    • Indonesia
    • Others

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Frequently Asked Questions (FAQs)

Q1. What will be the gallium nitride device market size by 2026?
A1. The global gallium nitride device market is projected to reach a market size of US$27.822 billion in 2026.

Q2. What is the size of global gallium nitride device market?
A2. Gallium Nitride Device Market was valued at US$19.729 billion in 2019.

Q3. What are the growth prospects for the gallium nitride device market?
A3. The gallium nitride device market is projected to grow at a CAGR of 5.03% over the forecast period.

Q4. How is the global gallium nitride device market segmented?
A4. The global gallium nitride device market has been segmented by wafer size, type of device, application, industry, and geography.

Q5. What factors are anticipated to drive the gallium nitride device market growth?
A5. The prime reason driving the gallium nitride device market growth is the booming demand for consumer electronics and telecommunication services. 

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